Business
Market Cap: GTbank, Zenith lead
By Odunewu Segun
Guaranty Trust Bank Plc (GTB) and Zenith Bank Plc led other 13 banks in the country with the highest market capitalization for the month of July, National Daily has gathered.
For the month under review, GTBank recorded the highest market capitalisation of about N1.15 trillion, behind Dangote Cement Plc that has N3.8 trillion in market last month.
Zenith Bank on the other hand, has a market capitalisation of N772.8 billion while ETI has N302.8 billion in market capitalisation in July 2017.
Ironically, investors on the Nigerian Stock Exchange (NSE) continued to buy stock prices of these financial institutions over speculation of proposed interim dividend, Zenith Bank and GTBank specifically.
As at the close of trading on Monday, July 31, the stock price of ETI added 18.1 per cent or N2.25 per share to close at N16.50 from opening figure of N13.97. Similarly, prices of Zenith Bank and GTBank shares appreciated by 17.8 per cent and 12.1 per cent in July respectively.
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National Daily gathered that Zenith Bank’s stock opened the month under review at N20.89 and closed at N24.61 while GTBank, the third highest price gainer in the banking sector closed July at N39.05 from N34.82 it opened for trading.
Other financial institution with stock price appreciation includes Skye bank Plc, United Bank For Africa Plc, Access Bank Plc and Stanbic IBTC Holdings Plc.
The stock price of Skye Bank added 13 per cent or N0.08 to close at N0.68 while United Bank for Africa rose by 10.7 per cent or N0.94 to close in July at N9.70 from N8.76 it opened.
Access Bank stock’s price added 8.1per cent or N0.75 to close at N10.05 per share. Furthermore, the stock price of Stanbic IBTC Holdings increased by 8.8 per cent or N2.90 to close July at N35.90.
Despite impressive profitability in the half year ended June 2017, the stock price of Diamond Bank inched up by four per cent or N0.05 to close at N1.29. The interim report and accounts of Diamond Bank showed significant growth in all key financial parameters as profit before tax surged year-on-year by 2.8 per cent to N10.8 billion, this followed the leapfrogging of gross income over total expenses during the period under review.
Commenting on the bank’s stock performance, chief executive officer, Diamond Bank, Uzoma Dozie stated that despite the economic headwind, the Bank would remain resilient and sustain the positive growth throughout the two remaining business quarters.
Unity Bank Plc and Union Bank of Nigeria recorded the highest decline in July, followed by Fidelity Bank Plc.
The stock of Unity Bank fell by 8.9 per cent or N0.06 to close at N0.61 from N0.67 in June. The stock price of Union Bank of Nigeria shed 14.4 per cent to N5.24 from N6.12 it opened in July while Fidelity Bank dropped by 4.6 per cent to close July at N1.25.