With sustained selloffs in index heavyweights, the Nigerian bourse broke its three straight weeks of gains, losing in all five trading sessions of the week.

The All-Share Index (ASI) fell -2.03% to close Friday at 97.432.02 points from 99,448.91 points the previous week. As of November 01, 2024, the market capitalisation was at N59.04trn, while the year-to-date (YTD) return closed at 30.30% YTD.

The Sectoral Index showed mixed performance last week, with the NGX Oil and Gas Index surging by 1.15% and the   NGX Banking Index advancing by 0.19%. The NGX Industrial Goods Index tumbled by 3.70%, the NGX Insurance Index nosedived by 0.40%, and the NGX Consumer Goods Index fell by 0.22%. As a result, market sentiment weakened to 2.7x from 3.3x, as recorded last week.

According to its recent results, Oando reported a 41.73% increase in revenue for the full year 2023. Despite this growth, many brokerage firms have issued a "Sell" recommendation, raising concerns among investors. However, analysts are optimistic about a potential rise in Oando’s share price since an earlier suspension has been lifted.

Considering the recent shareholder meeting held by FBN Holdings Plc, which approved a significant capital raise through a Rights Issue of N150bn, many brokerage firms are now advising a "Buy/Accumulate" strategy for the group's shares. The revised position signals confidence in the group's future growth prospects. Brokers see it as an opportunity for investors to capitalize on hidden value opportunities as the company leverages the newly raised funds for expansion and improved operational efficiency (see Table 1 below).

Table 1: 

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