Stocks Worth Investing in in 2016

Varied movements were posted by the indicators at the close of Wednesday’s trading session. The NSE-25 share index registered a slide of 0.05 percent to close at 3658.90 points while the NSE All Share Index bucked the trend, gaining 0.02 percent to close at 137.74 points.

The NSE 20 share index was similarly on an uptrend, soaring 0.07 percent from yesterday’s close to 3284.84 points. Market capitalization extended 0.02 percent to 1.984 trillion shillings whilst the equity turnover retreated by 62.00 percent to close at 0.214 billion shillings.

The bulls dictated the pace in today’s trading session, with market breadth favoring advancers as 20 stocks appreciated in price against 12 decliners. This was also evident on the sector performance as seven out of the twelve sectors in the NSE segment closed in the green save for the Agriculture, Insurance, Banking and commercial and Service Sector which plunged by 1.09, 0.81, 0.36 and 0.31 percent respectively.

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The banking sector has been on a downward trend since the new interest rate law came into effect. Amongst the top three gaining sectors were; the Real estate investment trust which led the gainers pack, posting a 2.55 percent gain, the Automobile & Accessories which was up by 2.22 percent and the investment service sector which was up by 1.88 percent.

See the table below for Equity market highlights

How did the NASI and NSE Perform on Wednesday?

Safaricom Ltd (NSE: SCOM) was the most actively traded stock on Wednesday accounting for 44.63 percent of the total market value traded activity. E.A Breweries Ltd (NSE: EABL) also registered high levels of activity, accounting for 19.73 percent of the total market turnover. Equity Group Holdings, Diamond Trust Bank and Nation Media Group were also in this category.

Trans century Ltd (NSE: TCL) topped the gainers chart, posting a 9.63 percent increase to close the day at 7.40 shillings. Sameer Africa Ltd (NSE: FIRE) followed suit, registering a 6.67 percent gain to close at 3.20 shillings.

Olympia Capital Holdings Ltd (NSE: OCH) emerged as the top laggard of the day, plummeting by 9.52 percent to close at 2.85 shillings. Liberty Kenya Holdings Ltd (NSE: CFCI) similarly lost ground by 6.67 percent to close at 14.00 shillings.

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Stocks worth investing in in 2016

The table below shows some of the selected stocks that an investor may choose to invest in this year:

The foreign investors accounted for 69.14 percent of total turnover against 30.86 percent of local participation on Wednesday.

Accumulative activities took center-stage, resulting in net inflows worth 4.77 million shillings on Wednesday relative to net inflows worth 97.25 million shillings on Tuesday. Safaricom Limited (NSE: SCOM) which recorded a turnover of 77.80 million shillings representing 36.20 percent of total activity and 52.35 percent of foreign investor activity, followed by East African Breweries Limited (NSE: EABL) was the day’s highest traded stock, recording a turnover of 33.47 million shillings to account for 15.57 percent of total market activity and 22.52 percent of foreign investor activity.

Equity Group Holdings Limited (NSE: EQTY) posted the day’s highest net inflows worth 24.39 million shillings and the day’s highest net outflows, worth 4.06 million shillings were posted by Diamond Trust Bank Kenya Limited (NSE: DTB).

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