• Monday, June 17, 2024
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Market sees positive start to new week as C&I Leasing, others rally

Q1 earnings seen improving investor appetite for bank stocks

Nigeria’s equities market took off this week on a positive note, rising by N98bilion or 0.35 percent on Monday, May 22.

The Nigerian Exchange Limited (NGX) All-Share Index (ASI) and Market Capitalisation increased from preceding day low of 52,187.93 points and N28.417 trillion respectively to 52,369.13 points and N28.515trillion.

C & I Leasing led the league of advancers on Monday after its share price moved up from
N3.20 to N3.51, adding 31kobo or 9.69percent.

It was followed by that of Ikeja Hotel which increased from day open low of N2.03 to N2.23, adding 20kobo or 9.85percent.

Also, NPFMicrofinance Bank increased from N1.75 to N1.92, adding 17kobo or 9.71percent; while Academy Press increased from N1.53 to N1.68, adding 15kobo or 9.80percent.

Read also: APT Securities, CardinalStone, Stanbic, 7 others trade N455.4bn equities in 4 months

“We expect mixed sentiments in the equities market, comprising of pockets of buy interests across fundamentally sound stocks, and bearish sentiments arising from an upward reversal of yields in the fixed income market.

“We recommend a cautious approach for equity vested investors and fund managers, with a strategic switch to defensive stocks with strong corporate actions and fundamentals,” United Capital research analysts said.

Zenith Bank, Access Corporation, UBA, AXA Mansard and GTCO were top-5 traded stocks.

The market’s positive return year-to-date (YtD) increased to 2.18 percent.

“We expect the positive mood in the market to persist this week, considering the attractive upside on tickers which investors
should take advantage of.

“However, we do not rule out the possibility of profit-taking activities on tickers that gained in the previous weeks. Overall, we expect the overriding sentiment in the market to be
bullish this week,” according to Meristem research analysts in their recent note to investors.