Insurance Companies Fuel Intraday Rally on Nigerian Exchange
AXA Mansard, AIICO, and Custodian Insurance, among other industry players, are driving the intraday rally on the Nigerian Exchange (NGX) trading platform on Wednesday.
The local bourse uptrend is noted to be minimal, driven by lightweight stocks dominating the ongoing bull runs during the trading hours. In anticipation of the recapitalisation in the insurance sector, investors have shifted attention to underpriced insurance names in the local bourse.
All the listed insurance companies had a combined market capitalization of less than N700 billion at the beginning of the month. The latest rally has forced a re-rating of the insurance stock with the hope that recapitalisation will begin.
At the same time, stockbrokers reported some price movement in banking and oil and gas names with minimal rally coming from the consumer goods segment at the press time. At midday, the NGX All Share Index witnessed a gain of 0.07%, Alpha Morgan Limited told investors in an emailed note, reflecting a bullish market sentiment.
Stock analysts said the slight uptick was driven by investor interest in some mid- to high-capitalized stocks. Top gainers during the intraday session include MANSARD (9.99%), AIICO (9.93%), CUSTODIAN (9.50%), OANDO (5.77%), and WEMABANK (5.75%).
Others are UACN (4.20%), NAHCO (3.86%), UCAP (3.39%), NASCON (2.84%), FCMB (1.35%), FIRSTHOLDCO (0.46%), and ACCESSCORP (0.36%), among others. #Insurance Companies Fuel Intraday Rally on Nigerian Exchange FG, Firms Set to Construct $60bn Speed Rail in Nigeria
