BUX Index Rose on Rising Turnover This Week

The Budapest Stock Exchange (BSE) share index rose in the week, closing at 43,698.34 points on Friday, up 2.51% on the week to 1,068.66 points, the state news agency MTI reported this Sunday morning along with a brief analysis.

The weekly turnover on the stock market was HUF 63.58 billion%, compared to HUF 30.63 billion% the previous week, with most of the leading shares gaining.

In its weekly summary sent to MTI, Equilor Investment Plc. highlighted that the BUX index closed another strong week, similar to last week. It added that the domestic stock index rose 2.51% over the past five trading days, breaking through the 44,000-point level again in midweek. Following Mol's quick report last week, the other three blue chip players in the Hungarian market published their third quarter figures this week, all of which were particularly good.

They recalled that OTP's third-quarter figures were all stronger than analyst consensus. Total income and net interest income were both up by more than a quarter on an annual basis. The improvement in profit and loss lines was around 50%. Management has raised its expectations for this year, with loan growth of 15%, while interest margins may stabilize.

Positive results also came from Richter. The company released its third-quarter results early on Tuesday, which by all accounts exceeded preliminary expectations. Due to currency movements, the company reported an exceptionally high financial result of HUF 72 billion for the first three quarters of the year. Profit after tax was 116% above the third quarter of 2021, and the profit after tax ratio reached 38%.           

Magyar Telekom closed the third quarter with a better-than-expected result, with management upgrading its full-year revenue forecast. The company's revenue increased by 9% on an annual basis to HUF 190.9 billion. Revenue growth was helped by strong demand for mobile data revenues and strong growth in handset sales.

4iG led a winning consortium: the 4iG-led consortium was among the winners of the Digital Government Agency's HUF 37 billion net framework tender. The framework agreement does not provide for automatic orders, and specific procurements will be re-tendered between the consortia participating in the framework agreement based on the needs of the organizations concerned. The maximum duration of the framework agreement is 30 months from its entry into force.

Magyar Telekom was the strongest performer this week, gaining 9.26% on a turnover of HUF 570.17 million%, with the paper ending trading at HUF 324.5% on Friday.

Mol's share price fell by 0.46% to HUF 2,622% this week, with a turnover of more than HUF 6.12 billion%.

OTP's share price rose by 4.76% in the week, with a turnover of HUF 44.9 billion%, closing Friday at HUF 1,005%.

Richter's share price rose by 1.40% on turnover of HUF 10.73 billion%, ending Friday's trading at HUF 8,310%.

The BUMIX index of small and medium-sized shares closed the week at 3,668.02 points, up 56.83 points, or 1.57%, on the previous week.