Reforms Fuel Insurance Stock Rally

The Nigerian equities market yesterday extended its bullish streak to 26 days, with investors gaining N479 billion.

Reforms in the industry have fuelled a rally in insurance stocks, contributing to the equities market’s impressive performance. This is as the NGX Insurance lead the sectoral indices with a gain of 8.8 per cent.

The All-Share Index (ASI) gained 756.85 points, representing a gain of 0.52 per cent to close at 146,570.71 points. Also, market capitalisation rose by N479 billion to close at N92.731 trillion.
The upturn was driven by price appreciation in large and medium-capitalised stocks, including BUA Foods, Guinness Nigeria, Nigerian Exchange Group, CAP, and NEM Insurance.

As measured by market breadth, investor sentiment closed positively, as 44 stocks advanced, while 34 declined. AIICO Insurance, Cornerstone Insurance, AXA Mansard Insurance, and University Press emerged as the highest price gainers, each 10 per cent, to close at N3.19, N5.83, N13.31, and N5.61 per share, respectively.

Guinness Nigeria followed with a gain of 9.98 per cent to close at N141.60, while UPDC up by 9.94 per cent to close at N7.19 per share. On the other side, Chams Holding Company led others on the losers’ chart with 9.94 per cent to close at N2.90 per share. Austin Laz & Company followed with a decline of 9.83 per cent to close at N2.11, while Caverton Offshore Support Group declined by 9.65 per cent to close at N6.37 per share

UACN shed 9.44 per cent to close at N81.50, while John Holt lost 9.43 per cent to close at N7.20 per share.
However, the total volume traded dipped by 26.5 per cent to 1.983 million units, valued at N27.262 billion, and exchanged in 35,291 deals. Transactions in the shares of Linkage Assurance led the activity with 372.402 million shares worth N703.098 million. Prestige Assurance followed with 249.327 million shares valued at N357.453 million, while Veritas Kapital Assurance traded 181.867 million shares valued at N362.998 million.

Sterling Financial Holdings Company traded 121.019 million shares worth N968.287 million, while Lasaco Assurance traded 58.721 million shares worth N217.540 million.