NSE Sheds 4.87%, As Investors’ Worth Slide By N626.15bn In August

Trading on the Nigerian Stock Exchange (NSE) continued its volatility on Thursday, closing the day with a 124.51 basis points or 0.35% slide in the Composite All-Share index; just as it fell by 1,141.84 points or 3.11% for the four-day week, following the two-day public holiday declared by the Federal Government on Friday, September 1, and Monday, 4th, 2017 to mark the Muslim festival of Eid-el-Maulud. Market capitalization fell on Thursday by N42.914bn, closing at N12.237tr, while the week ended with investors’ worth on the NSE declining by N393.559bn.
On a month-on-month basis, the ASI lost 1,819.04points or 4.87%, after tasting a new 52-week high of 38,241.67, before the downward slide began, just as market capitalisation for the period declined by N626.15bn.
On a quarter-to-date basis, the Composite NSE ASI rose by 6,228.03 basis points or 21.27% from 29,276.59 points at the end of May.
The month’s biggest decliner was 11 Plc, whose share price fell by N27.44 in the first month of the takeover of the company’s ownership by NIPCO; followed by Nigerian Breweries’ N9.97; while Guinness Nigeria lost N6.00 as investors traded their rights, with the company seeking to N40bn to enhance its operations and change its losing streak. Julius Berger shed 350 kobo; Okomu Oil Palm, dropped 345 kobo; Unilever Nigeria whose rights issue closed on August 30, 2017, having opened on July 24. Unilever Nigeria lost 201 kobo in the month of August; Stanbic IBTC Holdings, 173 kobo; Conoil, 137 kobo; Guaranty Trust Bank, 121 kobo; Forte Oil, 100 kobo; and Flour Mills Nigeria, 94 kobo.
Gainers for the month were very few, led by Total Nigeria, which notched N28.20; followed by Seplat Petroleum Development Company’s 850 kobo; PZ Cussons, 130 kobo; and Cutix, 49 kobo; among others.
Meanwhile, according to data by the NSE, the top-10 stockbrokers accounted for 1.34bn units, representing 67.11% of the month’s total transactions for the month, led by Meristem Stockbroker’s 415.071m units or 20.77% of total market volume. Cordros Securities Limited followed with 204.248m shares or 10.22% of total; CSL Stockbrokers, pooled 172.9073m or 8.61%; Stanbic IBTC Stockbrokers, 165.807m or 8.3%; Reading Investments, 96.523m or 4.83%; Rencap Investment, 89.333m or 4.47%; Coronation Securities accounted for 59.008m or 2.95%.
Meanwhile, the top 10 brokers also accounted for N17.703bn or 77.19% of the month’s total transaction value, led by Stanbic IBTC Stockbrokers’ N7.508bn or 32.73%; while Rencap followed with N3.648bn or 15.91%; ahead of CSL Stockbrokers’ N1.565bn or 6.82%’ while Meristem Stockbrokers recorded N1.547bn or 6.75%.