Nigerian equities opened the week on a bullish note, with investor portfolio values swelling by N152 billion as key industrial and commodities stocks, notably BUA Cement Plc and Presco Plc, led a market advance. The positive momentum unfolded amidst a crucial Monetary Policy Committee (MPC) meeting of the Central Bank of Nigeria (CBN), which commenced in Abuja on Monday, with market participants keenly awaiting clarity on the nation’s interest rate trajectory.
Despite an initially subdued trading session, strong buying interest in several blue-chip companies helped reverse early bearish sentiment, steering the market towards a positive close. The Nigerian Exchange (NGX) All-Share Index (ASI) climbed by 0.18 per cent, settling at 131,826.77 points. This uptick pushed the year-to-date (YTD) return to 28.08 per cent, reflecting sustained investor optimism and a deepening confidence in the resilience of Nigeria’s domestic capital market. The aggregate market capitalisation also witnessed a boost, gaining N152 billion to close at N83.39 trillion, according to market updates from stockbrokers.
At the forefront of Monday’s rally were Presco Plc and BUA Cement Plc, whose strong performance significantly contributed to the day’s overall market gains.
Presco Plc, a leading agro-allied company with a strong focus on oil palm cultivation and processing, saw its share price rise 5.1 per cent. Presco emerged as the most traded stock by value, accounting for 14.43 per cent of the total value of all trades executed on the exchange, amounting to N3.1 billion. The heavy investor interest in Presco underscores a renewed focus on the commodities sector, which advanced by 0.50 per cent on the day. Investors appear to be gravitating towards companies with strong agricultural linkages, potentially viewing them as hedges against inflation and beneficiaries of policies aimed at boosting local production and food security. According to analysts, Presco’s integrated business model, from plantations to refined products, offers a degree of resilience that appeals to discerning investors seeking long-term value amidst macroeconomic uncertainties.
BUA Cement Plc, one of Nigeria’s largest cement manufacturers, also recorded a 5.2 per cent price appreciation. The strong performance was a key driver for the industrial goods sector, which emerged as the top-performing segment for the day, advancing by 1.50 per cent. BUA Cement’s consistent growth trajectory, driven by ongoing infrastructure development projects across Nigeria and its strategic investments in expanding production capacity, continues to attract investor confidence. As a critical supplier to the nation’s rising construction sector, BUA Cement benefits directly from government spending on infrastructure and private sector real estate development. The company’s strong operational metrics and market positioning make it a compelling choice for investors seeking exposure to Nigeria’s real sector growth story.
Despite the overall market buoyancy, market breadth on Monday tilted slightly negative, with 31 stocks advancing against 44 declining, and 69 remaining unchanged across 30,750 deals.
Sectoral performance reflected this divergent investor interest. While the industrial goods (1.50%), commodities (0.50%), and consumer goods (0.06%) sectors posted gains, key segments like banking (down 0.37%), insurance (down 1.35%), and oil & gas (down 0.10%) recorded declines. This indicates a selective investment approach, with capital rotating towards sectors perceived to have stronger near-term growth catalysts or defensive characteristics.
Overall trading activity experienced a notable contraction in volume and value, even as the number of deals increased. Total volume of transactions dropped by 78.91 per cent to 706.04 million shares, while the total value of transactions declined by 65.44 per cent to N21.56 billion. Interestingly, the number of deals increased by 7.54 per cent, suggesting a higher frequency of smaller, potentially more fragmented trades, possibly by retail investors or those executing highly specific strategies.
In terms of activity, Access Holdings Plc (ACCESSCORP) led the volume chart, accounting for 8.75 per cent of the total volume of all trades. Other active counters by volume included CONHALLPLC (6.24%), CHAMS (5.48%), United Bank for Africa (UBA) (4.66%), and Zenith Bank Plc (3.49%).
Beyond Presco’s dominance in value, other top advancers for the day included NCR Nigeria, International Energy Insurance, and Cutix Plc, each gaining 10.00 per cent. On the flipside, Meyer Nigeria led the decliners with a 10.00 per cent price depreciation, followed by McNichols Plc (-9.95%) and DEAPCAP (-9.77%).
