Investors Stake N16bn on 1.4 Billion Shares

The Nigerian equities market attracted investment inflow of N15.918 billion last week staked on 1.419 billion shares in 18,459 deals.

This indicated an increase by 46.3 per cent from the N10.883 billion invested in 1.441 billion shares in 19,614 deals the previous week.

However, the Nigerian Stock Exchange Limited (NGX) AllShare Index (ASI) depreciated by 1.6 per cent to close at 39,198.75, while market capitalisation declined to N20.431 trillion. Market analysts attributed the depreciation to profit taking in bellwether stocks following some gains recorded in the month April. Some of the stocks that suffered profit taking included Stanbic IBTC Holdings Plc, MTN Nigeria Plc and Dangote Cement Plc.

Analysts at Cordros Securities said the bears would likely remain in control of the market in the new month.

“With the first quarter (Q1) of 2021 earnings season now out of the way, we believe a “choppy theme” will be the order of the day as investors keep their gaze on yield movements in the fixed income (FI) market.

“The bears will likely maintain dominance as the absence of positive triggers will limit buying interest from the bulls. Notwithstanding, we advise investors to take positions in only fundamentally justified stocks as the weak macro story remains a significant headwind for corporate earnings,” they said. An analysis of the performance showed that the Financial Services Industry led the activity chart with 1.069 billion shares valued at N9.531billion traded in 10,907deals; thus contributing 75.34 per cent and 59.88 per cent to the total equity turnover volume and value respectively.

The Industrial Goods Industry followed with 60.762million shares worth N2.005billion in 1,070deals. The third place was Consumer Goods Industry, with a turnover of 57.023 million shares worth N1.029billion in 2,831deals.

Trading in the top three equities namely Access Bank Plc, FBN Holdings Plc and Zenith Bank Plc accounted for 609.988 million shares worth N6.593billion in 4,870deals.

The price movement chart showed that 31 equities appreciated in price lower than 36 in the previous week, while 37 equities depreciated lower than 41 equities in the previous week. Royal Exchange Plc led the price gainers with 22.6

per cent, trailed by Sovereign Trust Insurance Plc with 17.3 per cent. Access Bank Plc chalked up 11.6 per cent, just as Union Bank of Nigeria Plc garnered 10.2 per cent. Conoil Plc and LASACO Assurance Plc chalked up 10 per cent and 9.8 per cent respectively.

Conversely, Linkage Assurance Plc led the price losers with 18.8 per cent, followed by Courtville Business Solutions Plc with 13 per cent. NEM Insurance Plc declined by 10.8 per cent, while B.O.C Gases Plc and SCOA Nigeria Plc shed 9.9 per cent and 9.6 per cent in that order.