Investors Stake N24bn on 1.5 billion Stocks in One Week

By Modupe Gbadeyanka

At the Nigerian Stock Exchange (NSE) last week, the All-Share Index (ASI) and market capitalisation both depreciated by 1.00 percent and 0.90 percent to close at 25,016.30 points and N13.050 trillion respectively.

All other indices finished lower with the exception of NSE AFR Div Yield and consumer goods indices which appreciated by 1.20 percent and 0.26 percent respectively while NSE ASeM closed flat.

About N24 billion was spent by investors on 1.5 billion shares last week in 22,911 deals at the exchange. This was in contrast to the N14 billion used to transact 1.3 billion shares the previous week in 20,554 deals.

A breakdown of the trades showed that equities in the financial services sector led the activity chart with 861.8 million units valued at N8.6 billion traded in 11,647 deals, contributing 58.66 percent and 36.28 percent to the total equity turnover volume and value respectively.

Shares in the consumer goods space followed with 184.6 million units valued at N5.9 billion in 3,953 deals, while stocks in the services industry came third with a turnover of 119.2 million units worth N270.1 million in 1,043 deals.

A further analysis showed that FBN Holdings, GTBank and Zenith Bank accounted for 456.6 million units worth N6.9 billion in 5,921 deals, contributing 31.08 percent and 29.47 percent to the total equity turnover volume and value respectively.

The market breadth closed negative as there were 26 price gainers, lower than 34 of the previous week and 39 price losers, higher than 21 of the preceding week. A total of 98 equities remained unchanged, lower than 108 equities recorded in the preceding week.

For another week, Neimeth was the best performing stock, gaining 56.64 percent to close at N1.77 per share. SAHCO gained 50.83 percent to finish at N2.73 per share, Japaul Oil rose by 50.00 percent to close at 30 kobo per share, UPDC grew by 20.00 percent to finish at 96 kobo per share, while ABC gained 17.14 percent to finish at 41 kobo per share.

The worst performing stock for the week was Afromedia, losing 23.08 percent to close at 20 kobo per share. Julius Berger went down by 22.73 percent to finish at N21.25 per share, UAC Nigeria fell by 13.89 percent to finish at N7.75 per share, Fidson dropped 12.94 percent to close at N2.96 per share, while PZ Cussons depreciated by 12.73 percent to close at N4.80 per share.

This week, we expect investors to trade cautiously while cherry picking some stocks trading at low prices, especially in the banking, healthcare, consumer goods and industrial goods sectors.