Renewed bargain-hunting propels equities’ rebound as indices rise by N24b

The Nigerian equities market rebounded yesterday, following renewed bargain hunting in the shares of some blue-chip stocks, as market capitalisation increased by N24 billion.

Specifically, the All-Share Index (ASI) rose by 49.79 points or 0.19 percent to 26,434.00 points. Accordingly, investors gained N24 billion in value as market capitalisation went up to N12.758 trillion.

The upturn was impacted by gains recorded in medium and large capitalised stocks, amongst which are; MTN Nigeria, CI Leasing, Flour Mills of Nigeria, United Bank for Africa (UBA) and UAC of Nigeria (UACN). Despite the gain recorded at yesterday trading, analysts at Afrinvest Limited said: “In subsequent trading sessions, we maintain our bearish outlook on the market. However, we do not rule out the possibility for bargain hunting.”

However, market breadth closed negative as 12 stocks posted gains while 14 stocks posted declines. CI Leasing recorded the highest price gain of 9.26 percent, to close at N5.90, per share. Courteville Business Solutions followed with a gain 8.70 percent to close at 25 kobo, while Oando went up by 4.17 percent to close at N3.75, per share.

UBA went up by 3.85 percent to close at N6.75, while UACN appreciated by 3.11 percent, to close at N8.30, per share. On the other hand, Chellarams Plc led the losers’ chart by 9.74 percent, to close at N2.78, per share. Union Diagnostic & Clinical Services followed with a decline of 8.33 percent to close at 22 kobo, while Chams went down by 8.11 to close at 34 kobo, per share. Linkage Assurance lost 5.88 per cent to close at 48 kobo, while Lasaco Assurance shed 3.85 percent to close at 25 kobo, per share.

The total volume traded declined by 8.18 percent to 180.228 million shares, worth N3.025 billion, and traded in 2,951 deals. Transactions in the shares of UBA topped the activity chart with 29.33 million shares valued at N192.72 million. Zenith Bank followed with 19.85 million shares worth N366.31 million, while Guinness Nigeria traded 15.64 million shares valued at N460.63 million.Guaranty Trust Bank traded 13.32 million shares valued at N373.01 million, while Access Bank transacted 12.98 million shares worth N119.44 million.