Investors in MTN Nigeria Communications Plc have recorded massive profits after the company’s share price rose sharply on the Nigerian Exchange (NGX), pushing its market value up by about N3 trillion in just a few weeks. This gain has placed MTN in the spotlight as one of the best-performing stocks so far in 2025, reflecting renewed investor confidence in the telecom sector and Nigeria’s financial markets.
According to the source report, an investor who bought N1 million worth of MTN Nigeria shares at the end of December 2024 would have gained roughly N781,000 by the close of trading in June 2025. The stock’s performance, which included a jump of over 9% during a single session, pushed it to a fresh 52-week high. On that day, over 2.4 million shares exchanged hands, valued at about N677.4 million, helping MTN add nearly N600 billion to its overall valuation. The company’s market capitalisation is now close to N6 trillion.
This recent rally follows the release of MTN’s first quarter (Q1) 2025 financial report, which showed improved earnings compared to previous quarters. The company’s return to profit was partly due to adjustments in data and voice tariffs, which were approved by the Nigerian Communications Commission (NCC), as well as a restructuring of its tower lease agreements to reduce operating costs. These moves helped the telecom operator recover from the losses it experienced during periods of currency devaluation in 2023 and 2024.
Market experts say MTN Nigeria has now become a key driver of performance in the telecom and technology sector on the NGX. Its strong showing also boosted the general market sentiment, with other major players like Airtel Africa and several top banks also recording moderate gains. But MTN’s influence was the most significant, leading the charge in investor returns and drawing in new interest from institutional and retail traders.
A Lagos-based market strategist, who asked not to be named, told reporters that many investors are now diversifying away from traditional banking and consumer goods stocks to include telecom equities in their portfolios. “MTN’s recent results have changed investor perception. The company has shown resilience, despite earlier setbacks caused by forex instability, especially due to the weakening naira and Ghanaian cedi,” the analyst said.
Large investment funds, including pension managers and insurance companies, are also taking positions in MTN shares. Analysts say the stock’s recent rally and consistent dividends make it attractive for long-term investors. Mr Kehinde Adeoye, a trustee of a Lagos-based pension fund, confirmed that his firm recently increased its exposure to MTN due to its strong financials and steady earnings. “The stock is not just giving capital gains; it’s also helping us hedge against inflation and naira volatility,” he said.
Despite the positive outlook, some experts have warned that external factors may affect the stock’s upward trend. The Central Bank of Nigeria (CBN) is expected to continue tightening monetary policy to control inflation, and a sudden hike in interest rates could reduce liquidity in the stock market. Also, any new policy changes affecting the telecom sector or international investor sentiment may slow down the rally.
In May 2025, MTN shares rose by 21% within two days after the company successfully renegotiated some of its tower lease costs and received clearer guidance from the NCC regarding pricing. That rally demonstrated how sensitive MTN’s share price is to company announcements and regulatory decisions.
Going forward, investors are closely watching the outcome of MTN’s ongoing talks with the NCC over further tariff reviews, its plans to expand tower infrastructure, and its debt restructuring efforts. The telecom giant is also expected to release its second quarter (Q2) results later in the year, which could either confirm continued growth or spark a market correction.
Industry insiders believe that if MTN sustains its strong earnings, continues expanding its data services, and keeps costs low, the current momentum may carry through to 2026. However, they also caution that Nigeria’s stock market remains fragile and prone to shocks from global and local economic shifts.
With a N3 trillion boost in market value and strong backing from both retail and institutional investors, MTN Nigeria is once again proving to be one of the most important companies on the Nigerian Exchange. Whether the rally continues or slows down will depend on how well the company manages operations, policy changes, and investor expectations in the coming months.
