The PSE Index, 9 March 2012
Asian stocks, including Philippine stocks are expected to gain today as US stocks rose on Friday, March 9, 2012. The Dow Jones Industrial Index, DJIA, added 14.08 points/0.11% to close at 12,922.02 while the Nasdaq and S&P 500 closed at 2,988.34 (+17.92/+0.60%) and 1,370.87 (+4.96/+0.36%) respectively.
The Philippine Stock Exchange Index, PSEi, closed higher on Friday at 4,980.71 (+59.35/+1.21%). Market breadth was positive with 93 gainers vs. 73 losers; while 36 issues unchanged. I’m expecting the index to move back up to 5,000 level this week after a small correction it made last week, the uptrend is still in tact.
PSE index – daily chart
Semirara Mining Corp, SCC
Semirara Mining Corp, SCC, the largest producer of coal in the Philippines, helped the index to close higher as it closed +2.18% or PhP 234/share, its 30-day high. Forecasts from Financial Times indicates that its target price for the next 12 months is PhP 259.30/share to P303.49/share. Chartwise, SCC is poised to break its all time high at 240.40 if momentum continues.
SCC’s weekly chart
Semirara Mining Corporation is a Philippines-based company engaged in exploring, developing, and mining coal resources in Semirara Island. The Company is a subsidiary of DMCI Holdings, Inc. The Company generates its revenues through the production of sub-bituminous coal. Over the years the company diversified its coal market. In 2010, volume sold to export market accounted for 57% of the total coal sales, the power generation sector 24%, cement and other industries at 19%. Year on year, market share varies depending on the demand from each of the major market sector. In 2010, the Company contributed 6.95 million metric tons (MT) to the country’s coal production. The company had a contract with National Power Corporation (NPC) for its power plants in Calaca, Batangas but it was terminated after the Company’s wholly-owned subsidiary, SEM-Calaca Power Corporation acquired ownership over the Calaca Plants.
Non Index Stocks
Watch out for Property stocks, BHI, EVER, SLI, and CPG. On the other hand GREEN, MAKE, and AMC also were top gainers on Friday, I don’t have any news on these stocks but they “might continue” their rise today.