Daily Report

February 1, 2018
What’s Brewing
@ FirstMetroSec Equities Summary | Commentary | Corporate Calendar | Economic Calendar

PSE Index (12-month period) Equities Summary

9,500 PH equities tumbled for a 2nd day on continued profit taking

amid the cautious tone in global markets. The index failed to
PSEi
9,000 hold above the 8,800 and ended the day with a whopping P2.3B
worth of net foreign selling. Global investors looked to Trump's
8,500
State of the Union address for leads, and will await other key
8,000 events such as the start of the Fed meeting tonight, and major
US economic data/earnings releases, to confirm if the synchro-
7,500 nized global growth is indeed on pace.
7,000
PSEi 8,764.01 (-146.47pts; -1.64%); Val T/O: P11.02 Bn;
6,500
$214.43Mn (ex-block)
Jan-17 Mar-17 May-17 Jul-17 Aug-17 Oct-17 Dec-17 Jan-18
*Net foreign selling ended at P-2,328.75Mn, P4,319.69Mn pur-
Index V alue T urnov er (in P mn)
Last 8,764.0 Last (ex-blocks) 11,019.5 chases, P6,648.44Mn sales.
% Change (1.64)% 3-Month Average 7,319.3
YTD % Change 2.4% 6-Month Average 7,210.4
*Index Breadth: 7 up; 20 down; 3 unchanged.
V aluat ion (x) M ark et Breadt h
Price-to-Earnings T12M 23.0 Gainers 61
Price-to-Earnings F12M
Price-to-Book
19.2
2.8
Losers
Unchanged
142
52
*Market Breadth: 61 up; 142 down; 52 unchanged.
Dividend Yield (%) 1.4
F oreign A ct iv it y (in P mn) PLDT
Buy 4,319.7 TEL Last Price (PhP) 1,569.0 *Index Leaders: ICT (+3.18%), GLO (+2.15%), DMC (+0.70%),
Sell
Net Foreign
6,648.4
(2,328.8)
TEL ADR Last Price (US$)
in PhP
30.6
1,568.4
JFC (+0.21%), MER (+0.24%)

*Index Laggards: SM (-5.96%), ALI (-2.96%), SMPH (-2.51%),

Global Indices BDO (-1.61%), JGS (-1.92%)
US M a rk e ts Price Chg DoD % YT D % P/E T 12M P/E 2017F
Dow Jones Industrial Ave. Index US 26,149.39 72.5 0.3% 5.8% 27.0x 18.1x
S&P 500 Index US 2,823.81 1.4 0.0% 5.6% 24.3x 18.3x
INTERNATIONAL
Nasdaq Comp. Index US 7,411.48 9.0 0.1% 7.4% 25.1x 21.0x

Europe a n M a rk e ts
US STOCKS SNAPSHOT-Wall St ends little changed on inflation
Euro Stoxx 50 Index EU 3,609.29 2.5 0.1% 3.0% 17.0x 14.2x skittishness
HDAX index GER 7,174.09 7.8 0.1% 2.5% 16.9x 14.3x Oil set for strongest January since 2013; wary of data
FTSE 100 Index UK 7,533.55 (54.4) (0.7)% (2.0)% 20.3x 14.5x
CAC 40 Index FR 5,481.93 8.2 0.1% 3.2% 17.0x 14.8x
Federal Reserve Leaves Rates Unchanged
As ia Pa cific
Philippine Stock Exchange Index PH 8,764.01 (146.5) (1.6)% 2.4% 23.0x 19.2x LOCAL
Nikkei 225 JPN 23,098.29 (193.7) (0.8)% 1.5% 18.7x 17.5x
Hang Seng Index HK 32,887.27 280.0 0.9% 9.9% 15.0x 13.0x
Government debt ends 2017 at record P6.652 trillion
FTSE Straits Times Index SG 3,533.99 (14.8) (0.4)% 3.9% 12.1x 14.6x Office vacancy rates seen to hit 10-12%
ASX 200 Index AUS 6,037.70 14.9 0.2% (0.5)% 16.1x 12.5x
Senate bill hopes to cut VAT rate to 10%, eventually to 8%
Shanghai SE Comp Index CHN 3,480.83 (7.2) (0.2)% 5.3% 15.9x 12.9x
Korea SE KOSPI Index SKR 2,566.46 (1.3) (0.0)% 4.0% 12.1x 11.1x ‘3rd player’ entry terms geared to aggressive telecom investment
Jakarta SE Comp. Index IDN 6,605.63 30.1 0.5% 3.9% 19.2x 17.0x
FTSE Bursa Malaysia KLCI Index MY 1,868.58 (1.9) (0.1)% 4.0% 16.6x 16.8x
SET Index TH 1,826.86 0.3 0.0% 4.2% 17.6x 16.3x
CORPORATE
PSE: Stock Rights Offering Timetable
First Metro Phil. Equity ETF (FMETF) ICTSI unit begins operations in Papua New Guinea
Max’s to bring Pancake House to Saudi Arabia
Report Date Wednesday, J anuary 31, 2018
8990 unloads P3 billion worth of receivables
NAV per share 132.70
RLC opens office spaces in Ilocos Norte mall
Closing Price 132.80
Total # of Issued Shrs (in '000) 11,072
Total # of Outstanding Shrs (in '000) 11,122
Tracking Error 0.05%

