The Nigerian equities market witnessed a significant rebound on Thursday, April 17, 2025, as investors regained confidence following a turbulent start to the week.
The Nigerian Exchange Limited (NGX) reported that investors gained N239 billion in market capitalisation, bringing relief to the market after the losses recorded in previous sessions.
According to market data, the market capitalisation rose from N65.26 trillion on Wednesday to N65.5 trillion by the close of Thursday’s trading. Similarly, the All-Share Index (ASI) climbed by 390.52 points, or 0.38 per cent, to close at 104,242.40 points.
This positive performance came on the heels of increased investor interest in select banking and consumer goods stocks, reversing a bearish trend driven by profit-taking and cautious sentiment earlier in the week.
Top gainers in Thursday’s session included Abbey Mortgage Bank, which surged by 9.94 per cent to close at N8.96 per share. Nigerian Breweries followed with a 9.86 per cent increase to N36.20 per share, buoyed by strong investor sentiment following the company’s impressive earnings report showing a 186 per cent surge in profit.
Also among the top performers were Associated Bus Company and Livestock Feeds, which appreciated by 9.23 per cent and 9.2 per cent respectively. These movements indicate a renewed appetite for undervalued or fundamentally sound stocks across key sectors.
However, the market was not without its laggards. Sunu Assurances Nigeria led the losers’ chart with a 9.91 per cent decline to N5.00 per share, trailed by Ellah Lakes (-9.76%), Cornerstone Insurance (-9.44%), and Sovereign Trust Insurance (-9.18%).
Trading activity revealed a mixed pattern, with volume increasing while value and number of deals declined. A total of 376.29 million shares were exchanged, representing a 7 per cent increase compared to the previous session. However, the total turnover dropped by 42 per cent to N7.91 billion, while the number of deals decreased by 8 per cent to 11,204.
Universal Insurance led in volume with 89.3 million shares traded, followed by Fidelity Bank with 49.5 million shares, Access Holdings with 32.9 million, and Zenith Bank with 15.6 million.
Sector-wise performance was broadly bullish. The Banking Index appreciated by 1.33 per cent, driven by gains in tier-2 banks and microfinance stocks. The Consumer Goods Index also advanced by 1.24 per cent as investors reacted to strong earnings from key players like Nigerian Breweries.
Meanwhile, the Pension Index grew by 0.85 per cent, and the Oil and Gas Index rose by 0.44 per cent, supported by renewed interest in downstream energy companies.
Despite the gains on Thursday, the equities market posted a weekly loss of 0.52 per cent and a four-week decline of 1.08 per cent, signaling ongoing investor caution. However, the year-to-date return remained positive at 1.28 per cent, reflecting some level of resilience and long-term investor confidence.
Analysts attributed the rebound to bargain hunting and positioning ahead of the Q2 earnings season. “Investors are beginning to realign portfolios in anticipation of corporate results and dividend declarations,” said Adetola Olawuyi, a market analyst at LeadCapital Securities. “The upward momentum in fundamentally strong stocks is likely to continue if macroeconomic conditions remain stable.”
The rebound in market sentiment may also be linked to recent actions by the Central Bank of Nigeria (CBN), which has sustained tighter monetary policies to stabilize the naira and control inflation. These efforts have increased investor confidence in Nigeria’s financial markets, especially among institutional and foreign investors seeking undervalued assets.
In addition, improved clarity around fiscal policies and ongoing reforms aimed at attracting capital into the non-oil sectors are expected to support market performance in the coming quarters.
Thursday’s N239 billion gain marked a turning point for the Nigerian equities market after a shaky start to the trading week. While caution still lingers due to global economic uncertainty and domestic inflation concerns, the positive momentum in select sectors shows that investor appetite remains alive. As earnings season progresses, the market could witness more volatility, but the current rebound offers a glimmer of hope for a sustained upward trajectory.