🔑 Key Sustainable Opportunities in NEPSE and Strategy

 

1. Commercial Banks

• Why: Strong balance sheets, consistent dividend history, and earnings stability.

• Examples: Large commercial banks like NABIL, NBL, or Global IME often distribute steady dividends and benefit from Nepal’s growing financial sector.

• Sustainability: Banks are essential for credit expansion, remittance inflows, and digital banking growth.

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2. Insurance Companies

• Why: Growing insurance penetration in Nepal means long-term expansion potential.

• Examples: Life insurers (like NLIC, HGI) and non-life insurers (like SICL, NLICL) are known for regular bonus shares and cash dividends.

• Sustainability: Mandatory insurance regulations and increasing financial literacy support sector growth.

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3. Hydropower Companies

• Why: Nepal’s natural hydropower potential and increasing domestic demand + export opportunities to India.

• Examples: Established players like Butwal Power (BPCL), Chilime (CHCL), or Sanima Hydro (SHPC) have started offering stable dividends after project completion.

• Sustainability: Renewable energy sector with long-term government support and cross-border trade prospects.

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4. Strong Microfinance Institutions (MFIs)

• Why: While risky if overvalued (like USLB), some MFIs have sustainable growth models.

• Examples: Well-managed ones such as SKBBL or CBBL with decent EPS and steady expansion.

• Sustainability: Microfinance remains key for rural credit access, but choose those with balanced growth and reasonable valuations.

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5. Dividend Kings (Consistency Over Hype)

• Look for companies with a 10+ year track record of regular dividends rather than chasing one-time high payouts.

• These are safer bets for passive income investors in NEPSE.

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📌 Strategy 

• Diversify across 2–3 sectors (e.g., Banks + Hydro + Insurance).

• Focus on low P/E and reasonable P/B ratios compared to peers.

• Avoid chasing hype in microfinance and small hydros unless fundamentals back it.

• Accumulate in downturns, since NEPSE moves in cycles.

NEPSE crosses level of 1200 to close at 1200.92 - NEW HISTORY MADE.

NEPSE index crosses the level of 1200 to close at 1200.92 recording surge of 9 points or 0.76 percent.

The total turnover of the day amounted Rs 77.31 crore where more than 16 lakh unit shares of 145 companies were traded through 5720 transactions.

The local bourse opened at 1191.93 this afternoon and went up to 1220 level within the initial hour and there after slipped meager points before closing at 1200.92 level.

Compulsorily trading of all commercial banks in demat led the investors ease in investing in those shares where the increase in demand of these shares has increased their respective share prices.

Maximum trading were done of shares like PRVU, SCBIL, NBB, GBIME, SBI, PCB, EBL and NABIL.

Shares price of companies like KMCDB, NICL, NLG, PIC, KBBL, JBBL and JEFL surged more than 8 percent today.

NEPSE has already broken the all-time high level and every surge in the level of the benchmark will take the NEPSE index to the new level.

HydroPower was the only sector to land in red today where Banking, Development and Finance gained 8.44 points, 10.42 points and 3.67 points respectively.

Insurance, Manufacturing and Others gained in double digits.- SSN

Nepse index surges past previous high to 1,088.42 points

The bull run witnessed in the country’s only secondary market since the past two months continued in the trading week of August 9 to 14, driving up the Nepal Stock Exchange (Nepse) index to close at nearly a seven-year high of 1,088.42 points. The benchmark index soared by 48.06 points or 4.62 per cent week-on-week to breach the previous high of 1,083.55 points that was recorded on July 21, last year.

Investor optimism following the central bank’s latest monetary policy requiring financial institutions to increase their paid-up capital has been further boosted by the positive development at the political front.

Consequently, starting the week at the previous week’s close of 1,040.36 points, the benchmark index surged by 23.05 points by the day’s closing on Sunday. The Nepse index ascended by another 17.95 points on Monday, but shed 3.58 points and 0.59 points on Tuesday and Wednesday, respectively, due to profit-booking. However, the local bourse more than regained all the loss on Thursday by climbing 11.23 points. The last time Nepse had closed at the current level was on August 26, 2008, when it had rested at 1,087.80 points.

