The Nigerian equity market exhibited noteworthy performance over the past week, with market capitalisation experiencing a gain of N77 billion, inching closer to the projected N60 trillion milestone. Currently, the total market capitalisation stands at N59.29 trillion, reflecting a robust environment for investment. This budding optimism is evident in the All-Share Index, which saw an appreciation of 0.11 percent to close at 97,829.02 points. Such an increase demonstrates positive investor sentiment as trading activity surged across various sectors, culminating in impressive turnover figures.
A total turnover of 1.95 billion shares, valued at N35.86 billion, was recorded across 48,553 transactions, representing an increase in trading activity compared to the previous week’s 1.48 billion shares valued at N38.88 billion across 44,795 deals. The Financial Services Industry emerged as the dominant sector in terms of trading volume, accounting for 1.041 billion shares worth N16.207 billion across 21,099 transactions. This substantial activity constituted 53.34 percent of total equity turnover by volume and 45.19 percent by value. The Oil and Gas and Services Industries followed suit, emphasizing a diverse participation in the market.
Drilling deeper into trading specifics, stocks such as Japaul Gold and Ventures Plc, FBN Holdings Plc, and Access Holdings Plc emerged as significant contributors to the week’s activity. Together, these stocks collectively accounted for a staggering 461.5 million shares valued at N6.183 billion, highlighting their pivotal role in determining overall market trends. The presence of these key players reflects a vibrant trading environment, allowing for substantial capital flow and investment opportunities.
Equities performance was notably stronger than the previous week, with 52 stocks registering gains, a marked increase from 39 the week before. Leading these gainers were Eunisell Interlinked Plc, Tantalizers Plc, and John Holt Plc, with remarkable increases of 60.72 percent, 57.33 percent, and 42.49 percent, respectively. Conversely, the week’s performance also saw 33 equities decline in value—a decrease from 46 recorded losses in the prior week. The most significant losers were Mecure Industries Plc, Multiverse Mining and Exploration Plc, and FBN Holdings Plc, demonstrating a mixed performance landscape across various sectors.
Sector performance was predominantly bullish, with four out of five indices closing higher, while one remained unchanged. The Insurance and Consumer Goods sectors experienced notable gains, increasing by 4.5 percent and 1.9 percent week-on-week, respectively, propelled by heightened buy interest in specific stocks like Sunu Assurance and Unilever. In contrast, sell-offs in benchmarks such as Access Holdings led to a downturn in the Banking index, which fell by 2.6 percent as a result of profit-taking activities. This upward-and-downward trend reflects investors’ dynamic responses to market developments and individual stock performances.
Looking ahead, analysts at Afrinvest project a potential reversal in the stock market’s positive momentum. They attribute this anticipated shift to profit-taking activities combined with a risk-averse sentiment among investors, especially in light of the approaching Monetary Policy Committee’s hawkish stance. As market players absorb the implications of monetary policy adjustments, the bourse might experience some volatility, indicating the importance of strategic investment decisions amid changing market conditions.
