Nigeria’s Top 10 Insurance Companies Worth Climbs to N571bn
The market value of Nigerian insurance companies in the stock market climbed by approximately N78 billion to N571 billion at the close of the trading session on Friday.
The combined worth of these insurance companies reflects weak industry capitalisation and shallow depth in Africa’s largest, most populous economy.
Market data revealed eight listed insurance stocks experienced price appreciations. Data from the Nigerian Exchange showed that the insurance index, which gained 3.75%, supported the momentum in the local bourse.
Investors’ attentions were shifted toward some of the insurance players with potential for upside ahead of earnings releases. Insurance stocks contribution to the NGX market has been less than N1 trillion over the years, and most of the companies listed under the index have lower prices.
Priced at N12.80 per share, Axa Mansard Plc, with a market capitalisation of N115.20 billion, is the top insurance brand in the Nigerian Exchange. AXA’s market value surged by N25.47 billion week on week, and it is trading at a moderate discount to the 52-week high of N13.18.
NEM Insurance Plc ranked second, with a total market value of N110.362 billion at the close of the trading session on Friday. Its market value appreciated by N20.065 billion week on week as the price hit N22, its 52-week high, from N18. Its investors increased their bet on the insurer shares ahead of its Q2 earnings release, thus ranking it as one of the top gainers.
AIICO Insurance Plc surged by N22.695 billion as investors continue to ramp up the insurer’s stock ahead of its earnings release. The insurer ranks higher in terms of market share, and has been able to attract investors’ attention. Its share price increased from N1.65 at the beginning of the week to close at N2.27 on Friday on improved sentiment.
Cornerstone insurance ranked fourth on the radar with N77 billion in market capitalisation at the close of trading session, down by N3.814 billion due to profit taking activities.
The insurance company share price declined to N4.29 at the close of trading session on Friday due to negative investors’ sentiment ahead of earnings season, from N4.50. Cornerstone is valued at moderate discount to its 52-week of N4.76.
At about N64 billion in market capitalisation, Coronation Insurance Plc ranked at fifth most valuable insurance stock in the equities market as of Friday close. In the market, Coronation Plc gained N3.598 billion week on week due to bargain hunting on the insurer stock.
Consolidated Hallmark Insurance companies worth N39.349 billion in the market following a N6.829 billion capital appreciation last week.
The insurer stock rose to N3.63 as investors increased position via open market transactions from opening price of N3 at the beginning of the trading session last week. Like its peers, Consolidated Hallmark is tracking behind its 52-week high in the local bourse ahead of second quarter earnings release.
LASACO Assurance Plc ranked seventh most valuable player in the insurance segment of the Nigerian Exchange. In the local bourse, LASACO rallied amidst investors improved confidence, which pushed its share price to N3.20 at the close of trading session on Friday. LASACO opened the week at N3.08 ahead of second quarter earnings release.
A fresh rush caused its market value to surge to N35.467 billion, spread over its 11.083 billion shares outstanding, now trading at moderate discount to its 52-week high of N4.09 on NGX.
Coming from behind, Sovereign Trust Insurance Plc was valued at N19.207 billion in the equities market at the close of trading session on Friday.
The insurer company share price traded flattish at N1.35 with thin activity, reflecting investors stay away decision amidst expectation of Q2 earnings.
Veritas Kapital Assurance was valued at N16.778 billion as of Friday close, spread over its 13.866 billion shares outstanding. The assurance company share price inched higher to N1.21 in the equities market over improved investors’ sentiment, from N1.14 at the beginning of the week.
Based on the insurance brand valuation ranking, Veritas Kapital Assurance Plc ranked as the second to lowest ahead of earnings release for Q2. The insurance company gained about N971 million as investors increased their stakes ahead of earnings release for the second quarter.
Regency Alliance is the lowest among the top 10 insurance brands listed in the equities market, based on data from the Nigerian Exchange.
Investors valued Regency Alliance Insurance company’s 12.003 billion shares outstanding at N10.083 billion following a price appreciation that added N600 million in capital appreciation to the insurer’s market value.
