Stock market cap declines ₦2bn as investors’ sentiment fade

NSE market capitalisation soars as stocks gain ₦174.1 billion

The equities market closed in the green today as All Share index advanced 140 basis points (bps) to 24,143.37 points.

Improve sentiment plus buying interest in large cap stocks were key drivers to the stock appreciation on the floor of the Nigerian Stock Exchange today.

Afrinvest attribute the surge to 9.3% gains in GUARANTY, 6.4% in ZENITH and 10% in NIGERIAN BREWERIES.

Market capitalisation rose to ₦12.6 trillion while year to date (YTD) loss eased to -10.1%.

Meanwhile, activity level was mixed as volume traded rose 24.0% to 426.6 million units and value traded fell 3.5% to ₦4.1 billion.

The most active stocks by volume were FBNH which traded 91.9 million units, ZENITH did 63.4 million units and ACCESS traded 55.9 million units.

On the value chart, GUARANTY traded shares worth ₦1 billion, ZENITH ₦994.8 million and FBNH ₦448.1 million.

Performance across sectors was bullish as all indices under Afrinvest’s coverage gained save the AFR-ICT index which closed flat.

The Banking and Insurance indices led gainers, up 5.3% and 3.7% respectively following price appreciation in GUARANTY (+9.3%), ZENITH (+6.4%), NEM (+9.1%) and CORNERSTONE (+9.3%).

In the same vein, the Consumer Goods and Oil & Gas indices appreciated 2.0% and 1.3% respectively on the back of gains in NIGERIAN BREWERIES (+10.0%), FLOURMILL (+6.3%), OANDO (+6.3%) and ARDOVA (+9.8%).

Lastly, the Industrial Goods index also gained 64 bps due to sustained buying interest in  WAPCO (+4.2%) and DANGCEM (+0.6%).

Investor sentiment as measured by market breadth (advance/decline ratio) surged to 8.8x from the 4.1x recorded in the previous session as 35 stocks gained relative to 4 losers.

The top gainers were NIGERIAN BREWERIES (+10.0%), CHIPLC (+10.0%) and ARDOVA (+9.8%) while CILEASING (-6.0%), UACN (-3.5%) and UNIONDAC (-3.1%) were top losers.

“We expect investors to continue to cherry-pick fundamentally sound stocks in the market”, Afrinvest stated.

NSE market capitalisation soars as stocks gain ₦174.1 billion

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