The Nigerian equities market reopened on a bearish note yesterday, occasioned by losses in some bellwethers, as the All- Share Index (ASI) depreciated marginally by 0.04 percent.
At the close of transactions, the ASI decreased by 11.56 absolute points or 0.04 percent to close at 26,990.59 points. Similarly, the market capitalization lost N6 billion, and closed at N13.027 trillion.
The downturn was impacted by losses recorded in medium and large capitalized stocks, amongst which were; Cement Company of Northern Nigeria (CCNN), UAC of Nigeria (UACN), GlaxoSmithKline Consumer Nigeria, Guaranty Trust Bank, and FCMB Group. Analyst at United Capital Plc expressed optimism that investors would lock in value stocks with attractive dividend yields in anticipation of December dividend yield despite the decline seen in the first trading day of the week.
“This week, we expect investors to lock in value stocks with attractive dividend yields in anticipation of the December rally.”Also, Investdata Consulting Limited, said: “The current undervalued state of the market offers investors opportunities to position for short and medium-to-long-term views. We expect that investors would target fundamentally sound and dividend-paying stocks for possible capital appreciation as the year draws down.”
Market breadth was negative, with 12 gainers versus 17 losers. Unilever Nigeria recorded the highest price gain of 9.94 percent to close at N17.70, per share. Law Union and Rock Insurance followed with 9.23 percent to close at 71 kobo, and Chams 8.57 percent to close at 38 kobo, per share. Courteville Business Solutions rose 8.33 percent to close at 26 kobo, and International Breweries 6.38 percent to close at N10, per share.
On the other hand, Sovereign Trust Insurance led the losers’ chart with 9.09 percent to close at 20 kobo per share. UACN followed with 8.75 percent to close at N7.30 per share. Unity Bank fell 8.45 percent to close at 65 kobo, per share.
Cornerstone Insurance shed 7.59 percent to close at 73 kobo, and FCMB Group 5.47 percent to close at N1.90, per share.
However, total volume traded appreciated by 8.51 percent to 246.51 million shares worth N2.44 billion, traded in 3,093 deals. Transactions in the shares of FCMB Group topped the activity chart with 97.77 million shares valued at N186.02 million. Zenith Bank followed with 21.78 million shares worth N406.84 million, while FBN Holdings traded 15.19 million shares at N102.81 million.Nigerian Breweries traded 12.05 million shares valued at N614.94 million, while United Bank for Africa (UBA) sold 11.97 million shares worth N84.15 million.
Source: The Guardian
