AfricaPress-Tanzania: CRDB Bank shares have appreciated by 78.95 per cent in the last ten months from the beginning of this year pulling investors following a good performance in all three quarters.
The bank’s share price appreciated to 170/- on Tuesday compared to 95/- at the beginning of the year.
The Tanzania Securities said in its Daily Market Report that CRDB and Twiga Cement counters are still the most liquid. “…Their prices are still appreciating and hence more investor appetite for the stocks,” Tanzania Securities said.
On Tuesday, CRDB traded 12,712 shares at a price range of 165/ and 175/-.
Also Twiga traded 12,324 shares at a price of 2,500/- and 2,540/-, which is an appreciation of 24 per cent since January.
Arch Financial and Investment Advisory Managing Director, Mr Iyen Nsemwa told africa-press that CRDB shares have been appreciating due to its lower price compared to other banks.
“…Price is the determining factor. NMB and CRDB are more or less similar in size and performance. But CRDB shares are cheaper than NMB shares, and hence more demand for the same,” Mr Nsemwa said.
He added “the higher the demand for shares the higher the increase in prices for the same”.
The NMB shares traded flat at 2,340/- since the beginning of the year, despite its superb performance in second and third quarters.
In this year’s third quarter, the two banks, NMB and CRDB, posted good performance despite Covid-19 impact.
CRDB reported an after-tax profit jump of 31 per cent to 120bn/- compared to 92bn/- in the same quarter last year.
NMB, on the other hand, recorded a 76 per cent pre-tax profit increase to 118bn/- in last year quarter three to 208bn/- of similar period this year.
DCB, another listed bank at the main market, its share dropped by 10.16 per cent in the last ten-months to 265/- on Tuesday from 295/- in January. While Maendeleo Bank, also at the main market, stagnated at 490/-.
Those listed on alternative market—Enterprise Growth, Mkombozi Bank, Mwalimu Bank, MuCoBa and Yetu Microfinance, their share prices stuck at the same level in the last ten months at 780/-, 500/-, 400/- and 550/- respectively.
