Tel Aviv stocks closed with mild losses on Wednesday after a dull session of hovering around the flatline. Blue chips opened with 0.3% losses, reversed to mild gains of 0.3%, but then eroded to spend the rest of the session with a negative bias. The drops were attributed to a slew of poor Q3 reports from Israeli companies. Mixed trade in European bourses did not help either.
The Maof-25 index of blue chips closed off 0.4% to 405.4 points, and the TA-100 index closed off 0.4% to 385.6 points. Technology shares closed up 0.2%. Total turnover was moderate at NIS 224 million.
Elbit Systems (Nasdaq:ESLT) gained 0.8% after announcing that its division El-Op Electro-Optics Industries will provide Lockheed Martin (NYSE:LMT) display systems for the Israeli air force's F-16 fleet. The deal is worth over $7 million.
First International Bank of Israel dropped 1.2% after opening with gains of 0.6%. The bank published disappointing a Q3 report yesterday. FIBI had to make a special provision of NIS 28 million due to its investment in securities, chiefly in bonds of Gilat Satellite Networks (Nasdaq:GILTF).
Poalim Electronic Communication closed off 3.7%. The company reported NIS 14.2 million losses for the third quarter, largely due to writing down its investment in Arel Net by NIS 7.2 million. Arel Net lost NIS 1.8 million for the first nine months of this year.
Lipman Electronic Engineering gained 4% after announcing it has signed a memorandum of understanding with a European company to establish a joint company for marketing Lipman¿s product in Europe.
Engineering group Baran closed off 2.5% after lowering revenue and earnings forecasts for the coming year. The company expects that next year revenue will be in the range of NIS 920 million to NIS 1 billion, and that profit will be between NIS 95 million and NIS 105 million.
Vehicle-locating firm Ituran Location and Control gained 8.3% after reporting NIS 50.9 million revenue for Q3, 25% more than in the parallel, and compared with NIS 48 million revenue for Q2. Sales and installations came to NIS 29 million, but the revenue growth was largely generated by increase in subscriber fees, which in Q3 came to NIS 21 million. Ituran was up a mild 4% in the last half hour of trade, after spending earlier hours with a gain of 10.9% earlier.
Real estate company Azorim dropped 6.3% on NIS 7.8 million volume of trade. Today was the x-dividend day of the firm's NIS 220 million dividend.
Teva Pharmaceuticals (Nasdaq:TEVA) dropped 0.8% on the session's biggest turnover, NIS 25 million. Tower Semiconductor (Nasdaq:TSEM) closed down 0.6% after opening with a negative arbitrage gap of NIS 3%. Partner Communications (Nasdaq, TASE:PTNR, LSE:PCCD) closed down 0.1%. Nice Systems (Nasdaq:NICE) gained 1.7%.
Bank Hapoalim slipped 0.7%, Bank Leumi closed down 1.2%, while Bank Discount rose by 0.8%.