NSE LIVE! Equities lose N159bn as average return drops to 6.69%

Nigerian equities lost N159 billion on Wednesday, paring the average year-to-date return for Nigerian equities to 6.69 per cent. Investors upped supply amidst continuing profit-taking transactions on mid and large-cap stocks.

The All Share Index (ASI)-the benchmark index that tracks share prices at the Nigerian Stock Exchange (NSE) declined by 1.07 per cent to close at 40,802.08 points as against its opening index of 41,243.24 points.

With 29 decliners to 18 advancers, the negative overall market position reflected the selloffs within the large-cap stocks as well as mild profit-taking on mid-cap stocks.

Most sectoral indices closed in the red. The NSE Banking Index declined by 3.4 per cent. The NSE Industrial Goods Index dropped by 2.6 per cent. The NSE Insurance Index dipped by 0.3 per cent while the NSE Oil & Gas Index slipped by 0.03 per cent. However, the NSE Consumer Goods Index played the contrarian with a gain of 0.3 per cent.

“Whilst bearish sentiment in the market persists, we remain optimistic of a rebound in the near term. Hence we do not rule out the possibility of increased bargain hunting in the final trading day of the week prior to the Easter Holiday,” Afrinvest Securities stated.

Nigeria’s second most capitalised company and largest financial services company-Guaranty Trust Bank led the decliners with a drop of N3.25 to close at N42.75. Lafarge Africa followed with a drop of N2.30 to close at N46.40. Dangote Cement dropped by N2 to close at N253. Total Nigeria lost N1.70 to close at N238.30 while Dangote Sugar Refinery and Ecobank Transnational Incorporated declined by 75 kobo each to close at N21.05 and N16.35 respectively.
On the positive side, GlaxoSmithKline Consumer Nigeria-which recently declared a special dividend, continued its rally with a gain of N3.10 to close at N34. Unilever Nigeria followed with a gain of N2.55 to close at N55. Stanbic IBTC Holdings rose by N1.70 to close at N48. Nestle Nigeria chalked up N1.30 to close at N1,340.30 while PZ Cussons Nigeria added N1 to close at N23 per share.

Read also: 5% levy on Nigerians, unbundling of NNPC, other major changes as NASS finally pass PIB

Total turnover stood at 535.19 million shares valued at N3.66 billion in 4,717 deals. Champion Breweries was the most active stock with a turnover of 153.9 million shares valud at N397.08 million. Skye Bank followed with a turnover of 104.65 million shares valued at N81.63 million while Sterling Bank occupied the third position with a turnover of 41.24 million shares valued at N72.22 million.

“Despite continued losses on the bourse, we reiterate our medium-to-longer term positive outlook for the equities market-buoyed by still-positive macroeconomic fundamentals; more so, as softened prices of stocks create legroom for bargain-hunting,” Cordros Capital stated.

Analysts at SCM Capital reiterated that “the current valuation provides attractive bargain for risk tolerant investors”.

 

RipplesNigeria… without borders, without fears

Click here to join the Ripples Nigeria WhatsApp group 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