Stock Investors Gain N3.967trn In May Amidst Positive Returns

The Nigerian stock market ended the month of May, 2025 on a bullish trajectory, as investors’ investment increased by N3.967 trillion.

The overall market performance measure All-Share Index (ASI), which tracks the general market movement of all listed equities on the Exchange, rose by 5.62 per cent to close at 111,742.01 points on May 30, 2025 from 105,800.85 points it opened trading on May 2, 2025.

Also, the market capitalisation gained N3.967 trillion to close on May 30, 2025 at N70.463 trillion from N66.496 trillion at which it opened for trading activities in May.

The rally was driven by increased investor positioning in select stocks on the back of relatively strong corporate earnings. Monthly trading activity improved as average volume and value traded rose 48.0 per cent and 31.5 per cent month-on-month to 645.2 million units and N16.7 billion, respectively.

Performance across the sectors were largely positive. The NGX Consumer Goods recorded a monthly gain of 18.71 per cent. NGX Industrial Goods index up by 2.39 per cent, while NGX Banking index rose by 1.86 per cent M-o-M.

NGX Insurance index posted a monthly gain of 1.60 per cent, while NGX Commodity index appreciated by 1.04 per cent. On the flip side, the NGX Oil & Gas index down 1.17 per cent M-o-M.

Investor sentiment, as measured by market breadth closed positive as 81 stocks gained, 30 lost, while 34 remained unchanged. For the month of May, Beta Glass led the gainers table by 133 per cent to close at N232.65, per share.

Northern Nigeria Flour Mills followed with a gain of 85.2 per cent to close at N138.90, while Caverton Offshore Support Group went up by 73.6 per cent to close to N4.20, per share.

On the other side, Abbey Mortgage Bank led the decliners table by 32.8 per cent to close at N5.58, per share. Legend Internet followed with a loss of 31.8 per cent to close at N6.16, while Nigerian Enamelware declined by 18.8 per cent to close at N20.55, per share.

Market analysts noted that the performance was underpinned by strong macroeconomic fundamentals, renewed buying interests, and positive market internals. These factors drove significant upward momentum, pushing several equities to new 52-week highs. Notably, the bullish wave was most prominent in the consumer goods and insurance sectors, which enjoyed robust demand from both retail and institutional investors.

Cowry Asset Management Limited noted that “this optimism is driven by sustained investor interest in defensive and fundamentally sound stocks, as well as ongoing positioning ahead of the half-year earnings season.

“The proximity to the close of the second quarter is expected to further motivate strategic accumulation, particularly by institutional investors seeking exposure to dividend-paying and growth-oriented equities.”

It said, “with momentum on its side, the NGX appears poised for continued growth in the near term, provided that macro and policy fundamentals remain supportive. However, as valuations rise, investors are advised to maintain a cautious stance and continue to prioritise stocks with solid fundamentals, healthy balance sheets, and resilient earnings potential.”

Looking ahead, Afrinvest Limited said, “we anticipate the bourse to sustain the positive performance as investors reassess long-term opportunities in fundamentally viable stocks.”