Daily Equities Market update

Transcription

1 Daily Equities Market update Has the party ended? NASDOTC resumes flat December 27, 2018

2 Headlines Continental Reinsurance announces the retirement of Mrs. Abimbola Falana as company s secretary while Ms. Patricia Ifewulu takes over the role of Ag. Company secretary Diamond bank appoints Mr. Dele Babade as acting Chairman of the board of directors NOTORE releases Q results, revenue declined by % while loss dips further -5.56% to -N2.013billion Market Summary Equities market reversed trend slightly from the leap in performance recorded on Monday +3.88% to end the session in the red at -0.86%. The market slipped as investors took profit in a number of bellwether counters topped by DANGCEM, DANGSUGAR, UACN, FBHN, NEM and VERITASKAP while positive sentiment was sustained in 14 stock, on the spotlight were DIAMONDBNK, FO, UNITYBNK, HONYFLOUR and FCMB. On the contrary, buying interest was renewed in UCAP which saw its shares close uptrend from previous negative. Money Market Rates Rate(%) %Δ Overnight rate Open Buy Daily Commodity Price Watch Previous Current Daily (%) Brent($/PB) Gold Silver Platinum Copper NASD OTC Indicators PARAMETER Previous Current Daily (%) USI Capitalization ( 'Bn) Volume Traded Value Traded ( '000) Deals Executed As the all share index climbed 31 thousand psychological line on Monday after its pared on 28 th of November, 2018, its shed points today to finish at 31, Similarly, market capitalization lost N100.22bn to close at N11.58trillion compared to the significant jump in the gains printed on Monday; N billion. Of note was the decline in the total traded volume and value of stocks which declined % and % to million and N2.61billion while the total deals executed surged 26.21% to 3,520 from 2,789.

3 Although the Relative Strength Index(RSI) slide slightly by 5.52 points to but still near March, 2018 highs while the Year to Date(YtD) return which turned northward on Monday, closed 72 basis points lower at %. Review of Sectoral Performance Two sectors; industrial goods and insurance indexes were deserted by investors due to profit taking position on its counters as its declined -2.11% and -0.69% to close at and respectively. Consequently, DANGCEM -3.25%, NEM %, NIGERINS -8.33%, VERITASKAP -4.17% and WAPIC -2.38%, ended in the negative territory. On the positive sectors, oil and gas sector climbed 1.27% to upon gains in CONOIL 10.0%, FO 9.92%, ETERNA 8.7% and OANDO 3.12%. Banking and consumer goods sector followed at 0.23% and 0.04% as a result of appreciation in its counters topped by NPFMCRFBK 10%, DIAMONDBNK 9.7%, FCMB 8.62% and FIDELITYBK 4.62% in banking sector while consumer goods category was driven by NASCON 1.41%, HONYFLOUR 0.76% and NB 0.49%. Movement of NSEASI(Year-to-Date) Source: MorganCapital Research

4 NSE Market Indices Return Open(points) Close(points) Daily(%) WtD(%) MtD(%) YTD(%) NSE All Share Index NSE Banking Sector Index NSE Industrial Goods Index NSE Consumer Goods Index NSE Oil & Gas Index NSE Insurance Index Source: NSE, MorganCapital Research Investors Sentiment: The Market breadth closed positive at 2.0x The Bear grasped 17 counters today compared to 7 which closed in the red on Monday while 34 counters ended uptrend from 37. This however signaled improved investors sentiment although less than the previous close. Source: MorganCapital I trade

5 MorganCapital Securities Limited ("MorganCapital"), formerly known as International Capital Securities Limited, was incorporated on 28th January, 1997; and was issued a license as a Dealing Member of the NSE on 3rd October, 1997, after obtaining license of the Securities & Exchange Commission (SEC) as a Broker/Dealer. The Company has remained a dealing member firm of the NSE since then (over 17years ago). In 2009, MorganCapital got licensed by the SEC to perform an additional role as an Issuing House/Financial Adviser. MorganCapital was recently accredited by the Nigerian Stock Exchange as a Designated Adviser to the Alternative Securities Market (ASeM) Board, after a very rigorous and competitive process. MorganCapital is a full fledge Investment Banking, Securities Trading and Principal Investments Firm, with licenses from the Nigerian Securities & Exchange Commission and the Nigerian Stock Exchange. MorganCapital provides a comprehensive range of investment banking and financial advisory services to private, public sector, corporate, and institutional clients. Our firm has very strong contacts with many African-focused & emerging markets investors/fund managers. MorganCapital has advised on a number of transactions in the Nigerian Capital Markets, including provision of Financial Advisory Service to the Federal Government of Nigeria, through the Bureau of Public Enterprises ("BPE") for the concessioning of the National Arts Theater, the Tafawa Balewa Square, the Lagos Trade fair complex and the 6 National Stadia. MorganCapital also advised the BPE on the proposed sale of the Ijora Power Plant, the Calabar Power Plant and the Oji River coal-fired power plant. Our group is focused on providing unbiased financial advisory and investment banking services to individuals and institutions that are seeking to invest in Africa or already involved in investing in Africa. One of our goals is to be the BEST link to the Nigerian Capital Market. CONTACT US Research Omosuyi Temitope temitopeo@morgancapitalgroup.com Investment Banking Adewale Adetiba adewalea@morgancapitalgroup.com Securities Dealing Ogochukwu Njoku ogochukwun@morgancapitalgroup.com Michael Joel michaelj@morgancapitalgroup.com For further information, please contact: MorganCapital Securities Limited The Pent House 3 Biaduo Street, Off Keffi Street S/West Ikoyi Lagos, Nigeria Tel: 234-(1) , 234-(1) info@morgancapitalgroup.com This report by MorganCapital Securities Ltd is for information purposes only. The company and its employees do not warrant the accuracy or completeness of the information provided as such information was gathered from primary and secondary reliable sources. Opinions and estimates offered constitute our judgment and are subject to change without notice, as are statements of market trends, which are based on current market sentiment. This material is not intended as an offer or solicitation for the purchase or sale of any financial instrument. The views and strategies described may not be suitable for a ll investors. This material has been prepared for informational purposes only, and is not intended to provide, and should not be relied on for, accounting, legal or tax advice. References to future returns are not promises or even estimates of actual returns a client portfolio may achieve. Any forecasts contained herein are for illustrative purposes only and are not to be relied upon as advice or interpreted as a recommendation. The price of equity securities may rise or fall because of changes in the broad market or changes in a company's financial condition, sometimes rapidly or unpredictably. We, therefore, do not take responsibility for any loss arising from the use of the information.