General Beltings leads ZSE top risers

A low tier counter led the risers as the Zimbabwe Stock Exchange closed a mixed 2016, which saw a strong resurgence only in the fourth quarter. At the last trading session of the year, General Beltings led the risers, gaining 700 percent to 0,8c.

The mainstream Industrials Index gained a strong 25,84 percent to 144,53 spurred by fourth quarter gains. At the end of the third quarter, the Industrials had lost 13,83 percent to 98,96c largely driven by a foreign investor sell off coupled with weak economic fundamentals.

The Minings Index was up 146,67 percent to 58,51 driven mainly by gains in Bindura and RioZim. The two counters closed the year with gains of 161,4 percent and 188,5 percent respectively.

Statistics from the ZSE are expected to show an increased foreign outflow position compared to 2015. While economic and subsequently company performance was weak, the negative sentiment up to Q3 was mainly driven by the delays in settling foreign obligations transacted on the ZSE which made a mockery of the T+5 settlement system at a time the industry was moving towards a shorter settlement cycle.

Most investors experienced delays of up to three or four weeks in the remittance of proceeds by banks despite the fact that the settlement of dividends and investment proceeds is on Priority List 1 of the Reserve Bank of Zimbabwe’s foreign payments plan.

However in the fourth quarter, scepticism over the bond notes – subsequently introduced at the end of November – and generally tight liquidity conditions which saw RBZ restrict withdrawals and foreign transfers saw the local investors looking to the stock market as a store of value.

The Industrials Index gained 46 percent in the three months and stats are expected to show an improvement in most fund portfolios which showed a negative return up until the third quarter.On the price sheet, PPC led the gains on Friday, putting on 10 percent to 55c but closed the year with a 45 percent loss in the year to date. The cement manufacturer recently commissioned its Harare plant which will see the group double its annual productions.

Seed Co also put on 6,32 percent to close above the key 100c level at 101c while Pearl Properties closed the risers table with a 2,94 percent gain to 3,5c.

Among the heavyweights, Delta gained 25,53 percent in 2016 to 88,5c with a year high price of 94c achieved in the third quarter and a year low price of 50,5c.

Delta is currently trading under caution following the announcement by the Coca Cola Company to terminate its Bottlers Agreement with AB Inbev after its takeover of SABMiller. TCCC announced it will buy AB InBev’s interest in bottling operations in Zambia, Zimbabwe, Botswana, Swaziland, Lesotho, El Salvador, and Honduras.

The deals are expected to close by end of next year while Coca-Cola also plans to re-franchise these operations. Delta has said there are no immediate changes to operations as discussions have just started but analysts expect the company to announce a dive-in-specie as a way of handling the transaction.

Innscor with a market cap of $259 million closed 2016 with a 60,2 percent gain at 48c. In the year, the group parted ways with expat Toni Fourie. Performance in the year was boosted by a strong maize division at National Foods. Econet gained 42,5 percent in the year and BAT Zimbabwe on market cap of $312 million put on 25 percent at 1 525c.

Art and Padenga were the other counters besides General Beltings, RioZim and Bindura, making up the year risers after gaining 510 percent and 119,35 percent respectively.

A total of 15 counters closed the year in negative territory with the worst being Medtech which lost 50 percent to 0,02c.

African Sun and Dawn Properties were down 29,4 percent and 20 percent respectively while Barclays whose parent company Barclays Plc announced that it was putting it up for sale lost 24,7 percent to 3,2c. – Wires.

