NGX-ASI up by 0.13% as Presco, Okomu, others rally

Investors in Nigeria’s stock market gained about N83billion on Monday while the market’s benchmark performance indicators closed higher by 0.13 percent.

The market opened the new week in green following investors renewed interests in undervalued and fundamentally sound stocks as full year earning season enters full gear.

Stocks like Presco, Okomu Oil Palm, Beta Glass, Northern Nigeria Flour Mills, and other major advancers led the market’s positive start to the new week. Beta Glass rose from N71.50 to N78.65, after adding N7.15 or 10 percent. Presco moved up, from N585 to N643.50, adding N58.50 or 10 percent.

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Okomu Oil Palm increased from N488.40 to N537.20 to N48.80 or 9.99 percent, while NNFM increased from N60.60 to N66.65, up by N6.05 or 9.98 percent.

The Nigerian Exchange Limited (NGX) All-Share Index (ASI) and equities Market Capitalisation increased from preceding day’s 104,496.12 points and N64.708trillion respectively to 104,630.3 points and N64.791 trillion.

“We expect the market to close on a positive note, supported by increased bargain hunting as investors take advantage of fundamentally strong stocks now trading at attractive levels.

“This renewed interest in undervalued equities should drive market activity, with investors strategically positioning in stocks with solid fundamentals,” according to Meristem research analysts.

“Although the upcoming treasury bills auction may influence sentiment, we do not foresee a significant negative impact on equities as investor appetite for stocks remains strong.

“However, we acknowledge the potential for profit-taking on tickers that have recorded gains in recent weeks, which could introduce some volatility. Overall, we expect the local bourse to end the week in the green zone,” the analysts further said in their February 3 note.

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FBN Holdings, Zenith Bank, Universal Insurance, UBA and Fidelity Bank were actively traded stocks. In 14,611 deals, investors exchanged 510,569,320 shares worth N13.253billion.