The market capitalization of the top five banks, referred to as the Tier-1 banks or FUGAZ, increased to N2.53 trillion as at close of business, 26th of November, 2021, as investors in these banks gain a total of N15.09 billion during the trading week.
After 5 trading days of the week, 2 of the tier-1 Nigerian banks enjoyed positive market sentiments, with FBNH leading the decline.
According to data from the Nigerian Exchange (NGX), the market capitalization of the top five banks grew to N2.53 trillion to appreciate by 0.6% during the week. A summary of the performances of each bank is captured below.
FBNH’s share price appreciated closing the week at N12.00, gaining N16.15 billion, and taking its market capitalization to N430.74 billion at the end of the week. Amid sell-offs and buy-interests, at the end of the trading week, FBNH share price appreciated by 3.9% from N11.55 to N12.00
During the week, investors traded 147,341,823 units of the Bank’s shares valued at N1.79 billion, making the bank’s stock the most traded in volume.
The volume of shares traded depreciated by 64.53%, when compared to 415.36 billion units traded the previous week. The bank traded the highest number of shares in volume amongst the FUGAZ, trading its highest on Monday with 88.66 million units of shares, valued at N1.08 billion. FBNH Plc’s third-quarter result is yet to be released.
United Bank for Africa Plc depreciated by 1.20% as its market capitalization closed the week at N277.02 billion, with its share price standing at N8.20.
UBA Plc traded a total of 26,635,593 units valued at N217.36 million at the end of the trading day.
In comparison, the bank’s share volume depreciated by 6.33%, from 28.44 million traded last week.
UBA Plc released its Q3 2021 financials, revealing that net interest income appreciated by 23.25% to N229.27 billion from N186.02 billion, while total assets grew to N8.35 trillion from N7.7 trillion. In addition, the company’s profit after tax rose by 35.61% to N104.60 billion, up from N77.13 billion in the same period of 2020.
GT Holding Company Plc
GTCO Plc lost a total of N11.77 billion after its market capitalization depreciated to N735.78 billion from N747.55 billion at the end of the week’s trading session.
The decline can be attributed to the decrease in its share price, from N25.40 traded at the end of last week, to N25.00 at the close of business, reflecting a decrease of 1.60%.
During the trading week, Investors traded a total of 145,397,575 units of the bank’s shares, valued at N3.68 billion. In contrast with the volume traded last week, share volume for this week advanced by 17.51% from 123.73 million.
In Q3 2021, the Group reported a decline of 7.48% in interest income from N74.52 billion recorded in the corresponding period of September 2020 to N68.94 billion in the current period. However, post-tax profit appreciated by 4.11% from N48.01 billion in 2020 to N49.99 in the current period.
Access Bank Plc
Access Bank Plc’s share price remained unchanged to close the week at N9.00, and the market capitalization stood at N319.91 billion.
At the end of the week, investors had traded a total of 79,027,863 units of the bank’s shares valued at N722.70 million. The total volume traded for the week grew by 11.89%, from a total of 89.69 million traded in the previous week.
Access Bank Plc released its Q3 2021 financial result which revealed a decline in net interest income by 3.43% to N67.66 billion, while profit after tax dropped by 9.11%, from N38.46 billion in September 2020 to N34.95 billion in September 2021.
Zenith Bank Plc
Zenith Bank Plc gained N14.13 billion after its market capitalization appreciated to N764.50 billion from N750.38 billion at the end of the week. This appreciation can be attributed to the 1.9% growth in its share price, from N23.90 traded at the end of last week, to N24.35 at the end of this week.
Hence, a total of 98,625,659 units of the bank’s shares were traded during the week, valued at N2.39 billion. The total volume, in comparison with the previous week, appreciated by 142.27%, from 40.71 million units traded last week.
The bank released its nine-month financial result for the period ended September which revealed that Interest income for the period declined by 3.13% to N308.84 billion from N318.82 billion in the corresponding period of 2020. However, post-tax profit for the period reported a marginal growth of 0.80% from N159.32 billion in 2020 to N160.59 billion in the current period.
What you should know
The Nigerian Exchange Limited (NGX) closed positive week-on-week as ASI appreciated by 0.45% to close at 43,308.29
The FUGAZ banks make up over 70% of the NSE Banking sector index, hence, strongly influencing the growth or otherwise the index; thus, the NGX banking Index closed negative to depreciate by 0.29% and close at 390.48.