Morning Note /
Global

Turkey: We have the most important NATO meeting in a long time

  • The strong rebound in commodities are once again creating global growth concerns

  • Theme and sector based equity allocation should continue as equities continue to be the best inflation hedge

  • Garanti showed signs of life after a long time and is trading close to its buy back price of 12.20

Batuhan Ozsahin
ATA Invest
24 March 2022
Published by

The strong rebound in commodities are once again creating global growth concerns and for Turkey increasing risk of current account deficit.

We have the most important NATO meeting in a long time, where the institution itself will question its very reasons of existence. Will Turkey get a positive nod from the US after years of high tension relationships? That can create further optimism in the markets.

Theme and sector-based equity allocation should continue as equities continue to be the best inflation hedge. Garanti showed signs of life after a long time and is trading close to its buyback price of 12.20 and we could see the approval from the regulator soon.

Macro news:

Consumer Confidence Index (CCI) increased by 1.9% m/m to 72.5 in Mar’22 (-16.3% y/y). Financial situation expectation of households increased by 2.3% m/m to 69.9 in Mar’22. General economic situation expectation increased by 1.1% m/m to 72.6. The number of people unemployed expectations increased by 6.3% m/m to 69.7 in Mar’22. The probability of savings* increased by 2.7% m/m to 28.5 in Mar’22.

Company news:

*FROTO TI> goes ex-dividend today, paying TL13.00/shr (4.11% div. yield) Reference price will be TL 303

*TATGD TI> goes ex-dividend today, paying TL0.335/shr. The reference price will be TL 10.915

*AKGRT TI> will increase capital through 100% bonus issue Reference price will be TL 3.395

*SAHOL TI> bought back 1,280K shares at an average price of TL17.26 on 23 Mar 2022. Since 09 Nov 2021, the total number of shares bought back reached 33.7mn at an average price of TL14.89.

Weekly Agenda:

Mar 24: FROTO TL 13/ share cash dividend payment

Mar24: KORDS: TL 0.82/share cash dividend payment

Mar 25: March Capacity Utilization rate