The market capitalization of the top five banks, referred to as the Tier-1 banks or FUGAZ, decreased to N2.46 trillion as at close of business, 3rd of December, 2021, as investors in these banks lost a total of N70.74 billion during the trading week.
After 5 trading days of the week, all 5 of the tier-1 Nigerian banks enjoyed positive market sentiments, with GTCO leading the decline.
According to data from the Nigerian Exchange (NGX), the market capitalization of the top five banks declined to N2.46 trillion to depreciate by 2.8% during the week. A summary of the performances of each bank is captured below.
FBNH’s share price depreciated to close the week at N11.80, losing N7.18 billion, and taking its market capitalization to N423.56 billion at the end of the week. Amid sell-offs and buy-interests, at the end of the trading week, FBNH share price depreciated by 1.7% from N12.00 to N11.80
During the week, investors traded 271,967,649 units of the bank’s shares valued at N3.21 billion, making the bank’s stock the most traded in volume and value.
The volume of shares traded appreciated by 84.59%, when compared to 147.34 billion units traded the previous week. The bank traded the highest number of shares in volume amongst the FUGAZ, trading its highest on Wednesday with 133.99 million units of shares, valued at N1.57 billion.
FBNH Plc’s third quarter result is yet to be released.
United Bank for Africa Plc depreciated by 2.5% as its market capitalization closed the week at N270.18 billion, with its share price standing at N7.90.
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UBA Plc traded a total of 37,679,952 units valued at N301.08 million at the end of the trading day.
In comparison, the bank’s share volume appreciated by 41.44%, from 26.64 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 N26.49 billion after its market capitalization depreciated to N709.29 billion from N735.78 billion at the end of the week’s trading session.
The decline can be attributed to the decrease in its share price, from N25.00 traded at the end of last week, to N24.10 as at close of business, reflecting a decrease of 3.60%.
During the trading week, Investors traded a total of 100,088,554 units of the bank’s shares, valued at N2.46 billion.
In contrast with the volume traded last week, share volume for this week declined by 31.16% from 145.40 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 declined by 1.1% to close the week at N8.90, and the market capitalization stood at N316.35 billion.
At the end of the week, investors had traded a total of 98,674,424 units of the bank’s shares valued at N900.19 million. The total volume traded for the week grew by 24.85%, from a total of 79.03 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 lost N26.69 billion after its market capitalization depreciated to N737.82 billion from N764.50 billion at the end of the week. This depreciation can be attributed to the 3.5% decline in its share price, from N24.35 traded at the end of last week, to N23.50 at the end of this week.
Hence, a total of 92,681,547 units of the bank’s shares were traded during the week, valued at N2.22 billion. The total volume, in comparison with the previous week, depreciated by 6.03%, from 98.63 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 depreciated by 2.55% to close at 42,167.91
The FUGAZ banks make up over 70% of the NSE Banking sector index, hence, strongly influencing the growth or otherwise of the index; hence, the NGX banking Index closed negative to depreciate by 2.29% and close at 381.55.