All in all, 5.56 million units of shares of 168 companies worth Rs 3.18 billion were traded at Nepse during the trading week through 21,487 transactions. The traded amount was 28.55 per cent higher than the preceding week when 17,482 transactions of 4.84 million scrips of 172 firms worth Rs 2.48 billion had been undertaken.
The sensitive index, which gauges the performance of class ‘A’ stocks, rose by 12.03 points to 234.81 points. Similarly, the float index that measures the performance of shares actually traded also added 2.96 points to land at 77.46 points during the review period.
While trading remained constant at 212.92 points, hydropower and finance were the only two subgroups to record losses.

The bull run in the stock market can be attributed to the massive demand for stocks of commercial banks as the banking subgroup has the highest stake in Nepse’s market capitalisation. The banking sub-index increased by 72.43 points to 1,021.34 points. Nabil Bank’s stocks closed at Rs 2,500 (up Rs 200), Standard Chartered’s at Rs 2,730 (up Rs 402), and Nepal Investment Bank’s at Rs 1,000 (up Rs 199), among others.

Meanwhile, similar to the previous week, insurance was the top gainer in the week, surging by 130.46 points to 4,609.67 points. Share value of National Life Insurance soared by Rs 115 to Rs 2,130 and that of Life Insurance Co Nepal by Rs 162 to Rs 3,352, among others.
Unilever’s scrips gaining a hefty Rs 2,300 to close at Rs 23,700 helped the manufacturing subgroup to more than recover the loss of the previous week and ascend by an impressive 125.29 points to rest at 1,802.76 points.

Hotels went up by 11.59 points to 1,875.79 points. Even as Oriental’s scrips dropped by Rs 28 to Rs 585 and Taragaon’s dipped by four rupees to land at Rs 241, the loss was offset by Soaltee’s shares edging up by eight rupees to Rs 438.

Nepal Telecom’s share value went up by six rupees to close at Rs 621, which in turn pulled up the others subgroup by 7.04 points to 729.57 points.

Development banks inched up by 2.85 points to 856.83 points. On the other hand, hydropower slumped by 40.38 points to 2,101.55, as Chilime’s shares lost Rs 61 to land at Rs 1,520 and Ridi Hydropower’s was down Rs 12 to Rs 395.
Likewise, finance dipped by 4.2 points to 539.28 points.NIC Asia Bank topped the chart in terms of number of shares traded and turnover, with 342,000 of its scrips worth Rs 281.57 million changing hands. Everest Bank with
Rs 206.32 million, Nepal Investment Bank with Rs 171.75 million, Nepal SBI Bank with Rs 141.76 million and Nepal Bangladesh Bank with Rs 138.63 million were the other firms to record high turnover during the review period.
Meanwhile, Century Commercial Bank was the forerunner with regards to number of transactions, clocking a total of 1,334 deals. - HNS

Chilime Hydropower postponed SGM; Siddhartha Development, Jyoti Bikas and Nepal Bittiya Sanstha postponed AGM

Chilime Hydropower Company Limited has decided to postpone its Special General Meeting, whereas Siddhartha Development, Jyoti Bikas and Nepal Bittiya Sanstha has decided to postpone their AGM citing the 7.9 scale earthquake that rocked Nepal on Baishakh 12, 2072.

The BOD meeting of Chilime Hydropower Company held on Baishak 15 has decided to postpone its SGM, which was scheduled for Baishak 23, until further notice.

Likewise, the AGM of Siddhartha Development Bank Limited, which was set to be held on Baishak 25, has been postponed pending further notice. The decision was made by the meeting BOD held on Baishak 18.

Meanwhile, Jyoti Bikas Bank has decided to conduct its 7th AGM at 11 am on Jestha 18 at Nepal Pragya Pratisthan, Kamaladi, Kathmandu. The AGM had been scheduled for Baishakh 20.

Nepal Bittiya Sangh’s 18th AGM which was going to be held on Baishakh 25 now has been postponed until further notice.

