Bairaha Farms reported investor interest : Colombo Stocks down due to profit taking

                        DAILY MARKET REVIEW

17/05/2010 (S.L.S.Picks) - Colombo Stock Exchange was down today due to retail profit taking on a start of a fresh week of trading here in Sri Lanka. However investor participation were much lower than previous days due to the heavy rain experienced by the island nation.

All Share Price index was down 9.95 points to close at 4242.49 & Millanka Price index down by 14.29 points to close at 4784.58

Today we saw that the investor interest was once again focused towards stocks in the Plantation sector due to the improved results released by the almost all the companies in this sector for the Quarter ended 31/03/2010.

 Further Investor attention was focused towards farm companies such as Bairaha Farms , Three Acre Farms, Grain Elevators due to the improved profit figures released by the above companies for the 1Q 2010.

IT sector was the highest gainer among the sectors today by registering a growth of 3.26% due to share price increase in E-channeling Company, followed by the Food & Tobacco sector. Palm Oil sector was down by 5.10% was the leading negative growth sector.

Turnover reported for the day was a massive Rs1.3b.n

Foreign participation was at a low level. Foreigners purchased shares worth of Rs 74m.n & sold shares worth of Rs 174m.n reflecting a net foreign out flow of Rs 100m.n.

There were 65 gainers as against 74 losers for the day.

ANNOUNCEMENTS

• Hayleys MGT Knitting Mills PLC Final dividend of Rs 1.50 /share

CLOSER LOOK

• Investor participation was limited due to the heavy rain experienced in most parts of the country.

• We can see a recovery in the Plantation sector companies in the longer run due to the ever increasing commodity prices such as Tea, Rubber, and Oil Palm etc. in the world market.

• Due to the recent boom & the positive future of the leisure industry in the country after the end of 30 year old civil war, we can see a positive growth in companies representing Food & Beverage sector such as Bairaha Farms, Grain Elevators & Three Acre farms.

STOCKS TO WATCH

• Richard Pieris

• C.W.Mackie

• Grain Elevators

• Bairaha Farms

source - www.cse.lk