Stock Market Gains N324bn to Commence New Week on Positive Note

Kayode Tokede 

The Nigerian stock yesterday opened the new week on a positive note, extending gains from the previous session as the overall capitalization gained  N324 billion as investors renewed interest in fundamental stocks.

The Nigerian Exchange Limited All-Share Index (NGX ASI) rose by 572.57 per cent or of 0.58 per cent, to close at 99,793.71 basis points. Conseqently, the overall market capitalisation value gained N324 billion to close at N56.452 trillion.

The market positive performance was driven by price appreciation in large and medium capitalised stocks which are; Seplat Energy, TotalEnergies Marketing Nigeria, Julius Berger, Transcorp Hotel and Flour Mills of Nigeria.

Market breadth also closed positive, as 30 stocks gained relative to 10 losers. Flour Mills recorded the highest price gain of 10 per cent to close at N41.80, per share. TotalEnergies Marketing Nigeria followed with a gain of 9.98 per cent to close at N353.60, while Access Holdings up by 9.86 per cent to close at N18.95, per share.

Chams Holding Company appreciated by 9.74 per cent to close at N1.69, while Veritas Kapital Assurance gained 9.52 per cent to close at 69 kobo, per share.

On the other hand, eTranzact International led the losers’ chart by 9.90 per cent to close at N4.55, while DAAR Communications followed with a decline of 9.52 per cent to close at 57 kobo, per share.

Champion Breweries and Unity Bank lost 6.67 per cent each to close at N2.80 and N1.12 respectively, while Wapic Insurance shed 2.86 per cent to close at 68 kobo, per share.

The total volume traded increased by 148.33 per cent to 963.541 million units, valued at N13.498 billion, and exchanged in 8,657 deals. Transactions in the shares of Fidelity Bank topped the activity chart with 605.257 million shares valued at N6.025 billion. Access Holdings followed with 93.067 million shares worth N1.744 billion, while United Bank for Africa (UBA) traded 58.726 million shares valued at N1.261 billion.

Nigerian Breweries traded 45.256 million shares valued at N1.267 billion, while Zenith Bank transacted 16.079 million shares worth N539.552 million.

 In the week ahead, analysts at Futureview Financial Services stated that, “we anticipate a mixed sentiment in the equities market, primarily due to the enduring allure of the fixed income market among investors.

“This interest is fueled by expectations of increased rates in the NTB auction and the impending release of the inflation rate. However, amidst these factors, there remains an opportunity for sustainable growth, particularly in fundamentally strong stocks that currently find themselves in the oversold region. We foresee a selective pursuit of bargains, particularly in dividend-paying stocks, driven by the nearing corporate qualification and payment.”