CCNN, Unity Bank, others lead NSE’s N48b loss
Analysts predict gloomy outlook
Transactions on the equity sector of the Nigerian Stock Exchange (NSE) reopened on a bearish note yesterday, as more blue chip stocks witnessed price depreciation, especially CCNN and Unity Bank, resulting to a further decline in market capitalisation by N48 billion.
Specifically, at the close of transactions yesterday, the All–Share Index (ASI) depreciated by 109.94 points or 0.36 per cent to 30,322.19 points. Accordingly, investors lost N48 billion in value as market capitalisation declined to N13.354 trillion.
The downturn was impacted by losses recorded in medium and large capitalised stocks, among which are: Unilever Nigeria, Cement Company Northern Nigeria (CCNN), MTN Nigeria, Dangote Flour Mills and Nigerian Aviation Handling Company (NAHCO).
Analysts at Afrinvest Limited said: “Given the negative trend in the equities market, we expect the bearish performance in the market to persist but with opportunities for bargain hunting.”
Also analysts at APT Securities and Funds Limited said: “We might see more down days during the trading week as more investors eye savings and riskless asset.“We therefore advise for cautious trading in the short run.
“However, accumulation of fundamentally justified and dividend paying stocks for mid to long term is recommended.”
Market breadth closed negative, with 15 gainers versus 20 losers. Consolidated Hallmark Insurance and UACN Property Development Company recorded the highest price gain of 10 per cent each, to close at 22 kobo and N1.65, respectively, while Sovereign Trust Insurance followed with a gain 8.70 per cent to close at 25 kobo, per share.
Japaul Oil & Maritime Services went up by eight per cent to close at 27 kobo, while Forte Oil appreciated by 2.91 per cent to close at N26.50, per share.
On the other hand, Cement Company of Northern Nigeria (CCNN) and Unity Bank led the losers’ chart by 10 per cent each, to close at N13.50 and 63 kobo, per share, while NAHCO followed with a decline of 9.73 per cent to close at N3.06, per share.
Courteville Business Solutions by 9.09 per cent to close at 20 kobo, while Cutix shed 8.75 per cent to close at N1.46, per share.
Also, the total volume traded declined by 19.04 per cent to 247.39 million shares, worth N3.48 billion, and traded in 3,434 deals.
Transactions in the shares of Zenith Bank topped the activity chart with 70.25 million shares valued at N1.42 billion.
Guaranty Trust Bank followed with 23.1 million shares worth N706.05 million, while Ecobank Transnational Incorporated (ETI) traded 18.13 million shares valued at N177.72 million.
Custodian Investment traded 15.71 million shares valued at N95.02 million, while FBN Holdings transacted 11.48 million shares worth N80.25 million.
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