1724237241732.png)
NEPSE Market Update: Leading Sectors, Underperformers, and Top Turnover Players
The Nepal Stock Exchange (NEPSE) remains in a strong bull market, with the index standing at 2968.44 as of August 21, 2024, reflecting a significant 45.60% rise over the past 35 days. The total turnover of NEPSE during this period has reached an impressive Nrs.485.02 billion, underscoring the market's robust activity. Let’s take a closer look at the key players, including the best-performing sector, worst-performing sector, the sector with the highest turnover, and notable mentions.
Best-Performing Sector: Finance
The Finance sector leads with an impressive 62.01% increase in value. This sector witnessed a total turnover of Nrs.54.01 billion, demonstrating its resilience and market appeal. A 1502.98-point gain highlights its dominance during the NEPSE bull run, making it the top performer over the last month.
Worst-Performing Sector: Microfinance
The Microfinance sector continues to lag with only a 20.35% increase over the same period. Despite a turnover of Nrs.39.63 billion, the sector is yet to build the momentum shown by other sectors. Its 908.40-point increase signals slow but steady growth during this market surge.
Disclaimer: The Mutual Fund sector is not included in this discussion due to its unique market behavior.
Highest Turnover Sector: Hydropower
The Hydropower sector tops the turnover list, achieving an astounding Nrs 160.31 billion in total transactions. With a 42.36% rise in performance and a 1082.95-point gain, it remains a critical player in the NEPSE market, driven by its vital role in Nepal’s energy market.
Honorable Mentions
Investment
Percentage Change: 61.69%
Total Turnover: Nrs.40.03 billion
Point Change: 46.59
The Investment sector ranks just behind the Finance sector, with a strong 61.69% rise and a turnover of Nrs.40.03 billion. Investor confidence remains high in this sector, reflecting its potential for continued growth.
Banking
Percentage Change: 60.07%
Total Turnover: Nrs.66.08 billion
Point Change: 641.45
The Banking sector has shown a 60.07% increase, supported by a solid turnover of Nrs.66.08 billion. This highlights the sector’s central role in the financial system and its strong recovery in the NEPSE bull market.
Life Insurance
Percentage Change: 50.29%
Total Turnover: Nrs.32.33 billion
Point Change: 4914.59
With a 50.29% rise, the Life Insurance sector is another notable performer. The sector’s total turnover of Nrs.32.33 billion reflects growing interest and confidence in insurance products during this market surge.
Additional Sector Updates
Development Bank
Percentage Change: 41.79%
Total Turnover: Nrs.34.96 billion
Development banks performed moderately well with steady growth but trailed behind other financial sectors.
Hotels and Tourism
Percentage Change: 39.93%
Total Turnover: Nrs.12.26 billion
The tourism sector has shown a strong recovery, benefiting from the post-pandemic surge in tourism.
Manufacturing & Processing
Percentage Change: 22.51%
Total Turnover: Nrs.29.14 billion
This sector has experienced slower growth compared to others, reflecting challenges in the manufacturing space.
Non-Life Insurance
Percentage Change: 37.91%
Total Turnover: Nrs.25.82 billion
While slower than Life Insurance, the non-life sector remains an essential part of the NEPSE market.
Others
Percentage Change: 43.31%
Total Turnover: Nrs.30.95 billion
Miscellaneous companies have performed well, showing a healthy growth trajectory.
Trading
Percentage Change: 44.17%
Total Turnover: Nrs.2.16 billion
The trading sector has shown significant improvement but remains smaller in scale compared to major financial sectors.
In Conclusion
As the NEPSE bull market progresses, the Finance sector continues to outperform, while Microfinance remains the slowest-growing. The Hydropower sector dominates in turnover, with other sectors like Investment, Banking, and Life Insurance demonstrating strong growth, earning them honorable mentions. These sectors are pivotal to the ongoing NEPSE bull run, highlighting the strength of the market.
This updated data, as of August 21, 2024, reflects the dynamic and robust nature of the current market, showcasing multiple sectors with strong investor interest.
