NSE daily report: 2.18% up goes the market on first day of trading in 2021

The Nigerian Stock Exchange (NSE) equities market opened 2021 with a bang! The benchmark NSE All-Share Index gained 2.18% to close at 41,147.39 points.

The Market Capitalization also rose by the same percentage, adding N458.394 billion to Investors’ wealth. The Market Capitalization settled at N21.515 Trillion.

The performance of the market on Monday was reminiscent of the performances seen in January 2018, and Investors’ might be wondering if history is about to repeat itself.

There were only two losers at the end of trading, while nineteen stocks recorded maximum gains, plus many others that also appreciated in price.

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The highflying stocks of December continued their advancement; BUACEMENT and JAPAULGOLD share prices gained the maximum allowable in a day’s trading session.

BUACEMENT share price rose by 9.89% to close at N85.00, while JAPAULGOLD rose by 9.68% to close at N0.68.

FTNCOCOA, the third highflyer in December reversed its downward trend, and gained 9.09% to close at N0.72.

FCMB Plc, was one of the companies whose share price declined on Monday. It lost the maximum allowable on the day in the early hours of trading, as the market responded to negative news about an internal investigation involving its Managing Director.

Activity level

The activity level waned significantly, as the volume of shares traded dropped by 70.18%, while the value of shares traded dropped by 86.04%. 211.929 million shares valued at N1.407 billion was traded in 3,438 deals.

AIICO Insurance Plc shares were the most traded by volume, with 87.515 million shares exchanging hands. FCMB and TRANSCORP were the second and third most traded stocks by volume, with 19.670 million and 12.776 million shares respectively.

Zenith Bank Plc shares were the most traded by value, with shares worth N222.724 million traded in 325 deals. WAPCO and GUARANTY were the second and third most traded by value.

WAPCO shares worth N222.980 million were traded in 293 deals, while GUARANTY shares worth N191.130 million were traded in 259 deals.

Performance of Indices

All 5 indices under our watch appreciated on Monday;

1. Industrial Goods Index advanced by 4.66%, due to the rise of BUACEMENT (+10.00%) and WAPCO (9.03%).
2. Insurance Index advanced by 4.39%, driven by MANSARD (+9.52%) and LASACO (+8.57%)
3. Banking Index was up by 3.68%, on the back of gains in GUARANTY (+3.55%) and ZENITHBANK (+3.63%)
4. Consumer Goods Index advanced by 1.41%, as a result of rise in share prices of INTBREW (+9.92%) and DANGSUGAR (+5.11%)
5. Oil & Gas Index advanced by 0.1%, due to ETERNA (+5.88%) gains

Investor Sentiment

Investor sentiment strengthened to 15.5x from the 0.7x recorded on Tuesday, as 31 stocks advanced against 2 that declined.

Top 5 gainers by percentage are;

1. HONYFLOUR gained 10.00% to close at N1.32
2. SOVRENINS gained 10.00% to close at N0.22
3. TRANSCORP gained 10.00% to close at N0.99
4. FIDELITYBK gained 9.92% to close at N2.77
5. INTBREW gained 6.54% to close at N9.92

There were only two losers on Monday;

1. FCMB lost 6.01% to close at N3.13
2. CAVERTON lost 3.41% to close at N1.98

Outlook

We expect positive performances to dominate this weeks’  trading sessions.

By; Nnamdi M.