Market Reverses Gains, Loses N1.922trn On Cement Stocks Decline

The Nigerian equities market reversed previous gains on Thursday as heavy sell-offs in major cement stocks dragged the market lower, wiping out N1.922 trillion from investors’ wealth.

At the close of trading, the All-Share Index (ASI) declined by 2,994.90 points, representing a 1.23 per cent drop, to settle at 239,734.61 points. Consequently, market capitalisation fell by N1.922 trillion to close at N153.859 trillion.

The downturn was largely driven by price depreciation in highly capitalised stocks, particularly Dangote Cement Plc, BUA Cement, Nestle Nigeria, Lafarge Africa and Skyway Aviation Handling Company (SAHCO), as investors reduced exposure to blue-chip equities.

Despite the bearish performance, market breadth remained positive with 41 gainers outperforming 30 losers, indicating sustained buying interest in selected counters.

Analysts at Cowry Assets Management Limited expressed optimism that the market could regain positive momentum in the next trading session as investors reposition their portfolios and take advantage of lower entry prices.

Among the gainers, Chemical and Allied Products (CAP) and FTN Cocoa Processors led with gains of 9.99 per cent each, closing at N212.50 and N8.04 per share, respectively. Berger Paints, Meyer and Zichis Agro Allied Industry appreciated by 9.97 per cent each to close at N98.75, N17.10 and N30.33 per share respectively, while DEAP Capital Management & Trust rose by 9.93 per cent to close at N6.09 per share.

On the losers’ chart, University Press recorded the largest decline of 10 per cent, closing at N4.50 per share. Red Star Express followed with a loss of 9.59 per cent to close at N25.45, while SAHCO fell by 8.63 per cent to close at N130.75 per share.

Similarly, CI Leasing shed 8.50 per cent to close at N7.00, while Consolidated Hallmark Holdings depreciated by 7.54 per cent to close at N6.01 per share.

Trading activity remained strong, with total volume traded increasing by 29.34 per cent to 1.830 billion units, valued at N72.168 billion, across 81,131 deals.

NEM Insurance emerged as the most actively traded stock with 360.565 million shares worth N7.937 billion. Fortis Global Insurance followed with 214.736 million shares valued at N229.827 million, while VFD Group traded 141.465 million shares worth N1.499 billion.

Access Holdings recorded 140.372 million shares valued at N3.384 billion, while FCMB Group traded 119.621 million shares worth N1.347 billion.