Onome Amuge
Investors in the Nigerian equities market sustained a loss totalling N68 billion as the market closed on Tuesday, amid a decline in share prices of various stocks, including VFD Group, Royal Exchange, and Oando.
The downward movement in the prices of these stocks led to an erosion of market capitalisation, as the Nigerian Exchange (NGX) closed the day in bearish territory.
The NGX also witnessed a sharp decline in equity capitalisation, with the market’s value falling to N58.9 trillion from N59 trillion the previous day.
The bearish trend was also seen in the All-Share Index (ASI), a key benchmark used to gauge the performance of the Nigerian stock market,which declined to 97,260.39, down from 97,373.94 recorded at the close of trading on Monday.
Despite the negative sentiment in the NGX, there were still some positive indicators in the market. The market breadth, which measures the balance between advancing and declining stocks, was positive as 20 stocks recorded gains while 28 registered declines.
Furthermore, 71 stocks remained unchanged, suggesting that investors were cautiously treading on the market.
Overall, 10,224 deals were recorded on Tuesday, indicating a high level of activity in the Nigerian stock market despite the negative price movements.
EUNISELL, JOHN HOLT, and SUNU ASSURANCE were among the top performers for the day, with each stock recording significant gains in their share prices.
EUNISELL’s share price rose by 9.98 percent to close at N9.92, up from N9.02 in the previous trading session. JOHN HOLT also gained 9.83 percent, closing at N5.81, a significant increase from N5.29 in the previous day’s trading.
Meanwhile, VFD Group, ROYALEX, and OANDO emerged as the stocks with the sharpest price drops.
VFD Group’s shares plunged 10 percent, ROYALEX shares fell by 9.68 percent, and OANDO shares declined by 9.42 percent, closing at N40.50, N0.56, and N62.05 respectively, from the previous trading session’s prices of N45.00, N0.62, and N68.50.
On the volume index, United Capital Plc (UCAP) took the lead, exchanging 76 million shares in 1,202 transactions. In second place was Access Corporation (ACCESS), which traded 25 million shares in 498 deals.
Following closely behind was United Bank for Africa (UBA), which recorded a trade volume of 22 million shares in 502 deals.
In terms of the value index, ARADEL emerged as the most heavily traded stock in terms of value, with a total of N1.5 billion worth of stocks exchanging hands in 887 deals. United Capital Plc (UCAP) came in second, trading equities worth N1.1 billion in 1,202 deals.
OANDO completed the top three most actively traded stocks by value, recording a trade value of N1.1 billion in 955 deals.
