Monday, April 16, 2018 /12:50PM / Afrinvest
Market Last Week (Our Observations)
Performance of the domestic bourse was mixed as the benchmark index closed positive on 3 of 5 trading sessions. The NSE All Share Index (ASI) rose 0.2% W-o-W to settle at 40, 928.70 points while YTD return strengthened to 7.0%.
Performance across sectors was largely bearish as 3 of 5 indices closed in the red. The Banking (-2.2%), Insurance (-0.8%) and Consumer Goods 0.7%) indices declined while the Oil & Gas (+3.8%) and Industrial Goods (+1.3%) indices advanced.
The top performing stocks for the week were LEARNAFRCA (+18.6%), MOBIL (+17.6%) and OANDO (+15.2%) While CILEASIN (-18.0%), HMARKINS (-14.7%) and UNILEVER (-13.0%) led the decliners.
Market This Week (Our Expectations)
The Afrinvest weekly sentiment indicator weakened to 0.7 points from 0.8 points in the prior week on account of reduced market turnover.
Despite subsisting weak sentiment, we maintain our near term positive outlook on the market especially as Q1 :2018 results start to trickle in.
We expect market performance to remain driven by increased bargain hunting this week as investors position in fundamentally sound stocks that have fallen to attractive entry prices.
Our equity watchlist remains with UBA, ZENITH, ACCESS, FLOURMILLS and MANSARD.