Equities Investors Gain N3.46trn as NGX Hits New Highs
Equities investors gained N3.46 trillion on the back of an all-week rally that pushed the Nigerian Exchange (NGX) market capitalisation to about N80 trillion.
The Nigerian equities market lit up this week, riding on the back of strong investor confidence, sector-wide momentum, and an influx of funds from a softening money market, stockbrokers said.
The bullish rally reached new heights, as the All-Share Index (ASI) surged by 4.26% week-on-week, crossing the 126,000-point threshold for the first time to settle at 126,149.59 index points.
Investment firm Cowry Asset Limited said the rally was primarily driven by heightened interest in banking, insurance, and consumer goods stocks—sectors currently basking in strong earnings sentiment ahead of the second quarter reporting season.
Market analysts noted that equities Investor appetite was further fuelled by declining yields in the fixed income market.
Stock market analysts at Cowry Asset Limited noted the rally heightened following last week’s Treasury bills auction, where the 1-year stop rate dropped to 16.30%, equities emerged as a more attractive alternative, prompting a wave of hot money inflows.
The firm stated that this was reflected in the Money Flow Index (MFI), which moved into greener territory, affirming a renewed level of market participation and liquidity. Market capitalisation followed suit, advancing by 4.54% to close the week at N79.80 trillion.
The all week rallies translated to an impressive N3.46 trillion in value gains for equity investors. Year-to-date, the NGX has now returned 22.56%, underscoring sustained optimism and upward momentum in the bourse.
Market breadth also came in strong, with 89 stocks advancing against just 16 decliners—resulting in a healthy breadth ratio of 5.56x. However, while the market’s direction was overwhelmingly positive, trading activity showed a slight dip.
Total volume and value traded for the week declined marginally by 1.38% and 0.27% to 5.39 billion units and N107.81 billion, respectively.
That said, the number of total deals surged by 13.34% to 134,389, indicating continued investor engagement despite the lull in turnover.
On the sectoral front, the bulls maintained a dominant presence. The NGX Insurance and NGX Banking indices led the charge, gaining 13.83% and 12.49%, respectively.
Key contributors to these gains included ZENITHBANK, UBA, FIRSTHOLDCO, AIICO, UNIVINSURE, and GTCO. Notably, GTCO’s rally was turbocharged by its historic dual listing on the London Stock Exchange—making it the first Nigerian bank to achieve this feat.
The NGX Industrial and Consumer Goods indices also joined the party, notching up 2.94% and 2.18% gains, while the Commodity Index inched up 0.31%, buoyed by buying interest in FTNCOCOA, CILEASING, UNIONDICON, MCNICHOLS, MULTIVERSE, WAPCO, NB, and OKOMUOIL.
The lone laggard this week was the NGX Oil & Gas Index, dragged by sell-offs in OANDO and ETERNA. Among the week’s top performers were FTNCOCOA and REDSTAREX, both soaring 60.60%, followed closely by OMATEK (60.4%), CILEASING (60.3%), and MEYER (60.1%).
On the flip side, LEGENDINT led the laggards with a 12.5% decline, followed by INTENEGINS (6.8%), OANDO (6.1%), PRESTIGE (5.3%), and ETRANZACT (4.9%).
Looking into next week, a more cautious and mixed tone may emerge, Cowry Asset Limited said. Stockbrokers explained that as the market approaches overbought territory, investors are likely to begin profit-taking and portfolio rebalancing.
“This shift could be further shaped by the upcoming inflation data from the National Bureau of Statistics (NBS) and growing anticipation surrounding the Central Bank of Nigeria’s (CBN) Monetary Policy Committee meeting scheduled for July 20–21.
“The NGX now sits at a technical inflection point—poised either for a healthy pullback or a continuation of the uptrend, depending on market sentiment and economic signals.
“With second-quarter earnings season ramping up and companies beginning to announce board meetings for Q2 results approval, investors will remain focused on corporate performance and policy direction”, Cowry Asset Limited stated. #Equities Investors Gain N3.46trn as NGX Hits New Highs MTN Nigeria Hits N8.18trn, Analysts Positive on Earnings Outlook
