Equities Investors Lose N3171bn as BUA, GTCO Fall
Equities investors lost more than N371 billion due to crunching stocks selloffs in the Nigerian market on Tuesday. Stockbrokers reported that the market came under pressures again despite corporate earnings releases.
Thus far, the second quarter of 2024 earnings season has been unimpressive, thanks to the devaluation of the naira and subsequent headwinds.
Key performance indicators tumbled by 0.67% as trading activities ended on a negative note on Tuesday. The Nigerian Exchange All-Share Index declined by 653.89 basis points to close at 96,928.52.
Stock market analysts said the poor outturn stemmed from selloffs in BUACEMENT (-9.99%), GTCO (-1.44%), TRANSCORP (-1.82%) and FIDELITYBK (-1.86%), outweighing the upticks in OANDO (+9.89%) and UBA (+3.45%).
Stockbrokers said investors are reacting negatively to the first half of the year’s performance of quoted companies, high inflation and interest rates.
In spite of the bearish trade, market activities closed in the green. Total volume and total value traded for the day increased by +38.56% and +8.32% respectively.
In an emailed note to investors, Atlass Portfolios Limited said approximately 449.21 million units valued at ₦6,735.23 million were transacted across 9,381 deals.
UBA was the most traded stock in terms of volume, accounting for 14.00% of the total volume of traded. Other volume drivers include OANDO (8.06%), VERITASKAP (7.47%), STERLINGNG (7.41%), and ACCESSCORP (6.90%).
Also, UBA also emerged as the most traded stock in value terms, with 19.42% of the total value of trades on the exchange. ACADEMY and NASCON topped the advancers’ chart with a price appreciation of 10.00 percent each.
Other gainers include OANDO which popped up by +9.89% SKYAVN (+9.80%), RTBRISCOE (+9.78%), UCAP (+9.74%), UPL (+9.63%), and twenty-two others.
Twenty-five stocks depreciated, according to data from the Nigerian Exchange. BUACEMENT was the top loser, with a price depreciation of -9.99%.
Other decliners include THOMASWY (-8.52%), CHAMPION (-7.97%), ETERNA (-7.37%), FIDSON (-6.78%), and BERGER (-3.70%).
Based in the trading direction, the market breadth closed positive, recording 29 gainers and 25 losers.
The NGX sectoral performance was weak. The Industrial Goods (-3.69%) and Oil & Gas (-0.17%) indices closed in the negative territory due to bearish sentiments in BUACEMENT (-9.99%) and ETERNA (-7.37%), respectively.
The Consumer Goods (+0.52%), Insurance (+0.29%), and Banking (+0.24%) indices closed in the green from demands in DANGSUGAR (+3.61%), CUSTODIAN (+4.92%), and UBA (+3.45%) respectively.
Overall, equities market capitalization of the Nigerian Exchange lost ₦371.26 billion to close at ₦55.03 trillion on Tuesday. Energy Firm Advocates ESG Practices in Oil, Gas Industry
