Sentiments remain bullish at the stock market

Trading activities at the Nigerian Stock Exchange (NSE) remained bullish as the measuring parametres of market performance inched up marginally.

The All-Share Index advanced by 0.74 per cent at the end of trading last week, to close on Friday at 21,374.41 basis points after opening the week at 21,217.77; the market capitalisation of the 200 first-tier equities closed higher at N5.1 trillion from N5.047 trillion.

The NSE Banking Index was up by three per cent while the NSE Food/Beverages, Insurance, and Oil/Gas Indices declined by 0.15, 4.72, 1.31 per cent, respectively.

A total turnover of 1.451 billion shares worth N8.734 billion were exchanged in 28,892 deals last week in contrast with 1.34 billion shares worth N7.0 billion in 17,121 deals recorded in the previous week.

Bank leads

The banking subsector topped the activity chart for the week, in terms of volume, with 788.83 million shares worth N5.625 billion. The volume traded in the banking sector was largely driven by activity in the shares of Fidelity Bank Plc, Skye Bank Plc, First Bank Plc, United Bank for Africa Plc, and Diamond Bank Plc. Trading in the shares of the five banks accounted for 406.72 million shares, representing 51.56 per cent of the subsector’s turnover.

The insurance subsector followed with a total of 374.29 million units worth N282.52 million. The sector volume was driven by activity in the shares of Cornerstone Insurance Plc, Universal Insurance Plc and AIICO Insurance Plc; the stocks accounted for 62.98 per cent of the total sector transactions for the week as the total volume traded in the three stocks summed up to 235.73 million units.

Gainers reduce

The gainers table shows that 31 stocks appreciated in price during the week, lower than 37 of the preceding week. The UACN Plc led on the gainers’ table with price appreciation of N1.50 close at N39.50 per share while Skye Bank Plc followed with N1.42 to close at N6.62 per share.

On the flip side, 61 stocks recorded price decline during the week, higher than the 59 recorded in the previous week. Total Nigeria Plc led on the price losers’ table with N3.40 price depreciation to close at N151.60 while Conoil Plc followed with a loss of N2.58 to close atN29.08.

The NSE adjusted two equity prices for interim dividend as recommended by the companies’ Board of Directors. Total Nigeria Plc was adjusted for interim dividend of N3.40 per share while Nestle Nigeria Plc was adjusted for interim dividend of N1.95 per share.

Bond market

A turnover of 185.23 million units worth N209.928 billion in 2,347 deals was recorded last week, in contrast to a total of 174.9 million units valued at N260.936 billion exchanged in 2,356 deals during the week ended Tuesday, November 24, 2009.

The most active bond, measured by turnover volume, was the 4th Federal Government of Nigeria (FGN) Bond 2017 Series 9 with a traded volume of 32.05 million units valued at N34.767 billion in 317 deals. This was followed by the 5th FGN Bond 2018 Series 2 with a traded volume of 27.4 million units valued at N31.962 billion in 264 deals. Only 24 of the available 37 FGN Bonds were traded during the week, compared to 19 in the preceding week.

Company result

West Afican Glass Plc 2008 audited report: Turnover grew from N1.422 billion of the previous year to close at N1.689b.

Profit after tax closed at a lower net loss of (N150.532 million) compared with (N360.137 million) of the previous year. Working capital closed at (N1.940 billion) as against (N1.859 billion) of the previous year while net assets closed at (N604.861 million) compared with (N454.329 million) of the previous year.

Portland Paints Plc third quarter report: Turnover grew by 18 per cent to close at N1.678 billion as against N1.422 billion in the comparable period of last year. Profit after tax for the period increased by 61.85 per cent to close at N125.267 million compared with N77.395 million of the previous year. Working capital, however, declined by 19.94 per cent to close at N392.955 million and net assets dropped marginally by 1.47 per cent to close at N707.527 million.

Champion Breweries Plc third quarter report: Turnover dropped from N1.248 billion of the previous year to close at N911.817 million.

Profit after tax closed at (N211.852 million) which was below the net loss of (N319.426 million) recorded in the previous year. Working capital improved from (N2.528 billion) of the previous year to close at (N2.365 billion) while the Net asset closed at N164.217 million from N376.069 million of the previous year.

Nigerian Breweries Plc third quarter report: Turnover grew by 16.23 per cent to close at N118.975 billion as against N102.363 billion of the previous year. Profit after tax improved by 20.54 per cent to close at N21.349 billion from N17.711 billion of the previous year.

Working capital situation improved from (N14.150 billion) of the previous year to close at (N11.052 billion), while the net assets for the period grew from N32.229 billion to close at N39.969 billion.