Market Capitalisation Advances by N719bn Amid Demand for MTN

The Nigerian stock market has reversed its two-day losing streak, closing higher and boosting market capitalization by N719 billion. This positive performance was driven by a notable gain in MTN Nigeria, which appreciated by 1.23% to close at N820.00 per share. The Nigerian Exchange Limited All-Share Index (NGX ASI) followed suit, climbing by 1,121.33 basis points, or 0.46%, to settle at 242,870.44 basis points.

Investor sentiment appeared to be cautiously optimistic, as evidenced by the slight edge in advancers over decliners. A total of 24 stocks recorded price gains, while 22 stocks experienced declines. Among the top performers, Learn Africa led with a 10% gain, closing at N9.90 per share. First HoldCo followed with a 9.98% increase to N72.15, and Thomas Wyatt Nigeria saw a 9.80% rise to N2.69 per share.

Conversely, International Energy Insurance topped the list of losers, dropping 9.86% to close at N4.66 per share. Legend Internet declined by 9.18% to N4.45, and Fortis Global Insurance fell by 7.67% to N2.77 per share. The total trading volume saw a significant increase of 21.25%, reaching 634.775 million units valued at N53.336 billion, executed across 42,494 deals.

Analysts from Cowry Assets Management Limited anticipate the market's recovery to continue, supported by ongoing strategic investor repositioning and portfolio rebalancing. However, they cautioned that intermittent profit-taking in recently boosted stocks might moderate the pace of further gains. The trading activity was dominated by First HoldCo, with 326.922 million shares valued at N22.332 billion changing hands.

“

we expect the market’s recovery to be sustained, supported by continued strategic investor repositioning and portfolio rebalancing. However, intermittent profit-taking in recently appreciated stocks could moderate the pace of further gains.