Dangote Cement and MTN Nigeria lost N1.878 trillion amid massive selloffs.
NewsOnline Nigeria reports that Dangote Cement Plc and MTN Nigeria Plc recorded a combined loss of about N1.878 trillion at the end of Monday’s trading session as the domestic bourse came under selling pressure.
This Nigeria news platform understands that the local bourse lost 3.15%, with the benchmark index settling at 102,393.23 points, down from the 105,722.78 it closed at on Friday.
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Market analysts attributed the development to investors taking profits after a significant bullish rally that has been witnessed in recent times.
Breakdown of the loss:
Checks by Nairametrics showed that both companies’ stocks dropped by a maximum of 10% each at the close of trading as investors stepped up profit-taking.
Further checks revealed that Dangote Cement Plc closed the trading day at N686.70 per share, with a market capitalization of N11.702 trillion on the Nigerian Stock Exchange (NGX).
This is in contrast to its position last Friday, where it closed at N763.00 per share and a market capitalization of N13.002 trillion, indicating a loss of N1.300 trillion or 10%.
Similarly, MTN Nigeria shares declined to N247.50 per share, with a market capitalization of N5.196 trillion after the day’s trading.
This is down from N275 per share and a market capitalization of N5.774 trillion recorded the previous trading day, resulting in a loss of N578 billion or 10% in market capitalization.
The equities market performance:
The equities market began that week on a bearish note following massive profit-takings by investors.
Accordingly, the local bourse experienced a 3.15% decline as the benchmark index settled at 102,393.23 points.
Sell-offs of industrial heavyweights, Dangote Cement (DANGCEM) (-10.00%), along with MTN Nigeria (MTNN) (-10.00%) and Zenith Bank (ZENITHBANK) (-0.28%), counterbalanced gains in Geregu Power Plc (GEREGU) (+5.44%), Transcorp Plc (TRANSCORP) (+4.55%), and Fidelity Bank Plc (FIDELITYBK) (+0.94%).
Consequently, the All-Share Index (ASI) year-to-date (YTD) return dropped to 36.94%, while the market capitalization shed ₦1.82 trillion to close at ₦56.03 trillion.
An analysis of the day’s market activities indicates that trade turnover settled lower compared to the previous session, with the value of transactions decreasing by 7.58%.
A total of 273.85 million shares valued at ₦7.44 billion were exchanged in 9,688 deals. Guaranty Trust Holding Company Plc (GTCO) (+0.00%) led the volume chart with 28.85 million units traded, while Geregu Power Plc (GEREGU) (+5.44%) led the value chart with deals worth ₦1.74 trillion.