Avior Capital Markets - JSE (14SC) JSE | All quiet on the local front

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Avior Capital Markets

David Talpert ...

Harry Botha

JSE | All quiet on the local front

We expect the JSE to report a 28.4% decline in H1 '19 HEPS. In H1 â€˜19, cash equity value traded declined by 17%. The JSE has implemented the ITaC system upgrades, which has resulted in increased start-up costs and amortisation expenses. We expect a reduction in capex to support improved free cash flows and potential for a further special dividend in 2020. However, the JSE's outlook remains negative and a sustained improvement in value traded is required to support meaningful earnings growth.

04/07/2019 13 EN

Underlying

JSE

JSE provides a range of products and services from trading to post-trade services and market data sales relying on automated systems. Co.'s segmants include: Cash Equities, which provides trading in equities, warrants and exchange-traded products; equity and currency derivatives, which provides trading in currency futures and options; Commodity derivatives, which provides trading in agricultural grain products and cash-settled rand-denominated derivatives on various international benchmark commodities; interest rate market, which provides trading in interest rate products in both the cash and the derivative Markets; and Market data, which sells live, statistical, historical and data.

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ZAE000079711 Johannesburg Stock Exchange South Africa

Provider

Avior Capital Markets

Avior is a globally recognised capital markets research and trading firm, with the broadest research coverage within the region, with 100+ SA and 20+ SSA companies under coverage. Avior services clients from offices in London, Cape Town and Johannesburg.

Our research quality is consistently recognised in local and global surveys, with 18 analysts currently rated in their respective sectors (FM 2017). Value add through in-depth, innovative, high quality and consistent research with comprehensive underlying fundamental modelling supported by regular analyst and roadshow interactions.

Avior has proven that by working closely with our clients we can mutually develop dominant positions in certain sectors, going from strength to strength. Avior has a dedicated ESG team, having been ranked #1 in Corporate Governance research since 2008.

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Analysts

David Talpert

Harry Botha

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JSE | All quiet on the local front

1 director sold

Avior Financials | Nedbank CPF update | Bank lazy deposits | JSE | SNT | DSY

JSE | Getting out of the doldrums

Tiger Brands | ESG | Pressed to execute

SA Investment Strategy | Review of January 2020 for SA investors: Coronavirus weighs on the ZAR

SA Banks | Low credit risk in commercial property | Time to buy SA banks

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