Despite a historic N20.1 trillion rally in Nigeria’s equities market in 2025, six publicly listed companies have bucked the trend, shedding an average of 40% of their market value year-to-date. These companies — VFD Group, SUNU Assurance, Conoil, MRS Oil, Julius Berger, and Morison Industries — collectively account for a market capitalisation of N531.59 billion but have significantly underperformed the NGX All-Share Index, which rose by 21.8% over the same period.
VFD Group suffered the steepest loss with its share price dropping by 68.5%, driven by a bonus issue markdown and weak Q1 earnings. SUNU Assurance followed closely, tumbling 53.5% due to fading investor interest and structural weaknesses in the insurance sector, a reversal from its strong 2024 run. Conoil also saw its value slump by 39.4%, reflecting growing investor anxiety about energy policy volatility and performance inconsistency.
MRS Oil reported a 31.4% drop in its share price, hurt by macroeconomic headwinds and a proposed delisting that spooked investors. Julius Berger’s stock, once a star performer in 2024 with a 127% rise, lost 27.9% YTD due to profit-taking, slow government project releases, and lack of new contract announcements. The construction giant’s sharp reversal underscores shifting sentiment in the infrastructure space.
Morison Industries saw a more modest decline of 19.7%, yet its small-cap status and weak fundamentals have continued to deter investor interest. Analysts suggest that while these firms had strong momentum in 2024, the sharp reversals are a result of sector-specific challenges, earnings disappointments, and shifting investor priorities amid the broader market rally.
Independent analyst Amaechi Egbo attributes the underperformance to profit-taking, poor disclosures, and strategic uncertainty. He noted that investors are rotating into banking and technology stocks, sectors viewed as having more robust forward-looking potential. Despite the NGX’s overall bullish performance in 2025, these six firms reveal underlying market fragilities that investors can’t ignore.
Source: The Guardian