eBusiness Weekly
Enacy Mapakame
The Zimbabwe Stock Exchange (ZSE) indices rebounded week on week as demand seemingly returned to the market.
In the week to Wednesday, the primary ZSE All Share Index gained 0,96 points or 0,86 percent to close the week at 112.84 level.
The ZSE Top 10 Index added 0,61 percent to 115.83 level and has paced faster than all the indices with a 15,83 percent year to date performance.
At 379.49 level, the Industrials Index was 0,87 percent above previous week’s 376.22. The Minings Index of four counters put on a marginal 0,06 percent to 158.9 level from 158.8 in the previous week.
Total market capitalisation increased 0,75 percent to $12 billion from $11,9 billion recorded last week. Weekly turnover rose 2,43 percent to close pegged at $5,995 million. Number of trades rose 77 percent to 480 compared to the 270 recorded in the prior week.
Weekly volumes however plunged 79,99 percent after 17,327 million shares exchanged compared to previous week’s 86,579 million shares.
Market watchers contend that the political impasse which is set to be resolved by the courts today (Friday) following a contestation of the results of the recently held presidential election by the main opposition party has seen investors shy away from cash and near cash assets into equities as uncertainty continues to do the markets.
Demand has also been pushed by the reporting season that came with some positive performances compared to prior year comparable period.
Masimba Holdings headlined risers for the week after adding 38 percent of value to close pegged at 5,5 cents compared to 3,98 cents in the previous week.
Mining and agriculture implements manufacturer, Zimplow rose 31,94 percent to 19 cents from previous week’s 14,4 cents. Zimplow has been on a growth trajectory spurred by Government’s Command Agriculture programme. The group anticipates to further growth on the back of increased activity in the primary sectors of the economy, agriculture and mining.
Powerspeed put on 20 percent to 9,6 cents while largest banking group by deposits, CBZH added 11,36 percent of value to 12,25 cents.
Another bank, Barclays rose 9,37 percent to close the week pegged at 6,4 cents. The bank reported profit for the half year to June 30, 2018, jumped 43 percent to $13,6 million from $9,5 million as interest income improved during the period.
Net interest income grew by 88 percent from the same period in the prior year driven by growth in interest earning assets.
Other gains were recorded in crocodile breeder, Padenga Holdings that gained 6,64 percent to 65 cents while Proplastics increased by 5,1 percent to 10,3 cents. Dairy and food processing firm, Dairibord was 3,85 percent up to close pegged at 13,5 cents.
Dairibord reported it overturned a loss position with 131 percent increase in net profit to $269 844 during the half year to June 30, 2018 from a loss of $846 588 in the same period last year on volumes growth and restructuring
Also on the upside was Old Mutual that added 2,01 percent to $5,20. The insurance giant reported an operating profit of $34,3 million for the six months to June 30, 2018, representing a 27 percent jump from same period last year.
The market was however not short of fallers. Further gains were offset by losses in Art which retreated 8 percent to 5,52 cents while Star Africa let go of 6,25 percent to 1,2 cents.
Resources group, RioZim eased 6,25 cents to settle at $1,40 cents while retail group OK Zimbabwe declined by 1,96 percent to 23,04 cents.
Diversified industrial conglomerate- Innscor weakened by 1,5 percent to close at $1,38. Other losses were recorded in Cafca that slipped 1,32 percent to 74,01 cents. Econet and National Foods declined by 0,19 percent to $1,20 and 0,17 percent to $5,60.
Bindura, Lafarge, First Mutual Holdings Limited, and FBCH remained flat at 5,6 cents, $1,30, 17 cents, 22 cents respectively.
