The Nigerian Stock Exchange (NSE) ended the first half of the year on a positive note. Year to date, the index closed up 0.09%. Although the index had a slight drop, stocks in the banking, oil and gas, and consumer goods sectors have witnessed impressive performance.
Stocks in these sectors are gradually recovering from the economic contraction of 2016, and with improved economic indices, some top players are now back on the path of profitability.
Here is a look at top performing stocks in these sectors for the first half of the year 2018.
Unity Bank Plc
Unity Bank closed trading on Friday at N0.93, up by 83%, year to date. Earlier in the year, the bank had an impressive outlook and was adjudged the best performing stock. This was largely attributed to a rumored $1 billion investment plan by a private equity firm, Milost Global.
However, the deal did not sail through as the private equity firm had to pull out, citing threats from unnamed sources.
Although the bank denied entering into such an agreement, Securities and Exchange Commission (SEC) is currently investigating the deal.
Skye Bank Plc
Skye Bank closed trading on Friday at N0.72, up by 38%, year to date.
Although the bank is yet to release its results since 2016, unconfirmed reports suggest that the bank is in a N700 billion hole. Nevertheless, investors have poured money into the bank’s stocks hoping to keep reaping rewards if share prices continue to rise.
Sterling Bank Plc
Sterling Bank closed trading on Friday at N1.39, up by 38%, year to date. At the beginning of the year, the bank announced the retirement of Mr. Yomi Adeola as its Managing Director/Chief Executive Officer and appointed Abubakar Suleiman as its new CEO.
The new CEO comes with a background in non-interest banking – a segment which Adeola had signified that the bank would be getting a stand-alone license for.
The bank has also announced plans to change its operating structure to that of a holding company.
The bank’s financial result for Q1 2018 shows a surge in gross earnings from N28 billion in Q1 2017 to N39.7 billion in Q1 2018. Profit before tax increased from N2.03 billion in Q1 2017 to N3.17 billion in Q1 2018.
Wema Bank Plc
Wema Bank closed trading on Friday at N0.7, up by 40%, year to date. The bank has revealed plans to raise additional ₦20 billion from the bond market in July this year. This will be its second debt program after it initially raised ₦6.2 billion in the first tranche of its ₦50 billion debt program.
The debt issue would help Wema Bank to boost its capital adequacy ratio above its internal guidance of 15%, from 14.3%.
In its Q1 2018 financial reports for the period ended March 31, 2018, gross earnings increased from N15.27 billion in Q1 2017 to N16.07 billion in Q1 2018. Profit before tax also increased from N849 million in Q1 2017 to N883 million in Q1 2018.
Oil & Gas Sector
Eterna Oil & Gas Plc
Eterna Oil closed at N6.41 on Friday’s trading session. As at June 29, 2018, the stock is up 66%.
Eterna Oil was incorporated on January 13, 1989, as Eterna Oil and Gas Limited. The company commenced operations in 1991 and was listed on the Nigerian Stock Exchange in 1998.
The company is into the manufacturing and marketing of lubricant oils, petrochemicals, importation, and sale of fuel through its retail outlets for gas and crude oil trading.
Results for the first quarter ended March 2018 show that revenue increased from N51.9 billion in 2017 to N54 billion in 2018. Profit before tax, however, fell from N1 billion in 2017 to N751 million in 2018. Profit after tax also dropped from N681 million in 2017 to N510 million in 2018.
Consumer Goods Sector
NASCON Allied Industries Plc
Nascon Allied Industries closed at N22.75 and as of June 29, 2018, the stock is up by 23%.
In its Q1 2018 financial statement for the period ended March 31, 2018, revenue increased from N6.46 billion in Q1 2017 to N6.76 billion in Q1 2018. Profit before tax dropped from N1.17 billion in Q1 2017 to N1.56 billion in Q1 2018.
In Q1, its revenue from sales also increased from N5.5 billion in Q1 2017 to N5.7 billion in Q1 2018. The amount represents revenue realised during the period from the sale of edible, refined, bulk and industrial salt, as well as seasoning, tomato paste, and vegetable oil.
Nascon Allied Industries Plc (formerly known as National Salt Company of Nigeria Plc) was incorporated in Nigeria as a limited liability company on April 30, 1973.
It was fully privatised in April 1992 and became listed on the Nigerian Stock Exchange on October 20, 1992.
