Bargain hunting puts over N120bn in Nigeria stock investors pockets

Within just four trading days into this week, Nigeria’s stock investors have pocketed about N123billion as capital appreciation due majorly to increased activities on the buy side of the local Bourse.

We had earlier this week advised that the outcome of more half-year (H1) 2020 earnings results will continue to spur market reactions.

More investors are seen taking position in companies due to their attractive H1 and full year earnings and proposed corporate action (dividend).

For value counters like SEPLAT, increasing interests in its shares seen lately no doubt signposts investors confidence in its new CEO, Roger Brown who resumed on August 1.

Brown leads SEPLAT into the next phase of the company’s growth aspirations and expected to work towards reinforcing the company’s leading position in the Energy sector. He joined SEPLAT in 2013 as the CFO and played a key role in the successful dual listing of the Company in 2014 on both the London and Nigerian Stock Exchanges.

For the second time this week, SEPLAT stock led the gainers tabled. Its share price moved from Wednesday’s low of N321 to N350 on Thursday, adding N29 or 9.03 percent. Stanbic IBTC Holdings moved from N31.5 to N33, up N1.5 or 4.76 percent.

Similarly, since joining SEPLAT, the new CEO has played significant roles in various asset acquisitions by the Company as well as implementing the company’s financial business model. He also played critical roles in the company’s successful landmark deals, Initial Public Offering (IPO) and financial structure of debt and acquisitions, as well as increased returns to shareholders.

The Nigerian Stock Exchange (NSE) All Share Index (ASI) increased further on Thursday August 6 by 0.19 percent to 24,930.34 points, from preceding day low of 24,882.04 points.

Other gainers on Thursday include Guinness Nigeria which went up from N13 to N13.5, adding 50kobo or 3.85 percent. MTNN went up from N118 to N118.5, up by 50kobo or 0.42 percent; while NASCON advanced from N9.6 to N10, up 40kobo or 4.17percent.

Also, the value of listed stocks increased from N12.979trillion to N13,005trillion. The week opened with ASI of 24,693.73 points and market capitalisation of N12.882 trillion.

The stock market’s negative return year-to-date (YtD) printed lower at -7.13 percent. In 3,646 deals, investors exchanged 173,748,425 units valued at N2.132billion. FBN Holdings, GTBank, Custodian Investment, Transcorp and Lafarge Africa were actively traded stocks on the Nigerian Stock Exchange on Thursday August 6.