Investors trade N162bn shares on NGX as market turnover drops 50%

INVESTORS on the Nigerian Exchange Limited (NGX) traded shares valued at N161.75 billion over five trading sessions, representing a sharp decline of about 50 percent compared to the previous week’s turnover.

Data obtained from the NGX weekly report showed that market activity weakened considerably during the period under review, with both the value and the volume of traded equities recording significant drops.

According to the report, investors exchanged a total of 3.87 billion shares in 334,745 deals during the week. This was lower than the 7.77 billion shares worth N374.04 billion traded in 402,945 deals in the preceding week, reflecting a decline of 50.1 percent.

The NGX also disclosed that the All-Share Index (ASI) and market capitalisation closed lower at the end of the week. The ASI fell by 0.25 percent to 249,712.37 basis points, while market capitalisation dipped by 0.23 percent to N160.077 trillion.

READ ALSO: NGX turnover hits N287bn as market capitalisation surpasses N150trn

Financial services stocks continued to dominate trading activities on the exchange, accounting for the largest share of market turnover during the week.

The sector recorded transactions involving 2.41 billion shares valued at N69.71 billion across 126,919 deals. This represented 62.19 percent of the total volume traded on the equities market and 43.1 percent of the total value.

The services sector came next with 409.3 million shares worth N5.4 billion traded in 25,908 deals, while the oil and gas industry ranked third after recording 294.85 million shares valued at N31.496 billion in 26,738 deals.

Further analysis indicated that banking and financial services equities dominated investors’ interest throughout the week.

Sterling Financial Holdings Company, Fidelity Bank Plc, and Access Holdings Plc emerged as the three most actively traded stocks by volume.

The companies jointly accounted for 1.092 billion shares worth N19.527 billion exchanged in 21,683 deals, contributing 28.18 percent and 12.07 percent to total turnover volume and value respectively.

On the gainers’ chart, Associated Bus Company Plc recorded the strongest performance after its share price appreciated by 44.82 percent from N6.27 to N9.08 per share.

Academy Press Plc followed with a 29.79 percent gain, rising from N7.05 to N9.15, while University Press Plc advanced by 28 percent from N5 to N6.40.

International Energy Insurance Plc also posted a 22.22 percent increase, climbing from N2.79 to N3.41, while Learn Africa Plc appreciated by 18.89 percent from N10.85 to N12.90 during the week.

On the losers’ table, Sovereign Trust Insurance Plc recorded the steepest decline after its share price dropped by 22.45 percent from N2.94 to N2.28.

READ ALSO: Investors trade N164bn stocks in five sessions as NGX turnover dips 10%

Trans-Nationwide Express Plc shed 18.98 percent to close at N5.72 from N7.06, while CAP Plc declined by 14.85 percent to N199 from N233.70.

Berger Paints Plc also lost 12.64 percent, falling from N168.95 to N147.60, while RT Briscoe Plc dropped by 11.18 percent from N15.83 to N14.06 at the close of trading for the week.