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Afrinvest Stock Recommendation for the Week 270921

Afrinvest Stock Recommendation for the Week 270921

Monday, September 27, 2021 / 02:43 PM / by Afrinvest Research / Header Image Credit: Titan FX

Market Last Week (Our Observations) In line with our expectations, the local bourse extended its positive performance as investor sentiment improved. Accordingly, the All-Share Index rose 5bps w/w to 38,962.28 points while YTD loss improved to -3.2% and market capitalisation rose N9.6bn w/w to N20.3tn.

Performance was mixed across our sector coverage as 3 indices closed positive, 2 negative while the AFR-ICT index closed flat. Extending last week’s gain, the Insurance index advanced 1.7% w/w. Similarly, the Oil & Gas and Industrial Goods indices gained 1.4% and 0.2% w/w respectively. Conversely, the Banking and Consumer Goods indices lost 40bps and 4bps w/w respectively.

The top performers for the week were PHARMDEK (+32.1%), NAHCO (+15.1%), and CONOIL (+14.1%) while SCOA (-17.9%), PRESCO (-8.2%), and NEIMETH (-7.9%) led the laggards.

Market This Week (Our Expectations) The Afrinvest weekly sentiments indicator strengthened to 1.5x from 1.0x.

This week, we expect the momentum on the local bourse to remain elevated on improved investor sentiment.

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