Investors bullish on ‘Z’ category scrips!


Despite the downtrend in the country's stock market over the past week, the share prices of ‘Z’ category companies are on the curious rise.

In the past week, 210 companies or 56 percent of the total securities that traded on the Dhaka Stock Exchange (DSE) have fallen.

However, in such a falling market, nine ‘Z’ category issues placed in the top 10 companies gaining list in the all categories (B, G, N and Z) without ‘A’ category.

Of these, Paper Processing and Packaging, part of the Z Group, has been at the forefront of investment demand from capital market investors over the past week. 

After a long stay at OTC, DSE brought the company back to the main market on June 13.

After returning to the main market, the company's share price has risen every working day of the last week. The company's share price has risen 113.33 percent in one week.

After paper processing and packaging, Tamijuddin Textile Mills, another company that returned to the main market from OTC, showed its strength in the price hike last week. The company's share price has risen 63.25 percent in one week.

The next place has been occupied by another company returning from OTC to the main market - Bangladesh Monospool Paper Manufacturing. 

Last week, the company's share price rose 58.89 percent.

After these three companies of ‘Z’ group, Safko Spinnings Mills (‘B’ category share) showed its strength in the price increase last week. 

The financial condition of this company is also not very good. The share price of the company in the 'B' group has increased by 51.83 percent over the last week.

Despite the sharp rise in prices, the company last paid investors a 3 percent cash dividend in 2016. 

Earlier, the company paid a cash dividend of 3 percent in 2016 and 4 percent in 2017.

The next six positions after Safko Spinnings Mills are held by the Z Group. Of these, Monno Fabrics, which returned to the main market from OTC last week, has gained 48.15 percent.

Among the other six companies, C & A Textiles rose 40.74 percent, Aramite Cement 32.60 percent and Tung Hai Knitting and Dyeing 28.6 percent, Tung Hai Knitting and Dyeing 27.78 percent, Emerald Oil Industries 22.99 percent and Bangladesh Industrial Finance Company 15 percent respectively.

However, Stocks witnessed a falling trend last week after breaking nine straight weeks due the profit booking tendency among investors. 

However, the DSEX declined by 13.89 point during the last week to close at 6,052.76 points on Thursday.

The DSE 30 Index, comprising blue chips, went down by 8.04 points to settle at 2,197.06 points and the DSE Shariah Index (DSES) decreased 8.55 points to close at 1,290.93 points.

The total turnover on the prime bourse went down to Tk 97.98 billion against Tk 121.88 billion in the week before. 

Losers took a modest lead over the gainers, as out of 375 issues traded, 210 declined, 148 advanced and 17 remained unchanged on the DSE trading floor.