Kayode Tokede
The stock market segment of the Nigerian Exchange Limited (NGX) commenced the new week on a positive note, gaining N100.65billion in market capitalisation amid investors’ demand for Zenith Bank Plc, Geregu Power Plc, BUA Foods, and 30 others.
As Zenith Bank gained 0.14per cent to close at N36.90 per share, Geregu Power added 6.75 per cent to close at N 721.50 per share, BUA Foods appreciated by 1.05 per cent to close at N299 per share, the overall market capitalisation gained N100.65billion or 0.18 per cent to close yesterday at N55.836trilliion from N55.735trillion it closed for trading last week.
The stock market major indicator, NGX All—Share Index appreciated by 183.95 basis points or 0.18 per cent to close at 102,042.32 basis points from 101,858.37 basis points it opened for trading.
Accordingly, the NGX ASI Month-to-Date and Year-to-Date returns advanced to 0.9per cent and +36.5per cent, respectively.
Analysing by sectors, the NGX Insurance Index rose by 2.3per cent, NGX Consumer Goods added 0.6per cent and NGX Oil & Gas gained 0.2per cent, while the NGX Banking Index dropped by 0.9per cent and NGX Industrial Goods depreciated by 0.1per cent.
As measured by market breadth, market sentiment was positive, as 33 stocks gained relative to 23 losers.
Chams, NCR and Royal Exchange led the gainers table by 10 per cent to close at N2.75, N4.40 and N0.77 per share, respectively. As Sunu Assurance appreciated by 9.50 per cent to close at N1.96, TIP rose by 9.43 per cent to close at N2.32 per share.
On the other side, Infinity led the losers table by 9.88 per cent to close at N2.19, per share. PZ Cusson Nigeria followed with a loss of 9.87 per cent to close at N27.85, while May & Baker declined by 9.80 per cent to close at N6.35, per share.
The total volume traded declined by 24.7per cent to 242.43 million units, valued at N5.13 billion, and exchanged in 8,715 deals. Access Corporation was the most traded stock by volume at 24.90 million units, while Guaranty Trust Holding Company (GTCO) was the most traded stock by value at N841.25 million.
In the new week, analysts at Cowry Assets Management Limited anticipated “the current bearish trend to persist as investors seek refuge in fixed -income instruments due to the high yields as seen recently amid dividend expectations and high market volatility ahead of the January Consumer Price Index (CPI) data from the NBS and the impending Monetary Policy Committee meeting this February.
“However, a pullback at this juncture is expected to strengthen upside potential. Amidst all these, we continue to advise investors to take position in stocks with consistent track records of dividend payments and strong fundamentals and growth prospect to support earnings growth.”