The major shareholder of the company is Dangote Industries Limited which owns 62.19% of the issued share capital, while the remaining 37.81% is held by the Nigeria investing public.
Unilever Plc closed trading on Friday at N52.25, up by 28%, year to date. In its Q1 financial results for the period ended March 31, 2018, revenue increased by 16% from N22.17 billion in Q1 2017 to N25.81 billion in Q1 2018. Profit before tax also increased from N2.18 billion in Q1 2017 to N3.93 billion in Q1 2018.
In its recent Annual General Meeting, the shareholders of Unilever Plc approved the plan by the company to divest its spread segment to Sigma Bidco. The spread business segment currently includes the production of Blue Band Margarine.
The company has also disclosed a planned initiative aimed at increasing access to local raw materials through a partnership with intermediary farmers. This will, among other things, drastically reduce the company’s dependence on importation of raw materials and cost of production.
Nigerian bourse falls by 0.12% WoW despite gains from GTBank & Zenith
The NSE All-Share Index and Market Capitalization both depreciated by 0.12%.
The Nigerian All-Share Index and Market Capitalization both dropped by 0.12% to close the week at 24,306.36 and N12.680 trillion respectively.
Nigeria’s bourse closed the week with a total turnover of 901.542 million shares worth N13.453 billion in 18,676 deals traded this week by investors on the floor of The Exchange. This is in contrast to a total of 961.833 million shares valued at N9.181 billion that exchanged hands last week in 20,058 deals.
The NSE All-Share Index and Market Capitalization both depreciated by 0.12% to close the week at 24,306.36 and N12.680 trillion respectively.
The Financial Services industry (measured by volume) led the activity chart with 629.368 million shares valued at N5.186 billion traded in 9,887 deals; thus contributing 69.81% and 38.55% to the total equity turnover volume and value respectively. The ICT industry followed with 59.506 million shares worth N5.161 billion in 684 deals. The third place went to the Consumer Goods industry, with a turnover of 57.136 million shares worth N1.385 billion in 2,993 deals.
Trading in the top three equities namely; Guaranty Trust Bank Plc, Fidelity Bank Plc and Zenith Bank Plc (measured by volume) accounted for 293.678 million shares worth N4.042 billion in 4,334 deals, contributing 32.58% and 30.05% to the total equity turnover volume and value respectively.
25 equities appreciated in price during the week, higher than 13 equities in the previous week. 33 equities depreciated in price, lower than 59 equities in the previous week, while 105 equities remained unchanged, higher than 91 equities recorded in the previous week.
RED STAR EXPRESS PLC up 18.52% to close at N3.52.
P Z CUSSONS NIGERIA PLC up 15.38% to close at N4.50.
STERLING BANK PLC. up 13.04% to close at N1.30.
CORNERSTONE INSURANCE PLC up 10.00% to close at N0.55.
ZENITH BANK PLC up 9.51% to close at N16.70.
CHAMS PLC up 9.09% to close at N0.24.
NIGERIAN AVIATION HANDLING COMPANY PLC up 9.00% to close at N2.18.
GUARANTY TRUST BANK PLC. up 7.93% to close at N22.45.
FIDELITY BANK PLC up 7.19% to close at N1.79.
LAW UNION AND ROCK INS. PLC. up 7.00% to close at N1.07.
CUSTODIAN INVESTMENT PLC down 10.91 to close at N4.90.
CONOIL PLC down 10.00 to close at N18.90.
BETA GLASS PLC. down 9.95 to close at N61.55.
MRS OIL NIGERIA PLC. down 9.78 to close at N12.45.
UNILEVER NIGERIA PLC. down 9.78 to close at N12.45.
LIVESTOCK FEEDS PLC. down 9.68 to close at N0.56.
AXAMANSARD INSURANCE PLC down 9.66% to close at N1.59.
BERGER PAINTS PLC down 9.63% to close at N6.10.
ARBICO PLC down 9.52% to close at N1.71.
UACN PROPERTY DEVELOPMENT COMPANY PLC down 9.09% to close at N0.90.
The Nigerian bourse struggled on most reference levels all week, with the exception of most tier-1 banks, that put up a good show in terms of turnover and gains recorded for the week.
However, with daily case surges in COVID-19 caseloads in major cities around Nigeria, and the high volatility ongoing on Nigeria’s black gold (Brent Crude), Nairametrics envisages cautious buying as geopolitical and economic uncertainty strengthens across the spectrum.
