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NGX investors gain N154bn, as equity market maintains positive posture 

By Philemon Adedeji

The Nigerian Equities market reversed the previous day loss as the benchmark All-Share Index appreciated by 283.27 absolute points representing 0.55 per cent to close at 51,729.87 index points from 51,446.60 index points it closed previously.

Gains recorded in heavyweight index such as, BUACEMENT (+3.59 per cent) alongside Tier-1 banking names, ZENITH BANK (+0.21 per cent), Guaranty Trust Holding Company  (+1.48 per cent) and First Bank Holding of Nigeria (+0.45 per cent) pushed the broader index into positive territory.

Consequently, the year-to-date (YTD) return rose to 0.93 per cent while market capitalisation value gained N154 billion to close at N28.175 trillion from N28.155 trillion it closed for previous trading.

The market upturn performance was driving by gains recorded in medium and large capitalised stocks amongst are Buacement, Zenith Bank, Thomaswy, Champion Breweries and others.

Analysts at Coronation Research commented that, “2022 was a miserable year for global savers. Central banks hurriedly raised policy rates to combat inflation which caused prices to correct across equity and bond markets. Then inflation corroded whatever nominal returns were left. As we enter 2023, equity valuations and bond yields are far more convincing than a year ago.

“At some point – it is difficult to say exactly when – global markets will anticipate the easing of policy rates and assets will start to perform again. The reset in valuations and yields has created opportunities though not always in the same stocks, or sectors, as were favoured before.

“The Nigerian equity market is due a re-think. Surely, after three successive years of positive returns, it should feature as part of a long-term investment portfolio. Our study of earnings per share gains ahead in 2023 suggests that equities are hardly more expensive than they were a year ago.  And our study of gross dividends shows that substantial benefits accrue to those who hold stocks for yield.”

First Bank Holding of Nigeria led the volume chart with 108.925 million units traded while BUACEMENT led the value chart in deals worth N4.073 billion.

The market sentiments as measured by market breadth closed positive as Thomaswy led 20 gainers on the leaders table, while Chellaram topped eight decliners on the laggard’s log.

At the close of trade yesterday, trade volume inched weight by 23 per cent to close at 281,944,800 million share value at N8.258 billion were exchanged in 3,679 deals.

On the positive side, Thomaswy came as the most price gainer at the close of trade which appreciated by 9.48 per cent to close at N1.27 per share, Champion Breweries which followed grew significantly by 9.45 per cent to close at N4.75 per share, While FTNCOCOA processor went up by 7.69 per cent to close at N0.28 per share.

Mutual Benefit Assurance which recorded as the last fourth gainer rose by 6.67 per cent to close at N0.32 per share.

Courtville Business Solution which recorded as the last fifth gainer went up by 6.52 per cent to close at N0.49 per cent.

However, on the negative side, Chellaram came as the highest price loser which dipped by 9.89 per cent to close at N1.64 per share followed by Royalex Exchange which lost 7.41 per cent to close at N1.00 per share, While Wapic Insurance which recorded as the third best loser lost 6.67 per cent to close at N0.42 per share.

Mansard Insurance dropped by 6.54 per cent to close at N2.00 per share, while Rt.briscoe which recorded as the last fifth loser depreciated by 3.57 per cent to close at N0.27 per share.

Transaction in the shares of First Bank Holding of Nigeria topped the activities chart with 108.925 million shares worth N1.220 billion, followed by Buacement which transacted 42.392 million shares valued at N4.073 billion, While Guaranty Trust Holding Company traded 33.984 million shares valued at N810.943 million.

Access Corporation accounted 13.470 million shares worth N122.605 million.

Transcorp plc traded 13.417 million shares valued at N16.045 million.

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