The Nigerian Exchange Limited (NGX) experienced a loss of N259 billion in market capitalization on Monday, primarily driven by declines in the equities of several medium-cap companies. BUA Cement, which topped the losers’ chart, saw its shares decrease by 10 percent in value, closing at N93.60 per unit from N104.
Other affected stocks contributing to the decline in market capitalization included Dangote Sugar (-0.43 percent), Lafarge (-0.17 percent), Oando Plc (-2.12 percent), Fidson (-3.53 percent), NGX Group (-0.68 percent), Zenith Bank (-0.43 percent), and United Bank for Africa (-0.23 percent).
As a result, both the market capitalization and the All-Share Index dropped by 0.66 percent to N38.823 trillion and 70,946.83, respectively, with the year-to-date returns at 38.43 percent.
Despite the overall loss, market sentiments remained positive, resulting in 33 gainers and 26 losers. Thomas Wyatt, a paper company, led the gainers by gaining 10 percent to close at N2.75 per unit. First Bank of Nigeria Holdings also performed well, gaining 9.93 percent to close at N24.35 per unit, while Daar Communications gained 9.68 percent, closing at N0.34. DEAP Cap’s shares rose by 9.68 percent to close at N0.68, and Neimeth gained 9.63 percent, closing at N2.05 per unit.
On the other hand, McNichols’ shares lost 9.33 percent, closing at N0.68 per unit, followed closely by BUA Cement, which lost 10 percent, leading the chart of losers. Computer Warehouse Group lost 7.50 percent to close at N6.66 per unit, Mutual Benefit lost 7.14 percent, closing at N0.52, and real estate firm UPDC also dipped by 7.14 percent, closing at N1.17.
The volume and value drivers for the day included Universal Insurance, indigenous Transnational Corporation, the largest cap stock Airtel Africa, and banking stock GTCO.
Despite the losses, market analysts at Cowry Asset Management Limited projected a dynamic and multifaceted landscape for investors throughout the week. They anticipate profit-taking and corrections following the recent market surge as investors assess global events, fixed-income yields, and Central Bank of Nigeria (CBN) policies.
