Oando, Eterna Gain Weight as Investors’ Keep Eyes on Oil Stocks
Oando, Eterna and other top energy companies’ gained weight as their combined market value increased to about N3.5 trillion on the Nigerian Exchange (NGX) despite mixed trading outings in the local bourse.
According to stockbrokers, demand for oil stocks gained momentum in the trading platform as key players like TotalEnergies, Oando, and ETERNA continued to cap gains. Recent market track records showed these oil stocks have been making an uptrend, reporting good earnings scorecards due to stable global oil prices.
Hence, investors kept eyes on price movement on the Nigerian Exchange (NGX) amidst uncertainties in the global commodities market.
Seplat Energy, Oando Energy, Eterna, and TotalEnergies combined market value increased to about N3.5 trillion on Friday. The valuation growth was slow, according to analysts, as the price of Seplat Energies remained steady at N3,730.10 in the market.
Despite a mild investor positioning, the oil and gas index bucked the stock market trend, up by 1.52% week on week despite a bearish trend in the global commodities market. The oil market has become relatively unstable, with crude oil prices fluctuating around $70 per barrel in the global commodities market.
In the latest rally, TotalEnergies price surged by about 9% in the last seven trading session on the Nigerian Exchange. Oando Plc grew by 6% while Eterna climbed by 8.70%% last week.
Ticker: TOTAL climbed from N619.30 per share to N673.90 on the back of demand for downstream oil stock in the market. Total has seen huge gain since half year earnings release, up from N511.90 few weeks ago.
Ticker: ETERNA trended higher, up by about 9% to close the week at N30 per share in the domestic exchange. OANDO surged to N81.40 per share on the Nigerian Exchange. The company has been making uptrend as its acquisition taste attract investors to the oil stock.
The company’s 12.431 billion shares outstanding has been valued upward by about 6% to 1.011 trillion on the Nigerian Exchange. Oil and Gas index gained 1.52% on the Nigerian Exchange due to Oando, Total and Eterna Plc positive price appreciation.
Last week, crude oil prices dropped due to the decision by OPEC+ to delay a production increase, which did not alleviate concerns about supply surpassing demand.
Brent oil fell by 6.83% to $73.42 per barrel, while WTI decreased by 4.84% to $69.99 per barrel. In addition, the price of gold rose by 0.45% to $2,538.70 per ounce. #Oando, Eterna Gain Weight as Investors’ Keep Eyes on Oil Stocks FBN Holdings Divests Interest in Merchant Business to ‘Consortium’
