The market capitalisation of the Nigerian Stock Exchange (NSE) closed lower on Thursday, dropping by N8 billion.
Specifically, the market capitalisation which opened at N12.886 trillion dipped by 0.06 per cent or N8 billion to close at N12.878 trillion. Also, the All-Share Index lost 15.91 points or 0.06 per cent to close at 26,456.29 in contrast with 26,472.20 achieved on Wednesday.
The downturn was impacted by losses recorded in medium and large capitalised stocks, among which are the Guaranty Trust Bank, Dangote Flour Mills, Zenith Bank, United Bank for Africa (UBA) and Lafarge Africa. Analysts at Cordros Capital Ltd. said: “In our view, the trend witnessed through the year is likely to persist through the final quarter of the year; although we expect pockets of gains over the final months of the year as fund and portfolio managers realign portfolios prior to the start of 2020.
“Nonetheless, we note that valuations remain attractive, driven by price deterioration throughout the year. Hence, we advise that long-term investors consider appropriately-timed investments.”
However, market breadth closed positive, with 11 gainers and eight losers. Also read: NSE market capitalisation decreases further by N196 bn on election outcome Wapic Insurance recorded the highest price gain of 9.38 per cent, to close at 35k per share. Chams followed with a gain 9.09 per cent to close at 24k, while FCMB Group appreciated by 6.97 per cent to close at N1.70 per share. Flour Mills rose by 2.37 per cent to close at N15.10, while Law Union & Rock Insurance appreciated by 2.08 per cent to close at 49k per share.
Conversely, Cornerstone Insurance led the losers’ chart by 8.11 per cent, to close at 34k per share. UBA followed with a decline of 2.52 per cent to close at N5.80, while Wema Bank dipped 1.69 per cent to close at 58k per share. Guaranty Trust Bank decreased 1.30 per cent to close at N26.65, while Transcorp shed 0.98 per cent to close at N1.01 per share.
The total volume traded rose by 4.06 per cent as investors bought and sold 144.09 million shares, worth N2.89 billion traded in 2,347 deals. This was against a turnover of 138.47 million shares valued at N3.60 billion transacted in 2,347 deals on Wednesday. Transactions in the shares of Guaranty Trust Bank topped the activity chart with 35.22 million shares valued at N946.74 million. FBN Holdings followed with 24.34 million shares worth N130.79 million, while Fidelity Bank traded 13.96 million shares valued at N23.69 million.
Zenith Bank traded 11.95 million shares valued at N213.03 million, while UBA transacted 9.999 million shares worth N58.17 million.