Equities Market Closes on a Bleak State; as 19 Stocks Decline

The bourse was characterized by varied trends on the indices and improved trading levels as illustrated by the value of transactions during Thursday’s trading session. The NSE-20 Share index depreciated by 0.28% to close at 3923.42 points whilst the NSE-25 Share Index, went up by 0.01% t0 close at 4216.05 by 0.14% to perch at 4201.36 points. The Nairobi All Share Index (NASI) appreciated by 0.16% to close at 146.44 points. Market capitalization expanded by 0.16% to KES 2,064.15 billion from KES 2,060.91 billion while equity turnover plummeted by 61.65% to close at KES 0.239 billion. Market breadth, showed signs of worsened market conditions, as the number of stocks that advanced -13 failed to outweigh the number of stocks that declined -19.

Following local legal advice issued by its team in Addis Ababa, Atlas African Industries Limited (NSE: ADSS) and TEAP Glass Plc – its Ethiopian subsidiary – had no liability for any taxes under the Ethiopian law. This came after that Ethiopian Revenue and Customs Authority (ERCA) removed approximately USD 2.4Mn from TEAPS’S bank account. In a notice to investors, the board assured shareholders that they will ensure that the company’s funds are reimbursed back as they embark on exploring legal, diplomatic and political routes in order to seek compensation. The stock emerged as the biggest gainer of the day, advancing by 5.70% to KES 1.40, signifying that the statement boosted investors’ confidence.

Equity Market Highlights

Kenya Commercial Bank Ltd (NSE: KCB) was the most actively traded stock today accounting for 22.01% of the total market value traded activity. Umeme Ltd (NSE: UMME) also registered robust levels of activity, accounting for 19.39% of the total market turnover.

Atlas African Industries Ltd (NSE: ADSS) capped the gainers list, advancing by 3.70% to close the day at KES 1.40. Home Afrika Group Ltd (NSE: HAFR) surged by 3.57%, to close the day as the second best performer at KES 1.45.

Flame Tree Group Ltd (NSE: FTGH) emerged as the top loser of the day, plunging by 9.45% to close at KES 7.20. Unga Group Ltd (NSE: UNGA) similarly lost 6.08% to close at KES 7.20.

Article by Genghis Research.