Stock Market Slips By 0.5%, Market Value Drops N800bn

The Nigerian equities market reversed part of its recent gains on Wednesday as the benchmark index declined by 0.5 per cent, wiping N800 billion off investors’ wealth amid profit-taking in blue-chip stocks.

The All-Share Index (ASI) fell by 1,241.19 points, or 0.50 per cent, to close at 245,418.37 points, while the market capitalisation dropped by N800 billion to settle at N158.319 trillion.

The market’s decline was largely driven by price depreciation in heavyweight and medium-cap stocks, including Nestle Nigeria, BUA Foods, UACN, Guinness Nigeria and MeCure Industries.

Despite the pullback, market analysts said trading activity reflected sustained institutional participation, particularly in First Holdco, which accounted for more than two-thirds of total market value traded. They added that the strong performance of tier-one banking stocks indicated continued investor confidence in the financial sector.

Analysts at Imperial Asset Managers Limited projected that market sentiment would remain broadly positive, supported by robust liquidity, improving year-to-date returns and sustained institutional interest in fundamentally strong stocks.

According to the firm, the near-even balance between gainers and losers suggests investors are becoming more selective, with stock-specific fundamentals expected to play a greater role in shaping market direction.

It added that investors would closely monitor upcoming corporate earnings releases, macroeconomic developments and foreign exchange stability, while maintaining preference for companies with resilient earnings and attractive dividend prospects.

Market breadth remained positive, with 37 gainers outperforming 27 losers.

Cadbury Nigeria, Trans-Nationwide Express and Unilever Nigeria led the gainers’ chart, each appreciating by 10 per cent to close at N62.70, N3.08 and N137.50 per share, respectively. Thomas Wyatt Nigeria advanced by 9.95 per cent to N4.09, while NASCON Allied Industries gained 8.89 per cent to close at N196.00 per share.

On the losers’ chart, Nestle Nigeria and BUA Foods each declined by 10 per cent, closing at N2,812.50 and N845.10 per share, respectively. MeCure Industries fell by 9.94 per cent to N69.30, while International Energy Insurance dropped 9.84 per cent to N4.40. UACN also shed 7.75 per cent to close at N184.45 per share.

Trading activity strengthened during the session, with total volume traded rising by 34.34 per cent to 1.253 billion shares valued at N118.179 billion across 47,458 deals.

First Holdco dominated the activity chart with 736.038 million shares worth N80.812 billion. Access Holdings followed with 79.580 million shares valued at N2.094 billion, while Guaranty Trust Holding Company (GTCO) traded 34.044 million shares worth N4.419 billion. Mutual Benefits Assurance exchanged 24.361 million shares valued at N85.326 million, while Zenith Bank recorded transactions of 21.455 million shares worth N2.575 billion.