The Nigerian stock market opened the new week on a negative note, with profit-taking activities in Lafarge Africa Plc and 33 other stocks pulling overall market capitalization down by N275.15 billion. Investors appeared cautious after last week’s strong gains, signaling a short-term pause in trading momentum.
The Nigerian Exchange Limited All-Share Index (NGX ASI) dropped by 428.63 points, or 0.21%, closing at 200,484.43 points from last week’s 200,913.06 points. Despite the dip, the market still recorded a Month-to-Date return of +4.2% and a Year-to-Date gain of +29.1%, showing resilience amid fluctuations. Market capitalization decreased from N128.969 trillion to N128.694 trillion, reflecting the broad-based profit-taking.
Sector performance was largely bearish, with the Insurance (-1.4%), Banking (-0.8%), and Industrial Goods (-0.5%) indices leading the losses. Only the Oil & Gas sector (+0.1%) ended in the green. Market breadth indicated a cautious investor sentiment, with 26 stocks advancing and 34 declining. Top gainers included Austin Laz & Company (+9.98%), Zichis Agro Allied Industries (+9.93%), and Trans-Nationwide Express (+9.65%), while major losers were Secure Electronic Technology (-10%), May & Baker Nigeria (-9.42%), and Legend Internet (-8.67%).
Trading activity slowed slightly, with total volume down 0.32% to 593.10 million shares, valued at N25.62 billion across 60,102 deals. Most active stocks included Access Holdings (86.643 million shares), First HoldCo (84.557 million shares), and Secure Electronic Technology (31.123 million shares). Other notable movements were in Fidelity Bank (26.73 million shares) and Zenith Bank (26.127 million shares), highlighting continued interest in major financial stocks.
Looking ahead, United Capital Plc predicts the market may continue its bullish trend, albeit with some moderation as investors consolidate positions. Analysts noted that improved earnings visibility and favorable macroeconomic conditions support the broader uptrend, but caution is advised due to potential global risks and stretched valuations. The structural bull run appears intact, emphasizing the importance of measured trading strategies for investors this week.
source: This day