Nigerian Equities Gain N513bn in 3-Day Trading Amid Bullish Investor Sentiment
Despite a shortened trading week due to public holidays marking Eid-el-Kabir and Democracy Day, the Nigerian equities market recorded a strong performance, with investors gaining N513 billion. The Nigerian Exchange (NGX) All-Share Index rose by 0.71%, closing at 115,429.54 points, while the market capitalization settled at N72.788 trillion. Major contributors to the rally included BUA Foods, BUA Cement, Oando, and MTN Nigeria, which helped sustain positive investor sentiment despite limited trading sessions.
Market analysts noted that the uptick, though modest, underscored resilient investor appetite, especially for risk assets, ahead of expected macroeconomic improvements. The bullish sentiment persisted in the face of reduced trading activity, hinting at strong confidence in long-term growth potential. A total of 55 stocks appreciated during the week, while 39 declined and 54 remained unchanged.
Legend Internet led the gainers, rising by 32.77% to N7.09 per share, followed by Berger Paints and Ellah Lakes with gains of 30.73% and 27.35%, respectively. On the flip side, John Holt dropped by 18.42% to N6.20, Industrial & Medical Gases Nigeria fell 12.16% to N32.50, and RT Briscoe slid by 10%. The overall positive market breadth reflected broad-based buying interest.
The total volume of shares traded stood at 2.057 billion units valued at N51.015 billion across 65,016 deals—significantly lower than the prior week’s figures of 3.214 billion shares worth N76.348 billion. The decline in volume was expected due to the fewer trading days but did little to dampen overall market momentum.
Looking ahead, analysts at Cowry Asset Management and Afrinvest anticipate a continued bullish tone, bolstered by potential easing in inflation figures for May 2025. While intermittent profit-taking may occur, experts advise investors to focus on high-quality stocks with strong earnings and consistent dividends, particularly in light of the current macroeconomic environment and stock valuations.
Source: Leadership