Stock Market Extends Positive Momentum as Market Cap Hits N113trn

Kayode Tokede

The Nigerian Exchange (NGX) maintained its positive momentum yesterday, extending gains recorded in the beginning of the week as sustained investor appetite pushed market capitalisation by N1.84 trillion. 

The NGX All-Share Index (ASI) advanced by 1.65 per cent to close at 176,809.42 basis points, reflecting renewed optimism across major sectors of the market. 

As a result, the NGX ASI Month-to-Date and Year-to-Date returns settled higher at +6.9per cent and +13.6per cent, respectively.

Consequently, the market capitalisation of all listed stocks on NGX rose by N1.84 trillion to close at N113.50 trillion.

THISDAY can report that the market capitalisation has appreciated by N3.26 trillion in two-day, underscoring the strength of the rally and the scale of value accretion recorded during the session.

Sectoral performance was broadly positive, reinforcing the upbeat sentiment across the market. The NGX Banking Index led sectoral gainers with a 1.83 per cent rise, supported by renewed interest in major deposit money banks.

The NGX Insurance Index edged up marginally by 0.01 per cent, while the NGX Consumer Goods Index advanced by 0.18 per cent. Strong performances were also recorded in the NGX Oil & Gas Index, which climbed 2.97 per cent, and the NGX Industrial Goods Index, up 2.93 per cent, reflecting sustained positioning in energy and infrastructure-related stocks.

The NGX Commodity Index also closed higher, gaining 1.78 per cent.

However, the market breadth remained decisively positive, settling at a robust 3.0x as advancing stocks significantly outnumbered decliners. 

A total of 66 stocks closed in positive territory, compared with 22 losers, signalling broad-based participation in the rally rather than gains concentrated in a few heavyweight stocks.

Leading the gainers’ chart were Deap Capital Management & Trust Plc, eTranzact International Plc, John Holt Plc, and Omatek Ventures Plc, each appreciating by the maximum daily limit of 10.00 per cent. Vitafoam Nigeria Plc followed closely with a 9.98 per cent increase, reflecting sustained buying interest in select mid- and small-cap stocks. Market analysts attributed the strong price movements to renewed speculative interest, bargain hunting, and portfolio repositioning as investors continue to target undervalued equities.

On the downside, Abbey Mortgage Bank Plc, Sky Aviation Leasing Company Plc, Guinea Insurance Plc, Consolidated Hallmark Holdings Plc, and Livestock Feeds Plc recorded the steepest declines for the session. The losses were largely driven by profit-taking activities and selective sell-offs as investors locked in gains from recent price appreciation.

Trading activity presented a mixed picture during the session. While the number of deals executed declined by 10.60 per cent to 58,965 transactions, market participation strengthened significantly in volume and value terms. Total traded volume surged by 68.08 per cent to 1.30 billion shares, while traded value jumped by 80.64 per cent to N50.43 billion, indicating the execution of large block trades and heightened activity in select equities.

Overall, the market’s performance underscores sustained bullish sentiment on the NGX, driven by broad sectoral gains, expanding market capitalisation, and rising transaction values. While near-term profit-taking risks remain, analysts note that improving liquidity conditions and positive macroeconomic expectations could continue to support upward momentum in subsequent trading sessions.