Profiting taking and the Brexit effect still dominated market activities yesterday and there is yet no much relief insight as the rate of selloff increased compared to last Friday trading session as the broader implication of the vote begins to dawn on investors and traders both on the domestic and global scene. At the close of Monday’s trading, the composite NSEASI shed 809.43 points to close at 29,840.23 from an opening figure of 30,649.66, representing 2.64 percent decline as a result of panic selloff by speculative investors and traders who are exiting for safety to protect their funds in the aftermath of the unexpected breakout of UK from EU. Worse still and as fallout of that decision, many financial institutions with head offices in the UK have reported started moving out of London, as the country’s currency hit a new low it last touched in 1985.
Despite the downward trend, our stock seasonality analysis shows that historically, July has been a strong month for equity market returns, meaning that this pullback is another opportunity to reposition when support level is insight for another bottoming out again. This is based on expectations of full-year scorecards for companies having March full-year and June half-year earnings season that are likely to kick-off this week for March year end and next week for Q2 earnings reports.
Market breadth for yesterday (Monday) was negative and bearish, as the number of decliners’ outweighed advancers in the ratio of 40:16 on a relatively strong volume of selling position of 99 per cent and buying position of 1 per cent. This was as a result of negative impact of Britain exit from the EU and profit booking from the two weeks rally. Market capitalisation closed lower at N10.25 trillion from an opening value of N10.53 trillion losing N278 billion which represents 2.64 percent decline. The bearish sentiment was reflected on the highly capitalised stocks that dominated the top 10 decliners. The NSEASI’s year-to-date return currently stands at 4.17 percent from 7.10 percent last week Friday.
During the day under review, the share price of Cadbury and Smart Products was adjusted for 65 kobo and 26 kobo dividend respectively. Please be guided accordingly.
Expected March Accounts Results
MARCH YEAR END
Company name | RELEASED DATE | DIVIDEND | Q3 Eps | 2015 Full year Eps |
7 up | 29th June 2005 | 2.75 | 3.48 | 11.12 |
Academy press | 30th June 2015 | – | -0.23 | -0.05 |
Avon crown cap | 11th July 2015 | – | -0.11 | -0.06 |
Chellams plc | 6th July 2015 | – | +0.28 | -4.37 |
Flour mills | 21st July 2015 | 2.10 | 7.05 | 3.47 |
Red star express | 28th July 2015 | 0.35 | 0.43 | 0.65 |
Honey well | 29th July 2015 | 0.05 | 0.19 | 0.14 |
Northern Nig flour mill | 1st august 2015 | – | 0.31 | – |
University press | 31st July 2015 | 20k | 0.31 | 0.32 |
Road Nigerian | August 2014 | – | – | – |
Triple GGG | 24 July 2015 | – | 0.01 | 0.08 |
INTERIM DIVIDNED
Company name | RELEASED DATE | DIVIDEND | Q2 Eps 2015 | Q1 2016 Eps |
African prud | 29th July 2015 | 0.17 | 0.37 | 0.10 |
Access bank | 20th Aug 2015 | 0.25 | 1.37 | 0.67 |
Axa mansard | 31st July 2015 | 0.03 | 0.07 | 0.06 |
Consolidate hallmark | 30th July 2015 | 0.02 | 0.06 | 0.02 |
Courtevill | 23th July 2015 | 0.04 | 0.06 | 0.004 |
Custodian & allied | 31st July 2015 | 0.06 | 0.12 | 0.07 |
GTBank | 20th Aug. 2015 | 0.25 | 1.88 | 0.90 |
Zenith bank | 13th Aug. 2015 | 0.25 | 1.70 | 0.84 |
Stanbic IBTC | 9th July 2015 | 0.90 | o.80 | – |
UBA | 3rd sep 2015 | 0.20 | 0.94 | 0.47 |
INTREIM DIVIDNED | Q3 | Q3 2015 | Q1 2016 | |
Cap | 22nd oct 2015 | 1.15 | 1.61 | 0.60 |
NB | 21st oct 2015 | 1.20 | 3.30 | 1.32 |
Seplet | 26th oct 2015 | 7.96 | 24.54 | 7.62 |
Nestle | 26th oct 2015 | 10.00 | 21.75 | 8.43 |
Total | 29th oct 2015 | 2.00 | 6.28 | 8.32 |
Early positioning before the earnings hit the market makes the difference but if your expectation is not met quickly exit to protect your capital.