Share prices are expected to trade sideways on thin volume on a shortened trading week. The financial markets are closed on Tuesday and Wednesday in observance of All Saints’ Day.
RCBC Securities analyst Jeffrey Lucero expects earnings to take center stage this week as investors look for indicators and expansion plans for 2018.
“We expect the rollout of companies’ 2017 earnings results to influence stock price movement in the coming weeks,” Lucero said.
Among the companies that are expected to report their third quarter financial performance in the coming weeks are Ayala Land Inc., Ayala Corp., Globe Telecom Inc., Aboitiz Equity Ventures Inc. and Abotiz Power Corp.
The third-quarter earnings report that came out last week so far were mixed, with Holcim Philippines and Cemex Holdings Philippines Inc. disclosing a decline in profit and Manila Electric Co. registering a three-percent increase in core net income in the first three quarters of 2017.
The PSEi last week fell 1.5 percent to 8,295.95, while the All Shares Index declined 1.1 percent to 4,857.56 as investors stayed on the sidelines ahead of the earnings releases.
Except for mining and oil and industrial indices which rose 1.9 percent and 0.6 percent, respectively, all other indices posted week-on-week declines led by holding companies which dropped 2.56 percent, financial which dropped 2.4 percent and property which dipped 0.61 percent.
Foreign investors were net buyers for the week by P4.36 billion, while the average daily value traded stood at P7.2 billion from last week’s average of P9.7 billion.
Minus the P7.5-billion block sale of Ayala Corp shares, foreigners were net sellers by a heavy P3.2 billion.
Weekly top price gainers were STI Education Systems Holdings Inc., which rose 10.8 percent to P1.74; Global Ferronickel Holdings Inc., which climbed 8.5 percent to P2.80; and Alliance Global Group Inc., which advanced 4 percent to P15.88 apiece.
Weekly top price losers were SSI Group Inc., which dropped 9.1 percent to P3.91, Cemex Holdings Philippines Inc., which lost 8.8 percent to P4.66; and Cebu Air Inc., which fell 4.6 percent to P1.07.