USE market shares up by 2.62 per cent

Kampala. The Uganda Securities Exchange (USE) has registered progress over the last three months with its market capitalisation increasing by 2.62 per cent.
Market cap or market capitalisation, refers to the total value of a company’s shares of stock.

It is calculated by multiplying the price of a stock by its total number of outstanding shares available in the market.
In the stock market, market capitalisation is one of the most important features of a company’s portfolio.

Market cap measures what a company is worth on the open market, as well as the market’s perception of its future prospects, because it reflects what investors are willing to pay for its stock.

In an interview with Daily Monitor last week, USE chief executive officer Paul Bwiso said: “The current market capitalisation of the USE as represented by the All Share Index stands at Shs23.5 trillion. This is a 2.62 per cent increase from the market capitalisation of Shs22.9 trillion as at 30 June 2017. A 4 per cent change is shown by the increase in the Local Companies’ Index.”

He, however, said market activity is still subdued owing to geo-political factors currently prevailing in East Africa.
This is because some of the companies listed on USE are cross listed companies and at the same time stock markets are opened to all sorts of investors local or foreign.

Going forward, Mr Bwiso said: “We expect an improvement once these matters, especially, the political factors, subside.”
The company with largest market cap on the locally listed segment is British American Tobacco Uganda with the total market cap of Shs1.472 trillion.

In in the last two months, Uganda Clays Limited has witnessed the fastest appreciation in its price.
The company with largest market cap on the locally listed segment is British American Tobacco Uganda with the total market cap of Shs1.472 trillion.
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