The bears are lurking around Sterling Bank, and their presence is hindering the lender from hitting a price bubble which the bulls have been aiming for since the release of its Q2 financial results on July 30.
In the last two months, August to September, once Sterling Bank stock value rises in the capital market, Ripples Nigeria analysis noted holders of the lender’s shares engage in profit-taking, cutting short the firm’s intending bullish run.
This comes as the capital market reacted positively towards the result declaration that revenue rose 2.5 percent (N68.60 billion) in Q2 this year, when compared to the N66.94 billion reported during the same period last year, while PAT rose by 5.1 percent.
This announcement bumped up Sterling Bank‘s market value to N45.77 billion first week after the Q2 results, but profit-takers threw spanner in the works as shareholders cashed in on the market’s renewed interest in the lender.
The tussle between the bears and bulls have sent investments down by 7.5 percent since August 10 when Sterling Bank clocked its highest stock value (N1.59kobo) after the release of Q2 financials.
Sterling Bank’s sideways drift in the Nigerian bourse has cost stakeholders N3.45 billion loss, as the market capitalisation is now down to N42.32 billion.
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