Investors in the Nigerian stock market lost N270bn last week as 25 equities recorded price declines.
The Nigerian Exchange Limited All-Share Index and market capitalisation depreciated by 1.30 per cent to close the week at 38,648.91 basis points and N20.14tn respectively.
All other indices finished higher with the exception of NGX ASI, NGX-Main Board, NGX MERI Growth and NGX Industrial Goods, which depreciated by 1.30 per cent, 3.26 per cent, 1.33 per cent and 0.05 per cent respectively, while the NGX Growth and NGX ASeM Indices closed flat.
A total turnover of 981.15 million shares worth N10.38bn in 15,001 deals were traded last week by investors on the floor of the Exchange, in contrast to a total of 1.06 billion shares valued at N12.83bn that exchanged hands in 17,854 deals the previous week.
The financial services industry (measured by volume) led the activity chart with 695.80 million shares valued at N5.18bn traded in 8,616 deals, thus contributing 70.92 per cent and 49.86 per cent to the total equity turnover volume and value respectively.
The consumer goods industry followed with 75.879 million shares worth N1.23bn in 2,263 deals, while the conglomerates industry came third, with a turnover of 67,430 million shares worth N367.31m in 612 deals.
Trading in the top three equities, namely Zenith Bank Plc, Sterling Bank Plc and Wema Bank Plc (measured by volume), accounted for 265.65 million shares worth N2.45bn in 2,742 deals, contributing 27.08 per cent and 23.60 per cent to the total equity turnover volume and value respectively.
Thirty-eight equities appreciated in price during the week as against 35 in the previous week; 25 equities depreciated as against 36 equities in the previous week, while 93 equities remained unchanged as against 89 recorded in the previous week.
A total of 26,452 units of bonds valued at N27.24m were traded last week in 17 deals, compared with a total of 5,335 units valued at N5.35m transacted in 10 deals the previous week.
A total of 101,419 units of exchange-traded products valued at N1.61m were traded in 14 deals last week, compared with a total of 1,026 units valued at N160,140.75 transacted in eight deals the previous week.
Analysts at Cordros Capital noted that although the market closed positive on three of the week’s four trading sessions, the gains proved insufficient in pushing the market to a green close for the week.
They said, “We observed that investors took full advantage of the gains recorded over the last two weeks in booking profit on bellwether stocks.
“We expect market performance to remain mixed in the week ahead as investors rotate their portfolio towards dividend-paying stocks, which intermittent profit-taking activities would match.”
The analysts advised investors to take positions in only fundamentally justified stocks as the weak macro story remained a significant headwind for corporate earnings.