Tunji Wusu –
Dangote Cement Plc and 70 other companies saw their share prices rise sharply yesterday, setting the tone for a robust week for Nigerian stocks. Investors’ investments increased by N851 billion.
The All-Share Index (ASI) increased by 1,563.28 points, or 2.48 percent, to settle at 64,603.69 points, the highest level since March 17, 2008. The market capitalization increased as well, closing at N35.177 trillion, up N851 billion.
Price declines in major and medium capitalized equities, including Dangote Cement, Conoil, MRS Oil Nigeria, MTN Nigeria Communications (MTNN), and Stanbic IBTC Holdings, were the primary driver of the upturn.
According to analysts at United Capital Plc this week, “we expect the bullish sentiments in the equities market to persist on the back of the market’s attractiveness over the fixed-income market’s depressed rates.”
“In addition, we think that the market’s rally will be supported by investors’ positive attitudes toward the new policies. Last but not least, we anticipate that investors will start to make moves ahead of the next Q2 2023 earnings season.
Market mood was upbeat, as seen by the favorable market breadth ratio of 71 advancing stocks to 19 declining ones. The top gainers in terms of price were DAAR Communications, Dangote Cement, MRS Oil Nigeria, Neimeth International Pharmaceuticals, and Jaiz Bank, which each saw their shares close at 22 kobo, or N330.10, N109.45, N2.20, and N1.98 respectively.
Following Transcorp Hotels, which increased by 9.98% to close at N35.91, Conoil increased by 9.97% to close at N112.50 per share.
Pharma Deko, on the other hand, headed the losers’ list with 9.85 percent to settle at N1.83 per share. After that, Union Dicon Salt fell 9.50% to settle at N8.10, and Berger Paints Nigeria fell 9.09% to close at N10.00 a share.
Champion Breweries dropped by 5.43 percent to settle at N4.35 per share, while Guinea Insurance lost 7.69 percent to conclude at 24 kobo.
With 14,584 transactions, the total volume of trades climbed by 49.80% to 1.839 billion units worth N22.033 billion. With 198.222 million shares changing hands for N4.418 billion, FBN Holdings (FBNH) shares saw the most activity. Universal Insurance shares, valued at 184.656 million, came in second at N53.465 million, and Sterling Financial Holdings Company shares, valued at 161.679 million, came in third at N724.332 million.
AIICO Insurance traded 98.322 million shares worth N73.579 million, while Transnational Corporation (Transcorp) traded 156.417 million shares at N706 916 million.
