News Column

All Share Index Outperforms the NSE20 Indexv

June 11, 2014

Aly Khan

The Nairobi All Share rallied 0.4546% to close at 150.24 points. It is +9.9451% in 2014 and within 1.59% of a record high set last month.

The Nairobi NSE20 ticked 7.05 points lower to close at 4828.65.

The All Share Index has significantly outperformed the NSE20 which is -1.98% over the same period.

Equity turnover was vigorous at Sh1.218bn with big cap counters dominating.

Liquidity from the issue of the Eurobond will prove a rising tide from hereon.

Williamson Tea did not trade the day after releasing full year earnings where turnover expanded +6.132% to Sh3.51bn which is quite a performance when you consider the price structure for tea over that period. FY profit before tax declined -10.099% but at a PE ratio of 3.441, this is a very cheap share.

Kapchorua Tea did not trade either and released FY performance on Monday where earnings per share retreated 29.886%.

Kapchorua Tea is an associated company of Williamson Tea's but always exhibits higher beta around its earnings.

Safaricom closed unchanged at Sh12.85 and traded 19.395m shares worth Sh249.138m. Safaricom is +18.433% in 2014 and has strong buy side support here and just 1.908% below a record closing high reached last month. The competitor landscape is a lot more fluid now, that's for sure.

Uchumi rebounded 3.15% to close at 13.10 and traded 285,500 shares. Uchumi's share price had become dislocated and viciously oversold.

Equity Bank rallied +2.976% to close at a record closing high of Sh43.25. Equity Equity has posted a 40.65% return year to date with the acceleration in the returns happening after the release of MVNO news. Buyers outpaced sellers by a factor of 33 versus 17 at the finish.

Kenya Commercial Bank was the most actively traded share at the Securities Exchange and firmed 0.505% to close at Sh49.75. KCB was trading at Sh50.00 +1.01% at the closing bell and traded shares as high as 50.50 +2.0202% during the session. KBC traded 7.016m shares worth Sh350.72m which ranks as a top 5 volume session in 2014. Kenya Commercial Bank is +5.291% in 2014 and is set to post all time closing highs above 50.00, imminently.

Standard Chartered Bank ticked 0.974% higher to close at Sh311.00 and traded 3,300 shares. StanChart has plenty of head room and buyers outpaced sellers by a factor of 4 versus 1 at the closing bell.

Centum reported FY 2014 earnings yesterday where profit before tax accelerated +23.491% and earnings per share rallied +20.42%. Centum has moved its portfolio decisively away from the listed markets and towards the real estate business where the Two Rivers Mall [Carrefour is the anchor tenant] is its flagship. Centum tracked 2.4844% lower to close at 39.25 on profit taking and traded 598,700 shares. Centum is +18.93% in 2014 and that follows on a triple digit percentage gain in 2013.

Mumias Sugar rebounded 1.724% to close at 2.95 and was trading at 3.00 +3.45% at the finale, after the CEO and CFO were asked to leave.

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Source: AllAfrica

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