Losses in MTNN, Dangsugar, UBA drags down stock index as investors lost N27.5bn

The benchmark index declined 0.2 per cent to 26,809.92 points following losses posted by MTNN (-1.2%), DANGSUGAR (-2.9%) and UBA (-1.7%). Similarly, YTD loss worsened to -14.7 per cent while market capitalisation declined by N27.5 billion to N13.1trillion. However, activity level rose as volume and value traded advanced by 22.6 per cent and 68.7 per cent to 185.9 million units and N2.5 billion respectively. The most active stocks by volume were ZENITH (60.9m units), FCMB (37.3m units) and GUARANTY (27.9m units) while ZENITH (N1.1bn), GUARANTY (N744.4m) and NESTLE (N242.1m) led by value.

Performance across sector under our coverage was mixed. The Oil & Gas index gained the most, up 1.0 per cent on the back of gains in MOBIL (+5.6%) and FORTE (+6.1%). Similarly, the Banking and Insurance indices rose 5bps and 6bps respectively following buying interest in GUARANTY (+0.6%), ACCESS (+0.7%) and CONTINSURE (+1.3%). Conversely, the AFR-ICT and Consumer Goods indices lost 70bps and 9bps respectively as sell-offs in MTNN (-1.2%), DANGSUGAR (-2.9%) and GUINNESS (-1.2%) dragged the indices. Finally, Industrial Goods index closed flat.

Investor sentiment as measured by market breadth (advance/decline ratio) declined to 0.9x from 1.1x recorded in yesterday’s session as 12 stocks gained against 14 decliners. The top gainers were NASCON (+10.0%), NPFMCRFBK (+9.1%) and FORTE (+6.1%) while CHAMPION (-9.6%), COURTVILLE (-9.1%) and LEARNAFRCA (-8.9%) were the top losers. We expect the bearish sentiment to persist as investors continue to take a risk-off approach towards the market.

Market Statistics Tuesday, 8th October, 2019