The PX-50 index lost 0.41% to 432.8 points yesterday. Komercni banka strengthened again, gaining a further 3.0% to CZK 1,835 (it is up 9.5% since our October 18 upgrade). Investors may soon look for opportunities to take profits in the stock, we expect, especially given the amount of political uncertainty in the world. The rally in KB stock could also spark recommendation downgrades and price-target cuts (e.g., SSSB cut its target price for KB to CZK 1,926 yesterday). Elsewhere yesterday, Cesky Telecom was again under pressure, losing 3.4% to CZK 221.50. Foreign selling was behind the decline; the stock lost on no apparent news. Total volume in the SPAD reached USD 13.67 mil.
Milan Prochazka