Monday 01 / July / 2024
Muscat: The main index of the Muscat Stock Exchange (MSX) rose the week by 8 points and closed at 4,687 points, recovering part of the losses it suffered in the previous two weeks when it fell by 74 points and 91 points, respectively.
Muscat Stock Exchange also witnessed a decline in a number of its other indicators during the week. The market value of securities listed on the exchange fell by the end of the week to OMR24.24 billion, recording weekly losses of OMR38.3 million. The trading value fell from about OMR14.2 million to OMR10.6 million. However, the number of deals executed increased by 2.5 percent from 4,260 to 4,370 deals.
Investors' movements in the week's trading were characterised by caution before the conclusion of trading in the first half of this year, awaiting any positive news about the performance of public joint stock companies in the second quarter and analysts' expectations for the third quarter.
The industrial sector index recorded the highest losses, declining by 61 points, while the financial sector index declined 11 points, the services sector index rose 10 points, and the Sharia index recorded a slight decline of less than half a point.
During the week's trading, investors focused on the shares of Bank Muscat, Bank Sohar International, OQ Gas Networks, Galfar Engineering and Contracting, Bank Nizwa, Oman Cable Industry, and Omantel.
Bank Muscat topped the most traded companies in terms of trading value with about OMR1.9 million, accounting for 17.8 percent of the total trading value. The Oman Cable Industry Company came in second place with trades exceeding OMR1.2 million, while Sohar International Bank ranked third with trades worth OMR1.124 million.
During the week, prices of 21 securities rose. The gainers were led by Raysut Cement, Sembcorp Salalah, Bank Dhofar, Gulf International Chemicals, and Oman United Insurance. As many as 38 securities recorded a decline, most notably Barka Water and Power, Dhofar Beverages and Foodstuffs, Al Anwar Investments, Muscat Gas, Oman, and Emirates Holding.
Raysut Cement recorded the highest gains, rising by 8.9 percent and closing at 146 baisas, and rose during trading to 150 baisas. It also witnessed execution of 79 transactions worth OMR209,000. This rise came against the backdrop of the judicial ruling issued by the Court of Appeal in Muscat convicting the former CEO and some employees of the executive management and the chairman and members of the former board of directors for the period from 2018 to 2022.
Raysut Cement Company said in its disclosure on the Muscat Stock Exchange website that the convicts were issued with various penalties and obligated to pay the company OMR50.1 million, stressing that it will proceed to implement the aforementioned ruling. The company has been exposed to a series of losses over the past few years that have led to a decline in shareholders’ equity. According to the balance sheet, the accumulated losses until March amounted to OMR41.6 million, and shareholders’ equity in the parent company amounted to OMR8.4 million, indicating the erosion of a large part of the company’s capital of OMR20 million.
During the week, the annual general assembly of Al Anwar Investments approved the Board of Directors’ recommendation to distribute cash dividends of 5 percent and free shares of 3 percent, which caused the company’s stock to decline during the week by 7.9 percent, closing the week’s sessions at 81 baisas.
Barka Water and Energy shares recorded the highest losses and closed at 253 baisas, declining by 12.4 percent. Dhofar Beverages and Foodstuffs shares declined by 9.6 percent and closed at 187 baisas. Muscat Gases shares recorded a decline of 7.8 percent and closed at 129 baisas. Oman and Emirates Holding Company shares fell to 80 baisas, down by 4.7 percent.
