Copperbelt Energy Corporation (CEC) has seen a […]

Copperbelt Energy Corporation (CEC) has seen a decline in its share price on the Lusaka Securities Exchange (LuSE), even as its market capitalization surpasses the $1 billion mark. Recent data from Stockbrokers Zambia, reviewed by the Zambia Business Times (ZBT), shows that for the market period ending 10 July, CEC’s share price has again dropped by 0.06%.

A source familiar with the matter, who spoke to ZBT on condition of anonymity, however, explained that investors are primarily motivated by dividends or rising share prices. “CEC has not declared dividends, and that is affecting their share price,” the source said.

“Most shareholders are offloading their CEC shares because the company has yet to announce a dividend payout. As a result, there are more sellers than buyers in the market,” she added. A source noted that CEC declared interim dividends in 2025, but did not announce a final dividend at its most recent Annual General Meeting (AGM).

 Companies with a December yearend are required to hold their AGMs by 31 March, at which point decisions on dividend declarations are typically made. “It is during these meetings that companies announce whether dividends will be paid, which influences investor decisions to hold, buy more, or sell shares,” the source explained.

 The source noted that the stock market is highly sensitive to information. “Some investors buy and hold shares for the long term, but others are motivated by the potential for dividend payouts. When companies like CEC don’t declare dividends, demand for the stock tends to fall, putting downward pressure on the share price.

Article Justine Phiri