Dipo Olowookere
By Dipo Olowookere
The value of transactions on the floor of the Nigerian Exchange (NGX) Limited increased last week as investors take a position in expectation of good first-quarter earnings.
As usual, United Capital was among the first companies to release Q1 results, with double-digit growth in both the top line and the bottom line.
With the economy gradually getting back to its feet after the disaster caused by the COVID-19 pandemic in 2020, investors are optimistic that the earnings should be better in the first three months of 2022, especially for firms in the financial, consumer goods and industrial goods services.
This may have triggered the renewed interest in banking stocks as the trio of GTCO, Zenith Bank and Fidelity Bank were the busiest during the four-day trading week, selling 429.7 million units worth N7.8 billion in 5,871 deals, contributing 34.45 per cent and 34.80 per cent to the total equity turnover volume and value respectively.
Business Post notes that the market only operated for four trading days last week because the federal government declared Friday, April 15, 2022, (Good Friday) as a public holiday.
This week, the market will also open for four days as a result of another public holiday declared by the government for Monday, April 18, 2022, for Easter Monday.
Last week, investors bought and sold a total of 1.3 billion Nigerian stocks worth N22.4 billion in 23,406 deals compared with the 1.1 billion shares valued at N10.8 billion traded in 23,471 deals in the preceding week.
It was observed that financial stocks dominated with 975.8 million units valued at N10.678 billion traded in 13,097 deals, accounting for 78.24 per cent and 47.73 per cent of the total trading volume and value respectively.
Consumer goods shares followed with 65.2 million units worth N1.8 billion in 2,725 deals, while services equities occupied third spot with 42.6 million units worth 135.8 million in 1,172 deals.
In the week, 51 equities appreciated in price, higher than 33 equities in the previous week, while 18 equities depreciated in price, lower than 31 equities in the previous week, with 87 equities closing flat, lower than 92 equities recorded in the previous week.
Meyer topped the gainers’ chart with a price appreciation of 41.59 per cent to trade at N1.60. Learn Africa gained 20.23 per cent to finish at N2.08, Berger Paints grew by 16.94 per cent to N7.25, NAHCO appreciated by 14.00 per cent to N5.70, while UAC Nigeria went up by 13.86 per cent to N11.50.
The losers’ chart was topped by Academy Press, which lost 18.64 per cent to close at N1.44. Prestige Assurance depreciated by 11.11 per cent to 40 kobo, Sunu Assurances deflated by 7.69 per cent to 36 kobo, Stanbic IBTC dropped 5.86 per cent to N32.15, while Regency Assurance fell by 5.41 per cent to 35 kobo.
When the market closed for the week last Thursday, the All-Share Index (ASI) and market capitalisation increased by 1.99 per cent to 47,558.45 points and N25.639 trillion respectively.
Similarly, all other indices finished higher with the exception of the Asem, growth and sovereign bond indices which closed flat.
