Nigerian Stock Market Sheds N439bn, Extends Weekly Losing Streak

The bearish run in the Nigerian equities market deepened last week as investors lost about N439 billion, extending the market’s downward momentum on the back of sustained profit-taking.

The benchmark Nigerian Exchange Limited (NGX) All-Share Index (ASI) fell by 0.50 per cent week-on-week, closing at 140,295.50 basis points. Consequently, Month-to-Date (MtD) and Year-to-Date (YtD) returns moderated to +0.3 per cent and +36.3 per cent, respectively. Market capitalisation also dropped from N89.208 trillion to N88.769 trillion as of August 29, 2025.

Sectoral Performance

The downturn was broad-based, with all major indices closing negative. The NGX Banking Index shed 1.2 per cent, Insurance lost 1.0 per cent, Consumer Goods dipped 0.9 per cent, Industrial Goods fell 0.4 per cent, while Oil & Gas slid 0.2 per cent.

Market breadth remained weak, with only 31 gainers against 57 decliners, further dampening investor confidence. McNichols Plc topped the gainers’ chart with an 18.75 per cent rise to close at N3.80 per share, followed by NEM Insurance (+17.29%) and Berger Paints (+15.31%).

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On the losers’ side, Secure Electronic Technology led with a 22.73 per cent decline to 85 kobo per share, trailed by Guinea Insurance (-19.77%) and Lasaco Assurance (-13.29%).

Market Activity

Trading volume and value were lower compared to the previous week. Investors exchanged 3.199 billion shares worth N85.399 billion in 142,477 deals, against 4.773 billion shares valued at N107.426 billion in 152,965 deals the week before.

Outlook

Analysts expressed cautious optimism for the week ahead. United Capital Plc projected that expectations of a potential interest rate cut by the Central Bank of Nigeria, amid moderating inflation and stable foreign reserves, could support mild recovery.

However, Cowry Asset Management Limited warned of continued sell pressure in the Banking and Industrial Goods sectors, while bargain-hunting in Consumer Goods and Insurance stocks could spark selective gains.

NGX-ASI

Cordros Research noted that in the near term, the absence of clear catalysts may keep sentiment muted, with investors focusing on fundamentally strong equities. Over the medium term, macroeconomic developments such as inflation trends, GDP growth, and fixed-income yields will likely determine the market’s direction.

Nigerian Stock Market