Analysts have projected a positive outlook for the Nigerian equities this week, supported by upbeat investor sentiment and an improved risk-adjusted return outlook for domestic corporates.
The equities market last week extended its winning streak, climbing to a new 52-week high and brushing the 149,000 psychological mark before settling at 148,977.64 points, representing a 1.35 per cent week-on-week gain. The uptrend was driven by renewed buy interest in mid and large cap blue-chip stocks and strategic sectoral reallocation by investors amid moderating inflation and encouraging macroeconomic data, as the September inflation rate slowed to 18.02 per cent.
The upbeat momentum saw the market capitalisation of listed equities rise by N1.26 trillion to close the week at N93.29 trillion.
Cowry Asset Management Limited said this week, “With the ASI inching closer to the 150,000-resistance zone, market sentiment remains upbeat. We expect a potential breakout above this threshold, especially if Q3 corporate earnings outperform expectations.
“Nonetheless, short-term profit-taking may surface as traders lock in gains from recent rallies. Looking ahead, the bullish momentum is expected to persist as market potential and attractive positions of several tickers present a rewarding upside.
“Overall, market performance will likely hinge on macroeconomic developments and policy signals from monetary authorities. Meanwhile, we continue advising investors to position stocks with strong fundamentals and earning power.”
Analysts at Afrinvest Limited stated, ” In the coming week, we project a positive close on the bourse, supported by upbeat investor sentiment and an improved risk-adjusted return outlook for domestic corporates. This optimism is underpinned by a favourable disinflation trend and expectations of renewed portfolio inflows from advanced markets currently facing heightened policy uncertainty.”
Imperial Asset Managers Limited noted, “this week, at the Equity Market, we expect the market to trade range-bound, as investors continue to balance profit-taking opportunities against bargain-hunting activities amid ongoing Q3 2025 earnings releases.”
Meanwhile, last week, a total turnover of 2.422 billion shares worth N76.618 billion in 126,591 deals was traded by investors on the floor of the Exchange, in contrast to a total of 2.286 billion shares valued at N90.280 billion that exchanged hands the previous week in 138,177 deals.
The Financial Services Industry (measured by volume) led the activity chart with 1.662 billion shares valued at N32.565 billion traded in 56,253 deals, contributing 68.65 per cent and 42.50 per cent to the total equity turnover volume and value, respectively. The ICT Industry followed with 184.884 million shares worth N8.662 billion in 11,500 deals, while the Services Industry pulled a turnover of 154.537 million shares worth N1.066 billion in 5,975 deals.
Trading in the top three equities, Consolidated Hallmark Holdings, Fidelity Bank, and Access Holdings (measured by volume), accounted for 618.549 million shares worth N9.220 billion in 9,277 deals, contributing 25.54 per cent and 12.03 per cent to the total equity turnover volume and value, respectively.
