Hydropower companies dominate stock market trading
The stock market has started showing its future trend as Nepal Stock Exchange (Nepse) saw highest trading of three hydropower companies – out of total five listed hydropower companies – in a week.
Arun Valley Hydropower topped the chart of the highest traded companies with Rs 109.18 million, whereas newly listed Sanima Mai Hydropower followed with Rs 90.84 million and Chilime Hydropower saw Rs 48.71 million – making a total of Rs 248.74 million worth share trading of the hydropower companies alone, in a week's trading last week.
The manufacturing companies used to dominate the stock market in its earlier days, whereas the banks and financial institutions have dominance in the market, currently.
The market witnessed transaction of Rs 1.21 billion – against a week ago's Rs 1.11 billion – whereas the hydropower companies' contributed to above a quarter of the total transactions. There are only five hydropower companies at the Nepse against around 200 banks and finance companies that are still thought to be lucrative stocks. But 2.5M-W Ridi Hydropower is going to be the sixth hydropower to be listed at the Nepse – soon – to be followed by 456-MW Upper Tamakoshi that will ensure more dominance of the hydel companies.
The stock market last week surged by 10.6 points as the Nepse closed at 786.52 points on Thursday from the Sunday morning's opening of 775.92 points.