Banking, Industrial Goods drive stock market as investors gain N5.5trn

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Peter Egwuatu

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The stock market extended its bullish run for the fourth consecutive week, supported by sustained investor interest in Banking and Industrial Goods stocks.

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Trading last week o the Nigerian Exchange Limited, NGX showed that market participants digested the first wave of the first quarter, Q1’26 earnings reports across the Consumer Goods, Cement, and Hospitality sectors.

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Precisely, gains in BUA Foods , which rose by N7.9%, Dangote Cement 8.1%, WAPCO 21.4% , First Holdco 17.2%, Zenith Bank 7.9%, BUA Cement 2.5%) and UBA 14.6% drove the All-Share Index, ASI higher by 4.0% Week on Week W/W to 225,406.05 points, being a new all-time high, from 217,167.57 points the previous week.

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Also, market capitalisation, which represents the total value of equity investment listed on the Exchange surged by over N5.5 trillion to close at154.334 trillion from N139.826 trillion the previous week.

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As a result, the Month-to-Date, MtD and Year-to-Date, YtD returns settled higher at 16.9% and 41.9%, respectively.

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On market activity, total volume and value traded increased by 2.4% and 3.9% W/W, respectively. Sector performance was broadly positive, as the Industrial Goods Index increased 7.7%, Banking Index 6.8%, Consumer Goods Index 5.2%, Oil & Gas Index 0.9% and Insurance Index 0.4%.

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Commenting on the outlook, analysts at Cordros Capital said: We believe market direction in the near term will be driven by Q1 corporate earnings releases, particularly from the telecoms, industrial goods, and oil and gas sectors. In addition, the transition to extended trading hours (9:00 am – 4:00 pm) remains a key watchpoint, with potential to support higher trading volumes and improve overall market liquidity.”

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In its own report and projection, analysts at InvestData Consulting Limited stated: “Although these Indices closed the week offering favourable investment opportunities, investors should be aware that the market hasn’t corrected itself. Sectors such as Banking, Industrial, and Consumer Goods are close to their corrective phase. While the oil and insurance sectors offer a safer investment opportunity.”

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