Market Overview
The Nigerian Stock Exchange (NGX) recorded a positive trading session on February 7, 2025, as the NGX All Share Index closed at 105,913.58, reflecting a 0.46% increase. This marks sustained bullish momentum in key sectors, particularly consumer services and energy, which saw significant price appreciation.
In a session that witnessed over 376 million shares traded, investor sentiment remained upbeat, fueled by increased activity in consumer non-durables, energy, and finance sectors.
Top 5 Performing Stocks
The biggest gainers of the day were led by Academy Press Plc (ACADEMY) and Cadbury Nigeria Plc (CADBURY), both posting impressive 9.93% gains. These stocks were followed closely by Eterna Plc (ETERNA), which climbed 9.9%.
| Symbol | Company | Sector | Price (₦) | 1-Day % Change |
|---|---|---|---|---|
| ACADEMY | Academy Press Plc | Consumer Services | 2.99 | 9.93% |
| CADBURY | Cadbury Nigeria Plc | Consumer Non-Durables | 29.35 | 9.93% |
| ETERNA | Eterna Plc | Energy Minerals | 36.65 | 9.9% |
| LIVESTOCK | Livestock Feeds Plc | Process Industries | 5.8 | 9.85% |
| UPDC | UPDC Plc | Finance | 2.59 | 9.75% |
Key Drivers for Top Performers
- Academy Press Plc (ACADEMY): Strong financial results and increased demand for print materials have boosted stock value.
- Cadbury Nigeria Plc (CADBURY): Increased consumer spending on FMCG products is driving profitability in the consumer non-durables segment.
- Eterna Plc (ETERNA): Rising global oil prices and energy sector expansion have fueled investor confidence.
Worst 5 Performing Stocks
On the downside, Multiverse Mining (MULTIVERSE) saw a sharp decline of -9.95%, making it the biggest loser of the day. The health technology sector also suffered, with Mecure Industries Plc (MECURE) dropping -9.71%.
| Symbol | Company | Sector | Price (₦) | 1-Day % Change |
|---|---|---|---|---|
| MULTIVERSE | Multiverse Mining & Exploration | Non-Energy Minerals | 9.05 | -9.95% |
| MECURE | Mecure Industries Plc | Health Technology | 12.55 | -9.71% |
| NPFMCRFBK | NPF Microfinance Bank Plc | Finance | 1.74 | -7.94% |
| LEARNAFRCA | Learn Africa Plc | Consumer Services | 4.3 | -4.44% |
| TANTALIZER | Tantalizers Plc | Consumer Services | 2.0 | -3.85% |
Why These Stocks Declined
- Multiverse Mining (MULTIVERSE): Profit-taking by investors and weak demand in the non-energy minerals sector.
- Mecure Industries (MECURE): Regulatory challenges in the healthcare industry are affecting investor confidence.
- NPF Microfinance Bank (NPFMCRFBK): Uncertain monetary policy outlook impacting the financial sector.
Sectoral Performance
While technology services, energy minerals, and consumer non-durables led the market in gains, the non-energy minerals and retail trade sectors struggled.
Best Performing Sectors
- Technology Services
- Energy Minerals
- Health Technology
- Consumer Non-Durables
- Commercial Services
Worst Performing Sectors
- Non-Energy Minerals
- Transportation
- Health Services
- Communications
- Retail Trade
Macroeconomic Factors Influencing the Market
The broader economic landscape continues to influence market movements. According to data from the Central Bank of Nigeria (CBN) and National Bureau of Statistics (NBS):
- Inflation stands at 34.8% as of January 2025, up from 33.88% in October 2024.
- Interest rates remain elevated at 27.5%, reflecting tight monetary policy.
- Foreign exchange markets remain volatile, with the Naira trading at ₦1,502 per USD on February 6, 2025.
These factors are shaping investor sentiment, particularly in sectors sensitive to inflation and interest rate changes.
Bond Market Snapshot
The Nigerian bond market saw stable yields, with the 2-year bond closing at 23.66%, while the 3-year bond remained at 22.94%.
| Bond Type | Last Yield (%) | 1-Month Change (%) | 1-Year Change (%) |
|---|---|---|---|
| Nigeria 2-Year | 23.66 | -5.44% | +89.54% |
| Nigeria 3-Year | 22.94 | +9.26% | +71.11% |
| Nigeria 5-Year | 21.44 | — | — |
Market Outlook
Analysts expect continued volatility in the market as macroeconomic conditions evolve. However, strong earnings reports from top firms and improving investor sentiment may sustain the rally in key sectors.
Key Takeaways for Investors
- Stay invested in high-performing sectors like technology and energy minerals for potential gains.
- Monitor inflation and interest rate trends, as these factors will influence market direction.
- Diversify portfolios to hedge against sector-specific downturns.
The Nigerian stock market remains attractive for long-term investors, with select opportunities for value and growth.
