Report
Aleksey Ryabushko ...
  • Alexey Kirichok
  • Andrew Keeley
  • Andrey Kuznetsov
  • Anton Stroutchenevski
  • Artem Vinogradov
  • Cole Akeson
  • Fedor Kornachev
  • Irina Lapshina
  • Kirill Rogachev
  • Mikhail Sheybe
  • Rodion Lomivorotov

CIS Market Daily - March 11, 2019

MARKET COMMENT - WORST WEEK FOR GLOBAL STOCKS IN MONTHS; BREXIT AND CHINA IN FOCUSWhile Russia was off for holiday on Friday, global markets declined, the MSCI EM and World (DM) falling 1.3% and 0.5%, respectively. Unresolved issues for the US, EU and China dragged on markets - among them the most notable was a weak US monthly jobs report. The RDX Index fell 1.3%, serving as a proxy for the Russian market. Although oil has bounced, indicators remain negative overall this morning. Brexit and China developments will likely be in focus this week, which we detail below. STORIES> EMs return to net inflow after two weeks of outflow> Russian regions: Where the growth resides> Trade recommendation: Position for $70 Brent in 2Q19> Alrosa's February sales reach $345.6 mln, up 23% from January> Raspadskaya BoD recommends a small share issue> Rusal conference call highlights: Norilsk still seen as strategic investment> TCS 4Q18 preview: Rounding off an excellent year> Unipro 4Q18 preview> Mosenergo's 2018 IFRS results reveal no surprises> OGK-2 2018 IFRS results: Bottom line unlikely to disappoint
Underlyings
ALROSA PJSC

AK Alrosa PAO. AK Alrosa PAO (Aktsionernaya kompaniya ALROSA PAO or ALROSA Company PJSC), formerly AK Alrosa OAO, is a Russia-based company which is principally engaged in the exploration, mining, manufacture and sales of diamonds. Its operations include five Integrated Mining and Processing Complexes: Mirny, Udachny, Aikhal, Anabar and Nyurba located in the Sakha Republic; sorting divisions and diamond cutting and polishing division. The Company is a member of variable diamonds associations. It operates through several representative offices, branches and subsidiaries, including Alrosa-Nyurba OAO, Almazy Anabara OAO and Severalmaz OAO.

Evraz PLC

Evraz engages in the production and distribution of steel and related products and coal and iron ore mining. Co. also produces vanadium products. Co. has four segments: Steel, which includes production of steel and related products at all mills except for those in North America, and includes the extraction of vanadium ore and production of vanadium products, iron ore mining and enrichment and certain energy-generating companies; Steel, North America, which includes production of steel and related products in the U.S. and Canada; Coal, which includes coal mining and enrichment; and Other operations, which includes energy-generating companies, shipping and railway transportation companies.

MMC Norilsk Nickel PJSC

MMC Norilsk Nickel PJSC is a global producer of nickel, palladium, platinum and copper. Co. also produces by-products, such as cobalt, chromium, rhodium, silver, gold, iridium, ruthenium, selenium, tellurium and sulfur. Co. is involved in prospecting, exploration, extraction, refining and metallurgical processing of minerals, as well as in production, marketing and sale of base and precious metals. Co.'s production facilities are located in five countries: Russia, Australia, Botswana, Finland, and South Africa. Co.'s production units are integrated and include: the Polar Division (the Taimyr Peninsula); and the Kola Mining and Metallurgical Company (Kola MMC or the Kola Peninsula).

Mosenergo

Mosenergo is a regional energy company primarily involved in generation of heat and electric power and heat distribution services in the Moscow city and Moscow region. Co.'s portfolio includes 15 power plants with the electric installed capacity of 11.9 thousand MW and heat installed capacity of 40.5 thousand MW (34.9 thousand Gcal/hour). Co. produces 6% of the electricity generated in the Russian Federation (exclusive of nuclear power plants) and is a main supplier of electricity and heat for the Moscow region. Co. supplies 67% of the total electricity consumption of Moscow region.

OGK-2

OGK-2 JSC is primarily engaged in the generation and sale of electric and heat power. Co. consists of the following power stations (plants): Troitskaya GRES, Stavropolskaya GRES, Pskovskaya GRES, Serovskaya GRES, Surgutskaya GRES-1, Kirishkaya GRES, Ryazanskaya GRES, Novochercasskaya GRES, Krasnoyarskaya GRES-2, and Cherepovetskaya GRES.

TCS Group Holding Plc Sponsored GDR Class A RegS

TCS Group Holding is a retail banking services group based in the Russian Federation. Co. is principally engaged in providing retail banking services in the Russian Federation through its subsidiaries, primarily Tinkoff Credit Systems. Co., through this subsidiary, fully licensed by the Central Bank of Russia and a member of the Deposit Insurance System, specializes in credit cards. Co. provides online retail financial services through a branchless operating platform. Co. also offers remote access to its financial products and services through its online banking as well as through mobile banking and high-volume call centers.

Unipro

E.ON Russia is engaged in the wholesale electricity market, it produces and sells electric and heat power. As of Dec. 31, 2012, the structure of Co. includes five heat power plants with the total installed capacity of 10,345 MW/2,125.9 Gcal/h: Surgutskaya GRES-2 (Khanty-Mansi Autonomous Area, Tyumen Region), Berezovskaya GRES (Krasnoyarsk Territory), Shaturskaya GRES (Moscow Region), Smolenskaya GRES (Smolensk Region) and Yaivinskaya GRES (Perm Territory).

Provider
Sberbank
Sberbank

​Sberbank CIB Investment Research is a research firm offering equity, fixed income, economics, and strategy research. It covers analysis on all aspects of Russia’s capital markets, issues and industries. The firm analyzes trends in Russia and combines local knowledge with a global perspective. It processes macroeconomic data, market and company-specific news, stock quotes and other information for providing research reports. The firm provides details and latest prices on the most traded names and most traded paper on all segments Russian market. In strategy research, it provides thematic research, tips and descriptions of the methodology used to evaluate companies.

Analysts
Aleksey Ryabushko

Alexey Kirichok

Andrew Keeley

Andrey Kuznetsov

Anton Stroutchenevski

Artem Vinogradov

Cole Akeson

Fedor Kornachev

Irina Lapshina

Kirill Rogachev

Mikhail Sheybe

Rodion Lomivorotov

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