Bargain hunting in MTNN, 24 other stocks lift capitalisation by N75bn

Following increased appetite in MTN Nigeria Communications Plc (MTNN) and 24 other stocks, the Nigerian equities market reopened in an upbeat, yesterday, with market capitalisation gaining N75 billion.

At the close of transactions, the all-share index rose by 138.63 points, representing a gain of 0.21 per cent, to close at 65,336.71 points.

Similarly, the overall market capitalisation value gained N75 billion to close at N35.555 trillion.

The positive performance was driven by price appreciation in large and medium capitalised stocks, which are MTNN, Nigerian Enamelware, BUA Foods, GlaxoSmithKline Consumer Nigeria and Cadbury Nigeria.

United Capital Plc said: “We expect the bullish sentiments in the equities market to persist on the back of the market’s attractiveness over the depressed rates in the fixed-income market.

“Also, we believe the positive sentiments around the new policy direction will continue to drive the rally in the market. Lastly, the recent S&P upgrading of Nigeria’s outlook from ‘negative’ to ‘stable’ would further drive positive sentiments.”

Analysts at Vetiva Dealings and Brokerage said: “The week started with recovery in the banking sector, while investors took profit in the consumer goods heavyweight – Dangote Sugar. We expect similar mixed session tomorrow, with slight cherry-picking action across the board.”

Also, market breadth closed the same with both 25 gainers and losers. Nigerian Enamelware recorded the highest price gain of 9.86 per cent to close at N19.5 per share. Wema Bank followed with a gain of 9.77 per cent to close at N4.72 kobo while University Press rose by 9.73 per cent to close at N2.48 kobo.

SUNU Assurance rose by 9.68 per cent to close at N1.02, while GlaxoSmithKline Consumer Nigeria gained 9.55 per cent to close at N9.75 kobo.

On the other hand, Omatek Ventures led the losers’ chart by 8.82 per cent to close at 31 kobo, per share. Prestige Assurance followed with a decline of 7.84 per cent to close at 47 kobo, while McNichols lost 7.35 per cent to close at 63 kobo.

Cornerstone Insurance declined 7.22 per cent to close at 90 kobo, while Wapic Insurance shed 5.97 per cent to close at 63 kobo.

The total volume of trades declined by 7.9 per cent to 334.33 million units, valued at N3.89 billion and exchanged in 6,940 deals. Transactions in the shares of Sterling Financial Holdings Company topped the activity chart with 55.141 million shares valued at N197.266 million. FCMB Group followed with 28.249 million shares worth N173.844 million, while Fidelity Bank traded 18.842 million shares valued at N150.847 million.

Japaul Gold & Ventures traded 17.356 million shares valued at N17.019 million, while Access Holding transacted 17.101 million shares worth N296.636 million.