Magyar Telekom Rises Most in 4 Months on Profit: Budapest Mover
Magyar Telekom Nyrt., the Hungarian unit of Deutsche Telekom AG (DTE), rose the most in more than four months after third-quarter profit exceeded analyst expectations.
The stock advanced 3.75 percent to 415 forint by the end of trade in Budapest, the biggest gain since June 29. Traders bought and sold 5.5 million shares, almost four times the daily average over the last three months, according to data compiled by Bloomberg. The benchmark BUX stock index, in which Magyar Telekom has a 11 percent weighting, gained 0.9 percent.
Net income climbed to 14.8 billion forint ($67 million) from 13.3 billion forint a year earlier, the company said in a statement to the Budapest bourse today. The mean estimate of eight analysts surveyed by Bloomberg was 11.9 billion forint.
“Magyar Telekom is surging after its earnings,” Zsolt Balasy, a Budapest-based equities analyst at Bayerische Landesbank’s MKB unit, wrote in a research report. “Profit beat estimates by a big margin.”
The company is in the “upper end” of its 2012 projection of sales being flat to falling as much as 2 percent, Chief Financial Officer Thilo Kusch told reporters.
“Results are above expectations,” Attila Gyurcsik, head of research at Concorde Ertekpapir Zrt., wrote in a research report today, adding that he kept his overweight recommendation for the stock.
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