Some selected stocks that have notable foreign activities for the 3 weeks ended Dec 16,2011.
TEL, the bellwether of the Philippine market, has been tanking the PSE upward despite the global sell off few days ago. In just 3 weeks, TEL has now a huge NFB of 800Million.
*Amounts in Millions | Period covered: Nov 28 to Dec 16,2011
Fitch Ratings has affirmed TEL’s Long-Term Foreign and Local Currency Issuer Default Ratings (IDRs) at ‘BBB-‘ and ‘A-‘ respectively. The Outlook is Stable. The ratings reflect PLDT’s improved market position post its successful acquisition of a 51.55% ownership interest in the third-largest telco – Digital Telecommunications Philippines, Inc. (Digitel) in an all-equity deal. (DCL # 8334)
Excerpts from John Mangun’s Column in Businessworld
“Morgan Stanley Asia/GEMs (Global Emerging Markets) Strategy report, the PSE experienced a significant upgrade.
20 Countries are included in the GEM list. The Philippines is now included with China, Russia, Brazil and South Africa in the overweight group. Based on this new assessment of the PSE, going from equal weight to overweight means that the amount of portfolio allocation to the PSE should nearly be doubled.
The Philippines was a big mover on the list, not only going into overweight territory but moving from No. 11 to No. 5. Further, PLDT was made a part of the focus list, a type of global model portfolio.
Morgan’s target price for PLDT is P3,000 per share. That would put the PSE Index near my best-case scenario level of 5,000.
PHL aslo ranks No. 3 out of 20 on ROE and at least 18 companies included in the Morgan index, pay a lot of their profits out in dividends, ranking No. 5.