Nigeria’s Top 5 Banks Market Value Falls to N4.7Trn or $3bn
Selloffs in Nigerian big bank stocks dragged their combined market valuation lower to about N4.7 trillion, an amount equivalent to #3 billion on the Nigerian Exchange, according to trading data tracked by MarketForces Africa.
Four out of the five big banks in the tier-1 category ended the week negative due to sell pressure. With mixed activities seen from both the sell and buy side equities traders in the Nigerian, the banking index gained 0.37% week on week due to buying interest in Access Holdings PLC.
The largest bank by total assets, Access Plc, was the lone gainer in the banking sector with a positive price uptick of +4.18% in the week. The tempest of sell side trading activities on the banking index was moderate as other banks gained offset losses incurred by big banks including Zenith, UBA, GTCO, and FBN Holdings.
Zenith, UBA, FBNH, and GTCO recorded weekly price depreciation, though selloffs weren’t sharp enough to shift their combined market value lower significantly. Access Holdings Plc ranks stronger, while FBN Holdings remains the most volatile stock, trading at a steep discount from its peers.
Data from the local bourse suggests that the tier-1 lenders are trading at a steep discount to their respective 52-week high stock market performance amidst expectation of their earnings release.
Market price to 52 week high discount gets wider for FBN Holdings ahead of its annual general meetings. GTCO Plc still ranked ahead of its rival lenders in terms of market value. The group ended trading session on Friday at N1.342 trillion after it market price slumped to N45.6.
The financial services company is trading at 15.48% discount to its 52-week high at the close of the trading session on Friday amidst 9 billion shares offered for subscription at N44.50. Zenith Bank Plc dipped to N1.189 trillion on Friday from N1.193 trillion week on week due to a marginal price depreciation from N38 to N37.90 per share in the local bourse.
The bank share is now trading at a 20% discount to its 52-week high amidst N290 billion in capital raise via rights and public offers. UBA Plc’s market value declined to N766.067 billion in the equities market from N768 billion in the previous week due to a price contraction of 5 kobo.
The company opened the week at N22.45 per share but ended at N22.40 on Friday. UBA is trading at 34.11% discount to a 52-week high as of Friday’s close. Access Holdings market valuation increased to N706 billion in the equities market from N680.691 billion as the top lender gained popularity among bus side investors. Its share price climbed to N19.95 from N19.15 at the beginning of the week.
At the current stock market price, Access Holdings Plc is trading at 35% below its 52-week high. The share price of the financial services group had climbed to N30.7 before it retreated.
FBN Holdings Plc slumped to N730 billion at the end of the trading session on Friday, moving against the banking index. Last week, the elephant branded financial services company was worth N752.006 billion in the stock market over sustained sell side activities.
According to data from the Nigerian Exchange, FBNH share price declined to N20.35 in the market from N20.95 at the beginning of the week – exhibiting actual market temperature.
Ticker: FBNH is trading at about 54% to its 52 weeks after a persistent price decline amidst an ongoing battle between the group and Barbican Capital over shareholdings. The financial stock had peaked at N43.95 during a good time on the Nigerian Exchange before it retreated. #Nigeria’s Top 5 Banks Market Value Falls to N4.7Trn or $3bn CBN Defends Naira with $39m in Forex Market
