It was a bearish session on the floor of the Nigerian Exchange on Tuesday as The All Share Index dropped by 1.82% to close at 43,461.60 points from the previous close of 44,269.43 points.
The Market Capitalisation declined by 1.82% to close at N23.672 trillion from the previous close of N24.112 trillion, thereby shedding N440 billion.
The Managing Director of Gruene Capital Limited, Mr Bright Otoghile with Ruth Ibikunle in a stock market review discussed the following:
The market was down on Tuesday by 1.82%. What could be responsible for this?
The drop in prices of Dangote Cement & Guinness is largely responsible for negative ASI on Tuesday.
Year to date, the market has return 1.74%. Dropping from 6.07% it recorded at the close of trade last year December 31, 2021. Is the market likely to close positive this year?
The market could close positive, around 3% YTD.
What is driving the prices of Unity Bank, Fidson and Geregu, Champions Breweries and Africa Prudential?
Temporary market sentiments, notwithstanding their recent quarterly results.
Guinness dropped to N74.65 from N82.9. Should we expect further decline? What is the best entry price for Guinness?
Guinness would still slowly drop further until the release of its q2 result.
Dangote Cement significantly dropped to N220 from N240. Is there news in the market arena responsible for this?
Dangote Cement suffered some earnings decline due to rising operational cost despite increased revenue; also, they need to quickly resolve the issue with Kogi Government despite FG intervention.
Is NEM insurance a good BUY at N3.70?
NEM is good, given its recent good performance. Current negative market sentiment generally could still provide better entry price…
What are the stocks to watch?
Watch all stocks with good Q3 results but pricing close to/below their 52weeks low. Hold till after 2023 general election, for long-term investors.