Nigerian Stock Market Surges as NGX Market Cap Hits Trillion Naira Milestone
Article:
The trading session on Tuesday at the Nigerian Exchange Limited, NGX, concluded with a noteworthy 3.9% increase in the benchmark index. Market analysis conducted by Coronation Securities Limited and Cordros Securities indicated sustained buying interests from investors, particularly in key industrial players such as DANGOTE CEMENT PLC, BUA CEMENT PLC, and ZENITH BANK PLC.
The strong buying interests in these companies balanced the selloffs in UNITED CAPITAL PLC, AXAMANSARD INSURANCE PLC, and CUSTODIAN INVESTMENT PLC, leading to a year-to-date return rise to 17.65%. Consequently, the market capitalization soared to a trillion naira mark, increasing by 3.9% to close at ₦48,139 trillion from Monday’s ₦46,317 trillion.
The All-Share Index also experienced a notable appreciation, rising from 84,640.89 basis points to 87,971.10 basis points, marking a 3.9% increase. Transaction values rose by 42.94%, and the total volume traded advanced by 34.8%, amounting to 1.07 billion units of shares traded in 14,505 deals and valued at ₦15.77 billion.
The most traded stock by volume was JAIZ BANK PLC, with 150.64 million units traded, while NASCON ALLIED INDUSTRIES PLC led as the most traded stock by value at ₦2.57 billion. Market breadth showed positive sentiment, with 77 advancing issues surpassing the 10 declining ones.
Gainers in the market included BERGER PAINTS PLC, DANGOTE SUGAR REFINERY PLC, and FLOUR MILLS NIG. PLC, while ROYAL EXCHANGE PLC, MULTIVERSE MINING AND EXPLORATION PLC, and ELLAH LAKES PLC stood as the top decliners.
From a sectoral perspective, the Industrial Goods, Insurance, Banking, Consumer Goods, and Oil & Gas indices all saw substantial gains, ranging from 0.1% to 9.7%.
Overall, the Nigerian stock market exhibited remarkable performance, driven by strong investor confidence and significant activities in key sectors. These developments reinforce the country’s position as a promising investment destination, attracting both local and international market participants.
As the market continues to demonstrate resilience and positive momentum, analysts and stakeholders are optimistic about the potential for sustained growth and stability in the Nigerian equities market. The recent milestone of hitting a trillion naira market cap underscores the growing opportunities and dynamism present in Nigeria’s financial landscape. Investors and industry observers will continue to closely monitor these developments as the market evolves and responds to both local and global economic factors.
