Investors, who had taken a break for end-year festivities, are slowing trooping back to the bourse. Many are already taking positions as the end of year earnings season when firms release their financial results, approaches.
With this investors surge, the NSE closed the week with 70 Million shares valued at KSh 2.66 Billion. This is compared to 26 Million shares valued at KSh 905Million transacted the previous week.
At the end of trading yesterday, turnover was KSh 836Million from the previous session’s KSh.664Million. The number of shares traded also increased to 20 Million against 16 Million posted on Thursday.
“Investors are coming back to the market after the long Xmas and New Year holidays. This is why the activity has picked up in the second week of the year,” said Gerald Muriuki, an analyst at Genghis Capital.
At the close of business yesterday, Safaricom touched a 52-week high of KSh 33.50 before retreating to close the week at KSh 32.80 with shares worth KSh 713.53 Million transacted. This represented 26.75 per cent of the week’s traded value.
“Safaricom and Banks will continue to dominate trading activity at the NSE because these are the most profitable and fundamentally strong institutions listed firms at the bourse,” said Mr Muriuki.
On Friday, Safaricom Plc recorded the highest volume of 4.9 Million traded shares. It was followed by Equity Group Holdings Plc (3.78 Million), KCB Group Plc (3.2 Million) and KenGen Plc (2.08 Million).
The average daily volume stood at 15.7 Million against last week’s 6.4 Million with Friday having the highest volume turnover of 20 Million shares valued at KSh. 836 Million.
All NSE indices registered positive gains during the week. The NSE 20 share index was down 6.86 points to stand at 2701.04.
All Share Index (NASI) ended the week 3.99 points higher to settle at 171.36. The NSE 25 Share index gained 70.99 points or 1.72 per cent to stand at 4207.90.
“Investors who took a break during the festive season continue to return to the market and take positions. Listed firms will be releasing their financial results in a few weeks’ time. Dividends/ Capital gains are at play and is likely to continue going forward,” said Felix Ochieng, a trader at Faida Investments.
At the end of the week yesterday, the Banking Sector had shares worth KSh 1.7Billion traded. This accounted for 64.68 per cent of the week’s traded value.
Equity Group Holdings was the week’s main feature with 17.9 Million shares valued at KSh.972 Million changing hands at between KSh.53.00 and KSh55.25.
KCB Group moved 6.7Million shares worth KSh.364.8Million at a fairly stable price of KSh.55.00. Diamond Trust Bank climbed 9.32per cent to KSh.120.25 moving 1.4M shares worth KSh.170M.
Crown Paints Plc led the gainers with 8.80% share price appreciation closing at KSh 68.00 per share. Eveready Plc share prices rose by 8.74 per cent, Carbacid Investments Plc 6.25 per cent and Kenya Airways Plc 3.33per cent.
Losers were Sameer Africa Plc whose share price depreciated by 9.91 per cent closing at KSh 3.00 per share.
Others were Car and General (-7.69 per cent) Flame Tree Group Holdings (-7.49per cent) and Home Afrika Plc (-5.17per cent).
The Nairobi Securities Exchange (NSE) – with 62 listed companies, has a total market capitalization of KSh 2.4 trillion.