Stocks Advance By N187bn W-o-W Despite Broad-based Sector Weakness

The Nigerian equities market closed the week on a positive note, rose by N187 billion, supported by renewed buying interest across key counters.

The benchmark NGX All-Share Index (ASI) gained 0.12 per cent week-on-week to close at 245,573.60 points, while market capitalisation increased by N187 billion to N158.513 trillion. Consequently, the market’s year-to-date return improved to 57.81 per cent.

Despite the positive performance of the benchmark index, market breadth remained negative, with 26 gainers against 63 losers, reflecting cautious investor sentiment, as declining stocks continued to outnumber advancing stocks throughout the week.

AVA Capital led the gainers table by 33.33 per cent to close at N11.00, per share. FCMB Group followed with a gain of 13.10 per cent to close at N12.95, while First Holdco went up by 12.23 per cent to close to N145.40, per share.

On the other side, Thomas Wyatt Nigeria led the decliners table by 26.71 per cent to close at N3.21, per share. Trans-Nationwide Express followed with a loss of 23.76 per cent to close at N2.15, while Critical Minerals Financing Corp declined by 22.68 per cent to close at N3.00, per share.

Meanwhile, a total turnover of 5.359 billion shares worth N139.053 billion in 261,869 deals was traded this week by investors on the floor of the Exchange, in contrast to a total of 5.119 billion shares valued at N404.762 billion that exchanged hands last week in 285,223 deals.

Looking ahead, Cowry Assets Management Limited said, “we expect the Nigerian equities market to remain cautiously optimistic in the coming week as investors continue to position in fundamentally sound stocks ahead of the earnings season. However, profit-taking in recently appreciated counters and the mixed performance across sectors could limit the pace of gains.

“Market sentiment is likely to remain driven by corporate earnings releases, dividend expectations, and developments in the macroeconomic environment, particularly movements in interest rates and fixed-income yields. Consequently, we anticipate continued sector rotation, with investors favouring fundamentally strong banking and other quality large-cap stocks, while maintaining a selective.”