GBOLABO AFUWAPE
One week after the victory of the All Progressives Congress (APC), the Nigerian equities market went bullish, gaining N36 billion as the benefits of President Muhammadu Buhari begins to sink in.
Nigeria held its presidential election on February 23 and the result was announced Tuesday. The market in a reactionary mood went bearish over the fear the nation could end up in a turmoil following opposition’s rejection of the results and possibly court action.
But as calm appears to have settled in, the stock market’s All Share Index (ASI) advanced by 0.31 percent, settling at 32,049.73pts; and pegging the YtD return at 1.57 percent.
Notwithstanding, market participation declined with volume and value of trade dropping by 31.42 percent and 39.46 percent respectively.
In addition, market breadth settled lower at 0.65x as the market recorded twenty-three (23) gainers and thirty-seven (37) losers.
Analysts at InsideBusiness are of the opinion that the growth and activities recorded last week were further buoyed by the release of companies’ results, which showed positive performance, and the attractive dividend payment proposed by the
firms.
Also, with the presidential elections already held, the political uncertainty in the system moderated. Consequently, buying pressures prevailed as investors sought to take a position, owing to the low valuation of counters across the market.
WEMABANK led the gainers’ chart with an advancement of 11.69 percent to close at
NGN0.86. On its trail was CUTIX (9.76 percent), SOVRENINS (8.70 percent), INTBREW (8.00 percent) and NPFMCRFBK (7.64 percent) which closed at NGN2.25, NGN0.25, NGN27.00 and NGN1.55 respectively.
On the opposite side, MBENEFIT was the worst performing stock as the
ticker lost 14.81 percent to close at NGN0.23. Following it was PZ (-13.38 percent), VERITASKAP (- 12.50 percent), LIVESTOCK (-11.94 percent) and ACADEMY (-10.00 percent) to close at N11.65,
N0.21, N0.59 and N0.36 respectively.
In the course of the week, the companies with the following symbols released their FY2018 results:
GUARANTY; Gross Earnings (+3.69 percent), PBT (+9.05 percent) and PAT (+9.96 percent),
STANBIC; Gross Earnings (+4.67 percent), PBT (+44.13 percent) and PAT (+53.87 percent),
NESTLE; Revenue (+9.06 percent), PBT (+27.59 percent) and PAT (+27.55 percent),
and SEPLAT; Revenue (+65.16 percent), PBT (+499.41 percent) and PAT (-44.68 percent).
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