THE Zimbabwe Stock Exchange (ZSE) extended its positive run into August, recording a 1,61% increase in market capitalisation, according to a market update from Fincent Securities.
This follows a robust 5% gain posted in July, signalling sustained investor confidence despite a slowdown in trading volumes.
The month-end figures revealed a mixed bag of performances amongst listed companies. The bourse recorded 15 gainers against 17 losers.
Trading activity cooled, with the monthly turnover declining to ZiG721 million from July’s ZiG771 million.
Econet Wireless Zimbabwe remained the most actively traded counter, contributed ZiG488 million to the total, followed by Delta Corporation at ZiG153 million.
This represented a shift from the previous month, where FBC Holdings had joined Econet as the most active stocks.
Parallel to the ZSE, the US dollar-denominated Victoria Falls Stock Exchange (VFEX) also closed August positively.
Its market capitalisation climbed 2,72%, building on an exceptional 15% advance in July. The VFEX saw seven gainers against four losers, though its monthly turnover retreated by 16% to US$3,6 million.
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Individual stock performances were stark.
On the ZSE, Dairibord Holdings was the top performer, skyrocketing 64,78%, while construction firm Masimba was the biggest loser, plunging 37,69%.
On the VFEX, SeedCo International led the gainers, while retailer Edgars recorded the steepest loss, shedding 11,30% of its value.
Analysts at Fincent Securities maintained a bullish outlook.
“We believe equities remain undervalued and some counters are gradually repricing as witnessed on the VFEX,” they said.
“Many major counters are still trading below their historical averages, presenting attractive buying opportunities for investors.”
This recent momentum marks a significant recovery from a challenging first half.
Analysis from Morgan & Co noted the ZSE had posted a real United States dollar loss of 3% in the first half, with the VFEX performance flat, largely attributed to tight liquidity and the sluggish performance of market heavyweight Delta.
However, the ZSE has now recovered to a 1,6% year-to-date gain, while the VFEX has galloped to a 12,6% returns.
ZSE Holdings is finalising plans to establish a new equities market as it diversifies under a strategy aimed at boosting capital mobilisation.
The Zimbabwe Entrepreneurship Exchange will target small-cap counters with valuations starting from US$250 000, according to Edwin Mtami, head of markets at ZSE Holdings.
l Exchange rate as at August 31, 2025: US$1:ZiG26,8.
