Stock Market Lost N517bn as Investors Unload MTN Shares Again
Equities investors in the Nigerian stock market see a large valuation drop on Tuesday as selling rallies on high-capitalised companies’ stocks –MTN Nigeria Plc and others dragged market capitalisation lower further.
The sustained bearish trades which dragged the Nigerian Exchange (NGX) key performance indicators occurred amidst the second quarter of the financial year 2022 earnings release.
Following the bearish trade pattern, Nigeria’s stock market year-to-date return went south, printed at 18.1% as NGX All-Share Index (ASI) fell by 1.9% to 50,442.37 points.
Meanwhile, the month-to-date loss has widened to 2.7%. On Tuesday, there was a major selloff in MTN Nigeria share, the second largest and most valued brand on the local bourse including other 35 companies’ shares.
Due to these large selloffs, market capitalisation lost ₦516.70 to close at ₦27.20 trillion. Data from the Nigerian bourse shows that the total volume traded increased by 58.0% to 156.17 million units, valued at N2.94 billion, and exchanged in 4,618 deals.
Trading data indicates that the Nigerian bourse FLOURMILL was the most traded stock in terms of volume, accounting for 12.38 per cent of the total volume of trades.
This was followed closely by TRANSCORP share which accounted for 9.87%, GTCO 8.13%, ZENITH BANK 7.30% and FBNH 6.37% to complete the top five on the volume chart on Tuesday.
Also, FLOURMILL was the most traded stock in value terms, with 21.05 per cent of the total value of trades on the exchange. The food producer was also the most traded stock by volume and value at 19.32 million units and N618.05 million, respectively.
Sectoral performance was broadly negative, as the Banking (-1.9%), Insurance (-1.7%), Consumer Goods (-1.3%) and Oil & Gas (-0.5%) indices mirrored the general market sentiment, while the Industrial Goods index closed flat. Measured by market breadth, sentiment on the Nigerian bourse was negative (0.1x) as 35 companies’ shares went down as against just 3 gainers.
TRANSEXPR’s share price declined by 10.0%, INTBREW lost 9.9% of its opening share value and MTNN shed 9.91% to top the list of highest losers. Meanwhile, LIVESTOCK gained 1.6% and FBNH inched higher by 1.4% to lead the gainers’ charts. # Stock Market Lost N517bn as Investors Unload MTN Shares