First Holdco Drops by 5.6% on Negative Investors Sentiment
First Holdco lost about 5.6% of its market value at the beginning of the trading session. The financial services company saw its share price reduced to N30.5, from an opening price of N32.30 as investors sentiment declined.
The financial services holdings company lost N75.380 billion on Monday to close at N1.277 trillion in market value, according to data obtained from the Nigerian stock market.
Trading data from the Nigerian Exchange (NGX) showed there was an increase in activity on First Holdco, one of the top volatile banking stocks with an unimpressive year to date return of 15.51%.
The market reported that 25.906 million units of First Holdco were transacted in the local bourse on Monday, with major moves by the sell side investors who sought to exit positions.
Investment firm Apel Asset Limited however rated First Holdco as among top stock to buy with 19.28% upside potential at the reference price of N32.30.
With the price slump and estimated fair value of the company share of N38.53, First Holdco upside potential has widened. Its share price continued to trade between N30 and N32.55 in the past seven trading session, suggesting breaking out from this range would require significant bets from investors.
On the downside, the group delivered an unimpressive earnings performance, which analysts think is material to buy side investors in the local bourse. #First Holdco Drops by 5.6% on Negative Investors Sentiment Insurance Companies Get 12-Month Window for Recapitalisation

