GTCO, Zenith Bank, Others Lead Impressive N26bn Gain in Nigeria's Stock Market

• The stock market experienced a positive momentum thanks to investors interests in some key stocks
• Zenith, GTCO, and Beta Glass displayed strong performances, hence rejuvenating buying activities
• The stocks of Academy Press and NPF Microfinance Bank witnessed some depreciation

Legit.ng journalist Victor Enengedi has over a decade's experience covering Energy, MSMEs, Technology and the stock market.

The Nigerian Exchange Limited (NGX) experienced a boost of N26.87 billion in its stock market, primarily fueled by increased investor activity in Guaranty Trust Holding Company (GTCO), Zenith Bank Plc, and 33 other stocks with robust low and medium capitalization fundamentals.

At the close of the market on Thursday, November 23, GTCO observed a rise of 1.96%, concluding at N38.95 per share, while Zenith Bank witnessed a 0.30% increase, closing at N33.50 per share.

Read also

Naira records another biggest fall at the official market, depreciates by 11 per cent

Additionally, the NGX All-Share Index (ASI) saw a gain of 48.87 basis points or 0.07%, concluding at 71,052.85 basis points, compared to the previous day's closing figure of 71,003.98 basis points.

NGX All-Share Index improvements

The NGX All-Share Index (ASI) exhibited month-to-date and year-to-date returns of +2.6% and +38.6%, respectively, after hitting a 15-year in August 2023.

Additionally, market capitalization increased by N27 billion, concluding at N39.075 trillion, compared to the previous day's closing figure of N39.048 trillion.

Examining the sectors, the NGX Insurance Index saw a positive growth of 1.3%, whereas the NGX Consumer Goods experienced a marginal decline of 0.1%.

On the other hand, the NGX Industrial Goods, NGX Banking, and NGX Oil & Gas sectors remained unchanged, closing at the same levels as the previous trading day.

Read also

Naira bounces back at the official market to put Tinubu’s $1 trillion economic plans back on track

Top gainers and top losers

Investor sentiment, gauged by market breadth, displayed a positive trend, with 35 stocks recording gains compared to 19 decliners.

According to ThisDay, Beta Glass was the top performer in terms of price appreciation, surging by 10% to conclude at N59.40.

Following closely, Multiverse Mining and Exploration registered a gain of 9.98%, reaching a closing price of N5.29 per share.

Nigerian Enamelware and MeCure Industries advanced by 9.97%, closing at N19.30 and N8.38, respectively.

Additionally, Infinity Trust Mortgage Bank and Deap Capital Management & Trust experienced a rise of 9.87% each, concluding at N1.34 and 67 kobo per share, respectively.

Academy Press experienced a decline of 5.56%, concluding at N1.70, while NPF Microfinance Bank witnessed a depreciation of 4.11%, closing at N2.10 per share.

Increase in volume of trade

The overall traded volume saw a notable increase of 31.6%, reaching 563.71 million units, valued at N3.44 billion, exchanged in 6,579 deals.

Read also

Dangote Cement, MTN shareholders cash out as firms generate N13.94 trillion in revenue

Universal Insurance dominated the trading activity with 164.3 million shares, amounting to N41.980 million.

Following closely, Veritas Kapital Assurance recorded 77.129 million shares valued at N30.521 million, and Unity Bank traded 24.045 million shares worth N40.345 million.

Chams Holding Company also contributed to the market activity, trading 20.778 million shares worth N46.182 million, while Zenith Bank recorded 20.714 million shares with a total value of N694.173 million.

Stanley Okeh, a Lagos-based stock trader told Legit.ng that last week's impressive performance of the stock exchange is worth commending.

He said:

I've always stated how Nigeria's stock market is one of the safest in the world. Having to deal with all the economic downsides and still maintain an impressive performance, should be commended.

Understandably, many investors would target the banking indices the most, but the consumer goods index is doing very well too. We look forward to more positives to trigger buying interests from investors.

Read also

Tinubu's move to borrow N7.6 trillion will take national debt close to N100 trillion

Naira devaluation draws foreign investors back to Nigeria's stock market

Meanwhile, Legit.ng earlier reported that the devaluation of Nigeria's currency, the Naira, has sparked renewed attention from foreign investors towards the country's stock market.

In July 2023, there was a notable uptick in international investment inflows following the announcement by President Bola Tinubu's administration permitting a 40% depreciation of the Nigerian currency, according to data from the Nigerian Exchange in Lagos.

These decisions were well-received by investors, leading to a favourable market situation that contributed to the increased valuation of Nigerian companies' stocks.

Source: Legit.ng