As anticipated, investors kick-started the week searching for bargains in fundamentally sound stocks. Buying interest in bellwethers – NIGERIAN BREWERIES (+5.3%), ACCESS (+1.6%) and GUARANTY (+0.5%) improved, driving the All Share Index (ASI) 35bps northwards to 30,745.05 points. Hence, market capitalisation rose by N40.5bn to N11.5tn while YTD loss improved slightly to -2.2%. On the flip side, volume and value traded declined 32.3% and 76.5% to 183.2m units and N1.0bn respectively. The top traded stocks by value were ZENITH (N249.8m), GUARANTY (N104.8m) and DANGCEM (N84.2m) while FIDELITY (36.2m units) TRANSCORP (34.3m units) DIAMOND (29.5 units) led the top traded stocks by volume.
Performance across sectors was largely positive as all indices under our coverage advanced save for the Oil & Gas index which declined 1.1% due to losses in FORTE (-8.5%) and OANDO (-2.0%). Bargain hunting in NIGERIAN BREWERIES (+5.3%) DANGFLOUR (+3.5%), CUSTODIAN (+4.6%) and NEM (+2.5%) drove the positive performance of the Consumer Goods and Insurance indices which were up 1.1% and 0.7% respectively. Similarly, the Banking index inched 0.2% higher due to gains in ACCESS (+1.6%) and GUARANTY (+0.5%). The Industrial Goods index closed on a flat note, with a bullish bias, up 2bps on the back of price appreciation in CUTIX (+5.6%).
Investor sentiment as measured by market breadth (advance/decline ratio) strengthened to 0.9x from 0.4x recorded last week as 17 stocks advanced against 20 decliners. The top performing stocks were REDSTAREX (+10.0%), IKEJAHOTEL (+10.0%) and MCNICHOLS (+8.3%) while the laggards were led by CHAMPION (-10.0%), ACADEMY (-8.9%) and UNITY (-8.9%). We expect to see bargain hunting till mid-week as investors position in previous decliners.
Market Statistics Monday, 4th February 2019
Market Cap (N’bn) 11,465.0
Market Cap (US$’bn) 37.4
NSE All-Share Index 30,745.05
Daily Performance % 0.4
1 Week Performance % (1.9)
YTD Performance % (2.2)
Daily Volume (Million) 183.2
Daily Value (N’bn) 1.0
Daily Value (US$’m) 3.4
