By Yakubu LAAH InvestAdvocate
Lagos (INVESTADVOCATE)-Nigerian stocks on Friday rebounded closing the week on a bullish run as all-share index (ASI) and market capitalisation appreciated by 3.14 percent to close at 31,049.37 and N10.360 trillion.
Similarly, all the Nigerian Stock Exchange (NSE) indices finished higher during the week with exception of the NSE Insurance Index, NSE Oil/Gas Index and NSE Lotus II Index that closed lower by 0.12 percent, 2.00 percent, and 1.75 percent respectively. However, the NSE ASeM Index closed flat, a weekly report from the NSE said.
Cordros say the equities market expanded week-on-week for the third consecutive week in a row, signaling stable investor confidence, or probably a wait-and-see approach in anticipation of corporate releases.
“Similar to last week, four (4) out of five (5) trading sessions closed on a positive note, while a marginal loss was posted on Thursday,” the report affirmed.
According to Cordros, this came on account of the buoyant gain recorded on Friday, “the huge return on Friday, one of the biggest, day-on-day this year, came on the back of the 2014 financial year (FY) results jointly released by two (2) of the top tier-one banks – Guaranty Trust Bank Plc (GTBank) and Zenith Bank Plc.
GTBank profit gained 9.6 percent Year-on-Year (Y-o-Y) plus final dividend of N1.50 and ZENITHBANK profit as well climbed up 8.6 percent (Y-o-Y) plus final dividend of N1.75.
The report added that following the releases, investors shifted focus to the financial services sector, most of which gained maximum points after Friday’s trading.
“The week’s gain further cut-down the Year-to-Date loss by 300bps to 10.41 percent, representing a significant improvement from the loss of 20.4 percent as at February 13. Banks held on to their leading position as shown by the Banking index which recorded a 9.79 percent Week-on-Week (W-o-W) gain, hence taking its Year-to-Date (Y-t-D) return to positive 2.39 percent.” Cordros reported.
The NSE reported that the Financial Services Industry (measured by volume) led the activity chart with 1.797 billion shares valued at N14.192 billion traded in 14,424 deals; thus contributing 84.24 percent and 58.20 percent to the total equity turnover volume and value respectively.
It further affirmed that the Conglomerates Industry followed with a turnover of 119.519 million shares worth N630.211 million in 1,216 deals. While in the third position is the Consumer Goods Industry with 100.121 million shares worth N6.595 billion in 3,307 deals.
At the close of the week on the Nigerian bourse, trading in the shares of top three (3) equities namely, FBN Holdings Plc, Access Bank Plc and United Bank for Africa Plc (measured by volume) accounted for 966.582 million shares worth N6.790 billion in 5,901 deals, contributing 45.31 percent and 27.84 percent to the total equity turnover volume and value respectively.
In terms of turnover, the Nigerian equities market breadth remained positive with 40 gainers and 30 losers. A total volume of 2.13 billion shares worth N24.39 billion were traded in the review week by investors in 22,532 deals, compared with a total of 1.675 billion shares valued at N21.315 billion that exchanged hands last week in 21,062 deals.
A summary of price changes of Nigerian equities in the week under review shows that 40 equities appreciated in price during the week, lower than 43 recorded that past week.
On the contrary, 30 equities depreciated in price, higher than 22 of the past week, while 126 equities remained unchanged lower than 131 recorded in the preceding week.
