Market Capitalisation Surges By N365 Billion Amidst Earnings Reports

Nigerian Stock Market Records Positive Growth

The Nigerian Exchange Limited (NGX) closed on a strong note yesterday as market capitalisation surged by N365 billion, driven by the release of full-year 2024 financial results from listed companies.

At the end of trading, the All-Share Index (ASI) increased by 590.55 points, reflecting a 0.57% gain, closing at 104,549.74 points. Consequently, the total market capitalisation rose to N64.521 trillion.

Market Outlook and Projections

According to analysts at Vetiva Dealings and Brokerage, corporate earnings and key financial announcements will continue to influence the market as the earnings season progresses.

Similarly, Afrinvest Research noted that investor sentiment, measured by market breadth, weakened to -0.20x from the previous -0.03x, with 26 stocks appreciating while 38 declined. They further projected that the market would sustain its positive momentum, fueled by investor revaluation of major stocks as more FY 2024 earnings are unveiled.

Top Gainers and Losers

The market’s positive performance was largely influenced by price appreciation in large and mid-cap stocks, including Aradel Holdings, Stanbic IBTC Holdings, Nigerian Breweries, Nigerian Aviation Handling Company (NAHCO), and Vitafoam Nigeria.

Among the top gainers:

Aradel Holdings led with a 10% increase, closing at N594.
Chellaram Plc gained 9.98%, reaching N5.40 per share.
Stanbic IBTC Holdings advanced by 9.92%, closing at N71.45 per share.
University Press appreciated by 9.64%, closing at N5.12.
DAAR Communications climbed 9.09%, closing at 84 kobo.

Conversely, the market saw significant losses:

McNichols Plc and Caverton Offshore Support Group led the decline with 10% losses, closing at N1.44 and N2.07, respectively.
Thomas Wyatt Nigeria shed 9.80%, closing at N1.84.
Veritas Kapital Assurance dropped 9.79%, closing at N1.29.
Consolidated Hallmark Holdings lost 9.00%, closing at N2.73.

Market Activity and Trading Volume

Trading volume dipped by 22.2%, with a total of 421.618 million shares exchanged, valued at N14.998 billion, across 16,256 deals.

The most actively traded stocks included:

Universal Insurance, leading with 33.619 million shares, valued at N21.723 million.
Fidelity Bank, trading 31.905 million shares, worth N621.756 million.
FCMB Group, with 23.128 million shares, valued at N269.526 million.
Japaul Gold & Ventures, trading 20.214 million shares, worth N43.399 million.
Veritas Kapital Assurance, with 17.090 million shares, valued at N22.046 million.

Conclusion

The Nigerian stock market remains bullish, driven by strong earnings reports and investor interest in major tickers. As more FY 2024 financial results are released, analysts expect sustained market growth in the coming sessions.