Following losses suffered by most blue-chip stocks, especially Neimeth Pharmaceuticals, and Cutix, the Nigerian equities market extended the losing streak during Monday transactions, causing the market capitalisation to decline further by N38 billion.
Yesterday, the All-Share Index (ASI) fell by 72.83 absolute points, representing a dip of 0.29 per cent to close at 24,753.92 points. Similarly, the market capitalisation of listed equities shed N38 billion to close at N12.913 trillion.
The downturn was impacted by losses recorded in medium and large value stocks, amongst which were; Stanbic IBTC Holdings, Nigerian Breweries, BUA Cement, Ardova Plc, and Flour Mills of Nigeria.
On the market performance, analysts at United Capital Plc said: “This week, we expect a tepid performance at the equity market, as investors continue to soft-pedal on stocks ahead of the half-year results.”
Also, Imperial Asset Research said: “This week, we expect to see an element of bargain-hunting, as some active traders will buy into lows of counters that have shed weight in the previous weeks.
“We, therefore, maintain the view that investors with long-term investment goals should continue to build their portfolios given the current attractive valuation of most fundamentally viable stocks.”
Following the downtrend, market breadth closed negative, 11 stocks posted gains while 26 declined. Jap
aul Oil & Maritime Services recorded the highest price gain of 8.70 per cent to close at 25 kobo per share.
Nestle Nigeria followed with 7.72 per cent gain to close at N1,179.00 per share, and Fidson Healthcare edged up 7.49 per cent to close at N3.30, per share.
Sterling Bank rose 6.67 per cent to close at N1.28, and Unity Bank appreciated 5.26 per cent to close at 60 kobo, per share.
On the other hand, Neimeth International Pharmaceuticals led the losers’ chart by 9.74 per cent to close at N1.39, while Cutix followed with 9.09 per cent to close at N1.60, per share.
Honeywell Flour Mills and Stanbic IBTC Holdings lost 8.33 per cent each to close at 99 kobo and N30.25, respectively, while Chams Plc shed eight per cent to close at 23 kobo, per share.
The total volume traded fell 28.62 per cent to 124.688 million shares worth N1.319 billion, traded in 3,843 deals.
Transactions in the shares of Japaul Oil & Maritime Services topped the activity chart with 13.610 million shares valued at N3.304 million.
Guaranty Trust Bank followed with 11.348 million shares worth N260.465 million, while Zenith Bank traded 10.427 million shares at N168.809 million.
United Bank for Africa (UBA) traded 7.972 million shares valued at N50.481 million, and Chams Plc transacted 7.857 million shares worth N1.849 million.