A total of 19 blue chip stocks out of over 150 companies quoted on the Nigerian Exchange Limited and other Exchanges have contributed about 84 per cent or N57.4 trillion out of the N68.34 trillion overall market capitalisation as of May 9, 2025.
The rally in the stock market last week impacted some of these companies following an impressive unaudited result and accounts for the first quarter ended March 31, 2025.
The stock market gained N1.69 trillion to close at N68.34 trillion from N66.648 trillion at the beginning of trading.
Airtel Africa Plc, a telecommunication giant company listed on the NGX and London Stock Exchange, was the most capitalised company on the Exchange as of May 9, 2025.
During the period under review, the market capitalisation of Airtel Africa stood at N8.11 trillion, followed by BUA Foods Plc that closed at N7.52 trillion.
Dangote Cement Plc closed May 9, 2025, with a market capitalisation of N7.4 trillion.
Recent events have seen the stock price of Airtel Africa, BUA Foods and Dangote Cement Plc, maintaining a flat price of N2, 156.9, N418 and N432per share, respectively.
It was gathered that the stock price of Dangote Cement gained 1.85per cent Week-on-Week (WoW) to close May 09, 2025 at N440 per share from N432 per share it opened for trading.
MTN Nigeria Communication Plc came close with N5.98 trillion by market capitalisation amid recovery in Q1 2025, unaudited results and accounts.
MTN Nigeria declared a turnaround performance in its unaudited Q1 2025, declaring N133.7 billion profit after tax in Q1 ended March 31, 2025 from a loss of N392.7 billion declared in the first quarter (Q1) ended March 31, 2024.
From the profit & loss figures, MTN Nigeria announced N202.55 billion profit before tax in Q1 2025 from a loss of N390.67 billion in Q1 2024.
The company announced total revenue of N1.06 trillion, representing an increase of 40.5 per cent from N752.96 billion in Q1 2024.
Despite remaining at N5,700, the market capitalisation of Seplat Energy Plc remains N3.35 trillion.
Geregu Power Plc and Transcorp Power Plc maintained N2.86 trillion and N2.46 trillion market capitalisation as of May 9, 2025, respectively, while BUA Cement Plc was at N2.83 trillion in the period under review.
It was also gathered that six banks among the 19 companies contributed 12.8 per cent or N8.76 trillion out of the total N57.4 trillion.
“Recent events have seen the stock price of Airtel Africa, BUA Foods and Dangote Cement Plc, maintaining a flat price of N2, 156.9, N418 and N432per share, respectively.”
Guaranty Trust Holding Company Plc leads the chart in the banking sector as the most capitalisation stock, reaching N2.36 trillion, followed by Zenith Bank Plc with N2.01 trillion market capitalisation as of May 09, 2025.
Aradel Holdings Plc, N2.19 trillion; Fidelity Bank Plc, N1 trillion; United Bank for Africa Plc, N1.18 trillion; Access Holdings Plc, N1.14 trillion; First Holdco Plc, N1.07 trillion; Lafarge Africa Plc, N1.32 trillion; International Breweries Plc, N1.5 trillion, and Transcorp Hotels Plc, N1.57 trillion.
The stock market has recorded an upward trajectory since the entry of the new administration led by President Bola Tinubu, largely due to the proactive implementation of reforms such as the removal of fuel subsidy and the liberalisation of the foreign exchange market.
Foreign investors and High Network Investors have continued to take positions in these 19 stocks amid Central Bank of Nigeria’s foreign exchange policies as their prices in the past was undervalued on the bourse.
The Executive Vice Chairman of Highcap Securities Limited, David Adonri, stated that Airtel Africa, among others, were the largest companies by market capitalisation on the NGX, adding that if these companies record a one per cent gain, it would affect the direction of the stock market.
He stated that investors were in the earnings season and that what investors would get from dividends is one of the factors that drove the demand for shares in the stock market.
He noted that the stock market defied current political uncertainties because investors were futuristic, stressing that the prospect for a yield environment were bright.
According to him, “optimists also see strength in the market from the perspective of corporate fundamentals, which remain strong despite macroeconomic frailties and assault from misfired public policies.”
Also speaking on the stock market performance, the Managing Director, Globalview Capital Limited, Aruna Kebira, noted that the stock market has witnessed the tanking of inflation figures and CBN retaining interest rate at 27.50 per cent in 2025.
“Those parameters alone gave the capital market investors a moment of respite so far in 2025.
“The yields in the money market are not looking as attractive as they were in 2024, making discerning investors in search of better yields consider the capital market as their investment destination,” Kebira added.