Banking stocks are still a huge turnoff for investors on the local equities market if valuation multiples are anything to go by.
By Chris Muronzi
A look at price-to-book ratios of Zimbabwe Stock Exchange (ZSE)-listed companies shows that banking stocks are still not as hot for investors and are trading at unbelievable discounts to their book values.
As at July, CBZ was trading at 24% of its book value. NMB and ZB Financial Holdings were trading at 0,28% and 0,32% of their book values.
A bull run in the quarter to June saw major re-rating of ZSE counters, which has not benefitted banking...