The Nigerian equity market ended its two-month winning streak as it posted declines in the month of June 2022. The market in May posted a gain of 6.75% ending its All-Share Index at 52,990.28 basis points, a near 14-year high, with a market capitalization of N28.60 trillion.
In June however, the All-Share Index (ASI) for the month, lost 2.21% starting at 52,990.28 basis points to end the month at 51,817.59 basis points. The market capitalization also lost in a similar fashion from N28.60 trillion at the beginning of the month, to end the month trading N27.94 trillion, also representing a 2.21% loss.
Despite the loss seen, some stocks still posted monthly gains. These stocks include:
NIGERIAN AVIATION HANDLING COMPANY PLC (NAHCO) 27.82%
NAHCO is one of the major players in the ground handling service sector of the nation’s air transport industry, with a presence in all the major Nigerian airports. Since the company was founded in December 1979, it has since grown into a multi-billion Naira company with diversified investments in energy, logistic and development of a Free Trade Zone Company.
The uptick in its share price looks to be a bullish reaction to the company’s first-quarter 2022 financial statement. The report revealed a stellar performance from the company as it was able to grow its revenue by 27.82% from N2.20 billion in 2021 to N2.82 billion in March 2022. The growth in its revenue was majorly attributable to the growth seen in passenger/aircraft handling.
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Although the firm recorded a drop in other income by 53.95%, the company was still able to record a 100.63% growth in operating income from N215 million in March 2021 to N432 million in March 2022. Ultimately, the firm recorded a PAT increase of 91.08%, from N169 million to N324 million.
For the month of June, the company’s share price grew by 27.82%, from N6.65 at the beginning of the month to N8.50 at the end of the month. In fact, the stock price is currently trading at its 52-week high.
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The company has shares outstanding of 1,624,218,750 units which puts it total market capitalization at N13,805,859,375.00, using its current market price as of yesterday’s close.
ELLAH LAKES PLC (ELLAHLAKES) 26.92%
Ellah Lakes Plc is a Nigeria-based company, which is engaged in fish farming. The Company’s line of business includes oil palm cultivation, oil palm processing and oil palm refining. Its oil palm cultivation includes oil palm planting, nurturing of young trees until they come to full maturity and harvesting of fresh fruit bunches (FFBs).
Its processing includes the crushing and milling of FFBs to obtain oil Palm products such as Crude Palm Oil (CPO), Palm Kernel Oil (PKO), and Palm Kernel Cake. The extracted CPO and PKO are processed further via fractionalization to remove impurities, colours, and odour. The oil is processed into different grades and the output of these processes are palm stearin and palm olein. The company serves industries, such as the food industry, chemicals, biodiesel and livestock.
Ellah Lakes began the year with a share price of N4.25 but has since lost 6.82% off that price valuation, ranking it 118th on the NGX in terms of year-to-date performance. The firm is the 103rd most traded stock on the Nigerian Stock Exchange over the past three months. ELLAHLAKES has traded a total volume of 3.71 million shares, in 377 deals, valued at N12.9 million over the period, with an average of 58,936 traded shares per session. A volume high of 502,250 was achieved on June 2nd for the same period.
For the month of June, the company’s share price grew by 26.92%, from N3.12 at the beginning of the month to N3.96 at the end of the month. The stock price is currently trading near its 52-week high of N4.50 as of yesterday’s close. The company has shares outstanding of 2,000,000,000 units which puts it total market capitalization at N7,920,000,000.00, using its current market price as of yesterday’s close.
CORNERSTONE INSURANCE PLC (CORNERST) 16.13%
Cornerstone Insurance Company Plc is an insurance company in Nigeria offering products for life and non-life classes. The company provides risk underwriting and related financial services for individuals, corporate and institutional customers. This includes products for motor vehicles, aviation, marine, engineering all risks, asset protection, liability to third party, oil and gas, group life, credit life, mortgage protection, term assurance, wealth creation and Islamic insurance.
Cornerstone Insurance touts to be the first insurance company in Nigeria to provide customers with an online platform for insurance transactions. The company’s services are easily accessible through the internet and mobile technology. Cornerstone Insurance Company Plc’s head office is in Lagos, Nigeria.
Cornerstone began the year with a share price of N0.46 and has since gained 56.5% on that price valuation, ranking it 19th on the NGX in terms of year-to-date performance. Cornerstone Insurance Company is the 50th most traded stock on the Nigerian Stock Exchange over the past three months. CORNERST has traded a total volume of 79.1 million shares, in 616 deals, valued at N47.2 million over the period, with an average of 1.26 million traded shares per session. A volume high of 9.85 million was achieved on May 18th, and a low of 240 on April 28th, for the same period.
For the month of June, the company’s share price grew by 16.13%, from N0.62 at the beginning of the month to N0.72 at the end of the month. The firm is currently trading near its 52-week high of N0.74. The company has shares outstanding of 18,166,392,726 units which put its total market capitalization at N13,079,802,762.72, using its current market price as of yesterday’s close.
Other stocks with significant appreciation include;
- SOVRENINS 12.50%
- CHIPLC 12.31%
- LEARNAFRCA 9.76%
On the decliners side, we have ETRANZACT losing 26.67% leading the charge. This is followed by CWG and CUTIX losing 23.08% and 21.60% respectively.
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