Zenith Bank Becomes Most Valuable Lender in Nigerian Market
The market value of Zenith Bank Plc.’s 41.069 billion outstanding shares increased by approximately 8%, reaching N4.569 trillion, following a rapid rally that aligned with broader market trends last week.
Zenith Bank outflanked GTCO with N4.179 trillion to lead the tier-1 banks and other Nigerian mid- and smaller lenders listed on the stock market.
Local and foreign investors have continued to increase their bets on the Lagos-headquartered financial services company with strong earnings and a dividend track record.
The bank’s market surge indicates that investors are positioning themselves ahead of the year-end financial results and anticipated dividend distributions.
Data from the Nigerian Exchange showed that the banking giant’s share price soared to a new high of N111.15, up 8%, with investors trading 163.107 million shares valued at N18 billion on the local exchange at the close of trading.
This buying activity boosted Zenith Bank’s valuation, allowing it to overtake GTCO, which had held the top spot in market value for years. Over the last seven trading sessions, Zenith Bank’s share price fluctuated between N93 and N111.15, reaching an intraday peak of N113.13.
The market is eagerly anticipating the bank’s 2025 financial results, which are expected to further boost momentum. Equity analysts have raised their price targets for the stock. In anticipation of the final dividend announcement, Zenith Bank is rated as a “buy” across Broadstreet.
Equity analysts at Cordros Securities Limited project a 9.7% year-on-year growth in gross earnings for 2025, with core income expected to rise by 30.7%, supported by persistently high interest rates and an expanding investment securities base.
In a commentary note, CardinalStone Securities Limited informed investors that Zenith Bank has implemented one of the most comprehensive measures in its history to comply with the Central Bank of Nigeria’s (CBN) directive on unwinding forbearance positions.
The financial impact of this exit was significant, with the Group recognising N781.5 billion in impairment charges on financial assets in 9M-2025, representing 39.3% of its 2024 pre-provision operating profit (PPOP), analysts noted.
“We believe the Group is on track to deliver a robust N1.1 trillion profit after tax (PAT) by 2025. This financial performance is expected to be bolstered by Zenith Bank’s strong core earnings,” they added.
Analysts at CardinalStone Securities Limited also project a 49.3% year-on-year increase in Net Interest Income (NII), driven by a 2% expansion in Net Interest Margin (NIM) to 12.1%.
They highlighted that Zenith Bank has demonstrated the ability to outperform in trading gains, which is particularly noteworthy.
This strong track record, combined with robust expectations for fee and commission income driven by digital banking, should support the bank’s bottom-line growth and profitability margins, according to CardinalStone Securities in its equity report. AXA Mansard Targets N3.617bn Profit in Six Months
