Nigerian Exchange Sees Bullish Start with Investors Gaining N1.42 Trillion

A bullish mood prevailed on the Nigerian Exchange (NGX) on Monday, as investors saw their equities increase by N1.42 trillion, fueled by a renewed interest in top-tier companies including Dangote Cement, Aradel Holdings, and United Bank for Africa (UBA).

The market commenced the week on a positive note, with key performance indicators reflecting growth. The NGX All-Share Index (ASI) rose by 1.29 percent, adding 2,218.73 basis points to close at 173,946.22. At the same time, the market capitalization increased by N1.42 trillion, equivalent to a rise of 1.29 percent, reaching a total of N111.66 trillion.

This surge continued the momentum from the previous week, during which the market saw an increase of more than N4 trillion in value as investors engaged in bargain hunting across mid-cap and fundamentally strong stocks.

Market analysts attributed the gains to ongoing interest in the industrial, oil and gas, and consumer goods sectors. Key stocks that saw significant activity included Dangote Cement, ARADEL, TRANSCORP, FCMB, UBA, and DANGSUGAR.

Sectoral performance mirrored the positive market sentiment, with the Industrial Goods sector leading with a gain of 4.76 percent. The Oil and Gas and Consumer Goods sectors recorded increases of 1.29 percent and 0.74 percent, respectively. However, the Banking and Insurance sectors saw slight decreases of 0.04 percent and 0.03 percent, respectively.

Despite the overall price rally, trading activity showed a decline. Total transaction volume and value decreased by 18.72 percent and 35.21 percent, respectively, with 775.18 million shares valued at N27.92 billion traded across 65,960 transactions.

ACCESSCORP topped the volume chart, making up 8.70 percent of the total shares traded, followed by ZENITHBANK (5.99 percent), NSLTECH (5.69 percent), VERITASKAP (5.10 percent), and MBENEFIT (4.39 percent). By value, ZENITHBANK was the most actively traded stock, accounting for 12.34 percent of the total transactions.

The gainers’ list was led by CAP, MAYBAKER, and DAAR Communications, each with a maximum daily gain of 10 percent. Other notable gainers included RTBRISCOE (+9.98%), DEAPCAP (+9.97%), NAHCO (+9.97%), ZICHIS (+9.97%), and UNIONDICON (+9.96%).

Dangote Cement saw an increase of 8.81 percent, as more investors focused on industrial stocks amid expectations for profit announcements and dividends.

Conversely, 26 stocks recorded losses, with EUNISELL leading the downturn with a 9.98 percent decrease, followed by TRIPPLEG (-8.90%), ABBEYBDS (-8.03%), AUSTINLAZ (-7.41%), HMCALL (-6.56%), and NSLTECH (-6.25%).

Market breadth remained positive, with 58 gainers surpassing 26 losers, affirming the bullish outlook that characterized the beginning of the trading week.