The Nigerian stock market extended its bullish run last week, gaining N1.81 trillion in market capitalization, with strong performances in Rivers State and other regions, driven by robust corporate earnings and declining yields in money market instruments.
The Nigerian Exchange Limited All-Share Index rose 2.18% to close at 134,452.93 basis points, boosting month-to-date returns to 12.1% and year-to-date gains to 30.6%. Market capitalization climbed to N85.055 trillion, reflecting broad-based investor optimism.
The rally was fueled by strong half-year earnings reports for the period ending June 30, 2025, and a sharp drop in Treasury bill yields at a mid-week auction, prompting portfolio shifts as the Monetary Policy Committee maintained the Monetary Policy Rate at 27.50%.
Sector performance was upbeat, with the Industrial Goods Index leading at a 4.7% gain, followed by Insurance at 3.1%, Consumer Goods at 2.8%, Banking at 1.8%, and Oil & Gas at 0.9%. In Rivers State and other markets, cement and banking stocks saw heavy demand, with 60 stocks advancing against 43 decliners.
Also see: Cement Giants in Nigeria, Including Rivers State, Reap N3.2 Trillion in H1 2025 Amid Price Surge
The Initiates Plc topped gainers, soaring 60.82% to N16.13 per share, while Academy Press rose 33% to N9.31, and Nigerian Enamelware climbed 32.68% to N27.00. Secure Electronic Technology led decliners, falling 23.97% to 92 kobo.
Analysts attribute the market’s strength to expectations of sustained corporate earnings growth and favorable macroeconomic conditions, including fiscal reforms and improved foreign exchange stability. However, some caution that profit-taking may temper gains as investors await the next Monetary Policy Committee meeting outcomes.
The market’s positive breadth underscores investor confidence, with Rivers State contributing to the vibrant trading activity. Analysts at Afrinvest project a 30.4% market gain for 2025, driven by banking sector recapitalization and potential major listings on the Nigerian Exchange Limited.
As Nigeria’s economy shows signs of resilience, the stock market’s performance signals a promising outlook for investors navigating the dynamic financial landscape.
