Stock Market Loses N187bn in 3 Days
Stories by Uche Obike and Tunyosola Ayansiji
The market capitalisation of the Nigerian Stock Exchange (NSE) has declined by N187 billion in the last three days. Yesterday alone, the market closed with a capitalisation loss of N66 billion or 3.8 per cent, from N1.741 trillion to N1.675 trillion.
This situation has started to send wrong signals to both existing and potential investors as of the were already complaining.
Some investors have expressed shock over the current downward trend in the performance of prices of shares. THISDAY checks further revealed that some investors were already counting their losses since the bearish situation began of few weeks back.
They said if they had known earlier, they would have sold their holdings before the bears took control of the market.
The prices of the highly capitalised companies on the Exchange have continued to drop.
Consequently, the bearish (price losing) transactions also have taken a harsh toll on the all-share index of the Exchange which dipped by 3.7 per cent, from 24,547.72 to 23,629.04.
A few analysts attributed the persistent price fall at the market place to price stabilisation. They held that most equities on the Exchange were recently overpriced and as a result needed to stabilise.
According to them, there was nothing abnormal with the current decline of stocks' prices as there was need for price stabilisation.
Total Nigeria Plc emerged the highest price loser of 935 kobo to close at N177.80. Other top price losers included Nestle Nigeria Plc (798 kobo), Texaco Nigeria Plc (780 kobo), Mobil Oil Nigeria Plc (729 kobo), Guinness Nigeria Plc (676 kobo), Conoil Plc (631 kobo),Nigerian Bottling Company Plc (332 kobo), Cadbury Nigeria Plc (241 kobo), 7Up Bottling Company Plc (133 kobo), First Bank of Nigeria Plc (106 kobo), Ashaka Cement Plc (85 kobo), Flour Mills Nigeria Plc (78 kobo), Unilever Nigeria Plc (71 kobo), PZ Industries Plc (70 kobo) and Presco Plc (62 kobo).
However, five stocks appreciated between one kobo to 12 kobo. WAPIC Insurance Plc topped the price gainers' chart as it rose 12 kobo to close at N3.50 per share. Other to price gainers included UTC Nigeria Plc (9 kobo), First Atlantic Bank Plc (3 kobo) and Afroil Plc (1 kobo).
Meanwhile, the market recorded a total turnover of 36.584 million ordinary shares worth N446.091 million that were exchanged in 2,795 deals, compared with the figures of the previous that stood at 54.804 million ordinary shares valued at N611.447 million that were made in 2,936 deals.
The banking subsector emerged as the most active in terms of turnover as it recorded a total of 23.901 million ordinary shares worth N266.624 million made in 1,433 deals. This was followed by the industrial/domestic products subsector which recorded a total of 3.430 million ordinary shares worth N4.250 million that were executed in 61 deals.
|
