NSE sustains positive trends with N20.92bn investors gain

The equities market of the Nigerian Stock Exchange (NSE) on Wednesday sustains market positive trends for the third consecutive with N20.92billion investors gain.

Specifically, the market capitalisation appreciated by N20 billion or 0.16 per cent to close at N12.979 trillion against N12.959 trillion on Tuesday.

Similarly, the All-Share Index (ASI) increased by 40.10 basis points or 0.16 per cent to close at 24,882.04 basis points compared with 24,841.94 basis points recorded on Tuesday.

The equities market Year-to-Date (YTD) returns currently stands at -7.30per cent.

Sectoral performance was broadly positive, following gains in the Banking (+0.1 per cent), Oil & Gas (+0.03 per cent), Industrial (+0.01per cent), and the Consumer Goods (+0.01 per cent) indices. The Insurance (-0.01 per cent) index was the sole loser.

However, the volume of shares traded on the NSE on Wednesday improved by 148.13 per cent with an exchange of 383.29 million shares worth N3.89 billion in 3,860 deals.

This was in contrast with a total of 154.47 million shares valued at N1.46 billion transacted in 4,222 deals on Tuesday.

Transactions in the shares of UACN dominated the activity chart with 81.74 million shares valued at N471.54 million.

It was trailed by FBN Holdings with 66.44 million shares worth N334.16 million, while Access Bank sold 59.19 million shares valued at N378.76 million.

Zenith Bank accounted for 30.79 million shares worth N521.19 million, while Presco traded 26.16 million shares valued at N1.26 billion.

The upturn was impacted by gains recorded in large and medium capitalised stocks, amongst which are: Mobil Oil, Stanbic IBTC Holdings, Chemical and Allied Products (CAP), Presco and Guaranty Trust Bank.

Analysts at Afrinvest Limited said, “For the rest of the week, we expect market performance to move in tandem with the trend in earnings releases.”

Market sentiment remained positive with 18 gainers in contrast with 12 losers.

A breakdown of the price movement chart shows that CAP recorded the highest price gain of 9.74 per cent to close at N16.90 per share.

UACN Property Development Company followed with 9.52 per cent to close at 92k, while GlaxoSmithKline rose by 6.19 per cent to close at N5.15 per share.

Neimeth International grew by 5.42 per cent to close at N1.75, while Transcorp appreciated by 5.08 per cent to close at 62k per share.

Conversely, Eterna led the losers’ chart in percentage terms, dropping by nine per cent to close at N1.82 per share.

Livestock Feeds came second with a loss of 4.62 per cent to close at 62k, while Mutual Benefits Assurance dipped 4.55 per cent to close at 21k per share.

Lasaco Assurance dipped four per cent to close at 24k, while May and Baker depreciated by 3.33 per cent to close at N2.90 per share.

“The equities market closed up today following gains recorded in all major sectors.

“While we expect that investor sentiments would largely be driven by reactions to H1 2020 results in the near term, we reiterate that this may be one of the best periods to pick up some quality names with a medium to long term investment horizon,” Investmentone Research said.