The Nigerian Exchange Limited (NGX) reached a new milestone yesterday, with market capitalization crossing the N111 trillion mark, fueled by strong investor demand for Dangote Cement Plc and 58 other stocks. The surge reflects growing confidence in select listed companies as traders respond to corporate earnings and positive market momentum.
Dangote Cement led the rally, with its share price soaring 8.81%, or N59.90, to close at N739.90 from N680 last week. This single-stock performance contributed to a N1.42 trillion increase in the overall market capitalization, which rose from N110.235 trillion at the start of trading to N111.659 trillion at close. The NGX All-Share Index (ASI) also climbed 1.29%, closing at 173,946.22 points, signaling steady market growth.
Sector performance was mixed but generally positive. Industrial Goods advanced by 4.8%, Oil & Gas gained 1.3%, and Consumer Goods rose 0.7%. Meanwhile, Banking and Insurance indices saw declines. Top performers included CAP, Daar Communication, and May & Baker Nigeria, each rising 10%, while Eunisell Interlinked led losses with a 9.98% drop. The market breadth remained bullish, with 58 advancing stocks outpacing 23 decliners.
Despite strong gains in key stocks, trading volume fell 18.72%, with 775.177 million units exchanged, valued at N27.916 billion across 65,960 deals. Activity was led by Access Holdings with 67.144 million shares traded, followed by Zenith Bank and Secure Electronic Technology. Analysts note that selective trading is emerging as investors take profits after recent rallies.
Looking ahead, market experts from United Capital Plc expect the equity market to remain positive but selective, with ongoing interest in Oil & Gas, Industrial stocks, ICT, Banking, and Breweries. Weaker sentiment may continue in Consumer Goods and Insurance, highlighting the importance of strategic stock selection for investors seeking consistent gains.
source: thisday