Investors gain N120bn at NSE as bullish run continues

The bullish run on the Nigerian Stock Market was sustained into the 5th consecutive session as the All Share Index (ASI) rose 1.1 per cent to 30,460.68 points driven by price appreciation in DANGCEM (+4.4%), GUINNESS (+9.7%) and UBA (+2.1%). Consequently, YTD loss moderated to -3.1 per cent while market capitalisation increased by N120.5 billion to N11.4 trillion. Activity level was however mixed as volume traded increased 1.9 per cent to 305.8 million units while value traded declined 35.3 per cent to N2.1 billion. The top traded stocks by volume were DIAMOND (141.2m units), FIDELITY (18.6m units) and GUARANTY (17.4m units) while GUARANTY (N577.7m), ZENITH (N357.1m) and DIAMOND (N296.6m) were the top traded by value.

Sector performance was mixed as 3 of 5 indices closed northwards. Among gainers, the Insurance index maintained the lead, up 2.3 per cent due to bargain hunting in CUSTODIAN (+9.4%), NEM (+9.6%) and WAPIC (+5.0%). The Industrial Goods and Consumer Goods indices trailed, rising 1.7 per cent and 0.2 per cent respectively on the back of buying interest in DANGCEM (+4.4%), GUINNESS (+9.7%) and HONEYFLOUR (+9.6%). On the flip side, the Banking and Oil & Gas indices declined, down 0.7 per cent and 1bp respectively dragged by losses in GUARANTY (-2.7%), FBNH (-2.0%) and OANDO (-3.3%).

Investor sentiment measured by market breadth (advance/decline ratio) strengthened to 1.5x from 1.4x recorded the previous day as 24 stocks advanced against 16 that declined. The top gainers were SOVRENINS (+10.0%), VERITASKAP (+10.0%) and GUINNESS (+9.7%) while BETAGLAS (-10.0%), NNFM (-9.2%) and RESORTSAL (-8.8%) were the top losers. We are cautiously optimistic of the positive sentiment we observed in the last 5 trading sessions, hence we recommend strategic investment in fundamentally sound stocks in the short to medium term.

Market Statistics Wednesday, 16th January 2019

Market Cap (N’bn)                                       11,359.1

Market Cap (US$’bn)                                          37.1

NSE All-Share Index                                    30,460.68

Daily Performance %                                             1.1

1 Week Performance %                                         3.8

YTD Performance %                                              (3.1)

Daily Volume (Million)                                          305.8

Daily Value (N’bn)                                                    2.1

Daily Value (US$’m)                                                6.9

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