Losses in five of the top 10 stocks dragged total value of the Zimbabwe Stock Exchange (ZSE) in the week to Wednesday, shrinking the market value by 0,99 percent.
Market capitalisation fell to $25,1 billion in three day to Wednesday from $25,4 billion, as the market’s top cap stock succumbed to selling pressure. The primary indicator, the ZSE All Share Index lost 0,66 percent to 190,21 while the Top 10 Index eased 3,38 percent to 183,43 on losses in the market’s heavies.
The Industrials Index was flat at 640,29 points while the Minings Index of only two active stocks gained 5,87 percent to 229. Second biggest stock by market capitalisation, Cassava was the biggest looser of the week, easing 12,25 percent to $1,74 followed by its parent company Econet that closed the week 7,36 percent weaker at $1,74.
Delta lost 2,49 percent to $3,64. In the week under review, the beverages maker acknowledged improvements in the availability of foreign currency on interbank market.
The country is experiencing crippling foreign currency challenges which is posing a threat to survival of the firms. Delta itself is struggling to secure some of its raw materials resulting in supply gaps and limited production. Earlier, the Delta indicated it had temporarily closed its sparkling beverages in the previous financial year.
Regional seed maker, Seed Co International fell 2,47 percent to close the week pegged at $1,61 while sugar producer- Hippo – was 1,48 percent lower to close at $2,01. The market has been experiencing shortages of sugar amid panic buying as consumers price hedge in the face of inflationary pressures.
Other losses were recorded in Turnall which retreated 0,77 percent 10,3 cents while hospitality group RTG also lost a marginal 0,24 percent to 8,48 cents compare to last week’s 4,5 cents.
At 40 cents, African Sun wrapped the week’s fallers with a marginal 0,1 percent decline.
Further losses were mitigated by gains in Zimre Holdings Limited that jumped 55 percent to 5,04 cents followed by brick making firm — Willdale that rose 50 percent to 4,2 cents. Cement maker, PPC advanced 26 percent to close pegged at $2,27. At $1,76, Padenga was 24 percent above prior week’s $1,42.
In a trading update to shareholders at its AGM this week, Padenga indicated harvest in Zimbabwe operation which commenced in March has amounted to 4 299 skins.
The crocodile breeder is upbeat of meeting its targets in the second half of the year as demand for quality skins remains steady and 13 922 skins were harvested in the United States following the commencement of harvesting in January for the carryover crop from prior year.
Dawn Properties ticked 20 percent to 3,6 percent wrapping up the week’s top five gainers.
Other gains were recorded banking group, FBC that put on 19,29 percent to 50 cents. OK Zimbabwe advanced 18,17 percent to 49,82 cents.
The retail giant reported revenue for the year to March 31, 2019 37 percent to $801 million from $582 in the prior year while profit after tax jumped 156 percent to $49,2 million.