Nigerian Stock market sustains Positive momentum… ASI up 0.4%

The domestic equities posted gains today as the All-Share index advanced 36bps to 40,295.95 points. The positive performance was driven by buying interest in DANGCEM (+2.2%), MANSARD (+9.6%) and NASCON (+10.0%). Consequently, the YTD return improved to 0.1% while market capitalisation advanced by ₦75.9bn to settle at ₦21.1tn. Activity level strengthened as volume and value traded surged 247.5% and 220.1% respectively to 1.2bn units and ₦8.0bn. The most traded stocks by volume were UPDCREIT (755.0m units), MANSARD (49.5m units) and TRANSCORP (44.3m units) while UPDCREIT (₦4.2bn), MTNN (₦679.1m) and ZENITH (₦425.8m) topped by value.

Performance across sectors was mixed as 3 of 6 indices under our coverage gained. The Insurance index led the gainers, advancing 3.6% due to price uptick in MANSARD (+9.6%), AIICO (+2.7%) and MBENEFIT (+10.0%). Similarly, the Industrial and Consumer Goods indices appreciated 1.0% and 0.4% respectively due to buying interest in DANGCEM (+2.2%), NASCON (+10.0%) and DANGSUGAR (+1.6%). On the flip side, the  Banking index lost the most, down 0.6% due to price weakness in GUARANTY (-1.1%) and UBA (-1.1%). Lastly, the AFR-ICT and Oil & Gas indices closed lower by 5bps apiece as a result of price declines in MTNN (-0.1%) and OANDO (-5.4%).

Investor sentiment as measured by market breadth (advance/decline ratio) increased to 1.3x from the 1.1x recorded previously as 26 stocks advanced against 20 decliners. NASCON (+10.0%), OMATEK (+10.0%) and NIGERINS (+10.0%) were the best-performing tickers while OANDO (-5.4%), UAC-PROP (-4.8%) and DEAPCAP (-4.8%) were the losers. We believe the positive sentiment would be sustained till the close of the week.

Market Statistics for Tuesday, 12th January 2021 

Source: Afrinvest