INVESTMENT TERM OF THE WEEK

Capital Gains: Capital gain is an economic concept defined as the profit earned on the sale of a financial asset which has increased in value over the holding period.

EQUITY MARKET HIGHLIGHTS: The Ghana Stock Market inches up; returns 41.82% (YtD)
The Ghana Stock Market at the close of the week gained 13.71 points to close the week with a YTD return of 41.82% on the back of price gain made by six (6) equities. Cal Bank PLC (CAL) closed the week with the highest value traded representing 42.2% of total value traded.
As a result, the benchmark GSE Composite Index (GSE-CI) closed the week at 2,753.55. The GSE Financial Stock Index (GSE-FSI) however made a gain of 15.68 points to close the week at 1,929.78 translating into a Year-to-Date (YTD) return of 8.25%.
Volume traded was 3.39 million shares which represent about 2.31% increase compare to the previous week. Total value traded stood at GH¢3.39million representing about 32.77% reduction from previous weeks value. Market Capitalization increased to close the week at GH¢62.94 billion representing 15.75% growth for the year.

EQUITY UNDER REVIEW: SCANCOM PLC. (MTNGH)
Share Price GH¢1.24
Price Change (YtD) 93.75%
Market Cap. (GH¢) 15,240.19
Dividend Yield 2.42%
Earnings Per Share GH¢0.1413
Avg. Daily Trade Volumes 1,842,380
Value Traded (YtD) GH¢264,548,267.00

MTNGH released its Half Year 2021 financial results. The company reported a growth of 24.9% in Total Revenue to GH¢3.6 billion as Profit Before Tax improved to GH¢1.3 billion representing a 35.5% growth from previous year. The company also reported an increase in active data subscribers by 1.8% to 11.4 million but a decrease in active Mobile Money users by 1.9% to 10.5 million.

GSE EQUITY MARKET PERFORMANCE

Indicator Current Week Previous Week Change
GSE-Composite Index 2,753.55 2,739.84 13.71 pts
YTD (GSE-CI) 41.82% 41.11% 1.73%
GSE-Finance Stock Index 1,929.78 1,914.10 15.68 pts
YTD (GSE-FSI) 8.25% 7.37% 11.94%
Market Cap. (GH¢ MN) 62,940.06 62,629.27 310.79
Volume Traded 3,428,614 3,351,046 2.31%
Value Traded (GH¢) 3,393,946.96 5,048,548.19 -32.77%

TOP TRADED EQUITIES

Ticker Volume Value (GH¢)
CAL 1,991,399 1,433,852.28
MTN 695,287 862,155.88
ETI 388,247 27,177.29
GCB 89,921 484,674.19
UNIL 73,960 423,279.24

Cal Bank 42.2 % of value traded

GAINERS
Ticker Close Price (GH¢) Open Price (GH¢) Change Y-t-D Change
FML 1.65 1.40 17.86% 52.78%
ETI 0.07 0.06 16.67% -12.50%
UNIL 5.90 5.64 4.61% -28.83%
EGL 2.06 1.99 3.52% 47.14%
GOIL 1.57 1.55 1.29% 4.67%
EGH 7.34 7.33 0.14% 1.94%

SUMMARY OF JULY 2021 EQUITY MARKET ACTIVITIES
EQUITIES
Indicator Jan.-Jul. 2021 Jan.-Jul. 2020 % Change
GSE-CI YtD CHANGE 39.95% -16.81%
VOLUME 349.5 M 332.6 M 5.08
VALUE (GH¢) 341.22 M 235.38 M 44.97
GSE-CI 2,717.30 1,877.64 44.70
MKT. CAP. (GH¢M) 62,248.75 52,722.06 18.07
ADVANCERS ETI, GGBL, BOPP, TOTAL, SOGEGH, FML, MTNGH
DECLINERS GCB, CPC, UNIL
Source: Ghana Stock Exchange

SUMMARY OF JULY 2021 GFIM ACTIVITIES
GHANA FIXED INCOME MARKET
YEAR Jan.-Jul. 2021 Jan.-Jul. 2020 Change
VOLUME 127,069,023,662 59,540,472,289 113.42%
VALUE (GH¢) 132,201,660,679.01 60,738,827,520.89 117.66%
Source: Ghana Stock Exchange

FIXED INCOME MARKET HIGHLIGHTS
At last week’s auction, a total of GH¢1,144.98 million was raised in 91-Day bills, GH¢64.66 million in 182-Day bills and GH¢312.88 million compared to GH¢1,051.31 million in 91-Day bills and GH¢156.49 million in 182-Day bills at the previous week’s auction.
91-Day bill and 182-Day bill yields declined marginally to 12.45% and 13.20% respectively.
The target for the next auction is GH¢1,380 million in 91- and 182-Day bills.

KEY ECONOMIC INDICATORS
Indicator Current Previous
Monetary Policy Rate July 2021 13.50% 13.50%
Real GDP Growth Q1 2021 3.10% 3.30%
Inflation July 2021 9.00% 7.80%
Reference rate August 2021 13.51% 13.55%
Source: GSS, BOG, GBA

GOG Treasuries 30th – 03rd Sep. 2021 23rd – 27th Aug. 2021 Change (%)
91-Day T-Bill 12.45% 12.46% -0.012%
182-Day T-Bill 13.20% 13.22% -0.029%
364-Day T-Bill 16.10% 16.11% -0.014%
2-Year Bond 17.25% 17.25% 0.00%
BOG Offer (GH¢ MN) 642.62 1,643.00
Dealers Tender (GH¢ MN) 1,607.76 1,208.70
Amount Raised (GH¢ MN) 1,522.52 1,208.70
Source: Bank of Ghana

CURRENCY MARKET
Interbank Average Rates
Currency Closing Week Previous Week Y-t-D Change
(GH¢) (GH¢) %
DOLLAR 5.8564 5.8502 -1.64%
POUND 8.1214 8.0449 -3.04%
EURO 6.9607 6.8984 1.49%
YEN 0.0534 0.0532 4.68%
YUAN 0.9103 0.9037 -3.06%
CFA FRANC 94.2379 95.0883 -1.47%
Source: Bank of Ghana

ANALYSTS
Godwin Kojo Odoom: Senior Research Analyst
Edna Awurama Fosua: Analyst
Nelson Cudjoe Kuagbedzi: Analyst

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