Dar equities market up 18.4 pct on block trades

Tanzania’s equities market continued its bullish trend with the bourse demonstrating favorable performance during the trading session last week as both the value of trades and the domestic market capitalization displayed an upward trajectory.

According to available data from the Dar es Salaam Stock Exchange (DSE), the total value of trades surged to 1.41bn/- marking a significant increase of 18.45% compared to the previous week.

In terms of market capitalization, there was a marginal decrease of 1.19% in the total market capitalization, reaching 14.73bn/-.

This decrease was largely attributed to the fall in prices of cross-listed stocks like JHL, EABL, KCB, and NMG. Conversely, the domestic market capitalization experienced growth for the fourth consecutive week, adding 0.16% and concluding the week at 10.94bn/-.

The All Share Index (DSEI) closed at 1,766.86 points decreasing by 1.19% while the Tanzania Share Index (TSI) closed at 4137.54 points increasing by 0.16%.

 Stocks like VODA, CRDB, and TBL were involved in block trades, contributing to the overall rise in turnover during the week.

During the week, notable counters that attracted substantial trading activity were CRDB, TBL, and VODA dominating the market by 48.82%, 17.68%, and 15.27% of the total market turnover, respectively.

Among domestic stocks, two exhibited positive price movements. DSE led the way with an impressive surge of 8.14%, concluding the week at 1,860 per share/-

CRDB also followed a positive trajectory with a 2.17% increase, recovering from the previous week’s losses and closing at 470/- per share.

On the downside, two domestic counters experienced price declines within the week with TCCL/Simba facing a significant drop of 9.47%, reaching 1,720/- per share while TOL experienced a decline of 1.59%, settling at 620/- per share.

According to the Zan Securities Chief Executive Officer Raphael Masumbuko, despite the mixed performance on the individual stock level, the market capitalization figures reflect a nuanced picture.

“These shifts suggest that while there might be broader market setbacks, the localized market seems to maintain a degree of resilience and adaptability. As the domestic capitalization made a positive leap of 17.42bn/- , consequently propelling the Tanzania Share Index (TSI) upwards, by 0.16%,” Masumbuko said.

He said the upward movement primarily stemmed from a number of counters registering positive price movements.

“Notably, CRDB sustained its favor among investors who displayed confidence in its potential for growth. Looking ahead, our outlook remains optimistic regarding the performance of the stock market in the upcoming weeks,” he said.