Equities Investors Gain N2.1trn as NGX approaches N60trn

Equities investors gained N2.1 trillion over the last five trading sessions on the Nigerian Exchange (NGX) as the local bourse races towards N60 trillion. Renewed interest in banking stocks spurred the gains recorded in the market last week.

This was further boosted by gains in other sectors that closed in green. Stockbrokers noted that dividend income investors are taking positions in anticipation of more corporate earnings without losing sight of the inflation rate, which printed at 31.70%.

At the end of trading sessions, the All-Share Index surged by an impressive 3.71% week-on-week, reaching 105,085.25 index points. The market index spiked as a result of renewed interest in financial stocks amidst an expectation of corporate earnings releases.

In its market update, investment banking firm Cowry Asset Management said investors enjoyed a substantial year-to-date return of 40.54%, resulting in a collective wealth accumulation of N2.12 trillion compared to the previous week’s N3.26 trillion.

A total turnover of 1.773 billion shares worth N52.867 billion in 44,713 deals was traded this week by investors on the floor of the Exchange, in contrast to a total of 2.157 billion shares valued at N108.824 billion that exchanged hands last week in 51,556 deals.

The Financial Services Industry (measured by volume) led the activity chart with 1.136 billion shares valued at N23.185 billion traded in 19,896 deals; thus contributing 64.04% and 43.86% to the total equity turnover volume and value respectively.

The conglomerate was followed with 339.390 million shares worth N5.874 billion in 3,650 deals. The consumer goods industry took third place was the Consumer Goods Industry, with a turnover of 82.645 million shares worth N6.724 billion in 6,155 deals.

Trading in the top three equities, namely Transnational Corporation Plc, Guaranty Trust Holding Company Plc and Access Holdings Plc (measured by volume) accounted for 677.439 million shares worth N17.287 billion in 7,789 deals, contributing 38.21% and 32.70% to the total equity turnover volume and value, respectively.

This performance underscores the dynamic interplay of market forces amid evolving economic conditions, Cowry Asset told investors in an email. Additionally, the weekly average value declined by 51.42% week on week, reaching N52.87 billion, reflecting a downbeat in market participation amid rising investor interest.

Top gainers include JBERGER, NEM, MTNN, GTCO, ZENITHBANK, ETI, FBNH, DANGSUGAR, and ROYALEX. Weekly gainers include JBERGER (31%), OMATEK (23%), NEM (21%), MTNN (21%), GTCO (18%), and FTNCOCOA (17.4%) respectively.

Companies on the loser chart were: INTENEGINS (27%), SUNUASSUR (19%), LASACO (15%), TRANSCORP (9%), and OANDO (4%) – these stocks experienced notable price declines week-on-week.

Cowry Research anticipates the prevailing bullish sentiment to persist in the market during the coming week. This expectation is based on the market player’s anticipation that more corporate releases with dividend announcements will hit the market.

Overall, the equities market capitalisation rose by more than N2.1 trillion in five days to close the week at N59.42 trillion on Friday. #Equities Investors Gain N2.1trn as NGX approaches N60trn >>> Anti-Homosexuality: Uganda Faces Difficulties Accessing External Funding –Fitch

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