Analysts hopeful as NGX remains bullish with N260b gains
Amid anticipations of impressive 2022 full year earnings and dividend payout from listed firms, virtually all the blue-chip stocks appreciated in price at the end of yesterday’s transactions on the equities sector of the Nigerian Exchange Limited (NGX), causing market capitalisation to rise further by N260 billion.
At the close of transactions yesterday, market capitalisation of listed equities increased by 0.86 per cent to N30.400 trillion from N30.140 trillion reported the previous day. Also, the All-Share Index also appreciated by 477.84 basis points to 55806.27 points from 55328.42 points reported on Monday.
The upturn was impacted by gains recorded in medium and large capitalised stocks, amongst which are; Geregu, Dangote Cement, Stanbic IBTC, MRS, Guinness, NGX Group and Lafarge WAPCO.
Analysts at United Capital Plc said the equities market will maintain its bullish trajectory despite post-election uncertainties.
“We foresee opportunities for the buy-side to increase holdings (in the near-term) on fundamentally sound stocks with improved valuation and dividend performance. Nonetheless, we still expect profit-booking activity for overbought stocks”, they added.
On the price movement chart, 36 stocks appreciated in price while 10 constituted the losers’ chart. MRS led the gainers’ chart, adding 10 per cent to close at N36.85 kobo while Stanbic IBTC followed with a gain of 9.88 per cent to close at N41.70 kobo per share. C&I Leasing gained 9.64 per cent to close at N3.98 kobo, Mcnichols increased by 9.09 per cent to close at 72 kobo, Oando Plc gained 9.09 per cent close at N4.80 kobo.
Other gainers of yesterday’s transactions include Royal Exchange Assurance, UPC Reits, FTN Cocoa, NGX Group, Cutix, adding 8.11 per cent, 8.06 per cent, 7.41 per cent, 7.41 per cent, 7.32 per cent and 7.32 per cent to close at 80 kobo, N3.35 kobo, 29 kobo, N29 and N2.20 kobo. TransNational Corporation of Nigeria also gained 6.35 per cent to close at N1.34 kobo.
On the other hand, Multiverse topped the losers’ chart, declining by 10 per cent to close at N3.96 kobo per share, while CWG trailed with a loss of 9.09 per cent to close at 90 kobo. Flour Mills Nigeria Plc fell by 8.44 per cent to close at N3. Chams Plc declined by 7.14 per cent to close at 26 kobo, RTBriscoe Plc dipped by 3.57 per cent to close at 27 kobo per share.
Sterling Bank shed 2.56 per cent to close at N1.52 kobo. GlaxoSmithKline lost 2.19 per cent to close at N6.70 kobo. Lasaco depreciated by 1.92 per cent to close at N1.02 kobo. International Energy Insurance fell by 83 per cent to close at N1.19 kobo. Custodian and Allied Insurance also dropped 83 per cent to close at N5.95 kobo.
The volume of trades increased by 58.35 per cent as investors traded 237.174 million shares valued at N4.392 billion in 4435 deals against 147.780 million shares valued at N1.542 billion exchanged hands in 3186 deals.
Transactions in the shares of Fidelity Bank led activities with account of 39.979 million shares valued at N201.971 million, Zenith Bank followed with account of 34.247 million shares cost N907.535 million, Oando Plc traded 22.568 million shares worth N109.095 million, Transnational Corporation of Nigeria exchanged 17.826 million shares cost N23.260 million while GTCO Plc exchanged 10.366 million shares valued at N274.653 million.