Equities Market Cap Rises by N93bn to N35.57trn

Equities Market Cap Rises by N93bn to N35.57trn

The Nigerian Exchange (NGX) market capitalisation advanced by about N93 billion due to moderate bargain hunting on listed companies’ stocks. The bears and bulls’ fight for dominance over the five trading sessions were tough, resulting in 18 basis point addition to the market index in the week.

Stock market year-to-date return then advanced to 27.46%, still far ahead of Nigeria’s inflation reading of 22.79% in June 2023.  Market data showed that the Nigerian Exchange All-share Index (NGXASI) rose marginally to 65,325.37 on Friday. The local bourse experienced early exits by equities investors amidst uncertainties in the economy.

However, the market regained its footing in the later part of the week, Futureview Financial Services Limited told investors, buoyed by renewed purchasing activity.  It was the resurgence that drove the market index to 65,325.37 points.

Stock traders at Futureview said despite the fluctuations experienced in the market, the performance showed a slight 0.20% increase last week compared to the previous week’s closing point of 65,198.08 points.

A total turnover of 1.741 billion shares worth N25.087 billion in 30,652 deals was traded this week by investors on the floor of the Exchange, in contrast to a total of 2.575 billion shares valued at N29.615 billion that exchanged hands last week in 37,713 deals.

The Financial Services Industry (measured by volume) led the activity chart with 1.244 billion shares valued at N12.616 billion traded in 13,398 deals; thus contributing 71.43% and 50.29% to the total equity turnover volume and value respectively. The Conglomerates

Industry followed with 133.034 million shares worth N575.673 million in 1,572 deals. The third place was the ICT Industry, with a turnover of 87.649 million shares worth N2.292 billion in 2,404 deals.

Trading in the top three equities namely Sterling Financial Holdings Company Plc, FBN Holdings Plc, and Universal Insurance Plc (measured by volume) accounted for 518.847 million shares worth N3.917 billion in 1,901 deals, contributing 29.80% and 15.61% to the total equity turnover volume and value respectively.

Specifically, the equities market benefitted from the 1.05% price increase in Telco large-cap MTNN as well as price improvements in mid-cap —TRANSCORP (+8.36%), DANGSUGAR (+1.85%),  and ETI  (+1.94%).  CardinalStone Securities Limited told investors in an update that these gains proved more than enough to offset losses in banking pair — UBA (-1.37%) and ACCESSCORP (-0.86%) on Friday’s close.

Market data showed that GUINEAINS gained 50.00% last week, CHELLARAM rose by +29.79% and SUNUASSUR spiked by 23.66% week on week. Market analysts said these gains were sufficient to offset losses in JOHNHOLT (-18.37%), DANGSUGAR (-12.00%, and RTBRISCOE.

Consequently, the year-to-date (YTD) settled at 27.46%, while the market capitalization gained N92.7 million week on week to close at N35.57 trillion. For sectoral buckets, Insurance (+0.37%) and Banking (+0.01%) sectors closed positively on the back of gains in CORNEST (+9.26%) and ETI (+1.94%), respectively.

On the flip side, losses in WAPCO (-0.89%) led to the 5bps decline in the Industrial Goods sector. The Consumer Goods and Oil & Gas sectors closed flat. #Equities Market Cap Rises by N93bn to N35.57trn Treasury Bills Yield Steadies, Money Market Rates Decline