Market’s heavies succumb to pressure

The Zimbabwe Stock Exchange (ZSE) weakened in the past week with four of the benchmarks closing pointing southwards. During the week to Wednesday, the primary indicator, the ZSE All Share Index gave up 3,5 percent to 1 574 points reflective of the losses recorded across board.

The ZSE Top 10 Index fell the hardest with a 5,2 percent decline to 1 015 points as the market’s heavies succumbed to selling pressure.

At 1 194 points, the ZSE Top 15 Index was 4,7 percent below prior week level while the Medium Cap eased 1 percent to close pegged at 3 191 points.

The Small Cap was the only index to close in the positive with a 6 percent jump to 6 806 points from 6 417 points recorded in the previous week.

Total market value was reduced by $7 billion or 3,3 percent reflective of the losses recorded across the market.

Weighing down the market were clothing retailer Truworths and Delta which went down by 23 percent to 16,03 cents and 19 percent to $18,23.

Financial services group, ZBFH retreated 14 percent to $15 while resources group Bindura lost 13 percent of value to $3.

At $1,62, African Sun was 11 percent below comparable as the hospitality group expressed optimism of recovery in the tourism following relaxation of COVID 19 travel restrictions both at domestic and international level.

The group has seen encouraging performance for the third quarter as the number of room nights sold more than doubled to 20 329 from 8 144 in the previous quarter, with domestic demand being driven by Government and non-governmental organisations (NGOs).

Other losses were recorded in RioZim and starafrica which eased by 9 percent each to close pegged at $7,72 and 27,22 cents respectively.

The duo of NMB and Innscor went down by 8 percent each to settle at $2,40 and $$23 in that order.

Dairibord, FMP and Mashonaland Holdings lost 4 percent each to $8,50, $2,10 and 55 cents respectively.

Further losses were offset by gains recorded in Masimba which put on 26 percent of value to $3,59 followed by Nampak which put on 23 percent to $1,05  compared to 85 cents recorded in the previous week.

At 59 cents, banking firm, FCB was 13,5 percent while Turnall rose by 13,3 percent to 68 cents.

Insurance group, FML wrapped up the week’s top five risers with a 11 percent increase to $4,74 from $420.

Other gains were recorded in spirits and wines maker, Afdis which rose by 10 percent to $22,09 from $20 in the comparable week.

TSL rose by 9 percent to $6. Seed Co and Powerspeed each rose by 8 percent to $17,99 and $2,06. Powerspeed has indicated intentions to delist from the local bourse.

Willdale remained flat at 25 cents. The brick making firm reported revenue for the third quarter grew 24 percent compared to same period in the prior year driven by volume growth and price adjustments. On a year-to-date basis, revenue was 22 percent above same period in the prior year.

Maintaining prior week levels were Lafarge, Unifreight and Zimpapers which closed at $6,10, 12,95 cents and 68 cents respectively. – Business Weekkly