Bears Plunder Stock Market In November
BY GODFREY OKPUGIE
Save for the second week of November when there was an unusual increase in the demand for stocks resulting in the unprecedented rise in the All-Share Index (ASI) by 10.3 per cent to close on Friday November 14, 2008, at 37,876.06, and market capitalisation also closed higher at N8.31 trillion that same week, all the other weeks in the month witnessed declining fortunes of the market.
In the first week, which ended on Friday, November 7, the ASI dropped by 5.43 per cent to close at 34,351.81 and market capitalisation went down to N7.53 trillion. In the third week, which ended on Friday, November 21, the ASI dropped by 8.5 per cent to close at 34,660.65, and market capitalisation closed lower at N7.65 trillion.
The same downward trend in the barometers of the market was also recorded in the fourth week which saw the ASI dropping with 4.72 per cent to close on Friday November 28, at 33,025.75 and market capitalisation went down to N7.31 trillion from an historic high of N12.6 trillion in the first week of March this year. The falling price of shares has put potential new investors in abeyance watching to see the extent of the free fall before coming forth to invest in the market.
The Guardian investigation last week in Lagos revealed that apart from the compelled selling of shares by investors who want to liquated the loans they obtained from banks to acquired the shares, there are many old time investors who obtained their stocks many years ago but who are now selling off the shares because of the fear of the unknown about the market. They said they were disturbed about the current persistent bearish trend in the market and have been compelled to go to their portmanteaus to bring out their shares to trade them off at whatever amount.
Mr. Daniel Ogbemudia, an elderly pensioner who resides at Isolo, Lagos, said: "I have gone to my cupboard to bring out all the shares I acquired many years ago and taken them to a stockbroker to trade them off. I am disturbed by the news I hear everyday concerning the market. Some people are saying the market is going to crash and that when that happens there will be nobody to buy shares again that is why I want to sell them now before it is too late."
Another investor, a lady said because she was confused as to what was happening in the market, she has decided to sell of her shares at whatever price even though she acquired the shares at higher prices.
During the month under review, banking was most active. This was followed by insurance.
The shares that traded regularly during the month include those of Spring Bank Plc, First Inland Bank Plc and Access Bank Plc, First City Monument Bank Plc, Oceanic Bank International, GTB Plc, and Diamond Bank Plc.
Insurance shares that traded in the month include those of Investment and Allied Assurance Plc, Universal Insurance Co Plc and International Energy Insurance Plc.
COMPANYIES THAT SUBMITTED REPORTS IN NOVEMBER
UNITED BANK FOR AFRICA PLC's audited result for the year ended September 30, 2008, showed gross earnings of N169.6 billion as against N109.5 billion in 2007. Profit after tax and exceptional items stood at N40.82 billion compared with N21.44 billion in 2007. The directors recommended a final dividend of 75 Kobo per share and bonus of one for 4. The date of closure of register of members is December 16, 2008; wile payment date is January 8, 2009.
The stock price had on June 2, 2008, been adjusted for interim dividend of 25 Kobo per share and bonus of one for 2, thus bringing the total dividend for the year to N1.00 per share.
AFPRINT NIGERIA PLC's audited result for the year ended June 30, 2008. Showed a turnover of N5.43 billion as against N6.23 billion in 2007. Profit after tax and exceptional items stood at N17.52 million compared with N12.85 million in 2007. The date of closure of register of members is January 19, 2009, while the 42nd Annual General Meeting is scheduled to hold at plot6, Block H, Cheseborough Way, Opposite Limca Factory, Isolo, Lagos, on Thursday January 22, 2009 by 10am.
INTERLINKED TECHNOLOGIES PLC'S audited result for the year ended June 2008, showed turnover ofN285.63 million as against N77.1 million in 2007. Loss after tax and exceptional items stood at N13.12 million compared with loss after tax of N2 million in 2007.
UNION VENTURES AND PETROLEUM PLC's audited result for the year ended December 31, 2007, showed turnover of N69.53 million as against N119.92 million in 2006. Loss after tax stood at N6.81 million compared with N1.61 million in 2006.
PLATINUM HABIB BANK PLC's audited result for the year ended June 30, 2008, showed gross earnings of N87.23 billion as against N36.2 billion in 2007. Profit after tax stood at N19.6 billion compared with N7.75 billion in 2007. The directors recommended a dividend of 45 Kobo per share. The date of closure of register of members was November 17, 2008, while payment is scheduled was November 26,2008.
