Magnit Heads for 7-Month High on Index Rebalancing: Moscow Mover
The stock rose 1.8 percent today to 3,650.10 rubles as of 10:58 a.m. in Moscow, on course for its strongest level since Aug. 4. The stock added 1.1 percent to $29.40 per depositary receipt in London trading.
Magnit’s weight in the MSCI Russia gauge will probably be increased to 3 percent from 2.6 percent, effective March 1, which may lead to as much as $140 million in inflows into the stock, analysts at VTB Capital led by Alexey Zabotkin said in a note today. The rebalancing of Magnit, the only change in the MSCI Russia, is part of the index provider’s plan to implement changes announced in February, according to VTB.
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