Tera Investment’s Weekly Stock Rotation: Dividend Champions and Buyback Opportunities

Tera Investment highlighted the most active Borsa Istanbul stocks of the past week, flagging fresh opportunities for investors.

Dividend Leaders Steal the Spotlight

Companies delivering the highest dividend yields captured portfolio managers' attention, topping the preference list.

■ASELSAN (ASELS): 8.4% dividend yield, $2.1 Billion market cap, $170 Million dividend payout.

■Ereğli Demir ve Çelik (EREGL): 7.9% dividend yield, $3.4 Billion market cap, $270 Million dividend distribution.

■Şişecam (SISE): 7.2% dividend yield, $5.6 Billion market cap, $400 Million dividend payout.

Share‑Buyback Strategies and Liquidity Flow

Corporate buy‑back programmes accelerated, aiming to stabilize prices and add shareholder value.

■Turkish Airlines (THYAO): 15% buy‑back target, $1.2 Billion estimated spend.

■Ford Otosan (FROTO): 10% buy‑back plan, $800 Million directed from equity.

■BİM Birleşik Mağazalar (BIMAS): 8% buy‑back, backed by $500 Million cash reserves.

Portfolio Dynamics and Sectoral Trends

Tera Investment’s trade volume showed a shift toward traditional defense, steel and retail sectors, while also picking up technology and renewable energy stocks.

■Defense: 22% volume increase, led by ASELSAN and HAVELSAN.

■Energy: 14% rise, with Zorlu Energy and Enerjisa in focus.

■Technology: 9% uptick, spotlight on Netaş and Logo Software beyond ASELSAN.

Risk‑Reward Landscape

High dividend yields and aggressive buy‑backs appear attractive, yet currency volatility and rising global rates could compress profit margins.

■Currency Risk: 5% swing in USD/TRY directly impacts foreign‑currency‑denominated debt.

■Interest‑Rate Environment: Central bank policy rate holding at 8.5% lifts borrowing costs.

■Global Inflation: 6.2% YoY inflation pushes raw‑material expenses higher.

Aylin Güneş – Dividend champions and assertive buy‑back programs provide a compelling pull for long‑term value investors. However, managing FX and rate exposure will be pivotal to sustain these upside potentials. Raising the dividend‑weighted allocation while preserving liquidity and sector diversification will fine‑tune the risk‑adjusted return profile.