March 12, 2024/Futureview Research

The Nigerian equities market commenced the week on a positive note, setting a bullish tone that persisted throughout the week. The NGX All-Share Index (NGXASI) opened at 98,847.89 points and maintained gains for all five trading sessions, closing the week at 101,330.85 points, representing a weekly increase of 2.61% and a year-to-date return of 35.52%. The positive performance of the market was largely driven by the listing of TRANSPOWER on the first trading day of the week, coupled with gains recorded in key stocks such as TRANSCORP, MTN, BUACEMENT and PZ CUSSONS. Investor activity witnessed a significant uptick, with a total turnover of 2.157 billion shares valued at N108.824 billion traded in 51,556 deals. This marked a substantial increase compared to the previous week’s trading volume of 1.88 billion shares valued at N34.15 billion in 48,464 deals.

Twenty-two (22) equities appreciated in price during the week lower than twenty-seven (27) equities in the previous week. Fifty-six (56) equities depreciated in price higher than fifty-four (54) in the previous week, while seventy-six (76) equities remained unchanged, higher than seventy-two (72) recorded in the previous week.

Performance across sectors was bearish as three (3) Sectors out of five (5) Sectors under our coverage declined. The Insurance Sector (-5.2% w/w) recorded the most losses, led by sell-offs across NEM (-16.7% w/w), AIICO (-9.3% w/w) and MBENEFIT (-9.2% w/w). Trailing was the Banking (-1.7% w/w) and Consumer Goods (-1.2% w/w) Sectors, following price depreciation
across ETI (-17.0% w/w), ZENITHBANK (-4.2% w/w), UBA (-4.8% w/w), ACCESSCORP (-4.3% w/w), DANGSUGAR (-5.7% w/w), NB (-10.8% w/w), GUINNESS (-17.6% w/w) and NASCON (-10.4% w/w). On the flip-side, the Industrial Goods (+1.6% w/w) Sector closed in the positive terrain, accompanied by gains in BUACEMENT (+4.4% w/w). While, the Oil & Gas Sector closed flat.

The top gainers for the week included TRANSPOWER, rising by 46.38%, followed by JULI (+32.53%) and INTENEGINS (+20.86%). Conversely, the top decliners were GUINNESS (-17.55%), ETI (-17.01%), and NEM (-16.67%). Our Expectation for this Week This week, we anticipate a corresponding previous week sentiment trading in the absence of negative catalysts. We advise investors to invest in high-quality stocks with strong fundamentals supporting them. We expect solid corporate actions and fundamentals to continue to spur bargain hunting among investors.

Click here to read full PDF copy of report