Capitalisation dips by N22b amid losses in VFG Group, 20 stocks

Transactions in the equities sector of the Nigerian Exchange Limited (NGX) reopened on a downturn yesterday, as market capitalisation dipped by N22 billion, amid sell pressure in VFG Group and 20 stocks.

Specifically, at the close of trading yesterday, the All-Share Index (ASI) declined by 38.49 points, representing a loss of 0.06 per cent to close at 66,876.92 points. Also, market capitalisation lost N22 billion to close at N36.742 trillion.

The downturn was driven by price depreciation in large and medium capitalised stocks amongst, which are; VFD Group, Dangote Sugar Refinery, Guaranty Trust Holding Company (GTCO), University Press, Oando, First City Monument Bank and FTN Cocoa.

Analysts at United Capital Plc, said: “we expect mixed investors’ sentiments in the equities market to continue. We anticipate more improvements in positive sentiments as investors look to position ahead of the nine months, 2023 earnings season. The weak earnings expectation will remain a downside to the overall rebound of positive sentiments.”

SCM Capital, said: “We expect a potential uptick in positive outlooks as investors strategically position themselves before the nine months, 2023 earnings season.”

Vetiva Dealings and Brokerage, said: “We expect similar mixed sectoral performance, with trades in the banking sector boosting activity level.”

The market breadth, which measures investor sentiment, closed positive, as 23 stocks appreciated, while 21 stocks depreciated.

Thomas Wyatt Nigeria emerged the highest price gainer of 9.92 per cent to close at N3.99 kobo. Academy Press followed with a gain of 9.71 per cent to close at N1.92, while Ikeja Hotels rose by 9.52 per cent to close at N3.45, per share.

Chams rose by 7.38 per cent to close at N1.60, while Tantalizers appreciated by 6.90 per cent to close at 31 kobo, per share. Regency Insurance appreciated by 5.88 per cent to close at 36 kobo. Guinea Insurance gained 4.35 per cent to close at 24 kobo.

Champion Breweries increased by 4.29 per cent to close at N3.65 kobo. Cornerstone
added 4.23 per cent to close at N1.48 kobo. May & Baker improved by 2.88 per cent to close at N5. UACN added 2.73 per cent to close at N11.30 kobo. Mansard also appreciated by 2.66 per cent to close at N4.24 kobo.

On the other side, VFD Group led others on the losers’ chart with 9.99 per cent to close at N242.40 kobo. McNichols followed with a decline of 9.68 per cent to close at 56 kobo, while University Press shed 9.32 per cent to close at N2.14 kobo. Consolidated Hallmark Insurance declined by 5.22 per cent to close at N1.09 kobo while Omatek Ventures depreciated by 4.44 per cent to close at 43 kobo.

Universal Insurance shed 4.17 per cent to close at 23 kobo. Dangote Sugar Refinery depreciated by 3.94 per cent to close at N61. Veritas Kapital lost 3.85 per cent to close at 25 kobo. FTN Cocoa shed 3.57 per cent to close at N1.62 kobo. JapaulGold dropped 2.15 per cent to close at 91 kobo. Unity Bank also shed 2.11 per cent to close at 93 kobo.

The total volume of trade increased by 52.8 per cent to 314.619 million units, valued at N4.388 billion, and exchanged in 6,133 deals. Transactions in the shares of United Bank for Africa (UBA) led the activity with 47.151 million shares worth N900.696 million. Access Holdings followed with an account of 40.348 million shares valued at N666.866 million, while FCMB Group traded 29.054 million shares valued at N173.553 million. GTCO traded 27.304 million shares worth N959.246 million, while Transnational Corporation (Transcorp) traded 16.436 million shares worth N102.04 million.