Ruth Ibikunle
The Nigerian stock market on Monday continued its upward journey with a marginal growth of 0.02%. Year to date, the stock market has returned 41.27% with the All Share Index and Market Capitalisation at 72,404.91 points and N39.621 trillion respectively.
In a stock market review with the MD/CEO of APT Securities and Fund Limited, Mallam Garba Kurfi, the following were discussed:
Excerpts:
The stock market last week closed on a positive note with 1.18% growth. It grew marginally on Monday by 0.02%. What is the outlook for this week?
The Outlook of the market for the week is positive, possibly better than the previous week. The ASI is likely to close above 40% by end of the year.
Nigeria’s inflation rate has risen to 28.2%. How would this impact capital market participation?
The rising of inflation is not surprising to us in view of the continued devaluation of naira coupled with the scarcity of PMS. The impact to the capital market is to push most of the stock to higher prices than ever before just as we witnessing, many stocks are recording new high, especially Banking Stocks.
Infinity Trust Mortgage Bank grew by 59.32% last week. It has gained another 9.93% on Monday, closing at N3.10. What could be driving this growth?
The rising of infinity Trust Mortgage Bank has to do with its performance in the previous year ended 2022, they were able to pay dividend of 6k from zero Dividend coupled with Q3 performance with an increase in T/O, PBT & PAT. This is more than 50% increase over the previous years, inspite of being a penny stock. Most of the penny stocks have gained seriously as high as 800% or thereabout.
Mecure last week dropped in price by 7.69% to close the week at N12. It eventually closed flat on Monday. How attractive is this stock?
Mecure has gained more than 300% in less than three months due to lack of the availability of the stock. Now that it is available, it may correct its self. I will advise to watch the stock for now, it may further come down.
How attractive are the following: Access, Fidelity and UBA?
Access, UBA may still have room for improvement in their prices while Fidelity is to watch for now.
What are the stocks to watch?
The stocks to watch are Dangote Sugar, NASCON, MTN, DAARCOM, Universal Insurance, Veritas Kapital, Japaul Gold among others.