Nigerian Exchange Market Reports Slight Decline as MTN Loss Overshadows Oil and Gas Gains
The Nigerian Exchange (NGX) experienced a slight decline on July 4, as the All-Share Index closed at 100,063.32 points, down from the opening value of 100,299.48 points.
The day’s trading was marked by significant movements in oil and gas stocks, notably Oando Plc and Conoil Plc, which emerged as the top gainers.
Oil and Gas Stocks Lead Gainers
Oando Plc saw a notable rise of 9.93 per cent, reaching a share price of N15.50. This price marks Oando’s highest since June 2015, when it last traded at N15.75. Similarly, Conoil Plc recorded a 9.52 per cent gain, closing at N115 per share. Combined, these equity gains amounted to N24.34 billion.
Oando Plc performance is particularly significant, considering its historical context. The stock experienced a dramatic decline starting in June 2015, plummeting to an all-time low of N2.08 on March 30, 2020.
The resurgence began in 2024, bolstered by the company’s annual financial statements for 2022 and 2023. Year-to-date, Oando has achieved a 47.62 per cent increase on the NGX.
MTN’s Decline Overshadows Gains
Despite the positive performance of oil and gas stocks, MTN’s substantial decline had a more profound impact on the overall market. MTN suffered a 6.54 per cent drop, resulting in an equity loss of N294 billion.
This decline overshadowed the gains made by Oando and Conoil, contributing to an overall decrease in the NGX’s market capitalization by N136.17 billion, bringing it down to N56.601 trillion from N56.738 trillion the previous day.
Contrasting Performance on Johannesburg Stock Exchange
In stark contrast, Oando Plc’s shares on the Johannesburg Stock Exchange (JSE) took a severe hit, losing 55 per cent of their value. The share price fell to 9 South African cents from 20 South African cents the previous day.
Increase in Market Activity
The trading day also saw a significant increase in market activity, with a 152 per cent rise in turnover volume to 863.573 million shares, compared to 342.196 million shares the previous day. Turnover value surged by 164 per cent, reaching N12.562 billion from N4.751 billion.
Top Gainers
1. Oando Plc: 9.93 per cent gain, closing at N15.50 per share.
2. Conoil Plc: 9.52 per cent gain, closing at N115 per share.
The Nigerian Exchange continues to reflect the dynamic nature of the market, with substantial gains and losses influencing the overall economic landscape.
