Nigeria’s equities market opened the week on a strong note, with heavyweight banking stocks propelling a sharp rally that lifted the Banking Index and strengthened overall performance on the Nigerian Exchange (NGX).
Top-tier lenders including Zenith Bank Plc, Access Holdings Plc, Guaranty Trust Holding Company Plc (GTCO), and United Bank for Africa Plc (UBA) led market momentum as investors accumulated positions in anticipation of upcoming earnings releases from Tier-1 banks.
The broader market recorded a surge exceeding 4.3 percent, reflecting heightened investor activity and renewed confidence in fundamentally strong financial institutions. Analysts attribute part of the rally to increased participation from Pension Fund Administrators (PFAs), which have reportedly raised allocations to higher-risk asset classes following recent regulatory adjustments.
Banking Stocks Dominate Activity
The Banking Index climbed 471 basis points, underpinned by strong gains across major counters. Zenith Bank advanced by 9.95 percent, Access Holdings rose 8.87 percent, GTCO gained 7.14 percent, while Wema Bank, FCMB, UBA and Fidelity Bank also posted solid increases. Ecobank Transnational Incorporated (ETI) was the notable laggard, declining 2.22 percent.
Trading data showed Access Holdings emerged as the most actively traded stock by volume, with 86.72 million shares exchanged. Meanwhile, Aradel Holdings Plc led by value in the oil and gas segment, recording transactions worth ₦11.02 billion.
Block transactions further amplified market activity. GTCO recorded a single negotiated deal involving 4.73 million shares at ₦117.00 per share, translating to a total value of ₦554.10 million. UBA also executed a substantial trade of 9.75 million shares at ₦49.00 per share, valued at ₦477.75 million.
Stockbrokers at Anchoria Securities Limited confirmed significant institutional flows into leading banking names, reinforcing positive sentiment in the sector.
Sectoral Indices Close Strong
Performance across major sector indices was broadly bullish:
- The Consumer Goods Index rose 144 basis points, supported by gains in McNichols (+10%), NASCON (+9.06%), Nestlé (+6.31%), Vitafoam (+5.18%), Nigerian Breweries (+3.21%), Cadbury (+3.03%), Dangote Sugar (+2.07%), Guinness (+1.59%), and Honeywell Flour (+1.14%), while PZ Cussons dipped 2.62%.
- The Oil and Gas Index advanced 473 basis points, driven by double-digit gains in Aradel and Oando, alongside strong appreciation in JapaulGold.
- The NGX Industrial Index recorded the strongest move, surging 777 basis points, following rallies in Beta Glass, Dangote Cement, BUA Cement, Lafarge Africa and Cutix.
Market analysts note that sustained earnings strength and dividend consistency in the banking sector remain a key attraction for both institutional and retail investors.
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