By Kayode Tokede
Investors on the Nigerian Exchange Limited (NGX) equities market on Thursday lost N26.68 billion over profit-taking in Guaranty Trust Bank Holding Company and 15 others.
In summary, the NGX All-Share Index (ASI) declined by 31.44 basis points, representing a loss of 0.08 per cent to close at 38,469.87 basis points on Thursday. Similarly, the overall market capitalisation value shed N27 billion, representing a decrease of 0.13 percent to close at N20.043 trillion.
Sector performances were mixed today with the Banking (-0.98 percent) and Consumer Goods (-0.14 per cent) closing in the red, while the Oil and Gas (+1.21 per cent) and Industrial (+0.04 percent) sectors closed in the green.
The disparity between the ASI and the market capitalisation was due to the adjustment in the equity price of Fidson healthcare Plc (from N6.34 per share to N6.09 per share) for dividend payment.
The market downturn was driven by price depreciation in large and medium capitalised stocks amongst which are; NASCON Allied Industries, Guaranty Trust Bank Holding Company, Access Bank, Stanbic IBTC Holdings and United Bank for Africa (UBA).
Analysts at Afrinvest Limited said that “ In the final trading session for the week, we expect profit-taking sentiment to be extended barring any fresh positive catalyst.”
The market sentiment, as measured by market breadth, was negative, as 16 stocks declined, relative to 12 gainers. NEM Insurance recorded the highest price gain of 10 percent to close at N2.20, per share. Courteville Business Solutions followed with a gain 9.52 percent to close at 23 kobo, while Nigerian Aviation Handling Company (NAHCO) went up by 5.71 percent to close at N2.59, per share.
Caverton Offshore Support Group rose by 4.42 percent to close at N1.89, while Transnational Corporation of Nigeria (Transcorp) gained 4.40 per cent to close at 95 kobo, per share. On the other hand, Prestige Assurances led the losers’ chart by 10 percent to close at 45 kobo, per share. Pharma-Deko Plc followed with a decline of 9.70 per cent to close at N1.21, while University Press lost 7.88 percent to close at N1.52, per share.
Wapic Insurance lost 5.08 percent to close at 56 kobo, while Mutual Benefits Assurance shed 4.65 per cent to close at 41 kobo, per share.
Meanwhile, the total volume of trades fell by 19.5 percent to 238.244 million units, valued at N2.583 billion, and exchanged in 3,927 deals. Transactions in the shares of Transcorp topped the activity chart with 34.438 million shares valued at N32.136 million. Courteville Business Solutions followed with 26.368 million shares worth N5.892 million, while Zenith Bank traded 23.658 million shares valued at N590.347 million.
Fidelity Bank traded 20.448 million shares valued at N47.420 million, while Chams transacted 15.115 million shares worth N3.023 million.
According to analysts at Investment One research, “The equities market closed down today due to the losses recorded in Banking and Consumer Goods sectors.
“Going forward, we expect investor’s 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.”