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Equities investors gain N324b as consumer index rally

The Nigerian Exchange (NGX) equities segment opened the week on a positive note as the consumer goods index pushed market capitalisation upward by more than N324 billion. The market maintained last week’s positive run as bargain-hunting in BUAFOODS (+9.1%) and DANGSUGAR (+10.0%) pushed the benchmark index 0.9% higher.

Last week’s record showed that Dangote Sugar gained 36% amidst a merger plan with NASCON while Transcorp’s valuation was 39% higher following the acquisition of Abuja Disco. BUAFOODs also feature in the show among others.

With a shift in attention toward consumer goods stock despite relatively unimpressive performance in the first half due to the negative impacts of naira fluctuation, stockbrokers predict that the equities space will continue to gain momentum.

As stock buyers filled their order buckets logged by equities investors, the All-Share Index closed at 66,151.38 points, with the month and year-to-date gains increasing to +2.8% and +29.1%, respectively.

The total volume traded declined by 12.6% to 311.12 million units, valued at N3.92 billion, and exchanged in 7,193 deals. ACCESSCORP was the most traded stock by volume at 43.70 million units, while DANGSUGAR was the most traded stock by value at N820.84 million.

From a sectoral perspective, the Banking (-0.9%) and Insurance (-0.4%) indices declined, while the Industrial Goods and Oil & Gas indices closed flat. The Consumer Goods (+5.9%) index was the sole gainer of the day.

As measured by market breadth, market sentiment was positive (1.4x), as 33 tickers gained relative to 24 losers. OMATEK (+10.0%) and THOMASWY (+10.0%) recorded the most significant gains of the day, while CWG (-10.0%) and JOHNHOLT (-9.8%) topped the losers’ list.

Top gainers on the NGX chart include DANGSUGAR (+10%), NASCON (+9.94%), TRANSCORP (+10%), BUAFOODS (+9.09%), GLAXOSMITH (+9.91%) and FLOURMILL (+1.69%) with 28 other stocks.

Overall, equities market capitalisation advanced by N324.26 billion to close at N36.21 trillion.

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