Global Markets: Czech Stock Market

This is first one in “Global Stock Market Blog bash” by Vladimir Kucera of Stockweb. Pls check out Vlada’s details at the end of the post as he has wonderful insights to offer on Eastern European market. 


Trading hours of the Czech Stock exchange.  08:00 – 09:30  closed phase
09:30 – 16:00  open phase
17:00 – 20:00  closed phase

  Main Czech stock exchange index is PX50. It is composed of 50 companies with highest market capitalization. screenhunter_3.jpgCheck out the chart for the overall market trend.  
 Market structure and listed securities:
1. SPAD – trading with Blue chips, certificates and bonds. 

  • CEZ (28% weight at PX50) – Energy giant is by far the most growing company. 5 years ago market price was around 100CZK and nowadays it is more the 1000CZK. Main reasons for the growth are price for electricity and also acquisitions in Bulgaria, Romania and Poland.
  • ERSTE BANK (22%) – Used to be Ceska Sporitelna. After being acquired by Austrian Erste Bank. Now it is the biggest bank in Czech Republic. Stock price highly dependent on Erste shares on Austrian stock exchange.
  • TELEFONICA o2 (17%) – Telecommunication company Cesky Telecom was as target for acquisition one year ago by Spanish Telefonica. High dividend yield stock (9%)
  • CETV (6%) – Central European Media is listed also at NASDAQ. Sales are growing especially in Czech Republic and Slovakia. Owner of mainstream TV channels.
  • ZENTIVA (5%) – Czech pharmaceutical company, generic producer. Making acquisitions in Croatia, Turkey. Also possible target for acquisition.
  • UNIPETROL (4%) – Chemical Company focused on crude oil processing. Acquired by polish PKN Ordlen. Extremely low P/E ratio 6.
  • PHILIP MORRIS (2%) – High dividend yield stock (7%). Loosing market share which is also reflected in stock price.
  • ORCO (3%) – Developers group. IPO from the last year. Company is expanding all over the Europe, mainly eastern part. High growing stock.

2. Special market – trading with futures.

  • PX50 – two futures series (initial margin 12%)
  • CEZ – two futures series (initial margin 20%)
  • ERSTE BANK – two futures series (initial margin 10%)

Vladamir Kucera blogs on Stockweb where he extensive covers eastern european markets. His blog’s objective- Making money online with trading shares, ETF, futures in US, Czech Republic, Bulgaria, Romania, Slovenia, Poland. I’m blogging my analyses, trade recommendations and describing ways how to invest in eastern european countries at category “How to invest money in Europe”. Check out Stockweb.






2 responses to “Global Markets: Czech Stock Market”

  1. Team Avatar

    This blog is really nice and informative. We are pleased to know this blog is really helping people and it’s our pleasure to post informative content on this useful blog created by webmaster.

    Here’s our market view on American stock market for 10th October, 2008

    The stock market has collapsed – since Sept. 19 the DJIA is down 25% and the S&P 500 is down 28% and down 42% from a year ago.

    How can this happen so quickly and so dramatically when so many good things have occurred? Oil is down to $82 a barrel; interest rates are very low; the dollar is up; valuation levels are extremely attractive among many blue chip stocks.

    What’s the real problem? The problem that is killing the stock market is a lack of hope about the future.

    Hope springs from optimism that is based on facts and history. Look at the history of America and really all of mankind. Life is full of setbacks and problems – that’s just the deal. But this too shall pass, as all scary periods have.

    Doomsayers have been around forever and their batting average is zero. Buying stock is based on hope – hope for the future. If one doesn’t have hope, they shouldn’t be in this business.

    So what is the best service we, as professionals, can provide for our clients?

    First, discuss the fact that we are dealing with serious problems but it is not at all like 1929. The Federal Reserve and the Treasury Department are doing many things to restore confidence in the financial system. There is global coordination in attacking the problem, which is lack of confidence.

    Tell your clients to look at history of our great nation and what has happened since 1776 when we faced very serious problems. The stock market actually rose steadily about six months after Pearl Harbor and until the end of WWII even though the outcome was not at all clear for several years.

    No one knows when the stock market will bottom and a new bull will commence. We do know that stocks and mutual funds offer the best values we have seen since Black Monday, Oct. 19, 1987.

    Almost all Americans have hope about the future of our nation, but they need help to control their normal fears. Team
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  2. farouk Avatar

    i strongly believe that buffet knows what he is doing

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