Bearish trends stalk ZSE stocks
BEARISH trends continued to haunt the Zimbabwe Stock Exchange after all benchmark indicators closed the week to Wednesday in the negative.
The primary indicator – the ZSE All Share Index retreated 7 percent to 10 143 points from 10 917 points as weakness persisted over the last trading days to Wednesday.
The sell off has stalked the ZSE following the cocktail of fiscal and monetary policy interventions by the Government to deal with speculation and arbitrage, which until recently had driven inflation resurgence and Zimbabwe dollar depreciation.
ZSE’s big cap counters, the ZSE Top 10 Index went down 6 percent to 5 615 points while the ZSE Top 15 Index lost 7,6 percent to settle at 6 360 points.
At 25 017 points, the Medium Cap was 7,5 percent below prior week while the Small Cap was also in the negative after an 8 percent decline to 448 267 points.
Total market value retreated 6 percent to $1,2 trillion from $1,3 trillion in the comparable week.
Simbisa fell the heaviest with a 30 percent decline to $96,62 compared to $138,77 recorded in the previous week.
Turnall went down 27 percent to close at $3,31 while hospitality group – African Sun eased 24 percent to $11,40.
At $80, tea producer – Tanganda was 23 percent below the prior week price of $104,50.
Conveyor belts manufacturer – GB Holdings completed the week’s top five fallers with a 22 percent decline to $1,70.
Other losses were seen in Axia which fell 15 percent to $28,65 while the trio of Dairibord, FBC and FCB fell by 7 percent each to $16,60, $40 and $7,50, in that order.
Masimba holdings retreated by a marginal 0,96 percent to $49,50 as the group remains upbeat of its prospects with a solid order book valued at US$145 million as of end of the half year to June 30, 2022, representing a 74 percent increase from the US$83 million recorded during the same period in 2021.
Further losses were mitigated by gains in clothing retailer – Truworths which put on 15 percent to $1,95 followed by Mashonaland Holdings, which rose by 8 percent to $5,50.
EcoCash Holdings added 7 percent to $30 from $27 recorded the previous week. At $139,21, beverages giant – Delta was 3,6 percent above the comparable week. BFCA wrapped the week’s top five risers with a 3,4 percent increase to $9.
Other gains were seen in property firm – FMP which rose 2 percent to $5,10 after reporting net property income after administration expenses for the half year to June 30, 2022 decreased by 46 percent to $67,4 million despite a 25 percent growth in revenue. Revenue closed the period at $746,3 million from $595,5 million recorded during the same period last year.
Spirits and wines maker – Afdis remained flat at $300 while Art also remained the same at $16,60.
Also maintaining prior week level was insurance firm Fidelity which closed at $21. The insurance firm recorded net premium written of $1,242 billion, for the half year to June 30, 2022, a decrease of 3 percent from $1,285 billion. Total income grew by 379 percent to $13,029 million from $2,722 billion recorded in prior year period underpinned by positive investment returns driven by fair value gains on investment properties and exchange gains on foreign currency denominated assets