Bamburi Expected to Rally Ahead of Books Closure

On Tuesday’s trading session, the bourse was characterized by mixed trends on the indices and improved trading levels as depicted by the value of transactions. The NSE-20 share index lost ground by 0.71% to close at 4212.11 points while the NSE All Share Index advanced marginally by 0.01% to perch at 147.29 points.

Equity turnover and market capitalization remained on the green, as the former increased significantly by 128.25% to close at KES 0.501 billion and the latter garnered 0.01% to close at KES 2,065.70 billion. Market breadth, showed a slight decline as the number of stocks that advanced -10 were outweighed by the number of stocks that declined -17.

Following the Monetary Policy Committee (MPC) meeting held today, the committee resolved to maintain the Central Bank Rate at 11.50% in order to anchor inflation rates. We expect this to bolster banks performance as lending rates will still remain attractive if the CBR is held steady in the next meetings.

In the coming week, Bamburi Cement Ltd (NSE: BAMB) is set to be closing their books for their interim dividend payment of KES 6.00 on 25th September 2015. Following heightened accumulation activities from investors, the stock closed as the most traded stock for the day.

Equity Market Highlights

Bamburi Cement Ltd (NSE: BAMB) was the most traded stock accounting for 50.50% of the total value traded. Safaricom Ltd (NSE: SCOM) was second accounting for 27.23% of the days traded value.

Crown Paints Kenya Ltd (NSE: BERG) climbed to dominate the top gainers list, scaling 5.22% to close the day at KES 60.50. Uchumi Supermarket Ltd (NSE: UCHM) garnered 2.97 % to close the day as the second best gainer at KES 10.40.

Nation Media Group Ltd (NSE: NMG) dropped to claim the day’s top loser, shedding 5.84% to close at KES 145.00. WPP Scangroup Ltd (NSE: SCAN) followed a close second as it retreated by 4.58% to KES 31.25 to close as the second biggest loser for the day.