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

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

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

Weak investors sentiment has necessitated sell-offs that knocked off ₦2 billion from the Nigerian Stock Exchange(NSE).

This pushed the stock market capitalisation down to ₦12.9 trillion on Tuesday.

The benchmark All Share Index declined 2 basis point (bps) to close at 24,750.06 points.

The decline was attributed to sell-offs in DANGSUGAR (-9.9%), NIGERIAN BREWERIES (-2.7%) and ETI (-5.1%).

Then, year to date loss settled widened to 7.8%.Stock market cap declines ₦2bn as investors’ sentiment fade

Meanwhile, activity level improved as volume and value traded rose 34.7% and 17.4% to 167.9 million units and ₦1.5 billion respectively.

The most active stocks by volume were JAPAULOIL which traded 25 million units, FBNH did 12.1 million units and GUARANTY 11.2 million units.

In term of value, GUARANTY traded ₦253.5 million, DANGCEM ₦251.2 million and MTNN ₦153.6 million.

Bearish Sector Performance:

Afrinvest said across sectors, performance was bearish as 4 of the 6 indices under its analysts’ coverage closed in the red.

The Consumer Goods and Insurance indices led laggards, as it went down 1.4% and 1.3% respectively following price declines in DANGSUGAR, NIGERIAN BREWERIES, AIICO and MANSARD.

These stocks dropped by 9.9%, 2.7%, 7.2% and 1.1% respectively.

Similarly, the Banking and Industrial Goods indices declined 0.6% and 0.2% respectively due to sell-offs in ETI (-5.1%), ACCESS (-1.5%) and WAPCO (-2.2%).

Conversely, the AFR-ICT and Oil & Gas index gained, up 0.9% and 0.2% respectively as a result of price appreciation in MTNN (+1.6%) and OANDO (+2.0%).

Investor Sentiment Unchanged

Investor sentiment as measured by market breadth was unchanged at 0.4x as 9 stocks advanced against 23 decliners.

The best performing stocks were UAC-PROP which gained+7.7%, TRANSCORP +2.9% and OANDO +2.0%.

Leading the loser chart, UNITYBNK value dropped by 10.0%, DANGSUGAR value went down by 9.8% and IKEJAHOTEL by 9.6%.

“We continue to see sell pressures dominate the market as investor sentiment remains weak.

“Nonetheless, we maintain our mixed performance outlook for the week”, Afrinvest stated.

Positive Earnings Result Stirs Market

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


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