HTC Removed From FTSE TWSE Taiwan 50 Index
The Taiwan Stock Exchange (TWSE) will remove sreugling smartphone vendor HTC Corp. from the FTSE TWSE Taiwan 50 Index following a HTC's weak finalcial results.
The TWSE launched the Taiwan 50 Index in October 2002 alongside the FTSE,
a global index provider. FTSE TWSE Taiwan 50 Index includes 50 of the
most highly capitalised blue-chip stocks in Taiwan and and represents
nearly 70% of the Taiwanese market.
Following the quarterly review, the FTSE announced changes to the FTSE TWSE Taiwan 50 Index, which will come into effect on Sept. 21. As part of the index adjustments HTC will be removed from the list, in a decision that is reflecting the heavy losses the stock has suffered in recent sessions, amid lingering concerns over the smartphone maker's earnings outlook.
Although HTC has been removed from the Taiwan 50 Index, it remains part of the FTSE TWSE Taiwan Mid-Cap 100 Index, the TWSE said.
In the first half of this year, HTC incurred NT$9.70 (US$0.30) in losses per share and the company has forecast it will post an additional NT$5.51 to NT$5.85 in net loss per share in the third quarter, amid escalating competition from Samsung, Apple and Huawei.
Currently, contract chip maker Taiwan Semiconductor Manufacturing Co. (TSMC remains the most heavily weighted stock on the Taiwan 50 Index, making up 24.81 percent of the weighting, ahead of contract electronics supplier Hon Hai Precision Industry Co. (Foxconn) with 9.16 percent.
Following the quarterly review, the FTSE announced changes to the FTSE TWSE Taiwan 50 Index, which will come into effect on Sept. 21. As part of the index adjustments HTC will be removed from the list, in a decision that is reflecting the heavy losses the stock has suffered in recent sessions, amid lingering concerns over the smartphone maker's earnings outlook.
Although HTC has been removed from the Taiwan 50 Index, it remains part of the FTSE TWSE Taiwan Mid-Cap 100 Index, the TWSE said.
In the first half of this year, HTC incurred NT$9.70 (US$0.30) in losses per share and the company has forecast it will post an additional NT$5.51 to NT$5.85 in net loss per share in the third quarter, amid escalating competition from Samsung, Apple and Huawei.
Currently, contract chip maker Taiwan Semiconductor Manufacturing Co. (TSMC remains the most heavily weighted stock on the Taiwan 50 Index, making up 24.81 percent of the weighting, ahead of contract electronics supplier Hon Hai Precision Industry Co. (Foxconn) with 9.16 percent.
