Emmanuel Ochayi
Nigeria’s equity market continued its positive trend on Wednesday, rising by 0.51 per cent or N332 billion. The market recorded its third consecutive day of gains this week as investors increased their purchase of FBN Holdings, Eterna Plc, and Cadbury shares.
The Nigerian Exchange Limited (NGX) All-Share Index (ASI) moved up from 104,788.35 points to 105,324.89 points, while the market capitalisation rose from N64.889 trillion to N65.221 trillion. So far, the market has gained 2.33 percent this year and 0.79 per cent this month.
Join our WhatsApp ChannelFBN Holdings, Eterna, Cadbury Lead Gainers
Among the top gainers, FBN Holdings had the highest rally. Its share price increased from N29.30 to N32.10, gaining N2.80 or 9.56 per cent.
Eterna Plc also performed well, moving from N27.60 to N30.35, adding N2.75 or 9.96 per cent. Similarly, Cadbury rose from N22.10 to N24.30, adding N2.20 or 9.95 percent.
Analysts Predict Market Trends for February
Market analysts expect the equity market to be influenced by the release of full-year 2024 financial results.
A research note from CardinalStone analysts on February 5 stated “We expect market direction in February to be shaped primarily by investor reactions to the ongoing release of FY’24 financial results. In our view, we believe that some consumer goods counters may see positive momentum, driven by a relatively stronger Q4’2024 performance, supported by Naira stability during the quarter.”
READ ALSO: Nigeria’s Equity Market Gains 0.15% As Northern Nigeria Flour Mills, Beta Glass Lead Rally
The analysts also highlighted some stocks to watch. “We like UACN, Nestlé, and Unilever. Additionally, dividend-seeking investors are likely to position ahead of dividend announcements from key dividend-paying stocks like the tier-1 banks, Aradel, and Total amongst others.”
Another research note from Coronation analysts on February 4 provided further insights. “We anticipate that the ongoing release of FY’24 earnings reports will keep influencing market sentiment. Therefore, we will keep watching the market for exciting entry opportunities.”
Trading Volume Increases
At the close of Wednesday’s session, a total of 1,044,847,521 shares worth N28.446 billion were exchanged in 14,854 deals. The most traded stocks for the day included Access Holdings, FBN Holdings, UACN, Zenith Bank, and AIICO.
With investors keen on financial reports and dividend announcements, the equity market could see further movement in the coming days.
Emmanuel Ochayi is a journalist. He is a graduate of the University of Lagos, School of first choice and the nations pride. Emmanuel is keen on exploring writing angles in different areas, including Business, climate change, politics, Education, and others.
