The Nigerian Exchange Ltd. (NGX) delivered strong performance this week, with the All-Share Index (ASI) rising by 1.80% to close at 105,451.06 points, while the Market Capitalisation increased to N64.303 trillion. This marks a notable improvement from the previous week’s ASI of 103,586.33 and Market Capitalisation of N63.166 trillion.
As a result, equity investors recorded a gain of N1.137 trillion during the week under review.
Sector Performance and Trading Activity
Despite the overall positive trend, a few sectors experienced declines. Indices such as NGX Insurance, NGX AFR Bank Value, NGX Consumer Goods, and NGX Oil and Gas recorded losses, with NGX Industrial Goods down by 6.91%. Meanwhile, the NGX ASeM Index remained flat.
Trading activity surged this week, with a total turnover of 4.698 billion shares worth N85.043 billion in 72,562 deals. This is a significant increase from the previous week’s 2.618 billion shares valued at N69.742 billion in 47,953 deals.
Industry Breakdown
The Financial Services Industry led the trading volume chart, contributing 73.86% of the total equity turnover with 3.470 billion shares worth N40.791 billion exchanged in 34,364 deals.
The Services Industry followed, accounting for 407.032 million shares valued at N2.226 billion in 4,996 deals. The ICT Industry ranked third with 237.680 million shares worth N3.628 billion traded in 5,280 deals.
Top equities by volume included Wema Bank Plc, FBN Holdings Plc, and Universal Insurance Plc, collectively trading 1.679 billion shares worth N20.838 billion across 4,922 deals. These accounted for 35.74% and 24.50% of the total equity turnover in volume and value, respectively.
Gainers and Losers
Multiverse Mining and Exploration Plc emerged as the top gainer, with its stock price climbing by 53.42% to close at N12.35 per share. Conversely, Sunu Assurances led the laggards with a 36.52% decline, ending the week at N7.30 per share.
Overall, 51 equities recorded price gains, down from 82 in the previous week, while 39 equities declined, an increase from the previous week’s 18. The number of unchanged equities rose to 62, compared to 52 recorded earlier.
Market Outlook
Analysts at Cowry Asset Management Ltd. expect the bullish momentum to continue in the coming week, driven by anticipation of Q4 2024 unaudited financial results and preparations for the dividend season.
With stocks reaching historical highs and market sentiment remaining positive, analysts advise investors to focus on fundamentally sound stocks to maximize returns during the ongoing rally.
This week’s robust performance reaffirms investor confidence in the market, setting the stage for sustained growth in the weeks ahead.
