In a historic achievement for the Nigerian financial landscape, the nation's equities market has shattered a monumental barrier. The Nigerian Exchange (NGX) soared past the N100 trillion market capitalisation mark for the first time ever, setting a buoyant tone for the start of the 2026 financial year.
A Historic Rally and Market Concentration
Market data reveals an impressive surge from N99.94 trillion on January 2 to N101.81 trillion by January 5. This represents a staggering gain of N1.87 trillion in just two trading sessions. In dollar terms, the bourse advanced from $69.61 billion to $71.15 billion, underscoring the powerful momentum of the early-year rally.
A deep dive into the market's structure uncovers a significant concentration of value. Analysis shows that just 14 companies control nearly 50% of the entire NGX's N100 trillion capitalisation. As of the close of trading on January 5, the combined market value of these firms stood at N48.35 trillion.
The Titans of the NGX
The market is dominated by a few powerful conglomerates and financial institutions:
- The BUA Group, through BUA Cement and BUA Foods, commands a combined market value of N20.6 trillion.
- Companies under the control of Aliko Dangote—Dangote Cement, Dangote Sugar Refinery, and NASCON—contribute N11.3 trillion to the bourse.
- Firms linked to Tony Elumelu, including United Bank for Africa, Transcorp, Transcorp Power, United Capital, African Prudential, and Transcorp Hotels, account for N6.8 trillion.
- Other heavyweights include Seplat Petroleum (N3.37 trillion), GTCo Holdings (N3.53 trillion), and Zenith Bank (N2.75 trillion).
Drivers of Growth and Expert Commentary
The benchmark all-share index climbed 1.74 per cent in the latest session, bringing year-to-date returns to 2.32 per cent. The uptrend was fueled by strong buying interest in stocks like Cadbury Nigeria, Fidson Healthcare, and Champion Breweries, reflecting the traditional "January effect" that often boosts early-year performance.
Investor sentiment was overwhelmingly positive, with market breadth widening to 9.13x. A total of 73 equities closed higher against just eight decliners, signalling broad-based participation in the rally.
Temi Popoola, Group Managing Director and CEO of Nigerian Exchange Group, hailed the milestone as a defining moment. He stated it signals renewed confidence and reflects the market's growing depth, resilience, and responsiveness to improving macroeconomic conditions and structural reforms. He credited sustained collaboration among market operators, policymakers, and the Securities and Exchange Commission for enhancing transparency and liquidity.
Echoing this sentiment, Jude Chiemeka, CEO of Nigerian Exchange Limited, noted the rally was underpinned by improving participation and selective demand across key sectors. He pointed to strong activity in banking, industrial, and consumer goods stocks, alongside rising trading volumes, as evidence of increasing investor confidence.
Trading Activity and Broader Market Trends
Trading activity during the session presented a mixed picture. The total volume traded rose significantly by 58.13 per cent to 695.64 million shares. However, the total transaction value declined by 25.57 per cent to N18.57 billion across 56,606 deals. Year-to-date equities turnover climbed to N43.52 billion.
Zenith Bank led trading by value at N3.51 billion, followed by WAPCO at N2.56 billion and Aradel Holdings at N1.57 billion. Access Holdings and GTCO were also among the most actively traded stocks.
In the broader market, the fixed income segment's capitalisation remained steady at N51.48 trillion. Meanwhile, the exchange-traded funds (ETF) segment recorded growth, with its market capitalisation rising to N50.45 billion, highlighting diversifying investor interest across different asset classes.
