Nigerian stocks achieved an unprecedented milestone on Tuesday, with the all-share index, a measure of equities’ overall performance, surging 0.5 percent to reach 66,490.3 basis points. This remarkable feat comes on the heels of a series of market-friendly reforms introduced by President Bola Tinubu, which have contributed to restoring investor confidence in Africa’s largest economy.
This surge in the all-share index surpasses the previous peak of 66,371.2 basis points set over 15 years ago on March 5, 2008. The ascent of Nigerian stocks can be attributed to President Tinubu’s bold and transformative reforms, which included abolishing costly fuel subsidies and unifying multiple exchange rates, among other measures.
These reforms have ushered Nigerian stocks to their highest level of performance since the inception of official records in March 1996. The surge has been fueled by heightened demand for shares of major banks such as Access Holdings, Zenith, FBN Holdings, and GTCO. Additionally, increased interest in consumer goods stocks has contributed to the overall market gains, resulting in a rise of N348 billion by the end of the trading session.
Analysts at United Capital, in their weekly outlook note, expressed that investor sentiment toward listed equities is expected to be mixed, with investors continuing to selectively invest in fundamentally strong stocks with promising potential due to recent corporate actions.
The market breadth, which signifies investor sentiment, remained positive with 34 gainers and 32 decliners reported. The market capitalization increased from N36.2 trillion to N39.7 trillion. Since the beginning of the year, the index has returned an impressive 29.7 percent.
**Top Five Gainers:**
1. Flour Mills: 10 percent increase, closing at N33.
2. Champion Breweries: 10 percent increase, ending trade at N3.19.
3. NASCON: 10 percent increase, reaching N54.10.
4. Dangote Sugar: 10 percent increase, rising to N57.45.
5. NAHCO: 10 percent increase, reaching N22.10.
**Top Five Losers:**
1. CWG: 10 percent decrease, closing at N4.05.
2. Linkage Assurance: 10 percent decrease, ending trade at N0.90.
3. Chellarams: 9.9 percent decrease, falling to N3.57.
4. Prestige: 9.8 percent decrease, sliding to N0.46.
5. UPL: 9.7 percent decrease, closing at N2.15.
**Top Five Trades:**
A total of 437 million shares valued at N7 billion were traded in 7,932 deals.
1. FBN Holdings: 55.1 million shares, worth N911.2 million, traded in 288 deals.
2. Japaul: 33.1 million shares, priced at N29.9 million, exchanged hands in 127 transactions.
3. UBA: 30.2 million shares, valued at N412.2 million, traded in 506 deals.
4. Access Holdings: 25.4 million shares, estimated at N414.4 million, traded in 452 transactions.
5. Transcorp: 18.2 million shares, valued at N127.7 million, traded in 181 deals.
The remarkable surge in Nigerian stocks highlights the positive impact of market-friendly reforms on investor sentiment and overall market performance.
