October 13, 2017/InvestmentOne Research

Equities market ends the last trading session positive, up +0.32%. Gains +1.45% WTD.

Furthermore, market breadth index ended in the green as 28 stocks gained against 18 stocks that declined.

CHAMPION (+9.92%) was the best performer while CCNN (-4.91%) led the losers’ chart.

DIAMONDBNK (+8.57%) continued to lead the market in regards to volume with 25m units of shares traded while STANBIC (+1.97%) topped the value chart with N378m worth of shares exchanged.

Sector Performance  

·         NSE Banking Index: Despite FBNH (-0.33%), the sector closed up +0.75%, as a result of the gains DIAMONDBNK (+8.57%), GUARANTY (+0.72%) and ZENITHBANK (+0.95%)

·         NSE Consumer Goods Index: Following the buy interest in INTBREW (+4.99%) and CHAMPION (+9.92%) which outweighed the decline in DANGSUGAR (-1.16%), the index inched up +0.22%

·         NSE Industrial Index: Best performer (+0.90%) as the gains in WAPCO (+2.75%) more than offset the declines in DANGCEM (-0.22%)

·         NSE Oil & Gas Index: Only sector to end in the red (-0.45%) due to the sell-off in FO (-4.00%)

Earnings Release

NIL

Market Insight

Despite the volatility in seen in the market over the last 5 trading sessions, the ASI gained +1.45% WTD. However, market activity remained largely uninspiring which may not be unconnected with the increased foreign investor participation in the fixed income space. In the near term, we expect market direction to be influenced by investors positioning for the release of Q3 2017 scorecards. Nonetheless, we see the recent profit taking as an entry opportunity in our recommended names.

TOP PICKS: ACCESS, DANGCEM, GUARANTY, NB, NESTLE, UBA & ZENITH BANK