Stocks Valuations Decline as Market Opens Negative
Some listed stocks see their prices decline on Monday as the Nigerian equity market opens negative after a stronger outturn last week. The Nigerian Exchange All-share index decline by 0.04 per cent while total market capitalisation tumbles.
Stock market capitalisation printed at N20.582 billion as investors lost N8.8 billion, thus reduce month to date return to 2.5% while year to date losses expanded to 1.9%
Telecoms stocks drove market rally last week amidst second quarter earnings seasons by companies, though there have been mixed results while investors position for interim pay from some dividends aristocrats.
Today’s market data shows there was price depreciation in tickers such as ZENITH BANK, UBA, TRANCORP, STERLNBNK, CADBURY, ETI, FIDELITYBK, LIVESTOCK, ETI, and WAPCO.
Meanwhile, market breadth remained positive with 24 gainers versus 15 losers. Today, market activities ended with the volume of stocks traded on the exchange declining by 25.18% and the value of stocks traded on the exchange appreciating by 5.45%.
A total of 141.28 million units of shares valued at N3.39 billion were traded in 3,393 deals. ETRANZACT led the volume chart, accounting for 11.50 per cent of the total volume of trades, followed by FIDELITYBK (7.42%), TRANSCORP (6.94%), CHIPLC (6.52%), and ACCESS (5.39%) to complete the top five on the volume chart.
FLOURMILL topped the value chart accounting for 49.64 per cent of the total value of trade on the exchange.
MRS, MAYBAKER, and HONEYFLOUR topped the gainers’ chart, with their share prices inching upward by 9.92 per cent, 9.77 per cent, and 9.76 per cent, respectively.
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Meanwhile, ABCTRANS led the losers’ table with its share price declining by 8.33 per cent to close at N0.33 after opening the day at N0.36.
Across sectors under Afrinvest coverage, the investment firm said the performance was mixed as 3 indices declined, 2 indices gained while the AFR-ICT index closed flat. The gainers were the Insurance and Consumer Goods indices, up 4bps and 2bps respectively on the back of buying interest in MBENEFIT (+8.8%), WAPIC (+2.1%), HONYFLOUR (+9.8%), and DANGSUGAR (+2.6%).
On the flip side, the Banking index lost the most, down 0.6% due to sell-pressure on FIDELITY (-4.8%) and ZENITH (-0.6%). Likewise, the Oil & Gas and Industrial Goods indices fell by 27 and 9 basis points respectively, driven by price depreciation in TOTAL (-2.0%), CAP (-3.5%), and WAPCO (-1.4%).
“In the next trading session, we expect the market sentiment to remain mixed, as earnings season gradually winds up”, said analysts at the firm.
