300512 NSE ASI recorded 0.04% marginal loss to maintain southwards movement

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300512 NSE ASI recorded 0.04% marginal loss to maintain southwards movement

Trading resumes on the Nigerian bourse after the democracy day break as the bears continue to dominate market activities for the second consecutive session amid positive market breadth, increased volume turnover and Naira votes while market YTD performance currently stands at +6.95%.

Nevertheless, the key benchmark indices resumed downtrend as sentiments turned red, taking hits majorly from Large CAP stock which was particularly driven by Zenith Bank while Small CAP stocks also contributed to the outlook recorded today due to continuous sell pressure witnessed in Agriculture, Consumer Goods, Financial services, Industrial Goods and Services sectors.

In the same vein, the market capitalization of 187 first-tier equities depreciated by N2.89billion as market sentiments remained negative. 97 equities were traded today as against previous 95 with more activities recorded in Financial Services, Consumer Goods, Services, Healthcare, Conglomerates, Oil & Gas, Industrial Goods, ICT and Agriculture sectors.

Today, three out of the five NSE sectoral indices closed negative as NSE 30 which basically measures the performance of blue chips maintained downtrend by -0.12%, NSE Insurance resumed southwards movement by -1.72% while NSE Oil & Gas closed positive by +0.34% with NSE banking recording -0.70% loss while NSE Food also recorded +0.23% gain.

At the close of trading session, the NSE All-Share Index dips by -0.04% to close at 22,170.95 as against a decline by -0.24% recorded in the previous session to close at 22,180.02. In the same vein, market capitalization depreciated by N2.89 billion (US$19.26 million) to close at N7.07 trillion (US$47.12billion) as against depreciation by N16.69 billion (US$111.24 million) recorded in preceding session to close at N7.07 trillion (US$47.14billion).

The number of gainers at the close of trading session closed higher at 20 as against 16 recorded in the previous session while decliners closed lower at sixteen (16) as against nineteen (19) losers recorded in the previous trading day – suggesting a positive market breadth.

Today, the following companies presented their results

1. Japaul Oil & Maritime services Plc: in its Q1 2012 result recorded positive turnover growth of +20.3% and positive PAT growth of +25.4%.

2. RT Briscoe Plc: in its Q1 2012 result recorded positive turnover growth of +19% and positive PAT growth of +9.7%.

As usual, Financial Services sector led the market transaction volume today with 255.85 million units valued at N2.51 billion (US$16.74 million) exchanged in 2,314 deals as against 140.31 million units valued at N988.92 million (US6.59 million) exchanged in 2,184 deals recorded in previous session.

The volume recorded in the sector was driven by transaction in the shares of GUARANTY, FIRSTBANK, ZENITH, FIDELITY and UBA Plc and the total volume of 205.34 million units valued at N2.35 billion traded in five stocks accounted for 56.55% of the entire market volume and their value represented 72.31% of the market’s value.

Transaction volume on the exchange moved up by +68.30% to close at 363.14 million units exchanged in 3,612 deals as against a decline by -44.57% recorded in the previous trading to close at 215.76 million units exchanged in 3,648 deals.

Also, market value appreciated by +115.11% to close at N3.25 billion (US$21.66 million) as against appreciation by +3.02% recorded in the previous trading session to close at N2.95 billion (US$19.66 million).

Sectoral Performance (According to New Market Segmentation)

Financial Services sector led the market sectoral performance with 255.85 million units of shares traded in 2,314 trades within the sector, followed Consumer Goods sector to come second on the chart with 42.07 million units traded in 569 trades while Services sector recorded 39.25 million units in 99 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 44.53% contribution to market turnover, followed by medium Cap stocks with 31.31% while Small Cap stocks stake 24.16% to come last on the chart.

Among the Large cap stocks, DANGCEM, NB and ZENITHBANK Plc topped the 7 traded stocks in that class while WAPCO, UBA and ACCESS dominated Medium Cap of 24 traded stocks. Similarly, CONOIL, GLAXOSMITH and UNITYBNK led 66 traded stocks in the Small Cap category in that order. See table below

SECTORAL REVIEW

The Agriculture sector closed with one gainer to two losers as against one loser recorded in the previous session.

The Conglomerates sector closed with one gainer as against one gainer recorded in the previous session. Transcorp Plc closed with +4.26% gains after today’s trading session.

The Construction/Real Estate sector closed with one gainer as any price movement recorded in the previous session.

The Consumer Goods sector closed with four gainers to two losers as against two gainers to four losers recorded in previous session. International Breweries Plc moved northwards by +4.86% while MASCON Plc moved southwards by -4.91% after today’s trading session.

The Financial Services sector closed with six gainers to eight losers as against nine gainers to seven losers recorded in the previous session. Union Bank Plc moved up by +4.84% while FCMB Plc moved down by -4.80% loss after today’s trading session.

The Healthcare sector closed with one gainer compared to one gainer recorded in previous session.

The ICT sector closed with one gainer as against any price movement recorded in the previous session.

The Industrial Goods sector closed with two gainers to two losers as against one gainer to three losers recorded in previous session.

The Natural Resources sector closed with no price movement as against any price movement recorded in previous session.

The Oil & Gas sector closed with two gainers as against two losers recorded in previous session.

The Services sector closed with one gainer to two losers as against one gainer to two losers recorded in the previous session.

Further analysis on Acquiring Banks since transaction date showed that the share price of Access Bank Plc has recorded 32.93% gain, followed by FCMB with 1.79% while Union Bank Plc leads the chart with 86.60% gain. However, Sterling Bank Plc recorded -10.24% loss while ETI also closed negative with -3.51% loss recorded. See the tracking table below.

Acquiring Banks