The 16-counter Malawi Stock Exchange (MSE) has started the last quarter of 2024 on a high, registering positive return on index in October as shares of telecommunications and hospitality counters surged.
With a return on index of 2.4 percent in October, the market came from a buoyant position in the third quarter where it registered a 17.82 percent return on index while also increasing in value and volume of traded shares.
Market data shows that TNM plc and Airtel Malawi plc share prices surged 19.6 percent and 9.1 percent, respectively, while Sunbird Tourism plc and Blantyre Hotel plc’s shares jumped by 6.2 and fivee percent in that order.
Apart from the four, several other companies registered share value gains, putting the total of gainers to 11 while share prices of five other companies tumbled during the month under review.
In an interview yesterday, Stockbrokers Malawi Limited equity investment analyst Kondwani Makwakwa attributed the high number of companies with share value gains to a demand-supply imbalance, especially on telecommunications counters, which are recovering from last year’s 44 percent kwacha devaluation.
“This sector’s resilience and ability to navigate devaluation impacts have attracted significant investor interest, further supporting price increases,” he said.
Minority Shareholders Association of Listed Companies secretary general Frank Harawa said investors are now interested in hospitality counters as they have recovered from the Covid-19 pandemic and are on expansion drive.
In a separate interview, one of the investors, Purity Chitalo, expressed delighted with the market performance which guarantees capital gains for shareholders.