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Corporate
ICTSI starts Papua New Guinea operations
International Container Terminal Services, Inc. (ICT) unit ICTSI South Pacific International Container Terminal (SPICT) has
commenced port operations at the Lae Tidal Basin in Lae, Papua New Guinea. ICT expects stable operation once the mo-
bile harbor cranes arrive in Apr-18. As part of its concession agreement, SPICT will begin the transition by immediately
rolling out the terminal’s new operating system, Navis N4. The new system is expected to streamline the flow of infor-
mation in the Lae terminal and increase seaside and landside productivity levels.

Comment: This investment will further boost ICT’s revenues from its Asian operations, which accounts for 47% of the
group’s topline as of 9M17 . The net income attributable to equity holders of ICT went up by 19% to US$181.7m in
9M17, as gross revenue from port operations rose 10% to US$918.2m.

PSE: Stock Rights Offering Timetable

The Philippine Stock Exchange Inc. (PSE) has disclosed its timetable for its upcoming stock rights offer (SRO), after the
company received the approval of its listing application for the 11,500,000 common shares from the Securities and Ex-
change Commission (SEC). Ex-rights date will be on February 12, while the record date will be on February 15. Moreover,
offer period will start from February 26 to March 2. Proceeds from the fund raising will be used for the company’s capital
expenditures and for the acquisition of the PDS Group. Post-SRO, management believes it will be able to lower current
shareholders ownership to 20%, to meet Securities Regulation Code (SRC) requirement. PSE’s current broker ownership
stands at 22%.

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Equities Summary | Commentary | Corporate Calendar | Economic Calendar

Corporate Calendar

February 2018
SUNDAY MONDAY TUESDAY WEDNESDAY THURSDAY FRIDAY SATURDAY

1 2 3
SRS- RLC

4 5 6 7 8 9 10
CD- PSE ABD- GLO CD- UBP SRE- RLC
SMD- VMC
CD- ALCO

11 12 13 14 15 16 17
ABD- ALI

18 19 20 21 22 23 24
SMD- ROX

25 26 27 28 29 30
CD- LR

Legend: ABD = Analysts’ Briefing EOE = ETF Offer End

SRD = SRO Ex-Date SRE = SRO End PD = Property Ex-Date
SMD = Stockholders’ Meeting EOS = ETF Offer Start SRL = SRO Listing
SRS = SRO Start STD = Stock Ex-Date OFE = Offer End
LD = Listing Date EDD = ETF Dividend Ex-Date WED = Warrant Exp Date
CD = Cash Ex-Date OFS = Offer Start

Source: Philippine Stock Exchange

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 Daily Report
Equities Summary | Commentary | Corporate Calendar | Economic Calendar

Economic Calendar

February 2018
SUNDAY MONDAY TUESDAY WEDNESDAY THURSDAY FRIDAY SATURDAY

1 2 3
PH- PMI Manufacturing US- Jobs Report
Index
US- Jobless Claims
US- PMI Manufacturing
Index

4 5 6 7 8 9 10
PH- CPI PH- Forex Reserves PH- Monetary PH- Balance of Trade
US- International Trade Board(MB) Meeting
US- Jobless Claims

11 12 13 14 15 16 17
PH- Foreign Direct US- CPI PH- OF Remittances
Investments US- Retail Sales US- Jobless Claims

18 19 20 21 22 23 24
PH- Balance of US- FOMC Minutes US- Jobless Claims
Payments Position US- Existing Home
Sales

25 26 27 28 29 30
US- New Home Sales US- Durable Goods US- GDP US- Jobless Claims
Orders

Source: Wall Street Journal, Bloomberg

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First Metro Securities Brokerage Corp.

Research Department
18/F PSBank Center

777 Paseo de Roxas cor. Sedeño St.

Makati City 1226

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