Renewed Investor Demand Lifts Stocks As Market Capitalisation Rises By N719bn

Renewed investor demand lifted the Nigerian equities market on Tuesday, reversing losses from the previous two trading sessions as market capitalisation increased by N719 billion amid strong buying interest in blue-chip stocks.

The rebound saw the Nigerian Exchange (NGX) All-Share Index (ASI) rise by 1,121.33 points, or 0.46 per cent, to close at 242,870.44 points, while market capitalisation advanced to N155.849 trillion.

The market recovery was driven by renewed buying in medium and large-cap stocks, particularly Transcorp Hotels, MTN Nigeria Communications (MTNN), First HoldCo, Stanbic IBTC Holdings and Zenith Bank, which boosted overall market performance.

Market analysts attributed the positive close to improved investor sentiment following the profit-taking witnessed in the previous session.

According to Cowry Assets Management Limited, the market’s swift return to positive territory, supported by stronger market breadth and higher trading activity, signals renewed confidence among investors.

“We expect the market’s recovery to be sustained, supported by continued strategic investor repositioning and portfolio rebalancing. However, intermittent profit-taking in recently appreciated stocks could moderate the pace of further gains,” the firm stated.

Investor sentiment remained broadly positive as 24 stocks recorded gains, compared with 22 losers.

Learn Africa Plc led the gainers with a 10 per cent appreciation to close at N9.90 per share. It was followed by First HoldCo, which rose by 9.98 per cent to N72.15, while Thomas Wyatt Nigeria gained 9.80 per cent to close at N2.69 per share.

Other notable gainers included R.T. Briscoe, which advanced by 8.68 per cent to N13.15, and Transcorp Hotels, which appreciated by 8.37 per cent to close at N242.00 per share.

On the losers’ chart, International Energy Insurance shed 9.86 per cent to close at N4.66 per share. Legend Internet declined by 9.18 per cent to N4.45, while Fortis Global Insurance fell by 7.67 per cent to N2.77 per share.

FTN Cocoa Processors lost 7.55 per cent to close at N8.21, while International Breweries dropped 4.79 per cent to N13.90 per share.

Trading activity also strengthened during the session, with total volume traded increasing by 21.25 per cent to 634.775 million shares valued at N53.336 billion in 42,494 deals.

First HoldCo emerged as the most actively traded stock, accounting for 326.922 million shares worth N22.332 billion. It was followed by Guaranty Trust Holding Company (GTCO) with 22.469 million shares valued at N2.821 billion, while Access Holdings traded 18.532 million shares worth N461.613 million.

FCMB Group recorded transactions of 16.118 million shares valued at N166.836 million, while Zenith Bank traded 15.923 million shares worth N1.729 billion.