By Chijioke Kingsley
Abuja (Sundiata Post) – Fidelity Bank PLC was the most active stock yesterday at the Nigerian stock market as a strong positive sentiment led Nigerian equities to a net capital gain of N324 billion in the first trading session of the week.
The market opened with widespread positive sentiment as investors sought to lock into value stocks in the high-end sectors of oil and gas, construction and manufacturing.
With three gainers for every loser, the market closed with average return of 0.58 per cent, equivalent to net capital gain of N324 billion.
The momentum of activities also improved considerably as total turnover rose by 148.33 per cent to 963.541 million shares valued at N13.498 billion in 8,657 deals. Fidelity Bank topped the activity chart with 605.257 million shares valued at N6.025 billion.
Fidelity Bank’s activities appeared to be driven by buy sentiment as the stock closed within the top 15 gainers with a gain of 6.52 per cent to close at N9.80 per share.
The All Share Index (ASI)- the common value-based index that tracks all share prices at the Nigerian Exchange (NGX), rose by 0.58 per cent to close at 99,793.71 points as against its opening index of 99,221.14 points.
Aggregate market value of all quoted equities also increased simultaneously from its opening vakue of N56.128 trillion to close at N56.452 trillion.
The overall market position was driven by widespread positive sentiment, especially within the large-cap stocks such as Seplat Energy, TotalEnergies Marketing Nigeria, Julius Berger, Transcorp Hotel and Flour Mills of Nigeria among others.
There were 30 gainers to 10 losers. Flour Mills recorded the highest gain of 10 per cent to close at N41.80 per share. TotalEnergies Marketing Nigeria followed with a gain of 9.98 per cent to close at N353.60. Access Holdings rose by 9.86 per cent to close at N18.95 per share. Chams Holding Company appreciated by 9.74 per cent to close at N1.69 while Veritas Kapital Assurance gained 9.52 per cent to close at 69 kobo per share.
On the negative side, eTranzact International led the losers with a drop of 9.90 per cent to close at N4.55. DAAR Communications followed with a decline of 9.52 per cent to close at 57 kobo per share. Champion Breweries and Unity Bank lost 6.67 per cent each to close at N2.80 and N1.12 respectively while Wapic Insurance shed 2.86 per cent to close at 68 kobo per share.
Other most active stocks included Access Holdings, which recorded turnover of 93.067 million shares worth N1.744 billion. United Bank for Africa (UBA) traded 58.726 million shares valued at N1.261 billion. Nigerian Breweries traded 45.256 million shares valued at N1.267 billion while Zenith Bank traded 16.079 million shares worth N539.552 million.
Analysts at Futureview Financial Services said they anticipated a mixed sentiment in the equities market, primarily due to the enduring allure of the fixed income market among investors.
“This interest is fueled by expectations of increased rates in the Nigerian Treasury Bill (NTB) auction and the impending release of the inflation rate. However, amidst these factors, there remains an opportunity for sustainable growth, particularly in fundamentally strong stocks that currently find themselves in the oversold region. We foresee a selective pursuit of bargains, particularly in dividend-paying stocks, driven by the nearing corporate qualification and payment,” Futureview stated.
