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Aiico, Flour Mills, Nestle emerges as top losers amid ₦63bn market drop

Aiico Insurance Plc, Flour Mills Nigeria Plc, Nestle Nigeria Plc, Continental Reinsurance Plc and Linkage Assurance Plc emerged the top five losers at the close of trading on the floor of the Nigerian Stock Exchange on Tuesday, as equities depreciated by ₦63 billion.

The Nigerian equities market extended losses as the All-Share Index slid by 0.7 per cent to close at 35,397.52 basis points from 35,664.94 basis points, further trimming year-to-date gain to 31.7 per cent.

A total of 373.498 million shares worth ₦5.766bn exchanged hands in 4,193 deals as the NSE market capitalisation dropped to ₦12.2tn from ₦12.263tn.

The share price of Aiico closed at ₦0.55 from ₦0.59, shedding 6.78 per cent (₦0.04), while Flourmill shares depreciated by five per cent (₦1.45) to close at ₦27.55 from ₦29.

Similarly, Nestle shares plunged by 4.94 per cent (₦59.80) to close at ₦1,150 from ₦1,210, while Continental Reinsurance recorded a 4.83 per cent (₦0.07)drop in its share price to close at ₦1.38 from ₦1.45.

In the same vein, Linkage Assurance share price depreciated by 4.69 per cent (₦0.03) to close at ₦0.61 from ₦0.64.

Commenting on the market’s performance, analysts at Afrinvest Securities said, “Tuesday’s performance was dragged by declines in large cap stocks such as Nestle, Nigerian Breweries Plc, Dangote Cement Plc and Lafarge Africa Plc, which depreciated by 4.9 per cent, 2.4 per cent, 0.5 per cent and 3.8 per cent, accordingly.

“Consequently, investors lost ₦92.2bn as market capitalisation fell to ₦12.2tn. However, activity level surged as volume and value traded rose by 225.4 per cent and 165.4 per cent to 373.5 million units and ₦5.8bn, respectively.”

Performance across sectors was broadly bearish as all indices declined save for the oil/gas index which added 2.1 per cent owing to bargain hunting in Seplat Petroleum Development Company Plc, which gained by five per cent.

On the other hand, losses in Nestle and Nigerian Breweries dragged the consumer goods index by 2.2 per cent lower, while the industrial goods index dipped by 1.9 per cent on account of declines in Dangote Cement and Lafarge.

Likewise, the insurance and banking indices depreciated by 1.5 per cent and 0.6 per cent due to negative sentiment towards Continental Reinsurance and Guaranty Trust Bank Plc, which plunged by 0.7 per cent.

Investor sentiment as measured by the market breadth weakened as 17 stocks advanced against 28, which declined.

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