Key highlights
- The Nigerian stock market rallied by 5.82% in Q1 2023, with the All-Share Index closing at 54,232.34 points and market capitalization reaching N29.54 trillion.
- Sectoral performance was positive with the growth index leading with a 55.66% rally, followed by the consumer goods index (19.32%), premium index (11.97%), oil and gas index (10.45%), and banking index (8.5%).
- Tripple Gee and Company Plc, International Energy Insurance, John Holt, and Geregu Power were among the top gainers in the first quarter of the year, with share price growth ranging from 116.78% to 241.8%.
The Nigerian stock market rallied by 5.82% in the first quarter of 2023, capitalizing on the gains recorded in the previous year (2022: 19.98%). The All-Share Index had opened the year at 51,251.06 basis points and closed the review quarter at 54,232.34 points.
In the same vein, the market capitalization gained N1.63 trillion between January and March 2023 to close the quarter at N29.54 trillion. This is according to data from the Nigerian Exchange Group (NGX).
The market had started the year on a strong positive note, posting an 8.9% year-to-date gain as of 9th March 2023, before it settled downwards to 5.82%. The decline was on the backdrop of the CBN’s announcement to further increase the interest rate, incentivizing investors to allocate their funds to other high-yielding fixed-income instruments.
It is however worth noting that the market’s 5.82% was impressive considering the economic headwinds bedeviling the Nigerian economy during the review period, some of which included cash crunch, high inflation, and election uncertainties amongst others.
Sectoral performance
The growth index recorded high growth in the first quarter of the year, posting a 55.66% rally to close at 2,799.23 points from 1,798.28 points recorded as of 30th December 2022.
- The consumer goods index grew by 19.32%, followed by the premium index with 11.97% Q1 2022 growth. The oil and gas index printed a 10.45% growth, while the banking index grew by 8.5% in the quarter under review.
- On the flip side, the insurance sector printed a 1.81%, indicating the worst performing subindices in the review period, followed by the industrial goods index with 2.21% growth.
Tripple Gee top gainers
Tripple Gee and Company Plc saw its share price rally by a whopping 241.8% in the first quarter of the year, closing at N2.7 per share compared to 96 kobo recorded at the start of the year.
International Energy Insurance recorded a 239.47% growth in its share price in the first quarter of the year. The insurance firm, which was acquired by Norrenberger Financial Group last year, recorded a share price of N1.29 per share compared to N0.38 recorded as of the end of December 2022.
John Holt followed with an appreciation of 117.8% to close at N1.59 per share, while Geregu Power printed a gain of 116.78%. Others with impressive share price growth in Q1 2023 include MRS Oil (98.23%), N Nig Flour Mills (94.31%), Livingtrust Mortgage Bank (86.25%), and Sunu Assurances (79.31%).
