The Nigerian stock market recorded a significant gain of N884 billion last week, closing at N65.59 trillion on Friday as investor interest surged across various listed companies. The equities segment of the Nigerian Exchange (NGX) sustained its bullish momentum, starting February on a strong note.
Market data showed that the NGX All-Share Index rose by 1.38% week-on-week to reach 105,933.03 points by the end of trading on Friday. Stockbrokers attributed the positive performance to expectations of stronger corporate earnings reports and the anticipated January 2025 Consumer Price Index (CPI) data under a new methodology, which fueled buying activity.
Consequently, the total market capitalisation increased by 1.37% week-on-week to N65.59 trillion, adding N883.5 billion to investors' portfolios. The year-to-date return of the index climbed to 2.92%. Market breadth remained strong at 1.71x, with 58 gainers outpacing 34 losers during the week.
Trading activity was robust, with gains recorded in all five sessions. Weekly trading volume jumped by 25.84% to 4.08 billion units, while the total value of trades soared by 82.71% to N126.43 billion. The number of deals also rose by 12.8% to 87,162 transactions.
Performance across market sectors was mostly positive, with five of the six tracked indices posting gains. The Banking Index led the charge with a 4.66% increase, followed by the Insurance Index at 1.61% and the Commodity Index at 1.29%. The Industrial and Oil & Gas indices also gained 0.85% and 0.56%, respectively. However, the NGX-Consumer Goods Index declined by 0.60% due to losses in DANGSUGAR, TANTALIZER, NIGERIAN BREWERIES, and MAYBAKER.
Key stocks that saw strong investor interest included UPDC, ETERNA, INTENEGINS, FBNH, SOVRENINS, BETAGLASS, ACCESSCORP, OKOMUOIL, PRESCO, and OANDO. Among the week's top performers, UPDC led with a 38.5% gain, followed by ETERNA (32.8%), INTENEGINS (29.5%), CADBURY (26.6%), and FIDSON (24.4%).
On the downside, SUNUASSUR recorded the biggest decline at 12.9%, while UPL and MULTIVERSE both fell by 10%. SCAO dropped 9.8%, and TRIPPLE G lost 9.7%.
Looking ahead, market analysts expect the bullish sentiment to persist, driven by the release of more Q4 earnings reports. Stockbrokers noted that these reports could offer insights into potential dividend payouts based on corporate earnings and dividend policies. Additionally, macroeconomic data and upcoming economic events are expected to influence market direction in the coming week. Investors are advised to monitor corporate disclosures and broader economic indicators to make informed decisions.
No comments:
Post a Comment