The Nigerian Exchange Limited (NGX) equities market on Thursday closed on a green note with 0.10 per cent gain, taking the market to three consecutive gaining sessions.
The bullish sentiments persist as bargain hunters continue to take positions in bellwethers stocks. Consequently, the All-Share Index (ASI) grew by 39.15 basis points, representing a growth of 0.10 per cent to close at 39,210.10 basis points. Similarly, the overall market capitalisation value gained N20 billion to close at N20.437 trillion.
On sectors, the Banking (+0.5per cent) and Consumer Goods (+0.4per cent) indices recorded gains while the Insurance (-1.0per cent) index declined. Elsewhere, the Industrial Goods and Oil & Gas indices closed flat.
The market upturn was driven by price appreciation in large and medium capitalised stocks amongst which are Unilever Nigeria, PZ Cussons Nigeria, Vitafoam Nigeria, Dangote Sugar Refinery and May and Baker Nigeria.
Analysts at Afrinvest Limited said that “In the last trading session of the week, we suspect that profit taking may dominate the local bourse.”
Similarly, the market breadth closed positive as 19 stocks gained, relative to 15 losers. Linkage Assurance recorded the highest price gain of 9.09 per cent to close at 60 kobo, while PZ Cussons Nigeria followed with a gain 7.46 per cent to close at N6.00, per share.
May and Baker Nigeria and Chams rose by five per cent each to close at N4.20 and 21 kobo, while Unilever Nigeria gained 4.96 per cent to close at N12.70, per share. On the other hand, Computer Warehouse Group led the losers’ chart by 9.60 per cent to close at N1.13, per share. Consolidated Hallmark Insurance followed with a decline of 8.97 per cent to close at 71 kobo, while Associated Bus Company lost 7.50 per cent to close at 37 kobo, per share.
Wapic Insurance lost 6.78 per cent to close at 55 kobo, while Mutual Benefit Assurance shed 6.52 per cent each to close at 43 kobo, per share.
The total volume of trades decreased by 12.8 per cent to 158.366 million units, valued at N2.236 billion, and exchanged in 3,330 deals. Transactions in the shares of Zenith Bank topped the activity chart with 27.324 million shares valued at N629.221 million. Sterling Bank followed with 22.023 million shares worth N35.087 million, while United Bank for Africa (UBA) traded 21.687 million shares valued at N154.235 million.
Transnational Corporation of Nigeria (Transcorp) traded 9.154 million shares valued at N8.154 million, while Chams transacted 8.320 million shares worth N1.679 million.
“The equities market closed up today due to the gains recorded in Banking and Consumer Goods sectors. Going forward, we expect investors’ sentiments to be swayed by the search for real positive returns and developments in the interest rate space.
“We reiterate that this may be a great period to pick up some quality names with a medium to long-term investment horizon,” according to analysts at Investment One Research added.