CFC Stanbic Emerges Top loser of the Day

Equity Market Highlights

Safaricom Ltd (NSE: SCOM) was the most actively traded stock today accounting for 32.53% of the total market value traded activity. Kenya Commercial Bank Ltd (NSE: KCB) also registered robust levels of activity, accounting for 25.20% of the total market turnover.

Kapchorua Tea Co. Ltd (NSE: KAPC) capped the gainers list, advancing by 4.38% to close the day at KES 83.50. Mumias Sugar Company Ltd (NSE: MS) surged by 3.85% to close the day as the second best performer at KES 1.35.

CFC Stanbic Holdings Limited (NSE: CFC) emerged as the top loser of the day, slumping by 7.03% to close at KES 86.00. Britam Investments Ltd similarly lost 6.10% to close at KES 86.00.

Equities

Mellow performance was observed at the NSE as market indices turned red illustrated by lower trading levels and value of transactions. The NSE-20 Share Index contracted by 1.04% to close at 3871.74 points whilst the NSE-25 Share Index dropped down by 0.687% to perch at 4183.88 points. The Nairobi All Share Index (NASI) and market capitalization also closed in the red, at 145.78 points and KES 2,054.84 billion, respectively. Equity turnover also diminished, contracting by 66.26% by 55.07% to close at KES 184.41 million.

National Bank of Kenya declared a 33% profit loss to KES 334.6 million in the first three months of 2016 compared to KES 495 million recorded in the same period last year. Nonetheless, the Lender – which has received a lot of negative publicity after six top managers were dismissed in light of alleged mismanagement – reported a marginal extension in its customers deposits to KES 99.4 billion in 1Q16 from KES 85.3 billion in 1Q15. Meanwhile, total loans and advances contracted by 5.3% to KES 66.3 billion, whilst non-performing loans and advances stood at KES 15.1 billion. Furthermore, loan loss provisions increased significantly, further dampening prospects for the lender.

Article by Genghis Research.