Nigerian equities continued on the upswing with a gain of N56 billion on Monday, sustaining a rally that had seen quoted equities gaining N138 billion last week.
Low share prices and stable earnings by many large-cap stocks quickened investors’ appetite for quoted equities.
Aggregate market value of all quoted equities on the Nigerian Stock Exchange (NSE) rose from its opening value of N9.496 trillion to close at N9.552 trillion, representing an increase of N56 billion. The All Share Index (ASI), the main index that tracks share prices at the NSE, appreciated by 0.58 per cent to close at 27,812.06 points as against its opening index of 27,650.32 points.
The average year-to-date return, though still negative, improved to -2.90 per cent. With nearly two advancers to every decliner, the upbeat was driven by widespread positive sentiments across the sectors, especially within the large-cap stocks category.
Most sectoral indices closed positive. The NSE Banking Index appreciated by 1.3 per cent. The NSE Oil and Gas Index rose by 1.0 per cent. The NSE Consumer Goods Index improved by 0.9 per cent. The NSE Insurance Index inched up by 0.1 per cent while the NSE Industrial Goods Index closed flat.
Nestle Nigeria led the 20-stock gainers’ list with a gain of N9.99 to close at N835. Seplat Petroleum Development Company followed with a gain of N5 to close at N245. Nigerian Breweries rose by N1.99 to close at N140. Forte Oil added N1.90 to close at N162. International Breweries gathered 61 kobo to close at N19. Guinness Nigeria appreciated by 51 kobo to close at N93.51.
Guaranty Trust Bank chalked up 40 kobo to close at N25.65. Access Bank improved by 26 kobo to close at N5.86. United Bank for Africa rose by 24 kobo to close at N4.60 while Union Bank of Nigeria appreciated by 18 kobo to close at N4.08 per share.
Total turnover stood at 216.17 million shares valued at N2.83 billion in 3,316 deals. Banks dominated the top activities’ chart. FBN Holdings was the most active with 58.62 million shares valued at N184.1 million. Access Bank followed with 40.9 million shares worth N239.4 million while Guaranty Trust placed third with 30.65 million shares valued at N785.49 million.
Analysts said the uptrend on Monday was due to bargain-hunting and good earnings by large-cap stocks, especially in the influential banking sector.
“Consequent on strong gains recorded in the last two trading sessions, we expect some forms of profit taking in the session ahead,” Afrinvest Securities cautioned.
On the downside, Seven-Up Bottling Company led the 11-stock losers’ list with a loss of N5.28 to close at N109.17. Total Nigeria dropped by N3 to close at N241. Ecobank Transnational Incorporated declined by 31 kobo to close at N11.19. Dangote Flour Mills dropped by 15 kobo to close at N4 while AG Leventis slipped by 10 kobo to close at 89 kobo.