NGX sees turbulent trading week as investors lose N118bn on volatile market

Onome Amuge

The Nigerian stock market faced a series of fluctuations and substantial losses, leaving investors reeling as the overall market capitalisation suffered a weekly loss of N118.22 billion.

This came on the heels of an even larger loss the previous week, totaling N1.2 trillion, making for a turbulent period on the Nigerian Exchange (NGX).

Despite recording gains in three out of the five trading sessions for the week, the Nigerian bourse still closed with a deficit, as the market capitalisation decreased by 0.20 percent, from N59.03 trillion to N58.92 trillion.

The All-Share Index (ASI), a benchmark indicator of the performance of the Nigerian stock market, also declined by 0.20 percent, slipping from 98,070.28 points recorded the previous week to close the week at 97,236.19 points.

Price movements on the Nigerian equities market demonstrated an overall mixed trend during the week, with 31 equities experiencing price appreciation, a slight decrease from the 39 equities that recorded gains in the previous week.

Conversely, 42 equities experienced price depreciation, a marginal reduction compared to the 45 equities that recorded losses in the previous week. Meanwhile, 79 equities remained unchanged in price, representing an increase from the 68 equities that remained stagnant in the previous week.

The equities market kicked off the week on Monday, November 4, 2024, on a bearish note, as investors sold off N317 billion worth of stocks by the end of the trading session.

However, the market rebounded the following day, Tuesday, November 5, 2024, recording a gain of N131 billion.

The bears once again seized control of the equities market on Wednesday, November 6, 2024, with investors losing N337 billion by the end of the trading session, as market sentiment took a sharp turn for the worse.

However, investors regained some ground on Thursday, November 7, 2024, as they recorded a gain of N216 billion by the end of the day’s trading session, driven by renewed buying interest in key stocks.

The equities market ended the week on a high note on Friday, November 8, 2024, with investors scooping up N188 billion by the end of the trading session.

Investors were more active on the Nigerian equities market during the week, as they traded 6.468 billion shares with a total value of N75.745 billion across 48,804 deals. This marked an increase in trading activity compared to the previous week, when investors exchanged 2.717 billion shares valued at N54.632 billion in 46,848 deals.

The Financial Services Industry dominated the market in terms of trading activity, accounting for 87.60 percent of the total equity turnover volume and 58.44 percent of the total equity turnover value.

During the week, investors in the financial services sector exchanged 5.666 billion shares with a total value of N44.263 billion in 23,268 deals

The Oil and Gas Industry claimed the second spot on the activity chart, as investors traded 245.722 million shares valued at N15.877 billion across 9,057 deals.

Meanwhile, the Agriculture Industry occupied the third position, generating a turnover of 216.422 million shares with a value of N1.087 billion across 1,653 deals.

The top three equities that generated the most trading activity, based on volume, were Sovereign Trust Insurance Plc, Consolidated Hallmark Holdings Plc, and United Bank for Africa Plc.

Together, these three equities accounted for 3.839 billion shares with a total value of N20.905 billion, which were traded across 5,652 deals during the week. This dominant trio of stocks was responsible for 59.36 percent of the total equity turnover volume and 27.60 percent of the total equity turnover value

Among the top performers in the Nigerian equities market this week, Eunisell Interlinked Plc emerged as the biggest winner, as its share price skyrocketed 45.91 percent.

Closely following Eunisell Interlinked Plc was John Holt Plc, which registered a 45.76 percent increase in its share price.

Another standout performer was Conoil Plc, whose share price surged 37.35 percent.

On the opposite end of the spectrum, Oando Plc emerged as the biggest loser in the Nigerian equities market, as its share price plunged 21.97 percent.

Trailing close behind was Abbey Mortgage Bank Plc, whose share price took a hit, shedding 18.15 percent during the week.

Deap Capital Management & Trust Plc also suffered a decline in its share price, as it recorded a 14.40 percent drop.