Morning Note /
Turkey

Turkey: We expect a positive opening in BIST 100

  • BIST 100 keep breaking records in line with our expectations

  • we believe the positive stance will continue in Turkish equities

  • We remain positive on TOASO SAHOL and TUPRS technically

ATA Invest
7 November 2022
Published byATA Invest

BIST 100 keep breaking records in line with our expectations and we believe the positive stance will continue in Turkish equities. Today we expect a positive opening in BIST 100 towards 4,240 and next resistance levels lie at 4,250-4,275. KCHOL posted strong results and Ata technical trade was closed on Friday after strong recovery. In case KCHOL can stay above 60 levels the strength may continue. We remain positive on TOASO SAHOL and TUPRS technically.

Macro news:

Real Effective Exchange Rate (REER) increased by 2.6% m/m to 55.70 in Oct’22 (Sep’22: 54.30) FX basket which is calculated as an average of Euro and US$ appreciated by 1.1% m/m in Oct’22 (Sep’22: 0.5%).

Company news:

* MPARK TI> bought back 10K shares at an average price of TL71.27 on 4 November 2022. Since 25 May 2022, the total number of shares bought back reached 6.2mn at an average price of TL47.13.

*TTRAK TI> total sales volume declined by 2.1% y/y in October... On a segmental basis, domestic volume declined by 10.2% y/y whereas export sales volume increased by 13.5% y/y respectively. Going forward, we foresee TTRAK’s domestic tractor sales volume to decrease by 14.6% y/y to 27.3K units and export sales volume to increase by 9.3% y/y to 17.7K units in 2022E. We maintain our “Outperform” recommendation for TTRAK with our 12M TP of TL419.10. Based on our estimates, the company trades at 23E 5.9x EV/EBITDA and 23E 7.2x P/E, compared to its 5-year average 6.3x EV/EBITDA and 7.4x P/E multiple. 

*KCHOL TI> posted TL19.9bn net income, 23% higher than the consensus estimates of TL16.1bn in 3Q22.

Weekly Agenda:

Nov, 7: ENKAI TI 3Q22 cons TRY 790 mn

Nov, 7: MPARK TI 3Q22

Nov, 8: TTKOM TI 3Q22 cons TRY 648 mn ATA TRY 831 mn

Nov, 8: BIMAS TI 3Q22 cons TRY 1,920 mn ATA TRY 1,947 mn

Nov, 8: PETKM TI 3Q22 cons TRY 1,006 mn ATA TRY 708 mn

Nov, 8: ULKER TI 3Q22 cons TRY 44 mn ATA TRY -48 mn

Nov, 9: PGSUS TI 3Q22 cons TRY 4,136 mn ATA TRY 4,120 mn

Nov, 8: DOAS TI 3Q22 cons TRY 1,674 mn ATA TRY 1,671 mn

Nov, 8: BIZIM TI 3Q22 cons TRY 28 mn ATA TRY 34 mn

Nov, 10: Sep unemployment rate

Nov, 10: BRSA Weekly Banking sector data

Nov,11: Sep Industrial Production Index

Nov, 11: Sep CAD