Mexico Stocks: Axtel, Maxcom, Ica, Ara, Urbi, TV Azteca
The following companies had unusual price changes in Mexico trading. Stock symbols are in parentheses and prices are as of the close of trading.
The IPC index rose 0.1 percent to 38,204.33.
Homebuilders and construction companies advanced after a government report showed construction activity grew at an annual rate of 3.6 percent in December, leading gains along with manufacturing in Mexico’s gauge of industrial production.
Empresas Ica SAB (ICA*) , the country’s biggest construction company, jumped 7 percent to 23.97 pesos. Consorcio Ara SAB (ARA*) , a Mexican homebuilder, gained 6.9 percent to 4.64 pesos. Homebuilder Urbi Desarrollos Urbanos SAB (URBI*) rose 2.9 percent to 20.89 pesos.
Axtel and Maxcom gained on speculation that the government may increase the limit on foreign investment of fixed-line networks, said Juan Jose Resendiz, an analyst with Casa de Bolsa Arka in Mexico City, in a telephone interview.
Axtel SAB (AXTELCPO)(AXTELCPO MM), Mexico’s second-largest land-line phone company, climbed 7.5 percent to 5.45 pesos, the largest gain on a closing basis since Nov. 14. Maxcom Telecomunicaciones SAB (MAXCOMCP) , the fifth-largest land-line phone carrier in Mexico, rose 8 percent to 3.76 pesos, the highest gain on a closing basis since Dec. 29.
Grupo Herdez SAB de CV (HERDEZ* MM), a Mexican packaged- food producer, gained 1.3 percent to 26.23 pesos. The company was rated “overweight” at HSBC by analyst Enrique Gomez-Tagle.
TV Azteca SAB (AZTECACP) (AZTECACP MM), Mexico’s second-largest broadcast television network, fell 1.4 percent to 8.85 pesos. TV Azteca’s networks are being dropped today by Telecable, a Mexican cable carrier controlled by closely held Grupo Hevi, in a dispute over price. Azteca has raised its prices too much and is asking the cable network to buy additional cable channels, Telecable said on its website.
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