Bargain Hunters Woo Bulls Back to Local Equity Market

By Dipo Olowookere

The bulls made a return to the local equity market on Friday, thanks to bargain hunters, who mopped up stocks in the consumer goods, banking and industrial goods sectors.

Their activities lifted the Nigerian Exchange (NGX) Limited by 0.28 per cent yesterday, raising the All-Share Index (ASI) higher by 140.03 points to 50,722.33 points from 50,582.30 points as the market capitalisation grew by N81 billion to settle at N27.358 trillion against the previous day’s N27.277 trillion.

Apart from the insurance sector, which declined by 0.40 per cent, every other counter closed higher, with the consumer goods index rising by 1.52 per cent. The energy space gained 0.37 per cent, the industrial goods counter appreciated by 0.35 per cent, while the banking landscape rose by 0.06 per cent.

Unlike the previous day, the level of activity improved on Friday, with the trading volume appreciating by 14.08 per cent to 148.8 million units from 130.5 million. The value of transactions rose by 18.65 per cent to N1.9 billion from N1.6 billion, while the number of trades expanded by 2.45 per cent to 4,091 deals from 3,993 deals.

Honeywell Flour ended the session as the most active stock, trading 22.0 million units valued at N64.1 million, GTCO sold 21.7 million shares worth N445.7 million, FBN Holdings transacted 11.3 million stocks for N123.8 million, Zenith Bank traded 10.2 million equities valued at N223.1 million, while Transcorp exchanged 8.7 million stocks for N9.9 million.

The market breadth was positive yesterday as the exchange finished the day with 24 appreciating stocks and 10 depreciating equities, indicating a positive investor sentiment.

Eterna topped the gainers’ log after its value rose by 10.00 per cent to N7.15 and was trailed by Multiverse, which grew by 9.94 per cent to N1.88. Japaul appreciated by 9.68 per cent to 34 Kobo, PZ Cussons grew by 9.63 per cent to N10.25, while Jaiz Bank improved by 8.86 per cent to 86 Kobo.

On the other side, Unilever emerged as the biggest price loser after its value went down by 10.00 per cent to N13.50 and was trailed by Skyway Aviation, which lost 8.76 per cent to finish at N6.25. Guinness Nigeria depreciated by 8.29 per cent to N83.00, Consolidated Hallmark Insurance declined by 7.69 per cent to 60 Kobo, while Regency Assurance decreased by 7.41 per cent to 25 Kobo.