Business
INTERNATIONAL Breweries, Guinness, and Chams Plc emerged the worst-performing stocks on the Nigerian Stock Exchange (NSE) for the half year ended June 30.
Data obtained by the News Agency of Nigeria, (NAN) from the Exchange indicated that International Breweries (IB) dominated the laggards’ chart, dropping by 56.84 per cent to close at N4.10 per share against N9.50 it opened for the year.
Guinness trailed with a loss of 51.75 per cent to close at N14.50 compared with year’s opening price of N30.05.
Chams dropped 43.24 per cent to close at 21k in contrast with 37k it opened in January.
Other losers are Nigerian Breweries 37.70 per cent, Oando 36.64 per cent, Sterling Bank 35.57 per cent, Ardova 34.81 per cent, Access Bank 34.17 per cent, Cadbury 34.15 per cent and Transcorp 33.67 per cent.
Mr Ambrose Omordion, Chief Operating Officer, InvestData Ltd., attributed IB loss to weak earnings and selling due to the ability of the company to pay dividend for three consecutive years.
Omordion said that Guinness depreciation of 51.75 per cent was as a result of dwindling earnings and poor payout.
Conversely, Neimeth Pharmaceuticals led the gainers’ chart in percentage terms, gaining 189.47 per cent to close at N1.65 per share against 57k it opened for the year.
Other top gainers are Law Union 106 per cent, May & Baker 48.70 per cent, CornerStone 44.74 per cent, Okomu Oil 40.73 per cent and Vitafoam 39.75 per cent.
Others are Mobil 30.22 per cent, AIICO Insurance 27.78 per cent, Beta glass 27.04 per cent and ABC Transport 24.44 per cent.
Omordion attribute Neimeth price growth to positive sentiment and the Federal Government intervention in the healthcare sector to contain the spread of coronavirus.
According to him, the price movement follows expectation that the move will boost the industry earnings power and profit.
He stated that the ongoing insurance sector recapitalisation exercise contributed to Law Union price appreciation.
Omordion said that investors anticipated that the move would lead to improved performance in the years ahead.
Meanwhile, the All-Share Index during the period lost 2,352.91 points or 8.8 per cent to close at 24,478.16 compared with opening figure of 26,842.07.
Similarly, the market capitalisation which opened the year at N12.958 trillion shed N189 billion to close lower at N12.769 trillion.
Omordion attributed the drop in market indices to sell pressure, market sentiments, effect of coronavirus pandemic and instability in crude oil price.
NAN reports that a total of 41.16 billion shares were transacted by investors during the period again 29.38 billion traded in the first half of 2019. (NAN)
– Jul. 1, 2020 @ 15:59 GMT |
Tags: 2020: International Breweries Chams top worst performing stocks Guinness
