NGX Slips, Investors Lose N1.6trn as Stocks Hit Overbought
The Nigerian Exchange (NGX) All-Share Index slipped on Wednesday amid profit-taking, resulting in a N1.62 trillion decline in market capitalisation.
The stock market closed on a negative note, with key performance indicators showing mixed results. The market experienced selling pressure amid signals that some stocks were trading at overbought levels, triggering a fresh price correction.
The NGX-ASI declined by – 1.02%, while the market capitalisation decreased by -1.00%, according to a slew of stockbrokers’ notes reviewed on Wednesday.
The mixed performances of these indicators can be attributed to the additional listing of 882,064,158 Ordinary Shares of 50 Kobo Each Arising from Eterna Plc’s Rights Issue of 978,108,485 Ordinary Shares of 50 Kobo Each at N22.00 Per Share.
The All-share index fell by -2,573.05 basis points or -1.02% decline to close at 249,062.37, while market capitalisation fell by ₦1,619.14 billion, representing a decline of -1.00% to close at ₦159.66 trillion.
Total volume of all trades executed in the market declined by -14.74% while the total value traded, on the other hand, increased by +1.76%. Stockbrokers reported that approximately 600.22 million units valued at ₦32,715.56 million were transacted across 58,958 deals.
ACCESSCORP drive volume, accounting for 9.35% of transaction volume, followed by JAPAULGOLD (8.33%), ZENITHBANK (6.12%), STERLINGNG (4.33%), and FIDELITYBK with 3.63%.
ZENITHBANK topped the value chart, accounting for 14.75% of the total trade value, making it the most traded on the exchange.
ZICHIS and ABCTRANS led the gainers chart, up by +9.99% each, then trailed by JAPAULGOLD (+9.95%), LIVINGTRUST (+9.92%), FTNCOCOA (+9.91%), MCNICHOLS (+9.79%), LEARNAFRCA (+9.66%), and thirty-four others.
A total of twenty-five stocks depreciated. With a price depreciation of–10.00%, BUACEMENT topped the worst performers’ chart, followed by CAP (-9.99%), ETRANZACT (-7.03%), INTBREW (-5.38%), DEAPCAP (-4.92%), and AUSTINLAZ (-4.76%).
Hence, the market breadth closed on a positive note, with 41 gainers and 25 losers. Overall sectoral performance was bearish, as four sectors closed lower at the end of today’s session. The Industrial Goods (-3.84%) led the laggards, dragged down by losses in BUACEMENT (-10.00%) and CAP (-9.99%).
The Consumer Goods (-0.45%), Banking (-0.31%), and Oil & Gas (-0.10%) indices all declined, weighed down by losses in INTBREW (-5.38%), FIRSTHOLDCO (-4.04%), and OANDO (-3.13%), respectively.
Meanwhile, the Insurance (+0.80%) index closed higher in today’s session, driven by gains in NEM (+3.33%). Meanwhile, the Commodity Index closed flat.
