Online Reporter
Business Reporter
The trading week from Thursday May 28 to Thursday June 4 proved to be a period of sharp reversals and sobering corporate news, as both the Zimbabwe Stock Exchange (ZSE) and the VFEX surrendered early gains amid profit-taking and investor caution.
While the ZSE All-Share Index opened the week modestly higher, it closed the period in negative territory.
The VFEX, after touching a fresh peak, also retreated sharply, underscoring the fragile sentiment that continues to characterise both markets.
The ZSE began the trading week on a relatively stable note. On Thursday May 28, the All-Share Index closed at 391,12, a marginal decline from the previous session.
By Friday May 29, however, the downward trend had accelerated. The index fell a further 1,86 points to close at 389,26, with volumes collapsing to just 394 500 shares, a fraction of the volumes seen earlier in the month. The thin trading suggested that institutional investors had stepped to the sidelines, awaiting clearer direction.
The new month brought little respite. On Monday June 1, the All-Share Index tumbled 3,31 points to 385,95, its lowest close of the period, as selling pressure intensified across a range of counters.
A modest recovery followed on Tuesday June 2, with the index inching up 0,11 points to 386,06, but the rebound proved short-lived.
By Wednesday June 3, the index had climbed back to 389,31, but the overall trajectory for the week remained negative, with the ZSE unable to reclaim the levels seen at the start of the period.
Masimba Holdings
Mid-week, Masimba Holdings released its first-quarter trading update for the period ended March 31, 2026, revealing a resilient operational performance despite challenging conditions.
Revenue for the quarter grew by 13 percent compared to the same period in the prior year, closing at US$8,8 million, while profit after tax increased by 12 percent to US$453 000.
The group noted that above-normal rainfall and a prolonged rainy season had created difficult construction conditions across several projects.
Nevertheless, strong project execution and a robust order book, supported by a healthy mix of private and public sector contracts, allowed the business to maintain its growth trajectory. Management also reported that liquidity remained stable, with a current ratio of 1,42 and a quick ratio of 1,26. Capital expenditure of US$2 million was incurred during the period, primarily on hauling and trenching units to boost operational capacity. However, the group also regrettably recorded a fatality during the period, which management said had reinforced its resolve to further strengthen safety protocols across all operations.
First Mutual Properties
On Tuesday June 2, First Mutual Properties convened an extraordinary general meeting to consider several resolutions. All resolutions were passed with 100 percent of shares voted in favour.
The key resolutions included the voluntary termination of the company’s listing from the Main Board of the ZSE, authorisation of an offer by First Mutual Holdings Limited to minority shareholders at US$0,033 per ordinary share and amendments to the company’s articles of association to delete references to the ZSE.
The unanimous passage of these resolutions clears the path for the company’s delisting and the subsequent buyout of minority shareholders.
The market’s reaction was swift and negative.
On the following session, the share price of FMP fell sharply, suggesting that minority holders consider the offer price unattractive relative to prior trading levels.
Other highlights on the ZSE
Several individual counters experienced notable movements during the week.
FML surged 15 percent on Tuesday June 2, closing at ZiG 190,4, in a move that appeared to be a speculative rebound rather than a response to any fundamental news. DZL Holdings continued its volatile pattern, having fallen sharply in the previous week before attempting a recovery.
BAT Zimbabwe shed 8,1 percent on Monday June 1, falling to ZiG17 000, as investors rotated out of defensive stocks. The counter later recovered some ground. ZSE Holdings gave up 8,2 percent on Wednesday May 27, prior to the start of the review period, and remained subdued throughout the week.
VFEX: A peak and a pullback
The VFEX All-Share Index began the review period at 244,09 on Thursday May 28, having gained 5,6 points in the previous session. The index continued its ascent on Friday May 29, closing at 245,12, a fresh week-high, as investors sought refuge in hard-currency denominated assets.
The new month, however, brought a sharp reversal. On Monday June 1, the VFEX All-Share Index plunged 12,7 points to close at 232,42, its steepest single-day decline of the period.
The sell-off was broad-based, with several large-cap counters suffering double-digit percentage losses.
A modest recovery followed on Tuesday June 2, with the index inching up 0,36 points to 232,78, but the rebound proved insufficient to restore investor confidence. By Wednesday June 3, the index had fallen further to 229,62, closing the week significantly lower than its peak.
Other highlights on the VFEX
Caledonia Mining was the most volatile counter on the VFEX during the period.
Having rallied sharply earlier in the week on the back of rising international gold prices, the stock suffered a dramatic reversal on Friday May 29, falling by 19,77 percent to US4 666,35 cents.
It later rebounded 14,8 percent on Wednesday June 3 to US6 396,11 cents, reflecting continued sensitivity to gold price fluctuations.
Zimplow Holdings continued its extraordinary year-to-date run, gaining 20 percent on Thursday May 28 to US9,6 cents.
However, the following week brought a sharp reversal, with the stock shedding 19,96 percent on Wednesday June 3 to US8,46 cents as investors locked in profits.
Econet InfraCo suffered persistent selling pressure, falling by 11,84 percent on Monday June 1 to US23,31 cents, dragging the index lower.
Edgars also declined sharply, losing 18,73 percent on Tuesday June 2 to US3,08 cents, while Seed Co International shed 12,77 percent on Wednesday June 3 to US26,17 cents, reflecting a broader rotation away from consumer-facing stocks.
During the week, Nampak Zimbabwe released its unaudited abridged consolidated results for the six months ended March 31, 2026.
The group reported a profit for the period of ZiG7,75 million, a significant decline from the ZiG77,02 million reported in the corresponding period of the prior year.
Earnings per ordinary share fell to 1,03 cents from 10,19 cents.
Revenue for the period stood at ZiG1,06 billion, while operating profit came in at ZiG24,09 million.
The plastics and metals segment contributed the majority of revenue, while the printing and converting segment delivered the stronger operating profit.
The group also disclosed holdings of Government treasury bills, issued in respect of blocked funds and outstanding auction funds, carried at fair value through profit and loss.
These instruments have varying tenures of up to 20 years and carry a zero coupon rate.