Nigerian Bourse finishes on a bullish note, triggered by MTN, INTBREW, VITAFOAM
The Nigerian bourse ended the trading week on a positive note leaving the All Share Index (ASI) Stock at 24,306.36 basis points, gaining 0.12%.
Accordingly, Month-to-Date and Year-to-Date losses stand at -0.68 per cent and -9.48% respectively, while market capitalization stood at N12.679 trillion after increasing by N14.76 billion.
Market sentiment, as measured by market breadth, was positive, as 12 stocks gained, relative to 9 decliners. IntBrew, Vitafoam and Glaxosmith led the gainers’ chart, while at the rear of the chart, ABC transport, UBA and GTBank led the chart.
Market upturn was paired with low trading activities compared to the performance recorded yesterday. Total volume and value of stocks traded declined by 29.47 per cent and 62.41 per cent to 131.63 million units and N899.4 million respectively.
STERLNBK was the most traded stock by volume at 17.6million units while ZENITHBANK finished the most traded stock by value at N220.4 million.
Sectoral performance was lukewarm, as one out of the five major sub-indices posted gains, with the Energy and Industrial index closing flat.
The Consumer Goods index (+0.56%) led the gainers, on INTERBREW (+6.94%) and GLAXOSMITH (+4.35%) gains. Losses in UBA (-2.34%), GUARANTY (-1.32%) and ZENITH (-0.30%) impelled losses in the lenders’ Index (-0.68%), followed by the Insurance index (-0.63%), following price decline in REGALINS (-8.33%) and AIICO (-4.26%).
INTBREW up 6.94% to close at N3.85, VITAFOAM up 5.13% to close at N5.33, GLAXOSMITH up 4.35% to close at N4.8,PZ up 3.45% to close at N4.5, MTNN up 0.96% to close at N116.1
ABCTRANS down 8.93% to close at N0.51, UBA down 2.34% to close at N6.25, GUARANTY down 1.32% to close at N22.45, FBNH down 0.95% to close at N5.2, ZENITHBANK down 0.30% to close at N16.7
Nigerian bourse finished on a positive note, with blue-chip stocks like MTN, triggering the rally experienced at the end of the trading week. However, Nairametrics envisages cautious buying on the resurgence of COVID-19 cases reported in Nigeria.
Stocks close flat despite buying pressures from ECOBANK, GTBANK
GUARANTY finished the most traded stock by value at N534.4 million.
Nigerian bourse on Thursday closed near flat as the All Share Index dropped slightly by 0.01% to 24,276.56 index points. Consequently, YTD performance presently stands at -9.46%.
Activity level reversed its previous increase as total volumes and values exchanged declined by 19.76% and 49.05% to 186.64 million units and 2.393 billion respectively. Fidelity Bank was the most traded stock by volume at 38.0 million units while GUARANTY finished the most traded stock by value at N534.4 million.
Market sentiment, as measured by market breadth, was negative as 15 stocks declined, relative to 10 advancers with CONOIL and ARBICO as top losers by 10.00% and 9.52% respectively, while STERLNBANK and PZ recorded largest price gains with 5.83% and 3.57% respectively.
Across sectors, three of the five indexes under our coverage gained. Price appreciation in LAW UNION and AIICO INSURANCE moved the Insurance index up by 0.64%, while the Banking and industrial followed to gain 0.60% and 0.02% respectively.
Conversely, the Consumer Goods and Oil & Gas indexes were down 0.64% and 0.45% respectively, on the back of sell-offs in INTBREW, DANGSUGAR and CONOIL.
LAWUNION up 7.00% to close at N1.07,PZ up 3.57% to close at N4.35,ETI up 3.26% to close at N4.75,GUARANTY up 1.11% to close at N22.75ZENITHBANK up 0.60% to close at N16.75,
CONOIL down 10.00% to close at N18.9, ARBICO down 9.52% to close at N1.71, VITAFOAM down 9.30% to close at N5.07, INTBREW down 8.86% to close at N3.6, DANGSUGAR down 0.86% to close at N11.5
Nigerian bourse finished on a near stalemate, as buying pressure from top tier-1 banks countered the high sell-offs recorded in CONOIL, VITAFOAM & INTBREW.
However, Nairmetrics envisages you seek the advice of a certified financial advisor when buying financial assets.