Nigerian Equities Market Gains N1.698 Trillion as Investors Flock to Blue-Chip Stocks
The Nigerian equities market maintained its positive streak yesterday, recording a remarkable N1.698 trillion gain as portfolio managers and income-focused investors increased their stakes in fundamentally strong stocks. The All Share Index (ASI) climbed by 2,645.61 points, a 1.39% rise, to close at 193,073.57 points, while market capitalization expanded to N123.934 trillion.
The bullish trend was fueled by notable price increases in several key stocks, including Presco, Okomu Oil, MTN Nigeria Communications (MTNN), Guinness Nigeria, and Skyway Aviation Handling Company. Analysts suggest that this momentum reflects sustained confidence in stocks backed by solid financial fundamentals and consistent dividends.
Imperial Asset Managers Limited provided insight on the market’s outlook, noting that “we anticipate sustained interest in fundamentally sound equities in the next session. However, as tomorrow marks the last trading day of the week, we may see increased profit-taking compared to today’s numbers. Investors are advised to focus on highly liquid, dividend-paying stocks.”
Market breadth favored the bulls, with 49 advancing stocks surpassing 28 declining counters. DEAP Capital Management & Trust, Okomu Oil, and Fortis Global Insurance topped the gainers chart with 10% increases, while Infinity Trust Mortgage Bank and Zichis Agro Allied Industries followed closely with nearly 10% gains each. Conversely, McNichols, Multiverse Mining & Exploration, Secure Electronic Technology, and Tripple Gee & Company recorded losses of 10% each.
Despite the gains, total trading volume dropped by 75.51% to 898.481 million units, valued at N38.476 billion across 61,953 deals. Japaul Gold & Ventures led trading activity with 80.122 million shares worth N293.248 million, followed by Secure Electronic Technology and Mutual Benefits Assurance. Major banks such as Zenith Bank and Guaranty Trust Holding Company also saw significant transactions, highlighting continued investor interest in blue-chip stocks.
source: leadership