Italian Stocks: Fiat, Intesa, Prelios, Telecom Italia, UniCredit

Italy’s benchmark FTSE MIB Index (FTSEMIB) fell for a third day this week, losing 297.72, or 1.5 percent, to 20,173.29 at the 5:30 p.m. close in Milan. The gauge lost 2.9 percent this week and 13 percent this year. The Italian equity market will be closed tomorrow.

The following stocks were among the most active in the Italian market today.

Assicurazioni Generali SpA (G) retreated 2.1 percent to 14.21 euros, the lowest in more than three weeks. Italy’s biggest insurer had its price estimate cut to 14 euros from 15 euros at DZ Bank, which kept a “sell” rating.

Banco Popolare SC (BP) fell 2 percent to 3.39 euros, a sixth day of losses. Intermonte Sim SpA trimmed its price estimate on Italy’s fourth-largest lender by assets to 4.85 euros from 5.2 euros, while keeping an “outperform” rating.

CAD IT SpA (CAD) gained 3.5 percent to 4.15 euros, rising for a third day, after the financial software company got a 13.3 million-euro contract with Equitalia.

Fiat SpA (F) rose 2.9 percent to 15.43 euros, after losing as much as 2.4 percent. The demerger of Fiat Industrial will be effective as of Jan. 3, with every Fiat shareholder owning one Fiat share and one Fiat Industrial share. “We value Fiat SpA at 9.2 euros per share and Fiat Industrial at 8.1 euros per shares,” Gruppo Banca Leonardo said in a note today. “We reiterate our positive view as the demerger should allow the two companies to follow different paths with a greater freedom in making alliances to increase scale.”

Intesa Sanpaolo SpA (ISP) and UniCredit SpA (UCG) , Italy’s biggest banks, slid 2.3 percent to 2.03 euros and 3.1 percent to 1.55 euros, respectively. Yields on Italian government bonds and notes auctioned today rose compared with previous sales as concern about levels of sovereign debt in Europe continued to weigh on sentiment.

Prelios SpA (PRS) , formerly known as Pirelli Real Estate, gained for the first time this week, adding 4.3 percent to 44.6 euro cents. The company said in a statement that it closed two transactions with a positive impact on Prelios’ net financial position of approximately 47 million euros.

Telecom Italia SpA (TIT) , Italy’s biggest phone company, dropped 2.3 percent to 96.7 euro cents. Banca Akros cited Telecom Italia among “unattractive names” in the telecommunication industry. The brokerage said that “Telecom Italia will struggle in our view to implement its promised progressive dividend policy.”

To contact the reporter on this story: Francesca Cinelli in Milan at fcinelli@bloomberg.net.

To contact the editor responsible for this story: David Merritt at dmerritt1@bloomberg.net.

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