The market capitalization of the top five banks, referred to as the Tier-1 banks decreased to N2.43 trillion at the close of business on 20th August 2021 as investors in these banks lost N9.23 billion during the trading week.
According to data from the Nigerian Exchange (NGX), the market capitalization of the top five banks declined to N2.43 trillion to depreciate by 0.4% during the week.
The loss can be attributed to the sell-offs witnessed in the share prices of most of the banks, during the five trading days.
A summary of performance for each bank is captured below.
First Bank Holdings Nig. Plc gained N3.59 billion as its market capitalization appreciated from N262.04 billion to N265.63 billion, due to the increase in its share price from N7.30 to N7.40, reflecting a growth of 1.4%, at the close of business yesterday.
During the week, investors traded about 36,075,846 units of the Bank’s shares valued at N264.97 million. The volume of shares traded appreciated by 6.06%, when compared to 34.02 million units traded the previous week.
The bank released their second-quarter result which revealed that Interest Income for the period decreased by 19.36%. However, net profit for the period reported a growth of 79.76% from N12.50 billion in Q2 2020 to N22.47 billion in Q2 2021.
United Bank for Nigeria Plc lost N1.71 billion as its market capitalization depreciated from N259.92 billion to N258.21 billion, due to the decrease in its share price from N7.60 to N7.55, reflecting a decline of 0.7%.
UBA Plc, during the week, traded a total of 32,907,218 units valued at N250.26 million at the end of the trading day.
In comparison, the bank’s share volume appreciated by 11.82%, from 29.43 million traded last week.
UBA Plc is yet to release its financial statements for Q2 2021.
GT Holding Company Plc
GTCO Plc lost a total of N4.41 billion after market capitalization depreciated to N827.02 billion from N831.43 billion at the end of yesterday’s trading session.
The decline can be attributed to the decrease in the share price, from N28.25 traded at the end of last week, to N28.10 at the close of business, reflecting a decline of 0.5%.
During the trading week, investors traded a total of 58,946,434 units of the bank’s shares valued at N1.65 billion, making the bank’s stock the most traded in volume and value amongst the FUGAZ during the week. The bank traded its highest number of shares on Friday of 42.64 million units valued at N1.19 billion.
In contrast with the volume traded last week, share volume for this week increased by 25.59% from 46.94 million.
GT Holding Company is yet to release its financial statements for Q2 2021.
Access Bank Plc
Access Bank Plc lost a total of N3.55 billion at the end of the trading week as its market capitalization depreciated from N323.46 billion to stand at N319.91 billion to close the week at N9.00 per share from N9.10 the previous week.
At the end of the week, investors had traded a total of 23,907,867 units of the bank’s shares valued at N216.97 million. The total volume traded for the week advanced by 18.66%, from a total of 20.15 million traded in the previous week.
Access Bank Plc is yet to release its Q2 financial result for the year.
Zenith Bank Plc
Zenith Bank Plc lost N3.14 billion after its market capitalization depreciated to N762.93 billion from N766.07 billion at the end of the week. This decline can be attributed to the 0.4% decrease in its share price from N24.40 traded at the end of last week, to N24.30 at the end of this week.
Hence, a total of 32,138,638 units of the bank’s shares were traded during the week, valued at N780.02 million. The total volume, in comparison with the previous week, depreciated by 3.37%, from 33.26 million units traded last week.
Zenith Bank Plc is yet to release its Q2 financial result for the year which has been approved by the Board of directors but still awaiting the CBN’s approval.
What you should know
The Nigerian Exchange Limited (NGX) closed negative week-on-week as ASI depreciated by 0.10% to close at 39,483.08.
The FUGAZ banks make up over 70% of the NSE Banking sector index, hence, they strongly influence the growth or otherwise of the index.
The NGX banking Index closed negative to decrease by 0.82% and closed at 377.87.