NGX ends August bearish as capitalisation dips further by N56bn

Transactions on the Nigerian Exchange Limited (NGX) sustained a sliding profile yesterday, to end trading for the month of August lower, as sell-pressure in highly capitalised stocks dragged market capitalisation further by N56 billion.

Specifically, at the close of transactions yesterday, the All Share Index (ASI) fell by 107.06 points or 0.27 per cent to 39.219.61 points.

Accordingly, investors lost N56 billion in value as market capitalisation declined to N20.434 trillion. The downturn was impacted by losses recorded in medium and large capitalised stocks, amongst which are; Nigerian Breweries, Zenith Bank, Livestock Feeds, BOC Gases and Guaranty Trust Bank Holdings Company (GTCO).

Analysts at Afrinvest Limited said: “We expect market performance to tilt in the bearish direction, as investors continue to search for optimum return.”

The market breadth closed negative, as 16 stocks constituted the gainers’ chart while 27 others recorded price depreciation. Transcorp Hotels recorded the highest price gain of 10 per cent, to close at N5.17 kobo while Honeywell Flour Mill followed with a gain of 9.74 per cent to close at N4.28 kobo. Morison Industries appreciated by 9.73 per cent to close at N2.03 kobo.

FTN Cocoa processors went up by 9.62 per cent to close at 57 kobo while Skyway Aviation Handling Company appreciated by 9.46 per cent to close at N4.05 kobo.

On the other hand, Nigerian Breweries (NB) led the losers’ chart by 9.93 per cent to close at N49.45 kobo. Livestock Feeds followed with a decline of 9.83 per cent to close at N2.11 kobo while Lasaco Assurance was down by 9.74 per cent to close at N1.39 kobo.

UACN Property Development Company (UPDC) depreciated by 7.46 per cent to close at N1.86 kobo. Neimeth International Pharmaceuticals also declined by 7.04 per cent to close at N1.85 kobo.

However, the total volume traded appreciated by 41.4 per cent to 425.658 million shares, worth N1.967 billion, and traded in 4,553 deals. Transactions in the shares of Transnational Corporation of Nigeria (Transcorp) topped the activity chart with 111.070 million shares valued at N99.979 million.

Chams Plc followed with 57.547 million shares worth N12.108 million, while Honeywell Flour Mills traded 31.629 million shares valued at N130.757 million.

Champion Breweries traded 23.747 million shares valued at N48.631 million, while Fidelity Bank sold 20.647 million shares worth N48.486 million.