Investors net worth on the Nigerian Stock Exchange (NSE) appreciated by 1.83 per cent for the month of February against a decrease of 14.70 per cent growth achieved in January.
The available statistics for the period under review showed that the All-Share Index increased by 541.74 points.
It closed in February at 30,103.81 points against 29,562.07 points posted in January.
The market capitalisation rose by N198 billion to close at N10.045 trillion compared to a loss of N1.63 trillion recorded in January with closing figures of N9.847 trillion.
Traded shares dipped by 3.25 per cent from 7.74 billion shares worth N92.24 billion traded in 84,640 deals.
This is against eight billion shares valued N94.87 billion transacted in 85,032 deals in January.
The Financial Services Sector remained the toast of investors during the period, accounting for 5.94 billion shares worth N46.29 billion traded in 50,330 deals.
The Consumer Goods Industry trailed with an exchange of 603.11 million shares valued N28.82 billion achieved in 14,801 deals.
The Conglomerates Sector came third with 541.92 million shares worth N4.76 billion transacted in 5,561 deals.
Some stakeholders attributed the growth recorded in the market during the period to 2014 audited results released by some companies led by Nestle Nigeria Plc.
They said in Lagos that corporate actions announced by some quoted companies during the review period led to redirection of funds into the equities market.
Garba Kurfi, the Managing Director, APT Securities and Funds Ltd., said the market recovered some losses recorded in January due to audited results released during the period.
Kurfi said the market’s positive reversal was due to investors’ anticipation of improved audited results and dividends by most quoted companies for the financial year ended Dec. 31, 2014.
“We are hopeful that the market will do better March in spite of political uncertainties if companies audited results are impressive,’’ Kurfi said.
He said that most stocks would recover losses recorded in January with improved corporate actions and earnings.
Kurfi said that politicians should be mindful of their statements to avoid the creation of more tension and fear among the investing public.
He urged the Federal Government to show more commitment toward free and fair elections in the interest of the economy.
Kurfi, however, expressed optimism that the market would recover in March with expectations of impressive results for 2014 financial year.
He said that improved results would encourage more investors’ participation in the month of March.
Ambrose Omordion, a market analyst with InvestData Ltd., attributed the growth to emerging market fund managers attraction to cheap asset created by uncertainties surrounding the 2015 general elections.
Omordion said that renewed interest of local and foreign investors in the market was due to attractive value in listed assets and release of earnings by Nigerian Breweries, Forte oil and Nestle Plc.
He said that dividends declaration by the companies in spite of the challenging operating environment and uncertainties in the country led also to bargin hunting during the period.
(NAN)
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