Nigerian Stock Market Sees Significant Growth of 0.99%
The trading session on the Nigerian Exchange Limited, NGX, concluded on Thursday with the benchmark index experiencing a notable increase of 0.99%. This upturn amounted to 733.94 basis points, bringing the index to a closing value of 74,502.58 basis points, in contrast to the previous day’s 73,768.64 basis points. Additionally, the Market Capitalisation also saw a 0.99% rise, equivalent to ₦402 billion, reaching a total of ₦40,769 trillion after commencing at ₦40,367 trillion.
The surge in the market is attributed to robust investor interest in MTN NIGERIA COMMUNICATIONS PLC, which saw a significant increase of 4.58%. Moreover, prominent banking institutions such as ZENITH BANK PLC and STANBIC IBTC HOLDINGS PLC also experienced growth, with 0.53% and 8.20% respectively. However, these gains offset the losses incurred by GUARANTY TRUST HOLDINGS COMPANY PLC, UNITED BANK FOR AFRICA PLC, and ACCESS HOLDINGS PLC.
As a result, the Month-to-Date and Year-to-Date returns have risen to +4.4% and +45.4% respectively. An in-depth analysis of the day’s trading activities reveals a decline in the value of transactions by 56.20%, while the total volume traded decreased by 14.3%. Overall, 371.02 million units, valued at ₦5.47 billion, were exchanged in 8,215 deals. JAIZ BANK PLC emerged as the most traded stock by volume, with 49.40 million units, whereas ZENITH BANK PLC took the lead as the most traded stock by value, amounting to ₦1.06 billion.
The market breadth concluded on a positive note, with 36 advancing issues outnumbering 27 declining ones. Noteworthy gainers of the day included KEJA HOTEL PLC, which saw a 10.0% increase, and MULTIVERSE MINING AND EXPLORATION PLC, recording a 9.96% uptick. Conversely, U.A.C.N. PLC and JOHN HOLT PLC experienced the highest losses, at 10.00% and 9.73%, respectively.
The sectoral analysis indicates gains in the Insurance (+2.1%), Industrial Goods (+1.1%), and Consumer Goods (+0.1%) indices, while the Banking (-0.2%) index saw a decline. The Oil & Gas index, however, remained static throughout the trading period.
In conclusion, the Nigerian stock market exhibited significant growth, driven by the upward movement in key sectors and specific stocks. It will be interesting to monitor how this momentum continues in the coming days.
Author: Olusola Akintonde
