Stock Market Gains N332.5bn on Buy Interest in Presco, Others

Kayode Tokede 

The Nigerian stock market, yesterday sustained its positive momentum, as increased buying interest in Presco Plc and 34 others pushed the marketer capitalisation up by N332.5 billion. 

The Nigerian Exchange Limited All Share Index (NGX ASI) gained by 516.93 basis points, or 0.31 per cent to close at 165,901.57 basis points. As a result, the NGX ASI’s Month-to-Date and Year-to-Date returns settled higher at +0.3per cent and +6.6per cent, respectively.

 Also, market capitalisation appreciated by N332.5 billion to close at N106.495 trillion.

However,  sectoral performance was mixed as the NGX Banking Index gained 1.3per cent and NGX Industrial Goods Index  advanced by 0.7per cent, while the NGX Insurance index depreciated by 1.3per cent,NGX Consumer Goods index dropped by 0.2 per cent  and NGX Oil & Gas index declined by 0.2per cent.

Investor sentiment remained strong, with 35 gainers slightly outpacing 34 losers. Austin Laz & Company, IMG, Union Dicon Salt and Zichis Agro-Allied Industries recorded the highest price gain of 10 per cent each to close at N4.07, N34.65, N9.90 and N5.06 respectively, per share.

R.T. Briscoe (Nigeria) followed with a gain of 9.95 per cent to close at N9.50, while Morison Industries up by 9.93 per cent to close at N12.07, per share.

On the other hand, Cutix and Omatek Ventures led the losers’ chart by 10 per cent each to close at N3.15 and N2.43 respectively, while SUNU Assurance followed with a decline of 9.94 per cent to close at N4.62, per share.

DEAP Capital Management & Trust depreciated by 9.93 per cent to close at N7.62, while Chams Holding Company declined by 9.90 per cent to close at N4.37, per share.

Meanwhile, the total volume traded declined by 3.45 per cent to 736.438 million units, valued at N24.665 billion, and exchanged in 46,026 deals. Transactions in the shares of GTCO topped the activity chart with 65.861 million shares valued at N6.524 billion. Chams Holding Company followed with 54.759 million shares worth N245.561 million, while Custodian Investment traded 49.817 million shares valued at N2.200 billion.

Universal Insurance traded 35.715 million shares valued at N51.063 million, while Zenith Bank sold 35.225 million shares worth N2.549 billion.

A group of analysts at Imperial Asset Managers Limited said, “the increase in daily growth from prior day’s 0.01 per cent to today’s 0.31 per cent suggests a strengthening of the current rally. The high volume in Guaranty Trust Holding Company (GTCO) and Zenith Bank indicates that institutional investors are active, providing necessary support for the index.”

The firm added that “as we move further into the week, we expect the market to remain buoyed by selective positioning in dividend-yielding stocks and Tier-one banks, though intermittent volatility may persist in the insurance and tech sectors where sell pressure was evident today.”