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Hippo, mid-tier stocks drive ZSE to a marginal gain

The stock market gained on Monday as losses in select heavyweight counters were offset by gains in Hippo and mid-tier stocks, which were pushed by small trades. The session yielded 12 gainers and 16 fallers with Innscor dominating the subdued turnover.

Zimbabwe Stock Exchange (Picture by Bloomberg)
Zimbabwe Stock Exchange (Picture by Bloomberg)

There was more trading activity at 326 deals, but turnover was subdued at $34.06 million as local dollar liquidity remains restricted. Innscor led on turnover at $7.38 million while Medtech, which is undergoing a corporate restructuring had the highest volume at 2.09 million shares. Foreigners sold $3.56 million worth of shares and bought $3 million.

Market capitalisation increased to $243.88 billion with the Top 10 counters making up close to 73% of the value at $177.97 billion.

Heavyweights were mostly week with the Top Ten Index closing the session 0.84% lower to 1 298.09 weighed down by losses in OK Zimbabwe, Padenga and Econet. OK Zimbabwe was down 6.63% to 657.35c and Padenga shed 2.82% to 2117.64c. Econet was 1.42% lower to 703.56c.

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There were however gains in BAT and Hippo, which together with mid-tier performances, saw the All-Share Index add 0.31% to 2 016.77. Hippo put on 19.91% to 5 060c in a low volume trade of 600 shares and BAT Zimbabwe was 10.12% higher in another small trade of 200 shares.

The Medium Cap Index rose the most at 2.30% to 4 075.80 with TSL leading the risers after gaining 20% to 864c. The agro-focused company is now sitting on a market cap of $3.08 billion.

The Small Cap Index put on 1.55% buoyed by gains in Willdale and Star Africa. Willdale was 13.98% higher to 28.86c taking its year-to-date gain to 724.57% and Star Africa, which will soon get a new majority shareholder following close of tender for the stake held by Zamco, was 7.91% up to 27%.

Powerspeed put on 2.63% to 195c in the wake of its EGM to approve its delisting from the ZSE.

Elsewhere, African Sun led the fallers after losing 12.74% to 163.38c and Dairibord, which is currently trading under caution pending a merger and acquisition transaction with Dendairy, shed 8.78% to 806c. – Financial Express