Zimre Holdings and First Mutual Holdings emerge as the top ZSE performers in 2023
Staff writer
Insurance companies Zimre Holdings Limited (ZHL) and First Mutual Holdings Limited (FML) emerged as the top performers on the Zimbabwe Stock Exchange in 2023, recording a US$ annual return of 414% and 358%, respectively.
This is ahead of the 21% average return for the stock market over the period. In nominal terms, the duo boasted share price growth of 4488% and 3989% apiece.
ZSE and VFEX 2023 Performance Review and 2024 Outlook by Equity Axis show that the financial services sector emerged as the best performing on ZSE in 2023 on an annual return basis in both US$ and nominal terms.
“The ZSE Financials Index grew by a whopping 1591% in 2023 in nominal terms, closely trailed by a 1588% surge in the Consumer Discretionary Index, which was bolstered by Rainbow Tourism Group (RTG). A total of 28 counters recorded a positive outturn in US$ terms in 2023.
It is also important to note that on a 5-year trend, FML is the 3rd best performing stock on ZSE, having grown 826% in share price value over the duration in US$ terms, “Equity said.
“On the downside, an aggregate of 14 counters recorded a negative outturn in US$ terms in 2023, with the duo of associate companies Ecocash Holdings Limited Zimbabwe and Econet notably emerging on the list.
ZECO came out as the worst-performing stock on the bourse in the year, dwindling -86% in US$ terms. The counter is a perennial loss maker, both financially and operationally, and has been dragging on ZSE for over 5 years.
The ICT sector emerged as the worst performing industry on ZSE in 2023, with the ICT Index rising by a nominal 594% and plunging -22% in US$ terms.”
Due to the different weighting, Equity said the 58% US$ growth in Zimpapers was overall reversed by a -51% and -2% loss in Ecocash Holdings and Econet, respectively.
“It is also imperative to note that on a 5-year basis, Ecocash Holdings is presently the worst-performing counter on ZSE, having lost -65% value in share over the duration, in US$ terms.” Equity said.
