Access Holdings Plc experienced a strong rally on the Nigerian Exchange last week, driven by investor confidence and sustained bargain hunting. The financial giant saw its market capitalization jump by N109.301 billion, representing an 8.3% increase over the period.
This renewed investor enthusiasm was fueled by robust earnings expectations and a hint at interim dividends, which collectively encouraged widespread open market activity in the company’s shares. By Friday, Access Holdings’ stock settled at N26.85 after 113.8 million units—worth N3.069 billion—were traded.
Despite hitting an intraday high of N28 per share during the week, the momentum moderated slightly. With 53.317 billion shares outstanding, Access Holdings’ valuation stood at N1.431 trillion—trading at a 7% discount to its 52-week high.
According to Cowry Asset Management Limited, the banking conglomerate holds significant upside potential, with a target price of N36.50. Zedcrest Limited also echoed a bullish stance, setting a target price of N35.76 and recommending a “Buy” rating. Analysts polled by MarketForces Africa highlighted that Access Holdings remains undervalued compared to peers across emerging markets.
Some market watchers suggest that the group is still priced more like a traditional bank rather than a diversified financial services conglomerate, signaling the possibility of substantial revaluation ahead.
Q2 2025 Earnings Outlook
With its Q2 2025 earnings release anticipated soon, analysts project that Access Holdings will maintain its growth momentum into the second half of the year. A note from Zedcrest Research forecasts full-year gross earnings of N5.50 trillion—an increase of 13.2% year-on-year—driven by an expected 8.6% uptick in interest income to N3.92 trillion.
Operating expenses are projected to grow by 9.6% to N1.59 trillion due to ongoing tech investments and inflationary pressures. Nonetheless, efficiency gains are expected to bring the cost-to-income ratio down to 56.1% from 60.4% in 2024.
Zedcrest anticipates a 16.4% rise in pre-tax profit to N952 billion and a 15.4% increase in after-tax profit to N741 billion—largely attributed to stable earnings and improved tax planning.
Interim Dividend Signal
In a regulatory update filed with the NGX, Access Holdings announced that its Board of Directors will convene on July 30, 2025, to review and approve its audited half-year financial results. The company also signaled the possibility of an interim dividend being declared during this meeting.
The group began its closed period on July 1, thereby restricting trading activity by insiders and connected persons in the company’s stock until the results are officially disclosed.
