This report is an update as of July 2016 and covers the Top 30 companies in Sub-Sahara Africa ex SA by market capitalisation.
- The Naira floated in June falling 40% and in July fell a further 13% from ?280 to ?318 to the US$.
- The market capitalisation of the Top 30 companies for July 2016 was US$50.8bn, down 6% on June and down 21% year to date. Nigerian banks and manufacturing companies all fell sharply (page 3).
- In July SSA ex SA stock markets fell 5.1% in US$ terms, led by Nigeria down 13% (page 5).
- Year to date three stock markets have positive US$ returns (page 5) and some currencies appreciated, led by the SA Rand (page 2).
- During July oil prices fell 14% to US$43.17/barrel but gold managed a 2% gain. Year to date oil is up 18% and gold is up 27%.
- New Entrants: National Microfinance Bank (Tanzania) and Barclays Bank Kenya.
- Departures: Guinness Nigeria and Stanbic IBTC in Nigeria.
- Our analysis shows:
- 11 companies with a ROE > 25%.
- 10 companies with a trailing P/E < 10.0 times.
- 16 companies with a dividend yield > 5%.
- 9 companies with a price/book value < 1.50 times.
Read more in the document below: