260712 Market CAP sheds N84.15bn in three trading days

Category: Daily & Weekly Market Updates

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260712 Market CAP sheds N84.15bn in three trading days

Equity Market sustained downtrend for third day in succession as speculative trading continue to permeate the Nigerian bourse amid increased volatility with the key benchmark indicator recording a modest loss while market YTD performance currently stands at +11.51%.

Nevertheless, the key benchmark indices maintained downtrend as sentiments remained negative, taking hits majorly from Large CAP stocks which was particularly driven by FIRSTBANK.

In the same vein, the market capitalization of 187 first-tier equities depreciated by N4.20 billion as market sentiments remained negative. 91 equities were traded today as against previous 117 with more activities recorded in Financial Services, Healthcare, Consumer Goods, Oil & Gas, Conglomerates, Services, Industrial Goods, Agriculture, Construction/Real Estate, Natural Resources and ICT sectors.

Today, three NSE sectoral indices closed negative as NSE 30 which basically measures the performance of blue chips retraced by +0.003%, NSE Insurance closed with -1.38% loss while NSE Oil & Gas closed negative with -1.19% loss, NSE banking records -0.05% marginal gains while NSE Food also records -0.09% loss.

At the close of trading session, the NSE All-Share Index dips by -0.06% to close at 23,116.59 as against a decline by -0.17% recorded in the previous session to close at 23,129.82. In the same vein, market capitalization depreciated by N4.20 billion (US$28.05 million) to close at N7.35 trillion (US$49.02billion) as against depreciation by N12.54 billion (US$83.59 million) recorded in preceding session to close at N7.36 trillion (US$49.05billion).

The number of gainers at the close of trading session closed higher at 25 as against 20 recorded in the previous session while decliners closed lower at eighteen (18) as against twenty-eight (28) losers recorded in the previous trading day – suggesting a positive market breadth.

Today, the following companies presented their results

1. Berger Paints Plc in its Q2 ’12 result recorded positive turnover growth of +12% and positive PAT growth of +5%.

2. Fidelity Bank Plc in its Q2 ’12 result recorded positive turnover growth of +79.4% and positive PAT growth of +161.7%.

3. Sterling Bank Plc in its Q2 ’12 result recorded positive turnover growth of +59.3% and positive PAT growth of +37.6%.

As usual, Financial services sector led the market transaction volume today with 251.02 million units valued at N1.33 billion (US$8.87 million) exchanged in 2,263 deals as against 368.06 million units valued at N2.07 billion (US13.84million) exchanged in 2,583 deals recorded in previous session.

The volume recorded in the sector was driven by transaction in the shares of AIICO, UBA, DIAMONDBNK, ZENITHBANK and SKYEBANK Plc and the total volume of 149.93 million units valued at N638.59 million traded in five stocks accounted for 39.65% of the entire market volume and their value represented 20.75% of the market’s value.

Transaction volume on the exchange moved down by -10.09% to close at 378.11 million units exchanged in 4,001 deals as against an upbeat by +67.79% recorded in the previous trading to close at 420.52 million units exchanged in 4,550 deals.

Also, market value appreciated by +3.66% to close at N3.07 billion (US20.52 million) as against appreciation by +25.04% recorded in the previous trading session to close at N2.96 billion (US$19.78 million).

Sectoral Performance (According to New Market Segmentation)

Financial Services sector led the market sectoral performance with 251.02 million units of shares traded in 2263 trades within the sector, followed by Consumer Goods sector to come second on the chart with 59.40 million units traded in 57 trades while Consumer Goods sector recorded 39.79 million units in 787 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 Medium Cap stocks according to new market segmentation topped today's market activity with 45.97% contribution to market turnover, followed by Small Cap stocks with 37.85% while Large Cap stocks stake 16.17% 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 IBTC, UBA and ACCESS dominated Medium Cap of 24 traded stocks. Similarly, ASHAKACEM, CONOIL and GTASSURE led 60 traded stocks in the Small Cap category in that order. See table below

SECTORAL REVIEW

The Agriculture sector closed with two gainers as against two losers recorded in the previous session.

The Conglomerates sector closed with two gainers as against two losers recorded in the previous session.

The Construction/Real Estate sector closed with no price movement as against one loser recorded in the previous session.

The Consumer Goods sector closed with four gainers to five losers as against three gainers to eight losers recorded in previous session.

The Financial Services sector closed with nine gainers to six losers as against nine gainers to eight losers recorded in the previous session. Access Bank Plc moved up by +4.92% while Union Bank Plc moved down by -4.84% loss after today’s trading session.

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

The ICT sector closed with no price movement compared with any price movement recorded in previous session.

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

The Services sector closed with three gainers to one loser as against three gainers to one loser recorded in the previous session.

Further analysis on Acquiring Banks since transaction date showed that the share price of Access Bank Plc has recorded +50.71% gains with FCMB recording -15.90% losses while Union Bank Plc leads the chart with +97.61% gains. However, Sterling Bank Plc recorded -11.02% losses while ETI also closed negative with -11.65% loss recorded. See the tracking table below.

Acquiring Banks