Nigerian Stock Market Rebounds as First Holdco Rally Lifts Investors’ Wealth by ₦720 Billion

• The Nigerian stock market recovered ₦720 billion in investor wealth on Tuesday as bargain hunting returned after Monday’s broad sell-off, pushing market capitalisation back to ₦155.849 trillion.

• First Holdco climbed 9.98 percent to lead the banking sector rally, while Learn Africa, NREIT, and RT Briscoe also recorded strong gains that helped lift the NGX All-Share Index by 0.46 percent.

• Despite renewed buying interest, investors remained selective as 23 stocks still closed lower, reflecting cautious sentiment while profit-taking persisted in parts of the consumer and insurance sectors.

July 14, () — The Nigerian stock market reversed Monday’s losses on Tuesday as renewed buying interest in banking and selected equities lifted investors’ wealth by ₦720 billion, signalling a return of bargain hunters after the previous session’s profit-taking.

The rebound was driven largely by strong gains in First Holdco and other mid-cap stocks, helping the market recover part of the losses recorded at the start of the week despite continued weakness in a number of insurance and consumer-related counters.

Market capitalisation rose from ₦155.129 trillion at the opening of trading to ₦155.849 trillion at the close, representing a ₦720 billion gain.

Similarly, the NGX All-Share Index (ASI) advanced by 0.46 percent to close at 242,870.44 points, up from 241,749.11 points recorded at the previous session.

Market sentiment also strengthened as 26 stocks appreciated against 23 decliners, reflecting improved investor appetite across key sectors of the market.

On the price movement table,

Top Five Gainers

• Learn Africa Plc led the gainers after appreciating 10.00 percent (to close at ₦9.90 from ₦9.00).
• First Holdco Plc followed with a 9.98 percent gain (to ₦72.15 from ₦65.60).
• Thomas Wyatt Nigeria Plc rose 9.80 percent (to ₦2.69 from ₦2.45).
• NREIT appreciated 9.71 percent (to ₦113.00 from ₦103.00).
• RT Briscoe Plc added 8.68 percent (to close at ₦13.15 from ₦12.10).

Top 5 Decliners

• International Energy Insurance Plc topped the losers’ chart after declining 9.86 percent (to ₦4.66 from ₦5.17).
• Legend Internet Plc shed 9.18 percent (to ₦4.45 from ₦4.90).
• FTG Insurance Plc lost 7.67 percent (to ₦2.77 from ₦3.00).
• FTN Cocoa Processors Plc fell 7.55 percent (to ₦8.21 from ₦8.88).
• International Breweries Plc declined 4.79 percent (to ₦13.90 from ₦14.60).

Meanwhile, Dangote Cement Plc, Seplat Energy Plc, Custodian Investment Plc, Julius Berger Nigeria Plc, Guinness Nigeria Plc, and Nestlé Nigeria Plc, among others, closed flat during the trading session.

Tuesday’s performance suggests investors are beginning to rotate back into fundamentally sound stocks following Monday’s broad-based sell-off.

Banking equities, particularly First Holdco, attracted renewed demand as investors took advantage of lower valuations created by the previous session’s profit-taking.

The market may sustain its recovery if bargain hunting continues in large-cap and fundamentally strong stocks.

However, investors are expected to remain selective, with trading likely to be influenced by profit-taking in recently appreciated counters and positioning ahead of corporate earnings and other market-moving developments.