Access Holdings Rises on High Trading Volume amidst Growth Forecast
Access Holdings Plc’s market value climbed by 8.3%, or N109.301 billion, as investors’ positive sentiment triggered bargain hunting that lasted for three out of four days on the Nigerian Exchange.
Analysts attribute the strong earnings growth target and interim dividends as key drivers for increased share purchases in Nigeria’s largest banking group in an open market. Based on data from the Nigerian Exchange, Access Holdings share price settled at N26.85 on Friday when 113.8 million units valued at N3.069 billion were traded by investors.
The transaction toned down the three-day rally from an intraday high of N28 per share. Access Holdings 53.317 billion shares outstanding were valued at N1.431 trillion in the stock market, trading at a 7% discount to its highest valuation in the last 52 weeks.
Equity analysts at Cowry Asset Management Limited set N36.5 as Access Holdings target price, resulting in 36% upside potential at the reference price of N26.85.
In its midyear outlook, Zedcrest Limited put Access Holdings target price at N35.76 with a buy recommendation. In a series of market findings by MarketForces Africa, Access Holdings ranked higher among banking names that is undervalued against emerging market peers.
Some stockbrokers said the financial services group is valued like a bank rather than a conglomerate, which suggests sky-high upside potential is inevitable for its shareholders.
Earning Results/Projections
Based on historical trends, Access Holdings Plc is expected to release its second quarter of 2025 earnings release. Access Holdings Plc is poised for solid growth in the second half of 2025, building on a strong performance outlook and strategic initiatives focused on asset optimization and operational efficiency, analysts said in a note.
“We project full-year gross earnings to increase by 13.2% year-on-year to N5.50 trillion in FY 2025, driven primarily by an 8.6% rise in interest income to N3.92 trillion,” Zedcrest Research said in a midyear outlook.
Analysts explained that growth reflects Access Holdings continued efforts to optimize asset yields and expand its loan portfolio prudently.
The financial services group’s operating expenses are expected to rise moderately by 9.6% year-on-year to N1.59 trillion, influenced by inflationary pressures and ongoing investments in technology and operational capabilities.
Despite this increase, the bank is likely to see its cost-to-income ratio reduce to 56.1% in financial year 2025, coming from 60.4% witnessed in 2024, demonstrating its commitment to operational efficiency and cost control.
Profit before tax is forecasted to grow by 16.4% year-on-year to N952 billion, Zedcrest Limited said, supported by stable core earnings and efficient tax planning. The investment firm projected profit after tax to reach N741 billion, marking a 15.4% increase from the prior year.
Interim Dividends
In a regulatory filing, the financial services group told the Nigerian Exchange that its Board of Directors is scheduled to meet July 30, 2025, to consider and approve its audited financial statement for the first half of 2025.
Access Holdings also dropped a hint about an interim dividend, which the group said may be considered at the board meeting later in July. The approved results will be submitted to the Central Bank of Nigeria for approval before release on the floor of the exchange.
Access Holdings commenced the closing period on July 1, with an expectation that no insider and their connected persons may, directly or indirectly, deal in shares of the company. #Access Holdings Rises on High Trading Volume amidst Growth Forecast FirstHoldco Jumps on Significant Off-market Block Trade
