Nigerian stock market banking stocks decline as equities lose N1.36tn in value amid heavy sell pressure on major financial shares

The Nigerian equities market opened the trading week on a bearish note on Monday, shedding N1.365 trillion in market value amid sustained sell pressure on banking stocks.

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The All-Share Index declined by 2,120.20 points, representing a 0.94 per cent drop, to close at 223,602.29 points, while overall market capitalisation fell to N143.970 trillion.

The downturn was largely driven by price losses in major and mid-cap banking and financial stocks, including Nigerian Exchange Group, First Holdco, Guaranty Trust Holding Company (GTCO), United Bank for Africa (UBA), and Zenith Bank.

Market analysts attributed the negative sentiment to ongoing profit-taking activities across the financial sector, which continued to weigh heavily on investor confidence.

Cowry Assets Management Limited noted in its outlook that the market is likely to remain under pressure in the next trading session as bearish sentiment persists.

“Heading into Tuesday’s session, the market is expected to sustain its negative bias as profit-taking activities continue to weigh on investor sentiment,” the firm stated.

Market breadth closed negative, with 40 losers outpacing 35 gainers.

On the gainers’ chart, Abbey Mortgage Bank led with a 9.26 per cent rise to close at N5.90 per share, followed by Zichis Agro Allied Industry, which gained 8.91 per cent to close at N16.99.

Wema Bank also rose by 8.80 per cent to close at N34.00 per share.

NPF Microfinance Bank gained 8.19 per cent to close at N5.68, while Wapic Insurance advanced by 7.26 per cent to close at N2.66 per share.

Conversely, First HoldCo, Trans-Nationwide Express, and United Bank for Africa (UBA) led the losers’ chart, each shedding 10 per cent to close at N67.50, N7.11, and N49.50 respectively.

Access Holdings dropped 9.90 per cent to close at N28.20, while Fidelity Bank lost 9.87 per cent to settle at N20.10 per share.

Trading activity, however, recorded an uptick, with total volume rising by 8.06 per cent to 678.174 million units valued at N44.136 billion across 82,838 deals.

Zenith Bank led in volume traded with 76.074 million shares worth N9.534 billion, followed by Wema Bank with 49.932 million shares valued at N1.680 billion and Access Holdings with 39.129 million shares worth N1.103 billion.

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Other active stocks included Tantalizers, which traded 30.018 million shares, and AIICO Insurance, which exchanged 28.268 million shares during the session.