The local bourse sustained its downtrend as the All-Share Index dropped 1.2% to 25,816.57 points due to the losses in NESTLE (-10.0%), GUARANTY (-4.6%) and WAPCO (-10.0%). Consequently, the YTD return declined further to -3.8% while investors shaved off ₦218.3bn as market capitalisation fell to ₦13.4tn. Activity level declined as volume and value traded fell 21.9% and 2.7% respectively to 325.3m units and ₦6.0bn. The most actively traded stocks by volume were ZENITH (47.5m units), GUARANTY (35.8m units) and FCMB (23.5m units) while GUARANTY (₦1.1bn), ZENITH (₦952.8m) and MTNN (₦159.7m) led by value.
Sector performance was bearish as 3 of 5 indices that we cover under-performed. The Consumer Goods and Banking indices led the laggards, down 5.2% and 3.7% respectively due to sell-offs in NESTLE (-10.0%), GUARANTY (-4.6%) and ZENITH (-2.8%) . Similarly, the Industrial Goods index lost 1.2%, on the back of price declines in WAPCO (-10.0%) and CAP (-10.0%). Conversely, the Insurance index gained 0.3% on account of buying interest in AIICO (+7.8%) and LAWUNION (+10.0%) while the Oil & Gas index was flat.
Investor sentiment as measured by market breadth (advance/decline ratio) rose to 0.4x from the 0.1x recorded in the previous trading session as 9 stocks advanced relative to the 24 that declined. The best performers were LAWUNION (+10.0%), HONYFLOUR (+9.3%) and UPDCREIT (+8.1%) while UNILEVER (-10.0%), WAPCO (-10.0%) and NESTLE (-10.0%) led the laggards. We expect the bearish sentiment to be sustained in the near term, although the market presents opportunity for bargain hunting.
MTN Nigeria Communications Plc (Audited FY:2019): Revenue rose 12.6% Y-o-Y to ₦1.2tn; Furthermore, PAT grew 38.7% to ₦202.1bn from 2018, announces dividend of ₦4.97 per 2 Kobo ordinary share.
United Bank for Africa Plc (Audited FY:2019): Gross Earnings climbed 13.3% Y-o-Y to ₦559.8bn; Meanwhile, PAT grew 13.3% to ₦89.1bn from 2018. Proposed dividend 80k per share.
Nestle Nigeria Plc (Audited FY:2019): Revenue leaped 6.7% Y-o-Y to ₦284.0bn; Furthermore, PAT jumped 6.2% to ₦45.7bn from 2018.
Ardova Plc (formerly Forte Oil Plc) – (Audited FY:2019): Revenue increased 31.1% Y-o-Y to ₦176.6bn; while PAT surged 520.0% to ₦3.9bn from 2018.
Guaranty Trust Bank Plc (Audited FY:2019): Gross Earnings increased 0.1% Y-o-Y to ₦435.3bn; while PAT rose 6.6% to ₦196.8bn from 2018, proposed final dividend 250k per share.
Market Statistics for Monday, 2nd March 2020
|Market Cap (N’bn)||13,449.3|
|Market Cap (US$’bn)||37.4|
|NSE All-Share Index||25,816.57|
|Daily Performance %||(1.2)|
|WTD Performance %||(1.2)|
|MTD Performance %||(10.5)|
|QTD Performance %||(3.8)|
|YTD Performance %||(3.8)|
|Daily Volume (Million)||325.3|
|Daily Value (N’bn)||6.0|
|Daily Value (US$’m)||16.7|