Equity Market Records N35 Billion Decline Due to Dips in MTN and Other Stocks

Decline In Nigeria's Equity Market Creating Entry Opportunity For Investors - Analysts

On Wednesday, the Nigerian Exchange Limited witnessed a decrease of N35 billion in market capitalization, primarily attributed to declines in the share values of MTN Nigeria (-0.63 percent), Dangote Sugar (-1.64 percent), Lafarge Africa Plc (-1.34 percent), United Bank for Africa (-0.24 percent), and FBN Holdings (-4 percent) at the close of trading.

Both the All-Share Index and Market Capitalization experienced a 0.09 percent depreciation, concluding at 71,003.98 points and N39.047 trillion, respectively. This contrasts with the figures of 71,066.64 points and N39.082 trillion recorded at the market’s close on Tuesday.

Despite the reduction in market capitalization, the market breadth, reflecting investor sentiments, remained positive, with 36 gainers and 15 losers. Leading the gainers were RT Briscoe, Daar Communications, and Unity Bank, each experiencing a 10 percent gain to close at N0.33, N0.66, and N1.54, respectively. Other gainers included MeCure Industries (9.96 percent), Multiverse (9.82 percent), and Secure Electronic Technology Plc (9.52 percent).

On the decliners’ chart, notable stocks included C&I Leasing (-7.58 percent), Prestige Assurance (-7.55 percent), International Breweries Plc (-5.56 percent), UPDC Real Estate Investment Trust (-4.60 percent), and FBN Holdings (-4 percent).

Sectoral performance varied, with the Banking and Insurance sectors posting marginal gains of 0.19 percent and 0.75 percent, while the Consumer Goods and Industrial Goods sectors experienced losses of 0.19 percent and 0.08 percent, respectively. The Oil/Gas index remained unchanged.

Market activity showed improvement, with total deals increasing by 1.95 percent to 6,677 trades. The total traded value for the day surged by 128.85 percent to N7.37 billion. However, the total volume declined by 12.81 percent to 428.44 million units.

Veritaskap led in trading volume with 62.08 million units valued at N22.87 million, involving 125 trades. MTN Nigeria dominated in terms of value, with trades amounting to N2.81 billion.

Other stocks contributing significantly to volume and value included Unity Bank (38.66 million units, N59.41 million), GTCO (33.87 million units, N1.28 billion), and UBA (19.72 million units, N407.35 million).

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