Paragraph 1: Nigerian Exchange Experiences Upward Momentum
The Nigerian Exchange closed on a positive note on Thursday, April 24, 2025, with the All-Share Index (ASI) climbing by 0.75% to reach 106,074.26 points. This upward movement translated to a substantial N508 billion increase in market capitalization, bringing the total to N66.7 trillion. The surge was primarily fueled by strong investor demand in the consumer goods and industrial sectors, indicating renewed confidence in these segments of the Nigerian economy. This positive performance built upon the momentum from the previous day, Wednesday, April 23, 2025, when the market had already seen a significant gain of N342 billion, pushing the market capitalization to N66.1 trillion and the ASI to 105,305.25 points.
Paragraph 2: Sectoral Performance and Market Leaders
The consumer goods sector emerged as a major driver of Thursday’s market rally, with Nestle Nigeria leading the charge. The company’s share price soared by 10%, closing at N1,100.00 per share. Other notable gainers in the sector included Cadbury Nigeria, which also registered a 10% increase. In the industrial sector, Lafarge Africa (Wapco) and Eterna mirrored Nestle’s performance with 10% gains each. Beyond these sectors, Ikeja Hotel and Vitafoam also contributed to the positive market sentiment, posting gains of 10% and 9.97% respectively. These strong performances suggest investor optimism in these specific companies and the broader sectors they represent.
Paragraph 3: Decliners and Market Breadth
While the overall market trend was positive, some companies experienced declines. John Holt led the decliners, shedding 10% of its share value to close at N6.30. Haldane McCall followed closely with a 9.96% drop, while Multiverse Mining and Exploration and Guinea Insurance also experienced significant declines of 9.83% and 8.57% respectively. Despite these losses, the overall market breadth remained positive, with 44 gainers outnumbering the 15 losers. This indicates a broad-based positive sentiment across various sectors of the Nigerian Exchange. A total of 125 equities participated in trading, showcasing the diversity of investment opportunities available on the exchange.
Paragraph 4: Trading Volume and Value Analysis
Despite the positive price movements, market activity witnessed a decline in terms of trading volume and value. A total of 328.26 million shares worth N10.37 billion were exchanged in 12,142 deals. This represents a significant decrease of 56% in volume and 43% in turnover compared to the previous trading session. However, the number of deals actually increased by 8%, suggesting heightened trading activity despite the lower volume and value. This could indicate a shift in investor strategy, with potentially more focus on specific stocks rather than broad market participation.
Paragraph 5: Dominant Players and Sectoral Indices
Access Holdings dominated trading activity in terms of volume, with 48.5 million shares traded. Fidelity Bank followed with 40.4 million shares, while Guaranty Trust Holding Company and Chams traded 17.1 million and 13.7 million shares respectively. These figures highlight the continued interest in the financial sector. The positive momentum also extended to sectoral indices, with the Insurance Index gaining 4.32%, followed by the Consumer Goods Index at 2.35%, the Industrial Index at 1.29%, and the Premium and Main Board Indices at 1% and 0.62% respectively. The Top 30 Index, reflecting the performance of the largest companies on the exchange, also saw a respectable gain of 0.74%.
Paragraph 6: Sustained Growth and Investor Confidence
The Nigerian Exchange’s positive performance on Thursday reinforces a trend of sustained growth over various timeframes. The ASI posted a weekly gain of 1.45%, building upon the 0.74% gain from the previous week. Over a four-week period, the index has appreciated by 1.06%, while the year-to-date return stands at a healthy 3.06%. This consistent positive performance indicates growing investor confidence in select counters within the Nigerian equities market. The sustained bullish trend, despite fluctuations in daily trading volume and turnover, suggests a positive outlook for the Nigerian stock market, with investors showing increasing interest in specific companies and sectors demonstrating strong growth potential. The market appears to be responding favorably to prevailing economic conditions and investor sentiment, further bolstering confidence in the long-term prospects of the Nigerian economy.
