Some capital market operators and financial analysts, over the weekend, ticked the shares of three top banks – Diamond Bank Plc, Access Bank Plc and Guaranty Trust Bank Plc – for investors’ consideration.
The three banks pooled a total of 871.524 million shares, worth N8.488billion, in 3,305 deals at the Nigerian Stock Exchange last week.
Their stocks also contributed 48.23 per cent and 49.25 per cent to the total equity turnover volume and value, respectively.
An investment analyst Mr. Ferdinand Makinwa, said in 2018, domestic investors contributed the bulk in terms of market activity, owing to the exit of foreign investors from the domestic market.
“Given the current pricing of the market, which we believe is attractive now, even more attractive in dollar terms, we expect foreign investors to take advantage of this, whilst domestic investors will react accordingly after the 2019 election. The banking stock has always been classified as investors delight, and will remain so,” Makinwa said.
A stockbroker, and market commentator, Mr. Dayo Aderemi, said, “Our optimistic expectations tilted towards the Banking sector, especially the Tier-1 players that have historically demonstrated resilience amidst tougher operating conditions. “The stock market will definitely bounce back. A wise investor should take advantage of penny stocks as the price is relatively low.”
Meanwhile, a total turnover of 1.807 billion shares, worth N17.232 billion, were traded, last week, in 18,332 deals, in contrast to a total of 1.270 billion shares, valued at N13.463 billion, that exchanged hands, the previous week in 16,476 transactions.
The Financial Services Industry led the activity chart with 1.625 billion shares, valued at N14.696 billion, traded in 11,778 deals; thus contributing 89.93per cent and 85.28 per cent to the total equity turnover volume and value, respectively.
The Conglomerates Industry followed with 83.560 million shares, worth N138.309 million in 951 deals. Consumer Goods Industry clinched third place with a turnover of 36.251 million shares, worth N1.002 billion, in 2,224 deals.
Also traded during the week were a total of 34,341 units of Exchange Traded Products, valued at N440,166.37, executed in seven deals, compared with a total of 55 units, valued at N5,610.00, exchanged last week in two deals.
The NSE’s All Share Index and Market Capitalisation of listed equities appreciated by 1.36per cent to close the week at 31,426.63 and N11.719 trillion, respectively.
