[2007-08-22]  Stock Markets Doing Well
Stockbrokers Botswana has reported the satisfactory performance of the stock markets which rose steadily into the second half of 2007.

A research at Stockbrokers Botswana, Kagiso Sedimo told Your Money that the trajectory of the stock market hit a record high into the second half of this year, an indication that the performance of the market has been doing well. "This performance is based on the market and also showing a good performance of companies on both counters; the domestic and foreign counters. It indicates that for some companies, liquidity has been increasing while for some it was not increasing," said Sedimo.


He said the stock exchange has also changed the methodology for calculating the market indices in April, from using a single last traded figure to using the last five traded figures and using the average of the five numbers to calculate the market capitalisation.

Sedimo has confirmed that the star performers for the quarter was Imara as it led the gainers with a high 173 percent. According to their report, this was on the back of an announcement by the company that it expected to report exceptionally better results that those indicated in the listing prospectus for the year ended 30 April 2007. Discovery Metals and Lionore followed with gains of 76 percent and 52 percent respectively. The other advancers to close the top 5 were FNBB and Stanchart with gains of 49 percent and 46 percent respectively.


On the other hand, the report further says, Ellerines fared the worst for the quarter dropping 14 percent in value. MIRB and Iamgold followed shedding 9 percent and 8 percent respectively. Barclays and A Cap Resources rounded off the biggest decliners with decreases of 4 percent and 1 percent respectively.

The report from Stockbrokers Botswana indicated that on a 12 month review the biggest gainer was Imara, which more than quintupled with a gain of 567 percent. The other top gainer over 12 month period were Lionore at 432 percent, Letshego (180 percent), FNB (168 percent) and Stanchart at 162 percent. Trading activities for the quarter saw a total value traded at P307,5 million on 45,9 million shares.

The bull market, according to the report, began in January 2005 and is well into its 30th month and not showing any signs of slowing down. Half year reporting season is now on with expectations of stellar corporate earning. With earnings delivery remaining resilient, and the business condition in the economy favourable, the majority of stocks across the board remains attractive.




Source: Copyright © 2007 The Voice.