FeaturedMarket Update

Negative Reaction to UBA Dividend, Price Adjustment of Zenith, Others, Dip Market Points by 180Bpts

 

Trading on the floor of The Nigerian Stock Exchange rounded up in the red, as the lead performance pointer-NSEASI gave up a whooping 180Bpts of its trading points, and closed at 38,686.85 from 39,396.57. Safe NSE-Consumer Goods Index that gained, all other observed market indices in this report closed below their respective opening points. Thus, Week to Date, the lead activities index is 164Bpts below opening, while the total lost points in the month of March is now 280Bpts. See the index movement table for details.

In reaction to the shocking low cash dividend announced by the management of United Bank for Africa (UBA), traders were seen selling off heavily to edge against similar results. The panic exit was huge on the share price of UBA that shed maximum 10.00% and led the top trade log, looking at the top aggression through today’s trade, one would expect more negative reactions tomorrow. Meanwhile, the share price of Zenith Bank was adjusted for the recently announced N2.70 dividend today, note that the payment date for same is 16th March, 2021. Meanwhile, the qualification date for the Nigerian Breweries 69k dividend is tomorrow 10th March while the adjustment date is 11th March. We maintained that, the market is currently going through correction phase, and the move will undoubtedly drag most listed equities to attracted points.

The total value loss by the Market Capitalization of the listed equities during today’s trading activities was N371.331 billion, same as 180pts below the opening value. Meanwhile, trading activities for the day produced 14 ADVANCERS and 26 LAGERS. NSEASI Year to Date loss is now 393Bpts while the Market Capitalization Year to Date loss stood at N815.609 billion same as 387Bpts below the year’s opening value.

Leading the advancers’ log is Champion Breweries with 9.78% gain, as it concluded trade at N2.02 from N1.84. Neimeth followed on the log with 9.71% gain, thus, it closed at N1.92 from N1.75. Cutix, Dangote Sugar and Nascon completed the top 5 price percentage gainers’ log with 8.84%, 7.99% and 7.69% respectively.

On the flip side, Eterna Oil and UBA led with 10.00% loss to close at N5.13 and N7.20 from N5.70 and N8.00 respectively. Caverton, NNFM and Vanleer completed the top 5 price percentage losers’ log with 9.55%, 9.52% and 9.46% respectively.

Over the Counter (OTC) Market Index and Capitalisation closed in the positive by adding 0.02% each, thus, each rounded up at 710.57 and N509.85 billion respectively. Today’s performance produced one (1) advancer and zero (0) decliners. Kindly view today’s price list Here.

As at the time this report was gathered, Brent Crude sells at 67.46$/bbl, this is 114Bpts below the previous close price. Please note that the CBN spot reference price as at close of business on 26th February is 66.30$/bbl.

The I&E FX Window opened at N410.91 traded as high as N415.00 before rounding up at N412.00, having transacted a total of $110.01 million through the day. Please note that, margin between the close and open value is 3pts up. We are of the opinion that the FX-Market will trade within same range tomorrow. See below table for Lagos BDC Fx-Rates.

In the money market, the Overnight (O/N) rate closed at 11.50%, same as 0.25% below the previous closing position. Meanwhile, Open Buy-Back (OBB) rate as at ended at 10.25% that is 1.25% below the previous close. Safe Trade.

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FeaturedMarket Update

Negative Reaction to UBA Dividend, Price Adjustment of Zenith, Others, Dip Market Points by 180Bpts

 

Trading on the floor of The Nigerian Stock Exchange rounded up in the red, as the lead performance pointer-NSEASI gave up a whooping 180Bpts of its trading points, and closed at 38,686.85 from 39,396.57. Safe NSE-Consumer Goods Index that gained, all other observed market indices in this report closed below their respective opening points. Thus, Week to Date, the lead activities index is 164Bpts below opening, while the total lost points in the month of March is now 280Bpts. See the index movement table for details.

In reaction to the shocking low cash dividend announced by the management of United Bank for Africa (UBA), traders were seen selling off heavily to edge against similar results. The panic exit was huge on the share price of UBA that shed maximum 10.00% and led the top trade log, looking at the top aggression through today’s trade, one would expect more negative reactions tomorrow. Meanwhile, the share price of Zenith Bank was adjusted for the recently announced N2.70 dividend today, note that the payment date for same is 16th March, 2021. Meanwhile, the qualification date for the Nigerian Breweries 69k dividend is tomorrow 10th March while the adjustment date is 11th March. We maintained that, the market is currently going through correction phase, and the move will undoubtedly drag most listed equities to attracted points.

The total value loss by the Market Capitalization of the listed equities during today’s trading activities was N371.331 billion, same as 180pts below the opening value. Meanwhile, trading activities for the day produced 14 ADVANCERS and 26 LAGERS. NSEASI Year to Date loss is now 393Bpts while the Market Capitalization Year to Date loss stood at N815.609 billion same as 387Bpts below the year’s opening value.

Leading the advancers’ log is Champion Breweries with 9.78% gain, as it concluded trade at N2.02 from N1.84. Neimeth followed on the log with 9.71% gain, thus, it closed at N1.92 from N1.75. Cutix, Dangote Sugar and Nascon completed the top 5 price percentage gainers’ log with 8.84%, 7.99% and 7.69% respectively.

On the flip side, Eterna Oil and UBA led with 10.00% loss to close at N5.13 and N7.20 from N5.70 and N8.00 respectively. Caverton, NNFM and Vanleer completed the top 5 price percentage losers’ log with 9.55%, 9.52% and 9.46% respectively.

Over the Counter (OTC) Market Index and Capitalisation closed in the positive by adding 0.02% each, thus, each rounded up at 710.57 and N509.85 billion respectively. Today’s performance produced one (1) advancer and zero (0) decliners. Kindly view today’s price list Here.

As at the time this report was gathered, Brent Crude sells at 67.46$/bbl, this is 114Bpts below the previous close price. Please note that the CBN spot reference price as at close of business on 26th February is 66.30$/bbl.

The I&E FX Window opened at N410.91 traded as high as N415.00 before rounding up at N412.00, having transacted a total of $110.01 million through the day. Please note that, margin between the close and open value is 3pts up. We are of the opinion that the FX-Market will trade within same range tomorrow. See below table for Lagos BDC Fx-Rates.

In the money market, the Overnight (O/N) rate closed at 11.50%, same as 0.25% below the previous closing position. Meanwhile, Open Buy-Back (OBB) rate as at ended at 10.25% that is 1.25% below the previous close. Safe Trade.

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