Nigeria’s equities market opened the new trading week with a 0.25 percent gain on Monday as investors continued to position ahead of the half-year earnings season.
The NGX All-Share Index (ASI) rose from the preceding close of 120,990.27 points to 121,295.33 points. This pushed the market’s year-to-date return to 17.85 percent.
Similarly, the equities market capitalisation advanced from ₦76.339 trillion to ₦76.532 trillion on renewed buying interest across fundamentally sound stocks.
Universal Insurance, FCMB Group, Japaul Gold, Access Holdings and AIICO were among the most actively traded counters, indicating sustained activity in the financial and insurance segments.
Cadbury Nigeria Plc led the gainers’ chart with ₦4.85 or 10 percent gain from ₦48.50 to ₦53.35 per share. Ellah Lakes Plc gained 81 kobo or 10 percent to close at ₦8.91, up from ₦8.10.
Red Star Express advanced by 83 kobo or 9.92 percent, while Tripple Gee and Company appreciated by 27 kobo or 10 percent to settle at ₦2.97.
Market analysts attributed Monday’s performance to investors’ strategic positioning ahead of H1:2025 earnings results and ongoing portfolio rebalancing.
In a note to investors, Coronation Research stated, “Looking ahead, the market is likely to trade within a narrow range and be slightly positive as investors position ahead of the half-year earnings season. While intermittent profit-taking may limit further gains, improved foreign investor participation, resilient corporate earnings expectations, and sustained rotation into consumer goods and banking stocks could continue to support overall market strength in the near term.”
Meristem Research analysts expressed a similar view, highlighting that attractive entry prices and solid company fundamentals would continue to support market sentiment in the days ahead.
“We expect the local bourse to continue its upward trajectory this week, buoyed by continued interest in fundamentally sound tickers as investors position ahead of H1:2025 earnings releases. In addition, attractive entry prices and ongoing portfolio rebalancing are expected to contribute to this positive momentum,” Meristem said in a note.
They added that the recent announcement of GTCO’s cross-listing on the London Stock Exchange is likely to boost investor confidence in banking stocks, which have remained resilient despite intermittent profit-taking pressures in the broader market.
“While we acknowledge the chance of occasional profit-taking, particularly in consumer goods stocks that have seen significant price increases recently, we believe this will be offset by continued interest in undervalued stocks that possess strong fundamentals and growth potential. Overall, we expect the equities market to end the week in the green zone,” Meristem analysts stated.
With the half-year earnings season approaching, market participants are expected to maintain a cautious but optimistic stance, monitoring corporate disclosures and macroeconomic indicators that could influence investor sentiment and capital flows.
