Goddy Egene and Nosa Alekhuogie
The bulls retreated last week at the stock market, giving way for the bears to take over control of the market. Consequently, the benchmark Nigerian Stock Exchange (NSE) All-Share Index (ASI) fell by 0.72 per cent to close at 27,450.91 compared with a rise of 1.48 per cent the previous week. Despite the slide in the ASI, value of trading on the Nigerian bourse rose by 6.9 per cent as investors staked N13.839 billion on 1.124 billion shares during the review week, as against N12.94 billion invested in 1.375 billion shares the preceding week.
It was a struggle between the bulls and the bears as they took their turns, sequentially, for five trading sessions. However, the losses eventually outweighed the gains leading to the ASI to close lower at 27,450.91. Similarly, the market capitalisation went down lower at N9.428 trillion.
In line with the bearish trend, four other indices finished lower during the week, while the NSE Main Board, NSE 30, NSE Banking, NSE Insurance, NSE Consumer Goods, NSE Oil and Gas and NSE Pension indices rose by 1.93 per cent,0.33 per cent,0.86 per cent,0.04 per cent, 0.93 per cent, 6.74 per cent and 1.21 per cent respectively. The NSE ASeM Index closed flat.
The NSE Oil & Gas index advanced the most, rising by 6.7 per cent on the back of gains in Seplat Petroleum Development Company Plc (+14.6 per cent) and Forte Oil Plc (+10.6 per cent). The NSE Banking and the NSE Consumer Goods Indices rose 0.9 per cent apiece, due to gains in Union Bank of Nigeria (+5.1 per cent), Guaranty Trust Bank Plc (+4.1 per cent), UBA (+1.8 per cent), Nigerian Breweries Plc (+1.5 per cent), International Breweries Plc (+7.4 per cent), and Unilever Nigeria Plc (3.0 per cent). Conversely, the NSE Industrial Index depreciated 1.1 per cent account of losses in Dangote Cement Plc(-5.2 per cent).
Daily Performance Summary
The stock market had started the week on a bullish note with the ASI advancing 0.6 per cent at the end of the trading session on Monday to close at 27,817.00.. Investors gained N55.5 billion as market capitalisation settled at N9.5 trillion. The bullish performance resulted from gains in blue chip Consumer Goods and Banking stocks – Nigerian Breweries Plc (+1.4 per cent), GTBank (+1.6 per cent), UBA (+5.5 per cent) and Nestle Nigeria Plc (+1.2 per cent). Market activity was mixed as volume traded declined 31.3 per cent and value traded appreciated 2.1 per cent to be e at 216.2 million shares and N2.8 billion respectively.
In terms of sectoral performance, it was broadly bullish as the Banking and Oil & Gas indices gained 1.3 per cent and 1.0 per cent respectively to lead other advancers. The Banking index gained on account of bullish sentiment in Tier-1 banks – GTBank (+1.6 per cent), UBA (+5.5 per cent) and Access Bank Plc(+4.6 per cent) just as the NSE Oil & Gas Index appreciated on the back of bargain hunting in Eterna Plc(+4.8 per cent) and Seplat (+2.1 per cent). Likewise, the Consumer Goods and Insurance indices appreciated 0.9 per cent and 0.1 per cent respectively.
The market slowed down on Tuesday to close flat. The NSE ASI depreciated marginally by 0.01 per cent to close at 27,810.28 points. The depreciation recorded in the share prices of Dangote Cement, UBA, Access Bank, Oando and Cadbury were mainly responsible for the decline in the ASI. The total value of stocks traded on Tuesday was N2.93 billion, up by 3.83 per cent from N2.83 billion recorded the previous day.
Wednesday was positive as the Nigerian bourse rebounded to close 0.3 per cent higher at 27,880.46. Market capitalisation grew by N24.1 billion to settle at N9.6 trillion. The performance was influenced by gains recorded by Nigerian Breweries Plc (+1.0 per cent),Forte Oil Plc (+5.0 per cent), GTBank (+1.4 per cent) and Dangote Cement (+0.3 per cent).
The bears returned on Thursday pushing down the ASI by 1.80 per cent to close at at 27,379.95 on the back of losses by Dangote Cement Plc, FBH Holding Plc, Zenith Bank Plc , Forte Oil Plc and Dangote Sugar Plc.
Although the bulls overthrew the bears on Friday, leading to a positive close, the gain of 0.26 per cent on that last day of trading was not enough to erase losses recorded earlier in the week. As a result, the market closed the week shedding 0.72 per cent.
Meanwhile, the Financial Services Industry remained the most traded with 922.145 million shares valued at N7.739 billion traded in 9,612 deals, thus contributing 82.07 per cent and 55.92 per cent to the total equity turnover volume and value respectively. The Consumer Goods Industry followed with 113.395 million shares worth N4.680 billion in 2,689 deals. The third place was occupied by the Conglomerates Industry with a turnover of 42.988 million shares worth N60.763 million in 610 deals.
Trading in the top three equities namely – Guaranty Trust Bank Plc, FBN Holdings Plc and Diamond Bank Plc accounted for 434.979 million shares worth N5.236 billion in 3,490 deals, contributing 38.71 per cent and 37.84 per cent to the total equity turnover volume and value respectively.
Also traded during the week were a total of 16,397 units of Exchange Traded Products (ETPs) valued at N1.961 million executed in 37 deals, compared with a total of 57,828 units valued at N766.162.96 transacted the previous week in 37 deals
Similarly, a total of 1,650 units of Federal Government Bonds valued at N1.690 million were traded in 3 deals compared to a total of 3,127 units of Federal Government Bonds valued at N3.057 million transacted in six deals the previous week.
Gainers and losers
In terms of price movement, 27 equities appreciated in price during the week, higher than 25 equities of the previous week. Twenty-five equities depreciated in price, lower than 39 equities of the previous week, while 128 equities remained unchanged higher than 116 equities recorded in the preceding week.
Seplat led the price gainers for the week with 14.5 per cent, trailed by Forte Oil Plc with 10.6 per cent. Trancorp Plc chalked up 10.4 per cent, just as CAP Plc appreciated by 10.2 per cent. Presco Plc and International Breweries Plc rose by 9.5 per cent and 7.4 per cent in that order. Other gainers among the top 10 included: Fidson Healthcare Plc(6.9 per cent), Union Bank of Nigeria Plc( 5.1 per cent); BOC Gases Plc (4.8 per cent) and GTBank Plc (4.1 per cent).
On the contrary, FCMB Group led the price losers with 14.9 per cent, trailed by A.G. Leventis with a decline of 10.1 per cent. Academy Press Plc shed 9.5 per cent just as Skye Bank Plc and Unity Bank Plc went down by 7.8 per cent and 7.6 per cent in that order. Other top price losers were: May & Baker Nigeria Plc (7.3 per cent); Dangote Flour Mills Plc (6.9 per cent); Fidelity Bank Plc (5.8 per cent); Airline Services & Logistics Plc (5.4 per cent) and Champion Breweries Plc (5.4 per cent).