190412: Market sentiments remain unchanged; GTBank grows PAT by +34% in Q1 ‘12

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190412: Market sentiments remain unchanged; GTBank grows PAT by +34% in Q1 ‘12

Trading activities on the Nigerian bourse sustained uptrend for the third session in a row as the bulls continue to consolidate their grip on the market amid low volume turnover and moderately improved Naira Votes while market breadth closed considerably impressive as against previous position.

Nevertheless, the key benchmark indices sustained uptrend as sentiments remained unchanged, taking supports majorly from Large CAP stocks which were particularly driven by FIRSTBANK while Medium CAP stocks also contributed to the outlook recorded today due to continuous bargain activities witnessed in Conglomerates, Consumer Goods, Financial Services and Oil & Gas sectors.

In the same vein, the market capitalization of 187 first-tier equities appreciated by N93.88 billion as market sentiments remained green. 91 equities were traded today as against previous 95 with more activities recorded in Financial Services, Consumer Goods, Conglomerates, Oil & Gas, Industrial Goods, Healthcare, Services, Agriculture, ICT, Construction/Real Estate and Natural Resources sectors.

Today, All five NSE sectoral indices closed positive as NSE 30 which basically measures the performance of blue chips maintained uptrend by +1.78%, NSE Insurance closed positive by +1.52% while NSE Oil & Gas also closed upwards marginally by +0.02% with NSE banking recorded the highest gain by +3.73% while NSE Food also recorded +1.14% gain.

At the close of trading session, the NSE All-Share Index inches up by +1.40% to close at 21,388.88 as against an upbeat by +1.47% recorded in the previous session to close at 21,094.51. In the same vein, market capitalization appreciated by N93.88billion (US$625.66 million) to close at N6.82trillion (US$45.46billion) as against appreciation by N97.48billion (US$649.68 million) recorded in preceding session to close at N6.72trillion (US$44.83billion).

The number of gainers at the close of trading session closed higher at 33 as against 22 recorded in the previous session while decliners closed lower at nine (9) as against twenty-three (23) losers recorded in the previous trading day – suggesting a positive market breadth.

Today, the following companies presented their results

1. United Bank for Africa Plc: in its Q1 2012 result recorded positive turnover growth of +32.9% and positive PAT growth of +253.6%.

2. Guaranty Trust Bank Plc: in its Q1 2012 result recorded positive turnover growth of +22% and positive PAT growth of +34.8%.

3. MRS Oil Plc: in its Audited result recorded negative turnover growth of -5.1% and negative PAT growth of -43.9%. The company declares 70k dividend. Its AGM date is 10^th July 2012 scheduled to hold at Federal Palace Hotel VI, Lagos at 11am.

4. African Paints Plc: in its Audited 2011 result recorded positive turnover growth of +12.5% and negative PAT growth of -249.2%.

As usual, Financial Services sector led the market transaction volume today with 241.25 million units valued at N1.79 billion (US$11.98 million) exchanged in 2,158 deals as against 285.68 million units valued at N1.91 billion (US$12.78 million) exchanged in 1,847 deals recorded in previous session.

The volume recorded in the sector was driven by transaction in the shares of FIRSTBANK, ZENITHBANK, FCMB, GUARANTY and UBA Plc and the total volume of 156.76 million units valued at N1.56 billion traded in five stocks accounted for 54.28% of the entire market volume and their value represented 50.04% of the market’s value.

Transaction volume on the exchange moved down by -14.96% to close at 288.80 million units exchanged in 4,006 deals as against a decline by -29.72% recorded in the previous trading to close at 339.61 million units exchanged in 3,696 deals.

Also, market value appreciated by +21.47% to close at N3.11 billion (US$20.78 million) as against depreciation by -19.81% recorded in the previous trading session to close at N2.56 billion (US$17.11 million).

Sectoral Performance (According to New Market Segmentation)
Financial Services sector led the market sectoral performance with 241.25 million units of shares traded in 2,158 trades within the sector, followed by Consumer Goods sector to come second on the chart with 22.76 million units traded in 692 trades while Conglomerates sector recorded 7.66 million units in 154 trades to close with third position on the chart. See the full table below

Market Outlook by Classification

At the end of today's session, it was observed that Large Cap stocks according to new market segmentation topped today's market activity with 39.86% contribution to market turnover, followed by Medium Cap stocks with 39.65% while Small Cap stocks stake 20.48% to come last on the chart.

Among the Large cap stocks, DANGCEM, NB and GUARANTY Plc topped the 7 traded stocks in that class while ETI, IBTC and WAPCO dominated Medium Cap of 21 traded stocks. Similarly, DANGFLOUR, GLAXOSMITH and ASHAKACEM led 63 traded stocks in the Small Cap category in that order. See table below

SECTORAL REVIEW
The Agriculture sector closed with three gainers as against one gainer to one loser recorded in the previous session. PRESCO closed with +5.00% after today’s trading session.

The Conglomerates sector closed with one gainer as against one gainer to one loser recorded in the previous session. UACN closed with +3.64% after today’s trading session.

The Construction/Real Estate sector closed with no price movement as against one gainer recorded in the previous session. All prices in the sector closed flat after today’s trading session.

The Consumer Goods sector closed with six gainers to three losers as against five gainers to two losers recorded in previous session. NASCON moved northward by 4.84% while UTC moved a southward by 3.85% after today’s trading session.

The Financial Services sector closed with thirteen gainers to two losers as against nine gainers to seven losers recorded in the previous session. FCMB and FIRSTBANK moved up by +5.00% while CUSTODYINS moved down by -2.26% after today’s trading session.

The Healthcare sector closed with two gainers to one loser compared to one loser recorded in previous session. GLAXOSMITH closed Positive with 5.00% while FIDSON closed negative with 2.20% after today’s trading session.

The Information & Communication Technology sector closed with one gainer as against no price movement recorded in the previous session. NCR closed with +4.98% after today’s trading session.

The Industrial Goods sector closed with two gainers to two losers as against three gainers to five losers recorded in previous session. CAP closed by +4.00% while BERGER closed by -495% after today’s trading session.

The Natural Resources sector closed with no price movement the same market posture recorded in previous session. All stocks in the sector closed flat after today’s trading session.

The Oil & Gas sector closed with one gainer to one loser as against four losers recorded in previous session. ETERNAOIL closed by +3.95% while FO closed by -2.39% after today’s trading session.

The Services sector closed with three gainers as against two gainers to two losers recorded in the previous session. RTBRISCOE closed positive by 4.55% after today’s trading session

Further analysis on Acquiring Banks since transaction date showed that the share price of Access Bank Plc has recorded 17.78% gain, followed by FCMB with 34.62% while Union Bank Plc leads the chart with 71.29% gain. However, Sterling Bank and ETI Plc both recorded -2.36% and -2.06% loss respectively. See the tracking table below.

Acquiring Banks