Chilime Hydropower Co. Ltd (CHCL) - Fundamental Analysis for FY 2070/71

चिलिमे जलविद्युत कम्पनीको संक्षिप्त विश्लेषण
पूँजी, जगेडा र लगानी
नेपाल विध्युत प्राधिकरणको ५१% स्वामित्व रहने गरी सहायक कम्पनीको रुपमा खडा गरिएको चिलिमे जलविद्युत कम्पनीको चुक्ता पूँजी रु. २ अरब २७ करोड १३ लाख ६० हजार रहेको छ / संचित कोषमा रु. ४ अरब ४६ करोड ३९ लाख ३३ हजार रहेको छ / २ अरब ६६ करोड लगानी समेत गरेको छ | 

प्रशासनिक खर्च, ह्रास कट्टी तथा खुद नाफा
विद्युत विक्रीबाट रु. ९८ करोड ५० लाख ३ हजार र व्याज तथा अन्य आम्दानीबाट २२ करोड २५ लाख ८९ हजार गरी कुल रु. १ अरब २१ करोड ९२ हजार कुल आम्दानी गरेको देखिन्छ / प्रशासनिक, ह्रास कट्टी, तथा अन्य खर्च रु. २७ करोड १४ लाख २७ हजार कटाएर कम्पनीले रु. ९३ करोड ९६ लाख ७५ हजार खुद नाफा गरेको छ |

प्रमुख सूचकहरु

Four hydropower IPO public stock worth over Rs 13 arba Coming Soon......

Four hydropower companies being built by Nepali investors are planning to issue the Initial Public Offerings (IPOs) worth Rs 13.32 arba in near future.

Four hydropower companies led by the Chilime group are in the process of floating their IPOs worth Rs 8.13 arba and another IPO of the Upper Tamakoshi project worth Rs 5.18 arba is in the pipeline.

Upper Tamakoshi, Sangen, Rasuwagadi and Mid-Bhotekoshi are planning to set aside the primary shares worth Rs 5.67 arba to the depositors of the Employees Provident Fund, and Rs 2.71 arba to the local affected people.

Nepal Stock Exchange (Nepse) surges past 700-pt mark

The Nepse leapt 23 points and rushed past the 700-point mark on Wednesday, continuing a winning streak triggered by the elation of the Constituent Assembly polls. The index reached a four-year high of 700.8 points amid lively trading.
The last time the Nepse had soared to such heights was on August 27, 2009 when it reached 708.75 points. Since then, the stock market had been on a continuous downturn until the jinx was broken by the announcement of the election.

Nepse raises trading volume limit for brokers

The transaction volume at the stock exchange has shot up to a record high as brokers are able to undertake larger orders thanks to increased trading limit.

Today, Nepal Stock Exchange (Nepse)’s trading floor saw transactions worth Rs 515.8 million of 114 companies without any bulk transaction. The surge in turnover was coupled with the steep rise of the Nepse index. The continuous bullish rise of share prices pushed the index up to 677.8 points today — up by 16 points that is 2.42 per cent. This is the highest level the index has reached in the last 51 months.

Share market static as Dashain approaches

The stock exchange this week — September 29 to October 3 — witnessed more than 45.6 million units of ordinary shares getting listed, while the market remained almost static due to the fast approaching Dashain.

Four financial institutions — Rural Microfinance Development Center, Hamro Bikas Bank, Jebil’s Finance and Sana Kisan Bikas Bank — that had conducted their Initial Public Offerings in July, got their 9.8 million units of ordinary shares listed at Nepal Stock Exchange (Nepse) for trading this week.

Dividend announcements fail to attract investors

Despite the attractive dividend announcements, lack of bonus shares dampened investor confidence and share prices failed to increase.

This year, the dividend offering has risen in comparison to last year especially by finance companies and development banks. However, since the past one and a half months, the stock index of the three subgroups commercial banks, development banks and finance companies  has remained static.

