Stocks fall for 3rd week amid mixed financial disclosures

Staff Correspondent | Published: 23:27, Oct 28,2017 | Updated: 00:52, Oct 29,2017

 
 

Dhaka stocks declined marginally last week, the third week in a row, as investors went for selling their holdings from most of the scrips while Grameenphone, British American Tobacco and BRAC Bank surged riding on their financial disclosures.
DSEX, the key index of Dhaka Stock Exchange, slipped by 0.35 per cent, 21.30 points, over the week to close at 6,018 points on Thursday.
The key index lost 184 points in the last three weeks.
The equity market ended with a marginal loss over the week despite a fall in share prices of 207 scrips as some of the large capitalised companies surged.
Investors began to sell off shares after the media on October 9 reported that the central bank on October 5 fined seven banks for making over investments at the capital market. Lower than expected financial results of some companies added fuel to the last week’s plunge.
Doreen Power declared 20 per cent dividend for the year ended June, 2017 despite making huge profit — Tk 7 per share — that caused the company to lose 6.2 per cent over the week.
The share prices of ACI plunged by 8.6 per cent over the week as earnings per share of the company halved (Tk 33) in January 2016 – June 2017 period from that of Tk 65.75 in January 2015 – December 2015 period.
As a result, pharmaceuticals and energy sectors fell by 2.0 per cent and 0.5 per cent respectively in the week.
Besides, cement and bank also declined by 1.00 per cent and 0.3 per cent respectively that also contributed to the market fall in the week.
Although panic selling slowed in the week, investors remained jittery and confused about the next direction of the market, market operators said.
As a result, the daily average turnover on the bourse also declined further by 0.67 per cent to Tk 569.76 crore compared with that of Tk 573.60 crore in the previous week.
The surge in share prices of Gemini Sea Food (62.1 per cent), BRAC Bank (6.1 per cent), Grameenphone (5.1 per cent) and British American Tobacco (9.1 per cent) saved the market from a major fall over the week.
Besides, food, telecommunication and engineering increased by 5.8 per cent, 4.8 per cent and 0.4 per cent respectively.
‘There are several companies which announced their earnings and dividends which failed to meet the investors’ expectations. As a result, the market edged in red zone,’ said EBL Securities.
Of the 335 companies and mutual funds traded, 207 declined, 113 advanced, and 16 remained unchanged.
DS30, the blue chip index of the DSE, shed 0.66 per cent, or 14.40 points, to close at 2,173.89 points over the week.
The Shariah index of the bourse, DSES, dropped by 0.97 per cent, or 12.95 points, to close at 1,316.48 points.
LankaBangla Finance led the turnover chart in the week with its shares worth Tk 130.79 crore changing hands.
BRAC Bank, BBS Cables, IFAD Autos, Grameenphone, Aamra Networks, IDLC Finance, Rangpur Foundry, Bangladesh Export Import Company, and Uttara Bank were the others turnover leaders.
Gemini Sea Food gained the most in the week with 62.06 per cent increase in its share price, while Zeal

More about:

Want stories like this in your inbox?

Sign up to exclusive daily email

Advertisement

images

 

Advertisement

images