Investors gain N115bn as banking, oil stocks lift market

Trading activities on the Nigerian Exchange Limited opened the week on a positive note as investors gained N115bn in market value on Monday, driven by strong performances in the banking and oil and gas sectors.

At the close of transactions, the market capitalisation of listed equities advanced to N90.1tn from N89.99tn recorded at the previous session, reflecting a gain of N115bn. Similarly, the benchmark All-Share Index appreciated by 244.51 points, or 0.17 per cent, to settle at 142,377.54 basis points.

Market data showed that a total of 383.91m shares worth N11.61bn were traded in 28,088 deals, representing a 26 per cent decline in volume and a 36 per cent decline in value compared with last Friday’s session, although the number of deals rose 26 per cent.

The day’s rally was largely supported by buying interest in stocks such as Fidelity Bank, Zenith Bank, Eterna and Seplat Energy, which buoyed the banking and oil and gas indices. The NGX Industrial Index gained 1.59 per cent, while the Banking Index advanced 0.47 per cent.

A total of 125 equities participated in trading, with 25 gainers and 36 losers. SFS Real Estate Investment Trust led the gainers’ chart with a 10 per cent rise to close at N346.55 per share, followed by Thomas Wyatt Nigeria, which also appreciated 10 per cent to N3.63 per share. LivingTrust Mortgage Bank rose 9.9 per cent to N5.66, while Eterna advanced 9.86 per cent to N30.65 per share.

On the flip side, AXA Mansard Insurance topped the losers’ list, shedding 10 per cent to close at N14.40 per share. University Press dropped 9.85 per cent to N5.40, Learn Africa fell 9.72 per cent to N6.50, while Julius Berger depreciated 8.7 per cent to N136.50 per share.

In terms of activity, First HoldCo led the volume chart with 47.5m shares valued at N1.47bn. Ellah Lakes followed with 24.46m units worth N290.87m, while Veritas Kapital Assurance traded 21.87m shares valued at N44.66m. Zenith Bank also featured among the top volume and value drivers with 18.75m units worth N1.31bn.

The Top 30 Index advanced 0.26 per cent, and the Main Board Index rose 0.31 per cent, while the Premium Index dipped slightly by 0.13 per cent. Year-to-date, the ASI has now returned 38.33 per cent, reinforcing investors’ appetite despite volatility in select counters.

Meanwhile, the release of fresh corporate earnings also shaped investor sentiment. Zenith Bank Plc posted a 19.96 per cent growth in revenue and declared an interim dividend of N1.25 per share. United Bank for Africa Plc reported a 6 per cent rise in profit after tax, but its interim dividend was reduced to 25 kobo per share, much lower than last year’s payout.

Stanbic IBTC Holdings Plc delivered a 49 per cent jump in profit after tax, rewarding shareholders with an interim dividend of N2.45 per share. However, Guaranty Trust Holding Company Plc saw a sharp 50 per cent decline in profit after tax, though it still announced a dividend of N1.00 per share. Other listed companies such as BUA Foods, Cutix, Red Star Express and Sovereign Trust Insurance also released results during the session.

Analysts noted that these earnings reports, coupled with the broader market momentum, reflect the resilience of the Nigerian corporate sector despite macroeconomic headwinds.

They added that Nigeria’s economy is gaining momentum with a recovery in oil production, expansion in non-oil activities, and looser monetary policy. However, they cautioned that while opportunities exist in energy, ICT, agriculture, and finance, investors should remain diversified and cautious.

Globalview Capital Limited, a licensed investment firm, reiterated that it is registered and regulated by the Securities and Exchange Commission, Nigeria.