The Nigerian Stock Exchange benchmark index; NSE All-Share Index (NSE ASI) rose by 1.25% on Wednesday with bellwether stocks leading the gainers table by value. AIRTELAFRI, DANGCEM, FLOURMILL, JBERGER and DANGSUGAR were the top gainers by value.
Investors’ gained N223.861 billion, and the market capitalization rose to N18.166 trillion.
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Today was the third trading session on the Nigerian Stock Exchange after the country officially went into recession, and the market has enjoyed gains in two sessions and endured a loss in one, emphasizing the fact that the market may have priced-in the recession before the announcement.
Activity level
The activity level improved as the volume and value of shares traded increased with double digits. 434.92 million shares were traded, an increase of 19.02% from the 365.41 million shares traded on Tuesday, while the value of shares traded increased by 47.35% to N6.913 billion.
TRANSCORP was the most traded stock by volume with 84.496 million shares, followed by ZENITHBANK and ACCESS with 59.220 millions and 29.893 millions respectively.
DANGCEM was the most traded stocks by value with shares worth N2.164 billion exchanging hands, while ZENITHBANK with N1.480 billion and GUARANTY with N768.519 million were the second and third most traded stocks by value.
The most traded stock was STERLNBANK as it saw 870 trades being made on the day, followed by ZENITHBANK with 738 trades and GUARANTY with 438 trades.
Performance of Indices
4 out of the 5 indices under over watch closed in green;
- Banking Index: +1.59%
- Industrial Goods Index: +1.58%
- Insurance Index: +1.38%
- Consumer Goods Index: +0.74%
- Oil & Gas Index: -0.56%
Investor Sentiment
Investor sentiment as measured by market breadth (advance/decline ratio) rose to 3.4x from the 1.6x recorded previously as 37 stocks gained against the 11 that declined.
Top five gainers by percentage are;
- MAYBAKER rose by 10.00% to close at N3.52
- UPDCREIT rose by 9.89% to close at N5.00
- ETERNA rose by 9.88% to close at N4.56
- FLOURMILL rose by 9.84% to close at N27.90
- MANSARD rose by 9.83% to close at N2.57
To five losers by percentage are;
- TRANSEXPR lost 9.38% to close at N0.87
- ABCTRANS lost 8.57% to close at N8.57%
- CORNERST lost 7.94% to close at N0.58
- UAC-PROP lost 6.82% to close at N0.82
- OANDO lost 6.55% to close at N2.71
Corporate disclosures
- PZ Cussons announced the retirement of its board chairman
- Valualliance value fund gave notice of annual general meeting
- Skyway Aviation Handling Company Plc gave notice of board meeting
- FCMB Group Plc released it third quarter financial statement for 2020
Outlook
We expect market performance in the medium to long term to be driven by government and Central Bank policies to get the economy moving forward again and out of recession.
Opportunities still abound for bargain hunters, and their activities may propel the market forward in the short term.
By; Nnamdi M.
