eBusiness Weekly
Enacy Mapakame
Weakness dominated the Zimbabwe Stock Exchange (ZSE) as it continued on a downward trend, registering declines for the sixth consecutive week slipping into year to date losses.
The primary indicator – the ZSE All Share Index lost 2,89 percent to settle at 145,01 points on losses across the bourse.
The ZSE Top 10 Index was 2,98 percent on losses suffered in the market’s top capitalized counters while the Industrials Index also lost 2,98 percent of value to close the week pegged at 483,59 points.
The resources indicator – Minings Index – was the only index to close the week in the positive after it rose 3,04 percent to close at 213,2 points on gains in Bindura.
Total market capitalisation slipped 2,69 percent to $19,33 billion from prior week’s $19,86 billion dragged by losses in the market’s heavy cap counters.
The week’s biggest casualty was Hippo which slipped 26,9 percent to $1,25 followed by hospitality group African Sun that lost 12,72 percent to close pegged at 14 cents.
Industrial conglomerate Innscor fell 10,97 percent to $1,60 from prior week’s $1,79.
Retail giant, OK Zimbabwe backtracked 9,09 percent to 25,38 cents while FCB wrapped up the top five fallers with a 9,09 percent to 6 cents.
At 14,6 cents, Dairibord was 6,89 percent lower than prior week’s levels of 15,68 cents.
Telecoms giant, Econet retreated 4,34 percent to $1,38 cents in a week mobile subscribers battled poor network for voice calls while its mobile money platform EcoCash also experienced challenges in processing transactions.
Beverages maker, Delta lost 3,99 percent of value to $2,68 while crocodile breeder Padenga was 2 percent weaker to 98 percent.
Fintech group, Cassava retreated 1,24 percent to close pegged at $1,43 with a total capitalisation of $3,7 billion, the biggest on the bourse ahead of parent company Econet and Delta that are valued at $3,5 billion and $3,4 billion respectively.
The three giants account for 19,26 percent, 18,55 percent, 17,68 percent respectively of the total ZSE market value.
Other losses were recorded in CBZ, Zimpapers and Nampak that eased 0,31 percent to 15,95 cents, 0,23 percent to 8,58 cents and 0,17 percent to 30 cents respectively.
Further losses were offset by gains in MedTech that doubled to 0,06 cents followed by brick making firm, Willdale which rose 20 percent to 1,73 cents ahead of its annual general meeting yesterday.
Unifreight put on 20,05 percent to 9,94 cents from prior week’s 8,28 cents while Bindura rose 10,96 percent to 8 cents.
Insurance group, Fidelity rose 10 percent to 11 cents, capping the week’s top five risers. O
ther gains were recorded in General Beltings that rose 5,88 percent to 1,8 cents while Axia rose 4,98 percent to 41,99 cents.
The specialty retail and distribution group reported revenue for the half year to December 31, 2018 rose 74 percent to $234,098 million driven by a mixed volume performance across operations.
Despite the inflationary pressures on costs, Axia sustained growth in profitability by recording an operating profit of $22,368 million, representing a 68 percent growth on the comparative period.
Also on the upside, ZHL gained 4,27 percent to close pegged at 2,2 cents while Masimba put on 1,86 percent to 8,76 cents.
Ariston and Art rose 104 percent to 2,91 and 1,19 percent to 11,95 cents respectively.
Of the two active resource counters, Bindura recorded movement with a 10,96 percent jump to 8 cents as prices of nickel firmed in the week to $13 173 a tonne with year to date gains of 18 percent.
Peers, RioZim remained flat at $1,85 as gold retreated 2,5 percent week on week to $1 299 per ounce, extending its losses to three consecutive weeks.
Also remaining flat in the week was Powerspeed which closed at 17,5 cents after reporting a 10 percent volumes growth year on year for the first five months of its financial year.
National Foods also remained flat at $7,16 while GetBucks also maintained prior week level at 8 cents.
GetBucks recorded a 16 percent growth in net profit for its half year, driven by a surge in interest income.
Afdis, FBC and Lafarge also remained flat at $1,70, 35 cents and $1,33 respectively.
