KEY POINTS
• Nigerian equities gained N228 billion at the start of the week as the market extended its upward movement.
• Market capitalisation rose 0.14 per cent to N162.385 trillion, while the All Share Index increased to 250,156.80 points.
• Trading volume climbed 9.16 per cent, with Zenith Bank accounting for the largest share of activity by both volume and value.
MAIN STORY
The Nigerian equities market began the week with another gain as buying interest across several stocks lifted market capitalisation by N228 billion.
The market capitalisation increased from N162.157 trillion to N162.385 trillion, representing a 0.14 per cent rise at the close of trading on Monday.
The All Share Index also advanced by 352.24 points to 250,156.80 from 249,804.56 recorded at the previous session.
The latest movement pushed the market’s year to date return to 60.76 per cent.
Sunu Assurances, Nascon Allied Industries, Omatek Ventures, Thomas Wyatt Nigeria and Critical Minerals Financing Corp were among the stocks that recorded strong buying interest, alongside 34 other gainers.
Nascon Allied Industries, Sunu Assurances, Thomas Wyatt Nigeria, Critical Minerals Financing Corp and Omatek Ventures each rose by 10 per cent to close at N176, N3.08, N2.53, N2.24 and N1.32 per share respectively.
The positive movement was reflected in market breadth, with 39 stocks gaining against 26 that declined.
On the losing side, Okomu Oil fell by 10 per cent to close at N1,276.20 per share. Custodian Investment declined by 9.13 per cent to N68.15, while Sovereign Trust Insurance lost 8.64 per cent to finish at N2.01.
Haldane McCall dropped by 8.33 per cent to N3.30, while Ellah Lakes declined by 5.39 per cent to N7.90 per share.
Trading activity also increased during the session. A total of 574.19 million shares valued at N38.06 billion changed hands in 68,655 transactions, representing a 9.16 per cent increase in volume.
Zenith Bank dominated trading activity, recording 77.07 million shares valued at N9.90 billion. The bank accounted for 13.42 per cent of total market volume and 26.01 per cent of total value traded.
THE ISSUES
- The market’s continued rise reflects sustained buying interest across a range of listed companies, with 39 gainers outweighing the 26 stocks that declined.
- The increase in market capitalisation indicates that the gains were broad enough to lift the overall value of listed equities despite declines recorded by some major stocks.
- Higher trading volume points to increased market activity at the beginning of the week, with investors exchanging more shares than in the previous session.
- Zenith Bank’s dominant share of both volume and value traded made the stock the main driver of trading activity during the session, accounting for more than a quarter of the market’s transaction value.
WHAT’S NEXT
The market’s performance in subsequent sessions will determine whether the upward trend is sustained, while investors will continue to respond to movements across individual listed stocks.
BOTTOM LINE
Nigerian equities opened the week with a N228 billion increase in market capitalisation, while the All Share Index and year to date return also moved higher. Trading activity strengthened, led by Zenith Bank.
