Market Trading Value Rises 105% as Investors Stake N30bn

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WEEKLY REPORT

The volume and value of trading at the stock market recorded improvement last week as investors staked N30.296 billion on 3.008 billion shares in 24,036 deals. This showed a jump of 105 per cent compared with N14.743 billion invested in 1.415 billion shares exchanged in 20,659 deals the previous week.

However, the Nigerian Stock Exchange All-Share Index (NSE ASI) fell by 0.28 per cent to close lower at 40,814.89, while market capitalisation declined to N14.743 trillion.  But the In the same vein, all,  NSE Corporate Governance  NSE Premium, NSE-Main Board, NSE 30, NSE Banking, NSE Oil/Gas, and NSE Pension indices  which appreciated by 1.08 per cent , 1.38 per cent, 0.54 per cent, 0.13 per cent, 2.34 per cent, 0.73 per cent and 1.42 per cent in that order.

Although the  benchmark index fell by 0.28 per cent last week, as against a gain of 0.21 per cent the preceding week, analysts at Cordros Capital Limited  maintained a positive outlook for the market.

According to them,     reiterated  their  positive outlook for risky assets, amid rapidly declining fixed income yields,  relatively lower prices of value stocks, expected positive corporate releases, and strengthening macroeconomic fundamentals.

Daily Performance

The market resumed on Monday taking the hit with the index depreciating by 0.97 per cent to close at 40,533.37 due to depreciation recorded in the share prices of GTBank, Nigerian Breweries, FBN Holdings, Double 11 Plc, and Dangote Flour  Mills Plc. Similarly, the market capitalisation depreciated by 0.97 per cent to close at N14.64 trillion.

But  in terms of activity,  volume and value of shares traded increased by 15.2 per cent  and 53.3 per cent  to 192.5 million shares  and N3.1 billion respectively. The top traded stocks by volume were   GTBank (37.61 million shares), Japaul Oil and Maritime Services (21.34 million shares) and Fidelity Bank (13.22 million shares).  Mixed Sector Performance

Performance across sectors was mixed three sectors out of the five tracked for the day appreciated. The NSE Industrial Goods index led gainers, up 0.5 per cent, followed by the NSE Banking  Index with 0.3 per cent. The NSE Insurance Index garnered  0.2 per cent. On the flip side, the NSE Oil & Gas Index was the lone decliner, down 0.7 per cent, while the  NSE  Consumer Goods Index closed flat.

The market rebounded on the Tuesday, appreciating by 0.63 per cent to close at 40,788.68, while capitalised ended at N14.73 trillion. The boost came from growth in the share prices of in the share prices of GTBank, Nigerian Breweries, FBN Holdings, Access Bank, and UBA, Seplat, Zenith Bank Plc.

Again, the three most actively traded stock came from the banking sector. They were: FCMB (952.58 million shares), UBA (382.46 million shares) and Zenith Bank (65.23 million shares).  The number of sectoral indicators that appreciated improved to four on Tuesday.

Only the NSE Insurance Index fell 0.7 per cent. The NSE  Oil & Gas Index led with 2.0 per cent  as investors took position in Seplat and Oando. Similarly the  NSE Banking and  NSE Consumer Goods indices rose by 1.3 per cent and 0.6 per cent  in that order.

The bears returned on Wednesday, dragging the index down marginally by 0.04 per cent to close at 40,772.26, following depreciation in prices of Lafarge Africa, Nigerian Breweries, and UBA among others. Similarly, activity level dipped as volume and value traded decreased by 85.6 per cent  and 60.4 per cent  to 230.2 million shares   and N4.3 billion  respectively.

But the market rebounded on Thursday on rally in Dangote Cement Plc to close 0.25 per cent higher at 40,874.09. In the same vein, activity level strengthened with   volume and value of shares traded jumping  221.7 per cent  and 106.5 per cent  to 740.4 million shares  and N8.9 billion respectively. FCMB (204.1 million shares), Oando  (185.5 million shares ) and Zenith Bank  (70.7 million shares units) were the top traded by volume.

However, performance across sectors was largely bearish as the NSE Industrial Goods Index emerged the lone gainer, up 0.8 per cent propelled by gains recorded in the shares of Dangote Cement Plc and Lafarge Africa Plc.

Conversely, the NSE Insurance Index led the losers with 0.8 per cent, trailed by the NSE  Oil & Gas Index  with 0.6 per cent. The NSE  Consumer Goods Index and NSE  Banking Index  shed 0.3 per cent  and 0.1 per cent respectively.

The market fell by 0.14 per cent on Friday to bring the total decline for the week to 0.28 per cent.

 

Market Turnover

Meanwhile, an analysis of the activity chart showed that the Financial Services Industry  led  with 2.539 billion shares valued at N23.510 billion traded in 13,179 deals. The sector thus   contributed  84.43 per cent  and 77.60 per cent  to the total equity turnover volume and value respectively. The Oil and Gas Industry followed with 273.443 million shares worth N2.358 billion in 3,735 deals. The third place was occupied by Consumer Goods Industry with a turnover of 60.840 million shares worth N2.654 billion in 3,141 deals.

Trading in the top three equities namely – FCMB Group Plc, United Bank for Africa Plc, and Oando Plc  accounted for 1.816 billion shares worth N9.599 billion in 3,851 deals.

Also traded during the week were a total of 177,144 units of Exchange Traded Products (ETPs) valued at N2.809 million executed in six  deals, compared with a total of 616,587 units valued at N9.185 million that was transacted  the previous  week in 21 deals.

A total of 13,735 units of Federal Government Bonds valued at N14.128 million were traded last week   in 16 deals, compared with a total of 2,500 units valued at N2.367 million transacted two weeks ago in 10 deals.

 

Price Gainers and Losers

In all, 36 equities appreciated in price during the week, lower than 37 in the previous week, while 33 equities depreciated in price, lower than 38 equities of the previous week.

Oando Plc led the price gainers with 39.1 per cent to close at N9.60 per share. Jaiz Bank Plc trailed with 21.1 per cent, while Skye Bank Plc and Julius Berger Nigeria Plc chalked up 14.8 per cent.

Other top price gainers included: Unity Bank Plc (14.4 per cent); Northern Nigeria Plc (9.6 per cent); N.E.M Insurance Plc (9.1 per cent); regency Alliance Insurance Plc (7.1 per cent); and Ecobank Transnational Incorporated (5.9 per cent).

Conversely, A.G Leventis Nigeria Plc led the price losers with 14.1 per cent, trailed by Double 11 Plc with 14.1 per cent.  Mutual Benefits Assurance Plc shed 12.1 per cent, while Niger Insurance Plc went down by 8.8 per cent.

Other price losers included: Presco Plc (8.3 per cent); UACN Property Development Company Plc (7.8 per cent); Livestock Feeds Plc (7.7 per cent); First Aluminium Nigeria Plc (7.5 per cent); Continental Reinsurance Plc (7.4 per cent) and NASCON Allied Industries Plc (5.8 per cent).