NSE Market Cap Sheds N399bn in Three Days on Continuing Profit Taking
The persistent bear run in the stock market since Monday has depressed the equities capitalisation by N399 billion in three days. The market has remained in the control of the bears since the beginning of the week as profit takers sustained their activities. Consequently, the Nigerian Stock Exchange (NSE), which stood at 44,639.99 at the beginning of the week, has declined to 43,538.16 yesterday while market capitalisation fell from N16.019 trillion to N15.62 trillion. Specifically, the NSE ASI went down by 0.77 per cent, while market capitalisation shed N121.5 billion yesterday alone. However, the negative performance resulted partly from decline recorded in the share prices of Access Bank, Dangote Cement, FBN Holdings, Nigerian Breweries and International Breweries Plc. According to analysts at Meristem Securities Limited, the negative close “can be attributed to continued sell-offs witnessed on counters across all sectors. We expect this mood to be sustained through the remaining trading days this week, pushing the market to a negative close at the end of the week.” In all, 40 stocks depreciated while added value. UNIC Insurance Plc led the price losers with 9.5 per cent, trailed by Skye Bank Plc with 8.9 per cent, while Wema Bank Plc shed 8.8 per cent. Law Union & Rock Insurance Plc, May & Baker Nigeria Plc, Double One Plc, ABC Transport Plc and Consolidated Hallmark Insurance Plc depreciated by 5.0 per cent apiece. Sterling Bank Plc and Learn Africa Plc closed 4.9 per cent and 4.7 per cent lower respectively. However, the price gainers were led by Caverton Offshore Support Group Plc with 9.7 per cent, trailed by Linkage Assurance Plc with 6.7 per cent. LASACO Assurance Plc chalked up 5.8 per cent, just as Unilever Nigeria Plc and Red Star Express Plc appreciated by 4.9 per cent and 4.3 per cent in that order. NAHCO Plc, UACN Property Development Company Plc, Champion Breweries Plc and Honeywell Flour Mills Plc garnered 3.8 per cent, 3.0 per cent and 2.8 per cent respectively. Meanwhile, the volume and value of trading fell by 29.1 per cent and 6.9 per cent to 508.3 million shares worth N4.5 billion traded in 6,155 deals, down from 711.915 million shares valued at N4.909 billion exchanged in 6,720 deals the previous day. In terms of sectoral performance, four of the sectors declined compared to one that appreciated.