Nigeria’s equities market closed lower on Wednesday after a fresh wave of selloffs dragged several key stocks into negative territory, ending the market’s bullish momentum. The downturn wiped off about N444 billion from the market capitalisation as investors reacted to renewed profit-taking across different sectors.
The market capitalisation fell by 0.49 per cent to close at N90.996 trillion, compared to the previous N91.440 trillion. The All-Share Index (ASI) also dropped by 698.56 points, moving from 143,763.13 to 143,064.57. This decline pushed the Year-to-Date return down to 39 per cent, a slight slip but still reflecting a generally strong year for the Nigerian Exchange.
Despite the broad losses, market breadth closed positive as 29 stocks recorded gains while 27 declined. This sign of mixed sentiment showed that some investors continued to take positions in selected equities even as others exited.
AIICO Insurance led the list of top gainers after its share price rose by 10 per cent to close at N3.52. NCR Nigeria followed with a 9.96 per cent increase to N49.70, showing renewed interest in the technology and business service sector. Ikeja Hotel also gained 9.41 per cent to settle at N25 per share, reflecting improved confidence in the hospitality segment. Prestige Assurance appreciated by 7.38 per cent to N1.60, while Sterling Nigeria rose by 6.85 per cent to N7.80 per share as banking sector interest remained visible.
On the flip side, Learn Africa topped the list of losers after shedding 10 per cent to close at N5.22. Cadbury Nigeria also lost 9.92 per cent, falling to N53.10, as consumer goods stocks faced renewed pressure. Meyer dropped 9.91 per cent to close at N14.55, extending losses in the industrial segment. UPDC slid by 8.83 per cent to N5.47, while International Breweries declined by 8.33 per cent to end at N11 per share.
Even with the negative close, market activity improved significantly. Trading volume rose sharply as investors exchanged 738.35 million shares worth N35.5 billion in 19,919 deals. This performance far exceeded Tuesday’s 556.2 million shares valued at N18.7 billion across 19,500 deals. The growth in value and volume suggested heightened investor participation despite the market downturn.
GTCO was the most traded stock in both volume and value, recording 134.12 million shares worth N11.57 billion. The banking group’s strong activity level reflected continuous investor interest in financial sector stocks, which have remained attractive due to their liquidity and earnings potential.
Analysts say Wednesday’s decline may be temporary, driven mainly by short-term profit-taking after recent strong rallies. They noted that the presence of more gainers than losers indicates that sentiment is not entirely bearish. Some investors are still taking positions in undervalued stocks ahead of future announcements and year-end corporate disclosures.
Overall, while the N444 billion loss highlighted a moment of caution in the market, the improved trading activity and continued interest in financial, insurance, and hospitality stocks show that the equities market still maintains strong investor participation. As global economic conditions and local monetary policies continue to evolve, market watchers expect more cautious but active trading in the coming days.
