Domestic Equities Market: Bulls Resurface… ASI up 0.3% w/w

An Extraction of the Afrinvest Weekly Economic & Market Report for June 28th, 2024

Photo Credit: NGX

This week, bulls dominated three of the five trading sessions, pulling the domestic bourse to positive territory with a 0.3% appreciation in the NGX-ASI to 100,057.49 points. Against this backdrop, market capitalisation rose by 0.3% w/w to ₦56.6tn while YTD return nudged higher to 33.8% (previously 33.4%). Gauging activity level, the average volume and value traded dipped 51.8% and 43.6% to 530.1m units and ₦10.0bn respectively. Meanwhile, the top traded stocks by volume were FBNH (669.8m units), GTCO (126.9m units), and ACCESSCORP (119.5m units), while FBNH (₦14.3bn), GTCO (₦5.6bn), and ACCESSCORP (₦2.3bn) led in terms of value.

Across our coverage sectors, performance varied as three indices lost while the other three gained. The AFR-ICT and Consumer Goods indices fell 1.7% and 0.6% respectively to lead laggards, owing to price depreciation in AIRTELAF (-2.5%), MTNN (-0.4%), DANGSUGAR (-8.5%), and NASCON (-6.2%). Similarly, the Industrial Goods index lost 0.3%, mirroring the downturn in BETAGLASS (-8.6%), and WAPCO (-7.5%). On the flip side, the Oil & Gas and Insurance indices rose 5.7% and 3.3%, respectively, buoyed by gains in SEPLAT (+10.0%), OANDO (+0.3%), MBENEFIT (+19.6%), and LASACO (+18.1%). Likewise, buy interest in FBNH (+3.5%) and FIDELITY (+3.0%) raised the Banking index by 1.1%.

Investor sentiment, as determined by market breadth, weakened to 0.2x (previously 0.4x) as 28 stocks gained, 33 lost while 69 closed flat. Top gainers for the week were CWG (+44.5%), FTNCOCOA (+22.4%), and UCAP (+21.8%), while JAIZBANK (-11.4%), DAAR (-10.5%), and CHAMPION (-10.5%) led the losers. In the coming week, we anticipate the bullish performance to be sustained barring any negative shock.