Stock Market Plunged ₦25.4 Billion as Investors Book Profit

Stock Market Plunged ₦25.4 Billion as Investors Book Profit

The Nigerian stock market plunged ₦25.4 billion on Thursday as investors’ book profit after previous day rally.

At the close of trade, the local bourse posted a bearish performance as the NSE All-Share Index fell 12bps to close at 41,099.15 points.

The cold streak was due to sell-offs in DANGCEM (-0.2%), MANSARD (-9.8%), and UBA (-1.7%) stocks.

As a result, year to date return moderated to 2.1% while market capitalisation settle at ₦21.5 trillion.

Then, activity level improved as volume and value traded rose 72.6% and 38.7% to 1.1bn units and ₦6.4bn respectively.

The most traded stocks by volume were TRANSCORP (428.3m units), GUARANTY (62.1m units), and SOVRENINS (61.4m units) while GUARANTY (₦2.0bn), ZENITH (₦708.1m), and WAPCO (₦620.5m) topped by value.

Afrinvest said performance across sectors was largely bearish as 4 of 6 indices under its coverage closed southward.

The Industrial Goods and Oil & Gas indices rose 0.3% and 0.2% respectively due to price appreciation in WAPCO (+5.5%) and ARDOVA (+3.5%).

Conversely, the Insurance index led the laggards, down 6.7% due to sell-offs in MANSARD (-9.8%), AIICO (-9.4%) and WAPIC (-9.7%) stocks.

Similarly, the Consumer Goods and Banking indices lost 0.3% and 0.2% respectively due to sell pressures in FLOURMILL (-2.8%), DANGSUGAR (-1.0%), UBA (-1.7%) and UBN (-2.7%).

Price depreciation in MTNN (-0.1%) and CHAMS (-10.0%) drove the AFR-ICT index 0.1% lower.

Investor sentiment as measured by market breadth weakened to 0.3x from the 3.7x recorded previously as 14 stocks advanced against 49 decliners.

NNFM (+10.0%), MULTIVERSE (+10.0%) and CHAMPION (+9.9%) were the best-performing tickers.

Meanwhile, CHAMS (-10.0%), PRESTIGE (-10.0%) and TOURIST (-9.8%) were the losers.

“We expect the equities market to close on a bearish note for the week”, Afrinvest stated.

Stock Market Plunged ₦25.4 Billion as Investors Book Profit