Stocks Hit 52-Week Highs As Market Confidence Rebounds

The Nigerian Exchange (NGX) experienced a robust rally on Thursday, May 8, 2025, as multiple stocks hit fresh 52-week highs, signaling renewed investor optimism. Both local and foreign investors have begun to reposition their portfolios, anticipating stronger returns and buoyed by positive sentiment, impressive earnings, and favorable sectoral trends.

Leading the charge were stocks across diverse sectors, including industrials, consumer goods, healthcare, and logistics, highlighting a broad-based recovery in market confidence. The session saw significant price movements, underscoring robust demand for select stocks.

Market Movers: Breaking New Highs

1. Academy Press (N3.93 | +9.78%)
   Academy Press surged to a 52-week high of N3.93, marking a 9.78% gain. The rise reflects growing investor interest in Nigeria’s education sector, as the company expands its digital services and enhances operational efficiency.
2. Associated Bus Company (N2.60 | +8.33%)
   The stock climbed 8.33% to N2.60, driven by expectations surrounding government infrastructure investments and the integration of electric and compressed natural gas (CNG) vehicles in urban centers.
3. Beta Glass (N160.65 | +10.00%)
   Beta Glass gained a full 10%, reaching N160.65. Investors are bullish on the company’s strong export potential and quality earnings, as local demand for packaging solutions continues to grow.
4. Cadbury Nigeria (N38.30 | +0.79%)
   Cadbury Nigeria quietly edged higher, reaching N38.30, with a modest 0.79% gain, reflecting strong Q1 earnings and resilient consumer demand despite inflationary pressures.
5. Chellarams (N9.46 | +10.00%)
   Chellarams surged by the maximum 10% to N9.46, benefiting from restructuring efforts and a focus on industrial chemicals and consumer goods, as the company’s turnaround story gains traction.
6. May & Baker (N10.10 | +9.78%)
   May & Baker surged to N10.10, reflecting investor optimism in Nigeria’s growing healthcare sector, supported by public health investments and strong international partnerships.
7. Skyway Aviation (N60.50 | +9.22%)
   Skyway Aviation rose 9.22% to N60.50, reflecting the recovery of air traffic and logistical improvements, making the stock an attractive option for investors focused on intra-regional trade.
8. Transcorp Hotels (N157.50 | +8.62%)
   Transcorp Hotels reached N157.50, rising 8.62%, benefiting from the tourism and conference sectors’ recovery and a growing real estate portfolio.

Investor Sentiment: Full Throttle

The NGX All-Share Index is climbing steadily, fueled by strong corporate earnings, declining inflation expectations, rising oil prices, and ongoing forex market reforms. Analysts attribute the rally to a confluence of factors that are attracting both domestic institutional investors and foreign portfolio managers.

What Lies Ahead

While the rally is strong, some sectors are beginning to show stretched valuations. Nevertheless, the broad participation across various sectors, including healthcare, consumer goods, logistics, and industrials, suggests that the bullish momentum could persist. The NGX’s current run reflects increasing investor confidence in Nigeria’s corporate environment and market outlook.