Chimile gives 295 % cash and 100 % bonus shares; expect higher dividends with 4 projects in pipeline

Chilime Hydropower Company Limited has distributed a mindblowing 295percent cash dividend and 100 percent bonus share to the shareholders from the net profit it made over the past decade.

The 17th Annual General Meeting of the hydropower developer held in the capital yesterday also decided to distribute 30 percent bonus share and 10 percent cash to the shareholders from the net profit it earned in the last fiscal year of 2069/70.

NEPSE recovers by 3.64 points to settle at 541.95 levels

Breaking its bearish rampage, Nepal Stock Exchange today made a recovery of 3.64 points to settle at 541.95 levels. Earlier, for the four consecutive trading days, the market index was galloping downside, suffering 13.69 points in total.

Nepse tumbled by a massive 7.47 points to settle at 541.51 levels

Breaking the sideways channel, Nepal Stock Exchange today tumbled by a massive 7.47 points to settle at 541.51 levels. This is the highest fall seen in the market for the past two months. Last time, the market made such a mammoth loss was on 16th July, totaling 8.97 points.

NEPSE at 552

Sprinting its way further up, the Nepse index crossed 550 levels to settle at 552 levels today.

As the dividend distribution and announcement season has kicked in, in the midst of an upcoming festive season, the investors are converging in market to capitalize the return provided by the listed companies.

Nepse index up as companies announce dividends

The dividend announcements seem to have buoyed investors as the market reacted positively to the string of dividends declared this week — September 8 to 12.

The index gained 2.95 points on the week’s trading as the dividend announcements of Chilime Hydropower, Nabil Bank and Everest Bank affected the market. Chilime’s shares registered a gain of Rs 83 per unit, while Nabil Bank’s shares shot up by Rs 145 per unit. However, Everest Bank’s shares suffered as the dividend announcement though hefty disappointed investors by its scanty bonus share allotments and its shares fell by Rs 187 per unit.

Major Companies’ dividend declaration hints at surging market

If the announcement of largely impressive dividends by major players last week is anything to go by, the share market is likely to head in the right direction in the days to come.
Analysts say that the development is quite encouraging, though it may be too early to hint at a bullish trend.

NEPSE at 550.29, dips by 1.26 points

The market today floated below the yesterday’s closing level for the entire day, suffering a loss of 1.26 points by end of the day.

Following the correction from the level of 551.6 level, the Nepse zigzagged its way between the range of 551 levels to 549.5 levels for the rest of the day before coming to close at 550.29 levels.

Financial indicators of Commercial Banks of FY 2069/70

Financial indicators of Commercial Banks of the fiscal year 2069/70

Name of the company:                               Paid up captial /     Reserve /      Net Profit (Loss) / NPL   / EPS / P/E Ratio/ NWPS
1. Agricultural Development Bank Limited:    9636.800m        /5758.292m/           2259.947m      /5.72%  /58.55      /3.62     /267.88
2. Bank of Kathmandu Limited:                        1684.397m        /1632.658m             /617.090m      /1.50%   /36.64      /15.09   /196.93
3. Citizens' Bank International Bank Limited:   2101.84m        / 567.149 m             / 399.608 m    /2.02%   /19.01      /14.04   /126.98
4. Civil Bank Limited:                                             2000m            /153.099m               /121.264m     /0.50%    /7.56       /19.70   /107.65

NEPSE at 551.37 levels

Despite nudging its way up to the level of 554 in the opening hour, the market came to slide in the later hours to close in red today.

It seems investors remain skeptic towards index crossing the resistance level of 555.93 which was set after the consensus among political leaders; to form the Chief Justice led government back in the month of February. It is the highest closing level of Nepse following the index plunge to 292.32 levels, back in 2011.

Stock market up 7.86 points; hotels lead

Nepal Stock Exchange (Nepse) last week rose 7.86 points to close at 548.40 points on Thursday.
With the listed companies, particularly commercial banks, announcing huge profits in the last fiscal year, the stock market has witnessed increased investor interest lately.
The market, which opened at 540.54 points on Sunday, maintained its upward momentum throughout the week.