NGX Gains ₦71bn as Nestlé, Banking Stocks Drive Midweek Market Rebound

The Nigerian Exchange Limited (NGX) closed higher on Wednesday as renewed investor interest in blue-chip and banking stocks lifted market capitalisation by approximately ₦71 billion, reversing losses recorded in the previous trading session.

At the close of trading, the equities market added ₦70.62 billion, pushing total market capitalisation to ₦158.09 trillion.

The benchmark NGX All-Share Index (ASI) also advanced by 109.41 points, or 0.04 per cent, to close at 244,912.24 points, reflecting cautious optimism among investors following Tuesday’s profit-taking activities.

The market’s rebound was driven largely by renewed demand for fundamentally strong stocks, particularly Nestlé Nigeria Plc, alongside banking and financial services equities including First HoldCo, FCMB Group, McNichols Plc, and Linkage Assurance.

Linkage Assurance emerged as the day’s best-performing stock after gaining 9.94 per cent, followed by Ava Capital, which rose 9.55 per cent. FTN Cocoa Processors appreciated by 7.69 per cent, while McNichols Plc and First HoldCo gained 7.34 per cent and 5.38 per cent, respectively.

On the losers’ chart, Honeywell Flour Mills and PZ Cussons Nigeria each declined by 9.94 per cent, reflecting continued selling pressure in parts of the consumer goods sector.

Despite the positive close, market breadth remained negative, with 20 stocks recording gains against 29 decliners, indicating that losses outweighed advances across the broader market.

Trading activity also slowed compared to the previous session.

Investors traded 824.06 million shares in 48,114 deals, representing a 47.25 per cent decline in volume. The total value of transactions also fell by 11.34 per cent to ₦25.47 billion.

FCMB Group recorded the highest trading volume, accounting for 44.88 per cent of all shares exchanged during the session, while First HoldCo led the market by value, contributing 22.37 per cent of total turnover.

Market analysts said Wednesday’s rebound reflected bargain hunting by investors taking positions in fundamentally strong companies ahead of the release of more corporate earnings.

They noted that while investor sentiment has improved, trading is likely to remain mixed in the near term as participants continue to react to earnings reports and broader macroeconomic developments.