Investors are eagerly awaiting the unboxing of dropouts and their replacements in the Philippine Stock Exchange (PSE) Index on February 2022.
Two brokerage firms – Abacus Securities and CLSA – both predicted that there could be up to three changes in the annual recomposition of the 30-stock main market barometer this year.
Abacus and Securities are projecting that Monde Nissin led by bilyonaryo Betty Ang has earned a spot on PSEI due to its humongous market capitalization (P282 billion) despite having made its initial public offering just seven months ago.
The noodle and biscuit maker is expected to replace tycoon Rick Razon’s Bloomberry Resorts whose capital has shrunk to P70 billion.
Abacus and CLSA also picked Dito Telecommunity of Duterte crony Dennis Uy and Emperador of bilyonaryo Andrew Tan as having a strong chance of getting inserted in the market barometer.
This could be the first time Uy would join the PSEI and mark the return of Emperador which got the boot in August 2021 for falling below the minimum public float requirement.
Abacus and CLSA are expecting to have up to two open slots in the PSEI rebalancing with the possible exit of Robinsons Retail Holdings Inc. led by bilyonaryo Robina Gokongwei and Security Bank led by Frederick Dy.
Aside from the free float threshold of at least 15 percent, PSEI stocks should be ranked among the top 25 percent by median daily value per month for at least nine out of 12 months and among the highest in market capitalization.