Meanwhile, in terms of the volume of shares sold, APEL Asset came top with 7.678 billion shares sold, representing 21.28 per cent of the total volume of shares sold in Q1. Cardinalstone Securities followed with volume of 3.317 billion shares, while PAC Securities handled volume of 2.360 billion shares.APT Securities and Funds pulled 1.781 billion, while Morgan Capital Securities transacted 1.471 billion shares. Meanwhile, investors in Nigerian equities rallied net capital gains of about N2.
Financial analysts noted that “the positive sentiment during the period was attributed to change in the holding structure of the market since foreign investors left the market on the grounds of COVID-19 and local investors dominated with increased buying interest due to the better-than-expected corporate earnings post-COVID and higher dividend payouts.”
A report from Cordros Securities Limited said: “we expect investors positioning for 2022 full year results ahead of upbeat corporate earnings and re-investment of dividends to drive bullish sentiments in Q1, 2023. “Nevertheless, in the latter part of the year, we believe that market sentiments will be shaped by a combination of the outcome of the 2023 elections; market-friendly policy or reforms; the direction of monetary policy and impact on fixed income yields; sector-specific events; and the weak macroeconomic environment.”
The investment firm added that, “we believe there is scope for slight expansion in valuation multiples in H1, 2023 as long as corporate earnings remain resilient. Thus, investors will likely continue to seek relative safety in value stocks as they remain concerned about the market’s volatility, political and economic uncertainties, and higher interest rates.”