The bearish sentiment persisted as sell-offs in DANGCEM (-5.5%), NIGERIAN BREWERIES (-6.4%) and FBNH (-2.3%) drove the All-Share Index southwards by 1.2% to 28,093.76 points. As a result, YTD return moderated to 4.7% while market capitalisation fell ₦174.4bn to ₦14.5tn. Activity level improved as volume and value traded advanced 37.4% and 40.7% to 350.2m units and ₦4.3bn respectively. The most active stocks by volume were ZENITH (98.1m units), FBNH (47.1m units) and FCMB (41.2m units) while ZENITH (₦1.9bn), GUARANTY (₦396.6m) and DANGCEM (₦340.3m) led by value.
Performance across sectors was mixed although negatively skewed as 3 of 6 indices under our coverage lost. The Banking and Insurance indices gained, up 1.5% and 0.6%, buoyed by price appreciation in UBN (+9.9%), ACCESS (+3.9%) and LINKASSURE (+8.8%). On the flip side, the Oil & Gas (-2.2%) index declined the most, due to price depreciation in MOBIL (-9.9%) and CONOIL (-10.0%). Similarly, losses in DANGCEM (-5.5%), NIGERIAN BREWERIES (-6.4%) and NASCON (-10.0%) dragged the Industrial and Consumer Goods indices down 1.6% and 1.4% respectively. Lastly, the AFR-ICT index closed flat.
Investor sentiment as measured by market breadth (advance/decline ratio) improved to 0.9x from the 0.3x recorded in the previous trading session as 18 stocks advanced relative to 21 decliners. The best performers were UBN (+9.8%), LAWUNION (+9.5%) and CHIPLC (+9.1%) while CONOIL (-10.0%), NASCON (-10.0%) and MOBIL (-9.9%) led the laggards. We expect more corporate releases to influence investors’ appetite towards the market.
Highlights of Some Corporate Earnings Disclosures Announced Today:
Presco PLC (Unaudited FY:2019): Revenue increased 6.9% Y-o-Y to ₦19.9bn; profit after tax (PAT) improved 22.3% Y-o-Y to ₦400.1m.
eTranzact International PLC (Unaudited FY:2019): Revenue advanced 13.1% Y-o-Y to ₦6.7bn; PAT also fell 26.3% Y-o-Y to ₦2.4bn.
Infininty Trust Mortgage Bank PLC (Audited FY:2019): Gross Earnings up 37.5% Y-o-Y to ₦1.3bn; PAT increased 4.4% Y-o-Y to ₦400.1m.
FCMB Group PLC (Unaudited FY:2019): Gross Earnings up 5.3% Y-o-Y to ₦186.7bn; PAT increased 29.0% Y-o-Y to ₦21.7bn.
Cornerstone Insurance PLC (Unaudited FY:2019): Gross Premium up 12.9% Y-o-Y to ₦13.1bn; PAT fell 3.2% Y-o-Y to ₦3.7bn.
Market Statistics for Wednesday, 5th February 2020
| Market Cap (N’bn) | 14,470.9 |
| Market Cap (US$’bn) | 40.2 |
| NSE All-Share Index | 28,093.76 |
| Daily Performance % | (1.2) |
| WTD Performance % | (2.6) |
| MTD Performance % | (2.6) |
| QTD Performance % | 4.7 |
| YTD Performance % | 4.7 |
| Daily Volume (Million) | 350.2 |
| Daily Value (N’bn) | 4.3 |
| Daily Value (US$’m) | 11.9 |
Source: Afrinvest
