Cement Company of Northern Nigeria (CCNN) has dominated other companies to emerge as best performing stock in percentage terms on the Nigerian Stock Exchange (NSE) for the half year ended June 30, 2018, according to data from the exchange.
The data showed that CCNN’s stock during the period increased by 152.63 per cent to close at N24 against the year’s opening price of N9.50 per share. Mr Ambrose Omordion, the Chief Operating Officer, InvestData Ltd., linked the stock’s dominance to impressive corporate earnings and proposed merger plan with Kalambaina Cement, a subsidiary of BUA Cement.
Omordion said that the expected synergy impacted positively on CCNN shares on the exchange during the period under review. He noted that the share price would experience further growth when the merger was consummated. Omordion added that the merger would result to enhanced production capacity and would as well boost earnings power.
The data showed that NEM Insurance trailed with a growth of 92.77 per cent to close at N3.20 compared with N1.66 it opened for the year on positive market sentiments and improved numbers. It stated that Unity Bank Plc rose by 83.02 per cent to close at 97k in contrast with 53k it opened for the year and Ikeja Hotel inched 75.84 per cent to close at N3.13 against N1.78 opening year figure. Learn Africa grew by 71.59 per cent to close at N1.51 compared with 88k in January, while Caverton rose by 68.99 per cent to close at N2.18 against N1.29. On the other hand, insurance companies dominated the worst performing stocks during the period under review.
Unic Insurance, FTN Cocoa, Multiverse, Africa Alliance and Courtville were the worst performing stocks for the period under review in percentage terms, having dropped by 60 per cent each. Equity Assurance, Regency Alliance, Niger Insurance and Hallmark Insurance trailed dropping by 58 per cent, 50 per cent, 48 per cent and 42 per cent.
Omordion said insurance stocks dominated the worst performers, in spite of the fact that the sector was trying to pick up from its season of poor corporate governance. He said “equity market is information-driven; any company that fails to provide information about its operations, plans and forecast will be penalised by the investing public.” The NSE All-Share Index for the half year posted a marginal gain of 35.36 points to close at 38,278.55 from the opening figure of 38,243.19, an increase of 0.09 per cent. (NAN)