ARBICO PLC's audited resulted for the year ended December 31, 2006, showed turnover of N1.45 billion as against N1.34 billion in 2005. Loss after tax stood at N19.5 million compared with profit after tax of N12.1 million in 2005. The date of closure of register of members was November 26, 2008. The Annual General Meeting is scheduled to hold at the Imo Concorde Hotel, Owerri - Port Harcourt Road, on Friday, December 5, 2008.
WEST AFRICAN GLASS INDUSTRY PLC's audited result for the year ended December 31, 2007 showed turnover of N1.42 billion as against N1.41 in 2006. Loss after tax stood at N360.14 million compared with N152.7 million in 2006. The date of closure of register of members was November 17, 2008.
INCAR (NIG) PLC's audited result for the year ended December 31, 2007, showed turnover of N127.6 million as against N109.02 million in 2006. Loss after tax stood at N2.01 million compared with profit after tax of N1.01 million in 2006.
NOVEMBER STOCK PERFORMANCE AT A GLANCE
WEEK ONE
TOP GAINERS
Nigerian Breweries N3.70
First Bank 2.11
Stanbic IBTC Bank Plc 0.93
Presco Plc 0.59
Union Dicon Salt Plc 0.45
University Press Plc 0.42
Custodian & Allied Ins. Plc 0.42
Skye Bank Plc 0.40
International Breweries 0.36
Associated Bus Co Plc 0.31
LOSERS
Chevron Oil Plc 33.63
Nestle Plc 11.27
Flour Mills of Nig Plc 8.41
Union Bank Plc 6.71
UACN Plc 5.98
7-Up Bottling Co Plc 5.96
Guinness Plc 4.72
PZ Cussons Plc 3.99
Glaxo SmithKline Cons. Plc 3.94
International Bank Plc 3.85
WEEK TWO
TOP GAINERS
Guinness Plc 22.50
Nigerian Breweries Plc 9.13
First Bank 6.11
Zenith Bank 5.85
Dangote Sugar Ref. Plc 4.05
GTB Plc 3.79
Dangote Flour Mills Plc 3.36
United Bank Plc 3.12
Costain WA Plc 3.00
Nig Aviation Handlg Plc 2.85
LOSERS
Chevron Oil Plc 44.41
Oando Plc 27.09
Nig. Enamelware Plc 13.67
Julius Berger 6.18
Benue Cement Co Plc 5.56
Nigerian Bottling Plc 3.22
BOC Gases 2.90
UACN Plc 1.77
Neimeth Pharm. Plc 1.00
Lafarge WAPCO Plc 0.90
WEEK THREE
TOP GAINERS
UACN Property 2.30
BOC Gases 1.64
Nigerian Bottling Plc 1.50
Intercontinental WAPIC 0.27
Dangote Flour Mills 0.20
Evans Medical Plc 0.17
Livestock Feeds 0.13
Costain WA Plc 0.10
Transnational Corp Nig Plc 0.07
Consolidated Hallmark Ins. 0.07
LOSERS
Chevron Oil Plc 26.03
Oando Plc 22.07
Nestle Nig. 10.70
Julius Berger Plc 10.56
Nigerian Breweries Plc 7.84
Benue Cement Plc 7.56
Ashaka Cement 5.85
Union Bank 5.65
Northern Nig. Flour 4.15
Flour Mills Nig. Plc 4.05
WEEK FOUR
TOP GAINERS
Costain WA Plc 1.68
Lafarge WAPCO Plc 0.86
First Inland Bank 0.83
Glaxo SmithKline Con. Plc 0.83
UBA Plc 0.76
Oceanic Bank 0.66
Stanbic IBTC BANK 0.55
May & Baker Plc 0.45
GTB Plc 0.37
Guinness Plc 0.07
LOSERS
Oando Plc 17.96
Total Plc 15.87
Flour Mills Nig Plc 4.20
Nig. Bottling Plc 3.88
PZ Cussons Plc 3.85
Benue Cement 3.70
Zenith Bank 3.27
Ashaka Cement 2.74
Afribank Plc 2.71
Northern Nig. Flour Mills 2.59
