Nigerian Equities Market reverses gain… ASI down 1.8%

Today, the local bourse reversed the previous trading session gain as the benchmark index fell 180bps to 38,686.85 points due to sell-offs in MTNN (-5.9%), ZENITH (-12.7%) and WAPCO (-8.0%). As a result, YTD loss worsened to -3.9% and market capitalisation declined by ₦371.3bn to ₦20.2tn. Trading activity improved as volume and value advanced by 64.8% and 110.8% respectively to 490.0m units and ₦6.7bn. The most traded stocks by volume were UBA (123.3m units), MBENEFIT (58.0m units) and FBNH (48.9m units) while MTNN (₦2.4bn), UBA (₦887.6m) and ZENITH (₦776.4m) led by value.

Performance across sectors was bearish as 5 of the 6 indices under our coverage closed in the red. The Consumer Goods index emerged as the lone gainer, up 0.4% due to price appreciation in DANGSUGAR (+8.0%), NASCON (+7.7%) and CHAMPION (+9.8%). Conversely, the Banking and AFR-ICT indices lost 5.3% and 2.9% respectively due to sell-offs in ZENITH (-12.7%), UBA (-10.0%) and MTNN (-5.9%). Similarly, the Insurance and Industrial Goods indices fell 0.6% and 0.5% respectively following sell pressures in WAPIC (-5.9%), PRESTIGE (-6.7%) and WAPCO (-8.0%). Price declines in ETERNA (-10.0%) and JAPAULGO (-2.0%) dragged the Oil & Gas index lower by 0.2%.

Investor sentiment as measured by market breadth (advance/decline ratio) weakened to 0.6x from the 1.7x recorded previously as 14 stocks advanced against 25 decliners. CHAMPION (+9.8%), NEIMETH (+9.7%) and CUTIX (+8.8%) were the top gainers while UBA (-10.0%), ETERNA (-10.0%) 

and CAVERTON (-9.5%) were the top losers. We expect continued sell pressures in the next trading session given that investor sentiment remains weak.

Market Statistics for Tuesday, 9th March 2021