Related Posts
ZSE index rebounds
HARARE - The Zimbabwe Stock Exchange’s (ZSE) benchmark index rebounded 0.08 points to halt a five day downward spiral. The industrial index rebounded by 0.08 points to close at 162.70 points. ZIMPLOW ...
READ MORE
China lets yuan fall faster, share trading suspended as prices tumble
SHANGHAI (Reuters) - China accelerated the depreciation of the yuan on Thursday, sending regional currencies and stock markets tumbling as investors feared the Asian giant could trigger competitive currency devaluations ...
READ MORE
Dollar gains, U.S. yields rise as investors await Fed
The dollar strengthened and U.S. Treasury yields hit a two-week high on Monday on expectations the Federal Reserve will give a signal this week that it is gearing up to ...
READ MORE
U.S. President Barack Obama shakes hands with Chinese President Xi Jinping during their meeting at the start of the climate summit in Paris November 30, 2015.  REUTERS/Kevin Lamarque
WASHINGTON Confronted with a plunge in its stock markets last year, China's central bank swiftly reached out to the U.S. Federal Reserve, asking it to share its play book for ...
READ MORE
ZSE slides to lowest levels since April 2009
HARARE,– The Zimbabwe Stock Exchange (ZSE) fell to its lowest level in seven years on Tuesday, in a further show of weakening investor sentiment. The main industrial index lost 0.12 percent ...
READ MORE
Yuan adoption to ease liquidity crisis says Oxford research firm
HARARE,– The Reserve Bank of Zimbabwe’s decision to officially include the Chinese yuan as a reserve currency could improve liquidity in the country, a South African based research firm has ...
READ MORE
Emerging market currencies lifted
Hopes that China will implement fresh economic reforms lifted emerging-market currencies on Tuesday and oil and metals prices saw a rare uptick, while most Asian stock markets extended the previous ...
READ MORE
ZSE weighed down by mining index
HARARE - Consecutive losses by BINDURA continues to weigh down the Zimbabwe Stock Exchange (ZSE)’s mining index. The benchmark index is however on an upward trend. The mining index, which has been ...
READ MORE
(131009) -- WASHINGTON D.C., Oct. 9, 2013 (Xinhua) -- U.S. President Barack Obama listen as Janet Yellen (R), the current Federal Reserve Vice Chairwoman, speaks in the State Dining Room of the White House in Washington D.C., Oct. 9, 2013. Obama on Wednesday formally nominated current Federal Reserve Vice Chairwoman Janet Yellen to be the next Fed chief.  (Xinhua/Zhang Jun)
Central bank watchers believe the Federal Reserve is finally ready to pull the trigger on an interest rate hike It is hard to overstate the significance of the decision that Janet ...
READ MORE
Fears for global markets as China’s growth hits new low
BEIJING — China’s economy logged its worst performance since the global financial crisis, official figures show, with analysts warning it is likely to weaken further and the government must do ...
READ MORE
ZSE index rebounds
China lets yuan fall faster, share trading suspended
Dollar gains, U.S. yields rise as investors await
China central bank to US Fed: A little
ZSE slides to lowest levels since April 2009
Yuan adoption to ease liquidity crisis says Oxford
Emerging market currencies lifted
ZSE weighed down by mining index
Why the coming US interest rate hike is
Fears for global markets as China’s growth hits

Arts & Entertainment

Arts & Entertainment

Rapper Soulja Boy charged with possessing assault rifle, stolen property

23rd January 2017 Staff Reporter 0

Rapper Soulja Boy was charged on Monday with possessing an assault weapon and receiving stolen property following a December raid at his Hollywood home by police, Los Angeles prosecutors said. The rapper, whose real name […]

Arts & Entertainment

Bruce Springsteen says the “new resistance” against Trump has begun

23rd January 2017 Staff Reporter 0

American rock star Bruce Springsteen, who supported Hillary Clinton during the recent presidential election campaign, said on Sunday his band joins a global “new resistance” against U.S. President Donald Trump. “It feels a long ways […]

Arts & Entertainment

Madonna defends ‘blowing up the White House’ remark

23rd January 2017 Staff Reporter 0

Pop singer Madonna, who said in a profanity-laced speech at Saturday’s Women’s March in Washington, D.C., that she had thought about “blowing up the White House,” said on Sunday that she was speaking metaphorically. Madonna’s […]