Transaction on the Nigeria equities market opened trading for the week, on Monday, on decline as investors’ wealth dipped by N181 billion, following sell-down on high capitalised stocks.
The All Share Index (ASI) decreased by 347.59 absolute points, representing a dip of 1.27 per cent to close at 27,041.03 points. Similarly, the market capitalisation lost N181 billion to close at N14.087 trillion.
The downturn was impacted by losses recorded in medium and large capitalised stocks, amongst which are Julius Berger, Nigerian Breweries, Guaranty Trust Bank, Cadbury Nigeria and Zenith Bank.
Market breadth closed strongly negative, with five gainers versus 32 losers. Law Union and Rock Insurance recorded the highest price gain of 8.75 per cent, to close at 80 kobo, per share. Linkage Assurance followed with a gain 4.44 per cent to close at 45 kobo, while May and Baker Nigeria rose by 2.67 per cent to close at N1.87 per share.
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Sterling Bank appreciated by 2.67 per cent to close at N1.50, while Vitafoam Nigeria rose by 0.22 per cent to close at N4.51, per share. On the other hand, Glaxo SmithKline Consumer Nigeria, NCR Nigeria and BOC Gas Nigeria led the losers’ chart by 10 per cent each, to close at N4.50, N2.43 and N4.05, respectively, per share. Skyway Aviation Handling Company followed with a decline of 9.92 per cent to close at N2.36, while Cadbury Nigeria and Red Star Express went down by 9.89 per cent each, to close at N8.20 and N4.01, respectively, per share.
The total volume traded increased by 1.8 per cent to 429.003 million shares, worth N7.298 billion, and traded in 4,533 deals. Transactions in the shares of Guaranty Trust Bank topped the activity chart with 177.13 million shares valued at N4.79 billion. FBN Holdings followed with 60.097 million shares worth N329.46 million, while Zenith Bank traded 56.15 million shares valued at N1.09 billion.
United Bank for Africa (UBA) traded 39.17 million shares valued at N267.21 million, while United Capital transacted 18.48 million shares worth N62.99 million.
Analysts at Afrinvest Limited anticipated a mixed performance in subsequent trading sessions as investors are expected to position for dividends on one hand and profit-taking on the other.
On market outlook, analysts at United Capital Plc stated that: “Given that this week is the last week for companies that did not submit their unaudited results to submit audited results, we expect an increased influx of audited financial reports and possible dividend pronouncements. Thus, providing incentives for investors to lock in positions in high dividend-yielding stocks.”
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