INVESTMENT TERM OF THE WEEK

Enterprise Value (EV): Enterprise value (EV) is a measure of a company's total value. EV includes in its calculation the market capitalization of a company but also short-term and long-term debt as well as any cash on the company's balance sheet. Enterprise value is a popular metric used to value a company for a potential takeover.

EQUITY MARKET HIGHLIGHTS: GSE Composite Index improves by 39.42 points to return 53.02% YTD.
The benchmark GSE Composite Index (GSE-CI) improved by 53.02 points to close at 2,971.00 translating into a YTD return of 53.02% as five (5) equities recorded gains against two (2) decliners during the week under review. The GSE Financial Stock Index (GSE-FSI) however dipped 5.62 points to close at 2,073.08 translating into a YTD return of 16.31%.
The Market Capitalization at the close of the week increased by GH¢412.54 million to close trading at GH¢65.38 billion representing a growth of 20.25% in 2021.
A total of 5.90 million shares valued at GH¢7.08 million traded; an increase of 153.88% in volumes traded and a decrease of 0.65% in values traded respectively as compared to the previous week.
A total of twenty-one (21) stocks traded as Scancom PLC. (MTNGH) recorded most trades, accounting for 70.72% of the total value traded.

GSE MARKET RETURNS (2015 TO 2021 YTD)

YEAR GSE-CI YTD RETURN
2021 YTD 2,971.00 53.02%
2020 1,941.59 -13.98%
2019 2,257.15 -12.25%
2018 2,572.22 -0.29%
2017 2,579.72 52.73%
2016 1,689.09 -15.33%
2015 1,994.91 -11.77%

GSE EQUITY MARKET PERFORMANCE

Indicator Current Week Previous Week Change
GSE-Composite Index 2,971.00 2,931.58 39.42pts
YTD (GSE-CI) 53.02% 50.99% 3.98%
GSE-Financial Stock Index 2,073.46 2,079.08 -5.62pts
YTD (GSE-FSI) 16.31% 16.62% -1.87%
Market Cap. (GH¢ MN) 65,387.14 64,974.60 412.54
Volume Traded 5,904,116 2,325,589 153.88%
Value Traded (GH¢) 7,085,184.54 7,131,381.41 -0.65%

TOP TRADED EQUITIES
Volume Value (GH¢)
3,881,960 5,010,692.00
1,859,726 1,523,762.00
61,833 324,623.00
48,500 970.00
11,327 75,325.00

MTN 70.7% of value traded

GAINERS & DECLINERS
Ticker Close Price (GH¢) Open Price (GH¢) Change Y-t-D Change
TOTAL 5.52 5.02 9.96% 95.05%
BOPP 6.65 6.05 9.92% 232.50%
CAL 0.82 0.78 5.13% 18.84%
MTNGH 1.30 1.27 2.36% 103.13%
EGL 2.53 2.52 0.40% 80.71%
UNIL 5.89 5.90 -0.17% -28.95%
ACCESS 3.15 3.49 -9.74% -28.25%

EQUITY UNDER REVIEW: FAN MILK PLC. (FML)
Share Price GH¢4.05
Price Change (YtD) 275.00%
Market Cap. (GH¢) GH¢522.93 million
Dividend Yield 0.00%
Earnings Per Share GH¢-0.1560
Avg. Daily Trade Volumes 7,014
Value Traded (YtD) GH¢4,879,818.00

SUMMARY OF SEP. 2021 EQUITY MARKET ACTIVITIES
EQUITIES
Indicator Jan.-Sep. 2021 Jan.-Sep. 2020 % Change
GSE-CI YtD CHANGE 47.06% -17.75%
VOLUME 400.60 M 403.91 M -0.82
VALUE (GH¢) 411.10 M 295.19 M 39.26
GSE-CI 2,855.29 1,855.56 53.88
MKT. CAP. (GH¢M) 64,170.83 53,153.76 20.73
ADVANCERS FML, SOGEGH, ETI, BOPP, EGL, TOTAL, SCB, GGBL, GOIL, EGH, GLD, UNIL, SCB Pref, CAL
DECLINERS GCB, RBGH
Source: Ghana Stock Exchange

OTHER AFRICAN STOCK MARKETS

Country Current Level YTD
(Botswana) BGSMDC 6,956.77 1.13%
(Egypt) EGX-30 11,573.14 5.17%
(Kenya) NSE ASI 171.47 12.73%
(Nigeria) NGSE ASI 43,253.01 7.41%
(South Africa) JSE ASI 69,921.38 17.70%
(WAEMU) BRVM 191.21 31.53%
Source: Bloomberg

KEY ECONOMIC INDICATORS
Indicator Current Previous
Monetary Policy Rate September 2021 13.50% 13.50%
Real GDP Growth Q2 2021 3.90% 3.10%
Inflation October 2021 11.00% 10.60%
Source: GSS, BOG, GBA

SBL RECOMMENDED PICKS
Equity Price Outlook (Reason)
MTN GHANA GH¢ 1.30 Strong 2021 Q3 Financials
BOPP GH¢ 6.65 Strong 2021 Q3 Financials
CAL BANK GH¢ 0.82 Strong 2021 Q3 Financials
ECOBANK GH¢ 7.81 Strong 2021 Q3 Financials
SOGEGH GH¢ 1.20 Strong 2021 Q3 Financials
FANMILK GH¢ 4.05 Positive Sentiment

CURRENCY MARKET
Interbank Average Rates
Currency Closing Week Previous Week YTD Change
(GH¢) (GH¢) %
DOLLAR 5.9031 5.9015 -2.42%
POUND 7.9182 7.9550 -0.56%
EURO 6.7599 6.8111 4.50%
YEN 0.0519 0.0520 7.81%
YUAN 0.9257 0.9221 -4.67%
CFA FRANC 97.0372 96.3078 -2.42%
Source: Bank of Ghana

COMMODITIES MARKET
Interbank Average Rates
Commodity Closing Week Previous Week YTD
BRENT CRUDE OIL
(US$/bbl) 82.18 82.71 58.65%
GOLD
(US$/oz) 1,862.77 1,801.85 -1.87%
COCOA
(US$/MT) 2,388.15 2,366.66 -1.49%
Source: Bloomberg, Bullion By Post, ICCO

JUSTIFICATIONS FOR INCLUDING STOCKS IN A PORTFOLIO
Typically stocks outperform all other investment options over a ten-year period making them a must for long term portfolio.
They are excellent vehicles for retirement.
Except for a few short periods, stocks have consistently outpaced the rate of

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

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