Stock Market Slump: Nigerian Equity Market Decreases 0.50%, Marking the Third Consecutive Week of Losses

Nigerian Stock Market Experiences Third Consecutive Week of Decline

The Nigerian stock market closed on a bearish note on August 29th, marking a 708.64 point decline from the start of the week. The market's losing streak extended to a third consecutive week, with the Nigerian Stock Exchange (NGX) All-Share Index closing at 140,295.50 points.

The NGX Premium Index slipped 0.75%, while the NGX Banking and Insurance indices saw declines of 1.21% and 0.46% respectively. Trading activity slowed, with market volume dipping to 3.2 billion shares compared to 4.1 billion shares in the previous week.

Several blue-chip companies experienced significant declines. Royal Exchange Plc dropped by 11.11% to N2.00, Mutual Benefits Assurance Plc declined by 11.36% to N3.90, and Lasaco Assurance Plc fell by 13.29% to N3.00. University Press Plc dropped by 12.06% to N5.54, and Cornerstone Insurance Plc declined by 10.00% to N6.39. Daar Communications Plc dropped by 9.92% to N1.09, and Associated Bus Company Plc dropped by 9.80% to N4.51.

However, not all companies saw a decline. Berger Paints Plc increased by 15.31% and is now at N36.90. Julius Berger Nig. Plc increased by 9.93% to N146.10, SCOA Nig. Plc increased by 9.09% to N6.00, and NCR (Nigeria) Plc rose by 10.00% to N11.55. NEM Insurance PLC experienced a week-to-date gain of 17.29%, MCNICHOLS PLC had a week-to-date increase of 18.75%, and SFS Real Estate Investment Trust Plc increased by 9.99% to N301.55.

In other news, Learn Africa Plc increased by 11.43% to N7.80, and Beta Glass Plc increased by 8.16% to N486.00. International Energy Insurance settled a ¥1.85 billion loan through Norrenberger, and Legend Internet released its report for the financial year ended 2025.

The banking sector was a major contributor to the market's decline, with GTCO announcing a capital injection into its banking subsidiary, GT Bank, to meet Central Bank of Nigeria's capitalization requirements. Access Holdings also announced the resignation of Director Roosevelt Ogbonna from the Board, and the appointment of Innocent Ike as the new Group Managing Director and CEO, effective August 29, 2025, following regulatory approval and succeeding interim CEO Bolaji Agbede after former CEO Herbert Wigwe's death in 2024.

In terms of price movement, 32 equities appreciated, down from 43 in the previous week. 57 equities declined in price, slightly higher than the 54 losers recorded earlier. Another 57 equities closed flat. The market capitalization closed at N88.76 trillion, representing a 0.49% decline from the previous week's N89.2 trillion. Guinea Insurance PLC followed with a week-to-date drop of 19.77%.

Overall, the Nigerian stock market experienced a challenging week, with several blue-chip companies experiencing significant declines. However, there were also some positive movements, with certain companies seeing gains and new appointments being made in key positions. Investors will be hoping for a turnaround in the market's performance in the coming weeks.

Stock Market Slump: Nigerian Equity Market Decreases 0.50%, Marking the Third Consecutive Week of Losses