Having been registered in Iran Fara Bourse’s second market in 27 July 2014, Bahman Diesel Company with USD 27.37 mn in capital, as a subsidiary to Bahman Group, publicly offered 10% of its shares, equal to 50,000,000 shares, today. This company is the second one in the Automotive and Spare Part Mfg. sector entering Iran Fara Bourse. It has predicted to recognize a USD 0.01 EPS for the FY ending 19 March, 2016, covering half of this amount over the first 6 months. Each brokerage house and online station was allocated 290,000 and 1,500 shares, respectively. Despite the intrinsic value of this share, estimated by financial analysts to be a USD 0.08, its price was discovered to be a USD 0.09.
- In its Q2 reports, Jam Petrochemical Company has positively adjusted its predicted EPS by 13% to reach a USD 0.05. The major reason to this increase has been the foreign currency rate appreciation. As its Q2 reports demonstrate, the company has managed to cover 56% of its operating revenue and 53% of its net income.
- Holding USD 6.57 mn in capital in the first half of its fiscal year, Razi Glass Mfg. Company has predicted to recognize a USD 0.002 EPS, showing a 38% decline compared to the estimations in the same period last year.
- Abadan Petrochemical Company has predicted to make a USD 0.009 EPS for the FY ending 19 March, 2016, possessing USD 17.25 mn in capital. The company has managed to cover 23% of its estimations in the first half, while it had covered 35% of its estimation the same period last year.
In the Market
Today’s IPO and the unleashed USD price spike directed investors’ attention towards symbols with export potential; however, the political risks have made investors more cautious. In the Metals sector, the market is still worried about global prices; copper price has hit the lowest price in the past 6 years and major global copper producers have reduced their production to balance supply and demand. Tickers such as Khuzestan Steel Company and Esfahan’s Mobarakeh Steel Company faced growth while National Iranian Copper Industries Company’s price fell.
In the Sugar sector, low volume trades were seen. Most tickers ended in the red. Only Shirin Khoarsan Sugar Company, Qazvin Sugar Company and Esfahan Sugar Company faced growth. It has been heard that Esfahan Sugar Company has plans to sell some of its assets.
In the Food and Beverages sector, positive volatilities were seen. Symbols, including Pegah-e Fars Dairy Company and Pegah-e Khorasan Dairy Company ended in the green and Margarin Company’s symbol was re-opened by a 14% positive adjustment.
Finally, in the Chemicals sector, the USD price hike can end in revenue growth for export companies; it is so while the final gas feed price has not been announced yet. Gas feed price ambiguity and oil price plunge are the two factors hindering price growth for symbols in this sector. Jam Petrochemical Company witnessed positive and high-volume trades; due to feed variety, this share faces less risk. Fars Chemical Industries Company and Sina Chemical Industries Company also faced growth.