October 20, 2017/InvestmentOne Research

The Nigerian equities market shed -0.16% today. Down -0.71% WTD.  

Market breadth index closed negative  for the third consecutive trading session with 9 stocks gaining against 21 stocks that declined.  

The best performing stock was CUTIX (+9.70%) while AIICO (-5.26%) was the top loser.                        

ZENITHBANK (-0.99%) topped the volume and value chart in the market today with c.24m units of shares worth c.N639mn.  

Sector Performance  

·         NSE Banking Index: Despite the gains in UBA (+1.69%) and FIDELITY (+2.13%), the index  fell by -0.31%  on the back of loses recorded in ZENITHBANK (-0.99%), FCMB (-1.87%) and UBN (-0.65%).

·         NSE Consumer Goods Index: Closed -0.20% as a result of the sell-off in NB (-1.22%) and UACN (-4.96%).

·         NSE Industrial Index: Ended the week  +0.11% driven by the gains in  INTBREW (+9.65%).

·         NSE Oil & Gas Index: Similar to yesterday, the index closed negative (-0.31%) largely due to FO (-2.93%).

Earnings Release

UNILEVER released its Q3 2017 numbers earlier today, which showed a -37.9% q/q decline but a +916% y/y increase in PBT to N1.78bn.

Market Insight 

The ASI closed negative today in a relatively quiet trading (c.N1.9bn worth of shares traded) as investors sentiment remained fairly weak. Going forward we expect performance in the market to be largely driven further by earnings releases and expectations. However, the recent sell-off provides leeway for investors to take position on our recommended names.

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