Stocks rebound as ASI appreciates by 0.25%

Nigerian-Stock-ExchangeTHE equities market closed yesterday on a positive note, as Nigerian Stock Exchange NSE All Share Index ASI appreciated by 0.25 per cent to close at 31,047.99basis points, compared with the 1.28 per cent depreciation recorded previously.

Its Year-to-Date (YTD) returns currently stands at 10.41 per cent.

Market breadth however closed negative as Ecobank Transnational Incorporation led 20 gainers against 29 losers topped by CCNN at the end of yesterday’s session- an improved performance when compared with previous outlook.

Market turnover also closed negative as volume declined by 47.48 per cent against 52.71 per cent uptick recorded in the previous session. Fidelity, Guaranty and Mansard were the most active to boost market turnover. Guaranty and Wapco topped market value list.

Volume shockers included International Breweries which led the list of active stocks that recorded impressive volume spike at the end of yesterday’s session.

Meanwhile, the recent announcement by the Nigerian Stock Exchange to proceed with the delisting process on Nigerian Sewing Machine Manufacturing Plc, Stockvis Plc and Nigeria Wire and Cable Plc effective July 13, 2015, has revealed that they contributed only 0.01 to the total market capitalisation which suggested that they won’t have much effect on the market on delisting.

A review of trends on the three stocks revealed that they have been trading at a significantly low price for a very long time while they have also not complied with post listing requirements in terms of filing financial statements with the regulators.

Stockvis has been trading at 0.14kobo since April 23, 2013, Nigerian Sewing Machine Manufacturing Plc also has been trading at 0.15kobo since similar date while Nigerian Wire and Cable has been trading at 0.50 kobo since October 18, 2011.

Furthermore, a look at their latest financial released revealed that Stockvis and Nigerian Wire and Cable last result were declared in 2010 while Nigerian Sewing Manufacturing Plc has no financial.

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