The Nigerian equities market closed in negative territory on Thursday, ending a streak of strong bullish sessions as mild sell-side pressure led by Seplat Energy Plc and newly listed Legend Internet Holdings weighed on investor sentiment.
The Nigerian Exchange Limited (NGX) All-Share Index (ASI) declined by 0.08% from 111,902.61 points to 111,818.08 points while the market capitalisation dipped by N54 billion to close at N70.510 trillion compared to the previous day’s N70.564 trillion.
Seplat Energy Plc was the session’s worst-performing stock, dropping by N551.60 or 10% from N5,516.00 to N4,964.40. The decline in Seplat was a major contributor to the market’s overall negative performance.
Legend Internet Holdings, which recently listed on the NGX, also recorded a decline of 76 kobo or 10% from N7.60 to N6.84.
Abbey Mortgage Bank Plc followed closely, shedding 68 kobo or 9.90% as its share price dropped from N6.87 to N6.19.
The overall negative sentiment impacted market breadth, with more decliners than gainers. Despite the dip, market activity remained robust.
Investors executed 18,505 deals, exchanging 556.45 million shares valued at N17.17 billion across key tickers.
Among the most actively traded stocks were UBA, Fidelity Bank, Nigerian Breweries, Tantalizers and Zenith Bank.
On the gainers’ table, Livestock Feeds Plc led with a price increase of 80 kobo or 9.58%, rising from N8.35 to N9.15.
The uptick in Livestock Feeds was driven by renewed buying interest, possibly supported by improved fundamentals and speculative positioning.
Analysts attribute Thursday’s mild pullback to routine profit-taking after consecutive sessions of gains. The market had seen improved performance on the back of investor optimism around corporate earnings, easing inflation and improving macroeconomic fundamentals.
However, the decline in high-cap stocks such as Seplat signals caution, especially as the broader oil market remains volatile.
Additionally, the correction in newly listed stocks like Legend Internet reflects a typical post-IPO price realignment.
The NGX is expected to remain sensitive to developments in the energy and banking sectors, as well as macroeconomic data releases in the near term.
Analysts will also be watching for updates from the Central Bank of Nigeria (CBN) and global commodity markets.
