Shares of Eterna Plc, an oil and gas company, have risen more than 21% on the Nigerian Exchange so far in October 2025, ending four consecutive months of declines to trade at N41.
The stock’s bullish momentum resurfaced in October after rebounding from N33.70 in September, a dip that followed a steady decline from its April 2025 peak of N49.95.
Eterna’s recovery was likely driven by stronger earnings, posting a H1 2025 profit after tax of N573.8 million, a sharp rebound from a N4.8 billion loss in the same period last year.
On September 10, Eterna released a forecast projecting a full-year 2025 profit after tax of about N1 billion. Although slightly lower than the N1.3 billion recorded in 2024, the outlook remains strong and might have helped sustain investor confidence.
Revenue rose by 6.8% to N157.6 billion in the H1 2025. Based on the company’s recent performance and market trend, its full-year revenue target of N243 billion appears achievable.
Eterna shares are up 68.7% year-to-date and are currently priced around N41, a level some investors may view as an entry point to position for a potential move above N50.
Market trend
Eterna began 2025 on a strong note, opening at N24.30 and gaining 13.58% in January and reaching N42 by February.
The momentum briefly faded in March with a 14.6% decline, but bullish sentiment returned in April, propelling the stock to a year high of N49.95.
From May through September, the stock lost steam, slipping steadily to a low of N33.70.
- However, October has seen a revival in buying interest, with dip investors likely taking advantage of the lower prices and driving the stock up by over 21%.
This renewed optimism may also be linked to the company’s ongoing capital-raising efforts, which are aimed at strengthening operations and positioning Eterna for more sustainable growth.
Capital raise
- In July 2025, Eterna Plc received shareholder approval to raise up to N50 billion through various funding options.
- The approval, granted at its 32nd Annual General Meeting on July 24, allows the company to source funds locally or internationally via public offerings, private placements, rights issues, or shareholder loans.
- The amount to be raised will be determined through book building or other valuation methods, with the company also authorized to increase its share capital by the required number of new shares.
- Additionally, the Board was empowered to take all necessary actions, including listing the new shares, appointing advisers, and ensuring compliance with regulatory requirements.
