NSE LIVE! Dangote drags equities to N122bn loss

The downtrend at the Nigerian stock market widened on Thursday as losses suffered by two companies in the Dangote Group orchestrated a net decline of N122 billion from the market capitalisation.

While there were still more losers to gainers at 13 to nine stocks, losses suffered by Dangote Cement and Dangote Sugar Refinery (DSR) were the main drivers for the negative overall market position on Thursday.

Aggregate market value of all quoted equities at the Nigerian Stock Exchange (NSE) declined from its opening value of N8.715 trillion to close at N8.593 trillion, representing a loss of N122 billion. The All Share Index (ASI), the common index that tracks prices at the Exchange, also declined by 1.40 per cent to close at 24,829.59 points as against its opening index of 25,183.10 points.

The steep decline worsened the negative average year-to-date return to -7.61 per cent, the worse level in recent weeks.

Dangote Cement, NSE’s most capitalised company, recorded the highest loss of N8.44 to close at N160.55. DSR, another highly capitalised member of the Dangote Group, recorded the third highest loss of 30 kobo to close at N5.71. Flour Mills of Nigeria had declined by 39 kobo to close at N17.21. African Prudential Registrar lost 14 kobo to close at N2.72 while Zenith Bank slipped by 10 kobo to close at N13.90 per share.

Read also: NSE LIVE! Equities lose N51b in renewed selloff

Sectoral indices showed continuing bargain-hunting for many influential stocks. The NSE Oil & Gas Index rose by 0.8 per cent. The NSE Consumer Goods Index rallied 0.7 per cent. The NSE Insurance Index rose by 0.2 per cent while the NSE Banking Index inched up by 0.1 per cent. However, the NSE Industrial Goods Index declined by 2.5 per cent.

Total turnover stood at 186 million shares valued at N1.75 billion in 2,899 deals. Zenith Bank remained the most active stock with 33.74 million shares valued at N469.66 million. United Bank for Africa followed with 32.74 million shares worth N163.67 million while United Capital placed third with 22.56 million shares valued at N77.84 million.

With the third consecutive trading session, analysts at SCM Capital Markets said they expected the current bearish mood to hold sway at the closing session on Friday as weak sentiments continue to prevail in the market.

Analysts at Afrinvest Securities however said the consecutive declines could trigger bargain-hunting and lead to price recovery for many stocks.

“Following three consecutive days of decline, we expect to see some improvement in market performance as investors sought for bargain opportunities,” Afrinvest Securities stated.

Meanwhile, Forte Oil led the gainers with a gain of N2.35 to close at N49.36. Nigerian Breweries rose by N2.18 to close at N129. Okomu Oil Palm added N2 to close at N48. Guinness Nigeria gathered N1.39 to close at N63.50. Guaranty Trust Bank chalked up 19 kobo to close at N24.90 while Oando added 11 kobo to close at N5 per share.

 

 

 

 

 

RipplesNigeria ….without borders, without fears

Click here to download the Ripples Nigeria App for latest updates

 

Join the conversation

Opinions

Support Ripples Nigeria, hold up solutions journalism

Balanced, fearless journalism driven by data comes at huge financial costs.

As a media platform, we hold leadership accountable and will not trade the right to press freedom and free speech for a piece of cake.

If you like what we do, and are ready to uphold solutions journalism, kindly donate to the Ripples Nigeria cause.

Your support would help to ensure that citizens and institutions continue to have free access to credible and reliable information for societal development.

Donate Now