The Nigerian Exchange Limited (NGX) closed in the green on Wednesday after posting a N10 billion gain on Tuesday despite the increase in interest rates to 18% and the uncertainty surrounding the cash crunch.

On Wednesday, stock investors traded 134,150,558 stocks worth N1.330 billion in 2,479 transactions during the trading hours of Wednesday. Transcorp emerged as the most traded stock with 28,122,091 shares valued at N35,922,896.78. This was followed by UBA’s 21,231,993 shares worth N170,415,095.30.

Breaking down each sector’s performance, the bank sector shed 1 basis point with Wema Bank and Zenith bank closing in the red.

Consumer goods lost 12 basis points as Honey Flour and Vitaform post -2.22% and -1.06% decline. As expected, the oil and gas sector closed flat same as the industrial sector.

The exchange year-to-date return extended to 7.19% despite 14 stocks closing in the red against 9 stocks that posted gains.

The market value of listed equities rose to N29.927 trillion, representing an N18 billion gain from the N29.909 trillion it closed on Tuesday.

NGX All-Share Index grew by 0.06% from 54,906.65 index points on Tuesday to 54,936.11 index points on Wednesday. See other details below.

Top Five Gainers 

Top Five Losers

Top Five Trades

After a period of bearish trends, the Nigerian Exchange Limited (NGX) rebounded on Tuesday to post a N10 billion gain.

The market capitalisation of all the listed equities grew by 0.03% to close the day at N29.909 trillion while the NGX All-Share Index expanded by the same 0.03% to 54,906.65.

Market sentiments were even as both gainers and losers had 12 equities each on their charts at the close of the day’s trading. However, Linkage Assurance, Wapic, and Champion led the gainers’ table, gaining 9.76 per cent, 7.89 per cent, and 4.26 per cent, respectively.

On the other hand, Ikeja Hotel, Cadbury, and UPL topped the losers’ table with 9.65 per cent, 5.83 per cent, and 4.76 per cent loss, respectively, in their share values.

In terms of the most traded stocks, Zenith Bank led with 11,964,640 shares worth N298.835m exchanged in 255 deals, followed by GTCO with 10,472,370 million shares worth N258.239m traded in 252 deals. MTN Nigeria was the third most traded stock with 421,619 of its shares valued at N98.138m.

The rebound of the Nigerian Exchange Limited signifies a positive outlook for investors. As Nigeria’s economy continues to recover from the pandemic’s effects, the stock market is poised to bounce back, providing lucrative investment opportunities for local and foreign investors alike.

It is important to note that investing in the stock market comes with risks and rewards, and it is advisable to seek professional advice before making investment decisions.

The latest disclosures from the Nigerian Exchange Group have shown that a total of N69,378,297.12 was divested from the listed company by investors in March 2023.

Investors sold a combined 2,666,451 shares after the audited financial statement of the group showed profit plunged from N2.248 billion reported in the 2021 financial year to N698.482 million in the financial year ended December 31, 2022.

A breakdown of the disclosures signed by Obehi Ikhaghe, Ag. Company Secretary done by Investors King showed that the MIRI Strategic Emerging Markets Fund LP, Substantial Shareholder, sold 1,480,000 units of shares at N26.09 per share on 03 March 2023.

Pivot Capital Limited, a company related to a Statutory Audit Committee Member, Mr. Samuel Adejumo, relinquished 71,923 units at N26.40 a unit on 07 March 2023.

Somafam Global Concepts, also related to Mr. Samuel Adejumo, a Statutory Audit Committee Member, disposed of 20,000 units of shares at N26.45 per share on 07 March 2023.

Between March 06 and 07, 2023, MIRI Strategic Emerging Markets Fund LP sold another 1,094,528 units of shares at N25.89 a share.

The Nigerian Exchange Limited reported N7.499 billion in revenue and other income in 2022 while profit before minimum tax and income tax expense declined to N823.089 million from N2.401 billion filed in 2021 financial year.

Therefore, after paying N124.607 million in income tax expense for the 2022 financial year, the company announced N692.482 million in profit after tax.

While the decline has been consistent since the company was listed, aggressive selling by Mr. Samuel Adejumo, a Statutory Audit Committee Member of the company with presumable knowledge of the company’s financial position underscores the deteriorating state of the company.