January 23, 2018/InvestmentOne Report

Similar to yesterday, the Nigeria equities market closed in the red, losing -1.16%. 

Market breadth index, a gauge of investor sentiment, ended negative with 43 stocks declining against 14 stocks that gained 

SKYEBANK (+9.93%) was the best performing stock while FIDELITYBK (-9.16%) had the worst performance. 

SKYEBANK (+9.93%) was the most actively traded stock with c.150million units of shares worth c.N227million. 

Sector Performance

·         NSE Banking Index: Shed -2.57%, following the profit taking in GUARANTY (-2.82%), ZENITHBANK (-2.29%), UBA (-4.97%), FBNH (-5.31%) and ACCESS (-2.08%). 

·         NSE Industrial Index: Closed down by  -0.72%, on account of the decline in DANGCEM (-1.47%), CCNN (-0.40%) and WAPCO (-0.04%). 

·         NSE Consumer Goods Index: Gained +0.70%, largely driven by the price appreciation in NB (+1.40%), UNILEVER (+5.00%), NESTLE (+0.08%) and PZ (+1.73%). 

·         NSE Oil and Gas Index: Closed up by +0.10%, on the back of the gains in  SEPLAT (+1.48%). 

Earnings Release 

NIL.

Market Insight 

Further profit taking on bellwether stocks drove the market to a negative close today. We could see the bearish sentiment continue in the near term, given the significant rally across major sectors in recent times. However, this may present a decent entry opportunity into our recommended names in anticipation of the release of full year results later this quarter. 

TOP PICKS: ACCESS, DANGCEM, GUARANTY, NB, NESTLE, UBA & ZENITHBANK