Equity Market Gains N945bn Amid Renewed Bearish Concerns

The Nigerian equity market showed signs of recovery last week, posting a gain of N945bn in overall market performance.

The NGX All-Share Index and market capitalisation appreciated by 0.87 per cent, closing the week at 98,592.12 points and N55.978tn, respectively.

Investors witnessed a total turnover of 2.68 billion shares worth N49.017bn traded in 47,451 deals, compared to the previous week’s 3.39 billion shares valued at N52.304bn in 44,814 deals. Despite the lower trading volume, the market rebounded with positive momentum.

Leading the market activity by volume, the financial services industry traded 1.98 billion shares valued at N31.985bn across 23,467 deals. This sector accounted for 74 per cent of the total equity turnover volume and 65.25 per cent of the value. The oil and gas industry followed with 229.68 million shares worth N7.441bn in 4,021 deals, while the ICT industry came in third with a turnover of 113.88 million shares worth N3.059bn in 4,260 deals.

Access Holdings Plc, Veritas Kapital Assurance Plc, and United Bank for Africa Plc were the top three equities by volume, collectively accounting for 756.04 million shares worth N10.726bn across 6,985 deals. These three stocks contributed 28.22 per cent to the total equity turnover volume and 21.88 per cent to the value, underscoring their significant market influence.

Exchange-traded products saw a turnover of 20,375 units valued at N5.912m in 148 deals, a slight decline from the previous week’s 21,051 units valued at N2.202m in 97 deals.

Most indices recorded gains, except the Main Board and Industrial Goods indices, which depreciated by 0.09 per cent and 3.67 per cent, respectively.

The Alternative Securities Market and Sovereign Bond indices remained flat.

Also, 46 equities appreciated last week, an improvement over the 48 that gained in the previous week.

Conversely, 38 equities saw price declines, fewer than the 40 recorded last week. 67 equities remained unchanged, down from 71 in the prior week.

The top five gainers for last week were Oando, which surged by 60.47 per cent, moving from N25.30 to N40.60; R.T. Briscoe increased by 51.19 per cent, rising from N0.84 to N1.27; Japaul Gold & Ventures gained 35.80 per cent, climbing from N1.76 to N2.39; Academy Press rose by 34.58 per cent, from N2.14 to N2.88; and United Capital recorded a 31.28 per cent increase, advancing from N12.15 to N15.95.

Leading the laggard chart for last week, Champion Breweries declined by 15.03 per cent, from N3.26 to N2.77; BUA Cement Plc dropped by 9.99 per cent, falling from N143.20 to N128.90; University Press Plc decreased by 9.92 per cent, from N2.42 to N2.18; Union Dicon Salt fell by 9.88 per cent, from N8.10 to N7.30; and Deap Capital Management & Trust Plc was down by 9.62 per cent, from N0.52 to N0.47.

On Thursday, The PUNCH reported that the Nigerian Exchange extended its recovery, gaining N577bn driven by buying interest in Unilever Nigeria, Vitafoam Nigeria, and MTN Nigeria Communications.

The All Share Index had appreciated by 1.05 per cent, settling at 98,118.30 points from the previous close of 97,098.98 points, as the year-to-date gain rose to 32.09 per cent, the month-to-date gain to 0.38 per cent, and the week-to-date gain to 0.41 per cent.

Market capitalisation closed at N55.71tn.