Capitalisation dips by N51b, amid losses in 33 stocks

The Nigerian Exchange Limited (NGX) reversed gains, to close on a downward note yesterday, as market capitalisation declined by N51 billion, amid losses in MRS Oil Nigeria Plc and 32 stocks.

At the close of transactions, the all-share index (ASI) lost 83.81 points, representing a decline of 0.79 per cent to close at 105,367.25 points. Also, market capitalisation declined by N51 billion to close at N64.252 trillion.

The downturn was driven by price depreciation in large and medium capitalised stocks amongst which are; MRS Oil Nigeria, Beta Glass, Northern Nigeria Flour Mills (NNFM), Unilever Nigeria and Transnational Corporation (Transcorp).

Looking forward, United Capital Plc said: “The equities market is expected to maintain its positive momentum as investors continue to position themselves ahead of the full year, 2024 earnings season and possible corporate action declarations.

“Nevertheless, given the elevated interest rate environment in the fixed-income market, we still expect bearish sentiments to linger in the background.”

Analysts at Afrinvest said: “Investor sentiment, as measured by market breadth, weakened to -0.11x (from 0.10x ) as 25 stocks advanced while 33 declined. Tomorrow, we anticipate the negative performance to spill over due to waning investors’ sentiment and reduced activity.”

As measured by market breadth, market sentiment was negative, as 25 stocks gained relative to 33 losers. CAP emerged as the highest price gainer of 10 per cent to close at N41.80 kobo. Neimeth International Pharmaceuticals followed with a gain of 9.96 per cent to close at N2.87 kobo, while Livestock Feeds rose by 9.90 per cent to close at N5.55 kobo.

Secure Electronic Technology increased by 9.88 per cent to close at 89 kobo, while International Energy Insurance added 8.33 per cent to close at N2.21 kobo.

On the other side, Lasaco Assurance led the losers chart with 10 per cent to close at N3.24 kobo. NNFM followed with a decline of 9.99 per cent to close at N41 while Academy Press shed 9.85 per cent to close at N2.93 kobo.

ABC Transport depreciated by 9.76 per cent to close at N1.11 kobo while RT Briscoe Nigeria was down by 9.73 per cent to close at N2.32 kobo.

The total volume traded declined by 65.91 per cent to 505.798 million units, valued at N8.126 billion, and exchanged in 14,259 deals.

Transactions in the shares of Tantalizer led the activity with 48.000 million shares worth N118.668 million. Universal Insurance followed with an account of 31.204 million shares valued at N23.975 million, while AIICO Insurance traded 30.023 million shares valued at N56.591 million.

Chams Holding Company traded 29.698 million shares worth N62.02 million, while Guaranty Trust Holding Company (GTCO) traded 24.383 million shares worth N1.416 billion.