150812 Equity Market maintains downtrend; dips by -0.09%

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150812 Equity Market maintains downtrend; dips by -0.09%

The bears continue to dominate market activities for the second successive session as speculative trading continues despite an improvement witnessed in market turnover amid negative breadth while the share price of Dangote Cement Plc also retain similar posture recorded in the previous session to further impact market outlook negatively.

Nevertheless, the key benchmark indices maintained southwards movement as sentiments remained negative, taking hits majorly from Medium CAP stock which was particularly driven by MOBIL while large CAP stocks also contributed to the outlook recorded today due to continuous selling activities witnessed in Industrial Goods and Financial Services sectors.

In the same vein, the market capitalization of 187 first-tier equities depreciated by N5.90 billion as market sentiments remained negative. 114 equities were traded today as against previous 107 with more activities recorded in Financial Services, ICT, Natural Resources, Conglomerates, Consumer Goods, Industrial Goods, Oil & Gas, Healthcare, Agriculture, Services and Construction/Real Estate sectors.

Today, four NSE sectoral indices closed negative as NSE 30 which basically measures the performance of blue chips maintained downtrend by -0.10%, NSE Insurance closed with +0.33% gain while NSE Oil & Gas also closed with -1.34% loss, NSE banking records -0.09% loss while NSE Food also records +0.11% gain. The New NSE LII closed positive with -0.08% loss.

At the close of trading session, the NSE All-Share Index dips by -0.09% to close at 23,105.05 as against a decline by -0.64% recorded in the previous session to close at 23,125.32. In the same vein, market capitalization depreciated by N5.90 billion (US$39.34 million) to close at N7.35 trillion (US$49.01billion) as against depreciation by N47.18 billion (US$314.44 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 lower at 17 as against 23 recorded in the previous session while decliners closed higher at twenty-four (24) as against twenty (20) losers recorded in the previous trading day – suggesting a negative market breadth.

Today, the following companies presented their results

1. Cement Co. of Northern Nig Plc in its Q2 ’12 result recorded positive turnover growth of +14.3% and negative PAT growth of -42.1%.

2. Northern Nig Flour Mills Plc in its Q1 ’12 result recorded negative revenue growth of -9.4% and positive PAT growth of +1569.7%.

As usual, Financial services sector led the market transaction volume today with 176.87 million units valued at N1.25 billion (US$8.37 million) exchanged in 2,168 deals as against 140.45 million units valued at N875.33 million (US5.83 million) exchanged in 2,194 deals recorded in previous session.

The volume recorded in the sector was driven by transaction in the shares of FIRSTBANK, FCMB, SKYEBANK, ZENITHBANK and CUSTODYINS Plc and the total volume of 113.94 million units valued at N917.82 million traded in five stocks accounted for 49.12% of the entire market volume and their value represented 55.73% of the market’s value.

Transaction volume on the exchange moved up by +12.10% to close at 231.98 million units exchanged in 3,757 deals as against a decline by -1.33% recorded in the previous trading to close at 206.94 million units exchanged in 3,753 deals.

Also, market value appreciated by +21.81% to close at N1.64 billion (US10.97 million) as against depreciation by -16.02% recorded in the previous trading session to close at N1.35 billion (US$9.01 million).

Sectoral Performance (According to New Market Segmentation)

Financial Services sector led the market sectoral performance with 176.87 million units of shares traded in 2168 trades within the sector, followed by ICT sector to come second on the chart with 13.50 million units traded in 16 trades while Conglomerates sector recorded 11.90 million units in 114 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 40.49% contribution to market turnover, followed by Large Cap stocks with 30.70% while Small Cap stocks stake 28.80% 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 ACCESS, UBA and UNILEVER dominated Medium Cap of 24 traded stocks. Similarly, ASHAKACEM, GTASSURE and UNITYBNK led 83 traded stocks in the Small Cap category in that order. See table below

SECTORAL REVIEW

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

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

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

The Consumer Goods sector closed with four gainers to two losers as against seven gainers to two losers recorded in previous session.

The Financial Services sector closed with four gainers to eleven losers as against seven gainers to seven losers recorded in the previous session. Intercontinental Wapic Insurance Plc moved up by +3.92% while Continental Re-Insurance Plc moved down by -4.55% loss after today’s trading session.

The Healthcare sector closed with three gainers compared to two gainers 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 one gainer to five losers as against two gainers 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 three losers as against one gainer to two losers recorded in previous session.

The Services sector closed with two gainers to two losers as against one gainer to three 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 +50.30% gains with FCMB recording -23.08% losses while Union Bank Plc leads the chart with +129.67% gains. However, Sterling Bank Plc recorded -15.75% losses while ETI also closed negative with -12.17% loss recorded. See the tracking table below.

Acquiring Banks