The Nigerian stock market extended its positive momentum on Wednesday, adding N186 billion to the equities market capitalisation amid renewed investor confidence in key mid- and small-cap counters.
The Nigerian Exchange Limited (NGX) All-Share Index (ASI) advanced by 0.27 percent to close at 109,059.33 points, up from the previous day’s close of 108,762.6 points.
Accordingly, the equities market capitalisation appreciated from N68.357 trillion to N68.543 trillion.
The sustained rally lifted the market’s performance for the week to 0.30 percent and pushed the month-to-date return to 3.08 percent. Year-to-date (YtD) performance now stands at 5.96 percent.
Stocks such as Northern Nigeria Flourmills (NNFM), MCNichols, Champion Breweries, Caverton Offshore Support Group and FTN Cocoa led the gainers’ chart as buying interest in select growth-driven counters surged.
MCNichols rose by 16 kobo or 10 percent from N1.60 to N1.76 while NNFM advanced by N9.05 or 10 percent to close at N99.55 from N90.50. Champion Breweries gained 55 kobo or 9.91 percent to settle at N6.10 from N5.55.
Caverton appreciated by 36 kobo or 9.78 percent to settle at N4.04 while FTN Cocoa gained 22 kobo or 9.65 percent t close at N2.50 per share.
The volume and value of transactions remained strong, with 531.29 million shares traded in 14,870 deals, valued at N19.81 billion.
Financial stocks led the activity chart with Guaranty Trust Holding Company (GTCO), Access Holdings, Fidelity Bank, Nigerian Breweries and Zenith Bank ranking among the most actively traded equities.
The positive trajectory is being driven by improved investor sentiment following recent corporate earnings releases and relatively stable macroeconomic indicators.
Analysts maintain that portfolio rebalancing by both institutional and retail investors is driving short-term price actions, particularly in fundamentally sound stocks across the banking, industrial and consumer goods sectors.
Despite persistent global uncertainties, the domestic equities market continues to benefit from renewed interest in risk assets, supported by attractive valuations and expectations of improved liquidity conditions.
Market analysts expect cautious optimism to continue in the near term, barring any negative macroeconomic shocks or adverse policy surprises.
