280612 Equity Market dips by -0.15% to resume southwards movement

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280612 Equity Market dips by -0.15% to resume southwards movement

Today, Nigerian Stock Market resumed downtrend after a day of optimistic trading due to renewed sell pressure witnessed on the bourse while sentiments remained relatively weak as market continues to witness volatile sessions with YTD performance currently standing at +3.91%.

Nevertheless, the key benchmark indices resumed downtrend as sentiments turned red, taking hits majorly from Medium CAP stock which was particularly driven by FIDELITYBK while Large CAP stocks also contributed to the outlook recorded today due to renewed selling activities witnessed in Financial Services sector.

In the same vein, the market capitalization of 187 first-tier equities depreciated by N10.08 billion as market sentiments turned negative. 96 equities were traded today as against previous 104 with more activities recorded in Financial Services, Conglomerates, Consumer Goods, Oil & Gas, Healthcare, Industrial Goods, Services, Agriculture, Construction/Real Estate, ICT and Natural Resources sectors.

Today, four out of five NSE sectoral indices closed negative as NSE 30 which basically measures the performance of blue chips resumed downtrend by -0.19%, NSE Insurance closed with -0.94% losses while NSE Oil & Gas closed positive with +0.69%, NSE banking records -0.55% loss while NSE Food also records -0.01% marginal loss.

At the close of trading session, the NSE All-Share Index dips by -0.15% to close at 21,542.24 as against a decline by -0.05% recorded in the previous session to close at 21,573.84. In the same vein, market capitalization depreciated by N10.08 billion (US$67.23 million) to close at N6.87 trillion (US$45.83billion) as against depreciation by N72.36 billion (US$482.24 million) recorded in preceding session to close at N6.88 trillion (US$45.89billion).

The number of gainers at the close of trading session closed lower at 18 as against 21 recorded in the previous session while decliners also closed lower at sixteen (16) as against twenty-two (22) losers recorded in the previous trading day – suggesting a negative market breadth.

As usual, Financial Services sector led the market transaction volume today with 102.82 million units valued at N540.20 million (US$3.60 million) exchanged in 1,748 deals as against 4.43 billion units valued at N16.38 billion (US109.18 million) exchanged in 1,845 deals recorded in previous session.

The volume recorded in the sector was driven by transaction in the shares of STERLNBANK, ETI, FIDELITYBK, ZENITHBANK and CUSTODYINS Plc and the total volume of 53.27 million units valued at N299.12 million traded in five stocks accounted for 33.22% of the entire market volume and their value represented 29.53% of the market’s value.

Transaction volume on the exchange moved down by -96.45% to close at 160.37 million units exchanged in 3,206 deals as against an upbeat by +1847.83% recorded in the previous trading to close at 4.51 million units exchanged in 3,263 deals.

Also, market value depreciated by -94.09% to close at N1.01 billion (US6.75 million) as against appreciation by +896.71% recorded in the previous trading session to close at N17.1 billion (US$114.15 million).

Sectoral Performance (According to New Market Segmentation)

Financial Services sector led the market sectoral performance with 102.82 million units of shares traded in 1,748 trades within the sector, followed by Conglomerates sector to come second on the chart with 29.48 million units traded in 114 trades while Consumer Goods sector recorded 8.34 million units in 669 trades to close with third position on the chart. See the full table below

Market Outlook by Classification

At the end of today's session, it was observed that Medium Cap stocks according to new market segmentation topped today's market activity with 49.09% contribution to market turnover, followed by Small Cap stocks with 36.37% while Large Cap stocks stake 14.54% to come last on the chart.

Among the Large cap stocks, DANGCEM, NB and GUARANTY Plc topped the 7 traded stocks in that class while UBA, UNILEVER and WAPCO dominated Medium Cap of 23 traded stocks. Similarly, ASHAKACEM, GLAXOSMITH and UNITYBNK led 66 traded stocks in the Small Cap category in that order. See table below

SECTORAL REVIEW

The Agriculture sector closed with one loser as against one gainer recorded in the previous session.

The Conglomerates sector closed with two losers as against any price movement recorded in the previous session. Transcorp Plc closed with -2.59% price declines after today’s trading session.

The Construction/Real Estate sector closed with no price movement as against two losers recorded in the previous session.

The Consumer Goods sector closed with three gainers to one loser as against five gainers to two losers recorded in previous session.

The Financial Services sector closed with five gainers to nine losers as against nine gainers to nine losers recorded in the previous session. WAPIC Insurance Plc moved up by +4.76% while GTASSURE Plc moved down by -4.38% loss after today’s trading session.

The Healthcare sector closed with four gainers compared to one gainer to two losers recorded in previous session.

The ICT sector closed with no price movement as against any price movement recorded in previous session.

The Industrial Goods sector closed with two gainers to one loser as against one gainer to four losers recorded in previous session.

The Natural Resources sector closed with no price movement as against any price movement recorded in previous session.

The Oil & Gas sector closed with two gainers to one loser as against one gainer to two losers recorded in previous session.

The Services sector closed with two gainers as against one gainer to five losers recorded in the previous session.

Further analysis on Acquiring Banks since transaction date showed that the share price of Access Bank Plc has recorded +27.68% gains with FCMB recording -17.95% losses while Union Bank Plc leads the chart with +78.47% gains. However, Sterling Bank Plc recorded -9.45% losses while ETI also closed negative with -5.74% loss recorded. See the tracking table below.

Acquiring Banks