Day: May 3, 2024

NEPSE witnessed a dynamic week of trading, encompassing four active trading days due to a midweek public holiday. The NEPSE Index concluded the week at 1,998.96, marking a notable gain of 33.03 points (1.68%) from the previous week’s close of 1,965.93, which experienced a slight decline of 0.31%.

Throughout the week, the market exhibited considerable volatility, with the NEPSE Index fluctuating between a high of 2,025.78 and a low of 1,965.18, depicting a variance of 60.6 points. This volatility surpassed the previous week’s range of 39.18 points.

Tuesday saw the highest intraday gain of 25.94 points, coinciding with a turnover of Rs. 4.88 Arba. However, the total turnover for the week amounted to Rs. 14.57 Arba, indicative of robust trading activities.

Momentum indicators revealed a mixed sentiment, with the Relative Strength Index (RSI) reading at 47.56 on the daily timeframe and 48.56 on the weekly chart. Conversely, the Moving Average Convergence Divergence (MACD) and Signal lines signaled a potential bearish trend as they moved towards the negative zone, with the MACD reading at -13.36. The NEPSE Index remained below the 20-day Exponential Moving Average (EMA) but above the 5-day EMA, hinting at a bearish sentiment prevailing in the market.

Support and resistance levels were identified, with the 1,940-1,960 zone serving as the nearest support and the 2,120 zone acting as resistance.

Delving into crucial data, the week witnessed a turnover of Rs. 14.57 Arba, with over 3.55 crore unit shares traded through 2,34,146 transactions. NEPSE’s current market capitalization stands at Rs. 3,169,607.18 million, demonstrating the market’s substantial size.

The NEPSE index recorded a commendable incline of 1.68% for the week, with only one sector index closing in the red.

Additionally, Dolti Power Company Ltd (DOLTI), Nepal Finance Limited (NFS), and Janaki Finance Company Limited (JFL) emerged as the top three companies with the highest monthly beta, showcasing significant market sensitivity.

Infinity Laghubitta Bittiya Sanstha Limited (ILBS) emerged as the top gainer of the week, while People’s Power Limited (PPL) experienced a notable decline in its price.

Overall market analysis and insights were conducted using the SS Pro Software, providing valuable information and trends for investors and stakeholders.

Sun Nepal Life Insurance Company Limited has revealed its plan to issue right shares at a ratio of 1:0.27, totaling 1,06,96,320 units, priced at Rs. 100 each.

Nepal SBI Merchant Banking Limited, a subsidiary of Nepal SBI Bank Limited, has been entrusted with the responsibility of managing the issuance and sale process.

The agreement formalizing this arrangement was signed during a ceremony held at the premises of Sun Nepal Life Insurance in Kathmandu. Mr. Lekhnath Pokhel, Managing Director and CEO of Nepal SBI Merchant Banking, along with Mr. Raj Kumar Aryal, CEO of Sun Nepal Life Insurance, officiated the signing ceremony.

The issuance of right shares provides existing shareholders the opportunity to purchase additional shares at a predetermined price, thereby increasing their ownership stake in the company.

This strategic move aims to bolster the financial position of Sun Nepal Life Insurance and facilitate its growth trajectory in the insurance sector.

Siddhartha Premier Insurance Limited (SPIL) has unveiled its third-quarter financial results for the fiscal year 2080/2081, showcasing a remarkable surge in net profit. The company’s net profit soared by 109.65% to Rs. 59.71 crores from Rs. 28.48 crores in the corresponding quarter of the previous fiscal year.

With a paid-up capital of Rs. 1.4 Arba and a substantial share premium of Rs. 4.75 Crores, SPIL also boasts considerable reserves, including retained earnings, other equity, catastrophe reserves, and special reserves amounting to millions.

During Q3 FY 2080/81, Siddhartha Premier Insurance witnessed a notable increase of 138.56% in net premiums, reaching Rs. 1.32 Arba compared to the same period last year. Additionally, the company generated Rs. 52.73 Crores from income derived from investments, loans, and other financial activities.

The quarter also saw SPIL’s strategic move of selling 20,73,446 promoter shares of Nepal Reinsurance Company (NRIC) at Rs. 280 per share, resulting in a significant net profit before tax of Rs. 41.71 crores.

However, there was a substantial 93.09% increase in net claims during the quarter, totaling Rs. 66.25 Crores.

Key financial metrics further underscore SPIL’s performance, with an annualized earnings per share (EPS) of Rs. 56.71 and a net worth per share of Rs. 409.04.

In a recent development, the price of fine gold has experienced a notable decline, dropping by Rs. 1,100 per tola.

As per the latest report released by the Federation of Nepal Gold and Silver Dealers’ Association (FENEGOSIDA), the current trading rate for pure gold stands at Rs. 1,35,400 per tola. This marks a significant decrease from yesterday’s closing rate of Rs. 1,36,500 per tola.

Similarly, Tejabi gold is now priced at Rs. 1,34,750 per tola, reflecting a Rs. 1,100 decrease compared to its closing price of Rs. 1,35,850 per tola yesterday.

The recent surge in gold prices peaked on April 19th, 2024, when fine gold reached an all-time high of Rs. 1,39,300 per tola.

In contrast, the price of silver remains unchanged at Rs. 1,645 per tola.

This fluctuation in gold prices reflects the dynamic nature of the precious metal market, influenced by various factors such as global economic conditions, investor sentiment, and geopolitical tensions.