Eight Nigerian Banks See Market Value Surge to ₦7.2 Trillion

Eight Nigerian Banks See Market Value Surge to ₦7.2 Trillion

As of December 24, 2024, the total market capitalization of eight major Nigerian banks rose to ₦7.20 trillion, reflecting a ₦109.10 billion gain from the previous day’s ₦7.09 trillion, according to The PUNCH.

Market Highlights:

1. United Bank for Africa (UBA):

• Share Price: Increased by 2.86% to ₦36.00 from ₦35.00.

• Market Cap: Rose to ₦1.23 trillion from ₦1.20 trillion.

• Trading Volume: Jumped to 51.17 million shares from 26.38 million the previous day.

2. Zenith Bank PLC:

• Share Price: Steady at ₦46.00.

• Market Cap: Maintained at ₦1.44 trillion.

• Trading Volume: Declined to 15.12 million shares from 34.65 million.

3. Access Holdings PLC:

• Share Price: Up by 0.61% to ₦24.70 from ₦24.55.

• Market Cap: Increased to ₦877.97 billion from ₦872.64 billion.

• Trading Volume: Fell to 10.00 million shares from 18.41 million.

4. FBN Holdings PLC:

• Share Price: Gained 2.76% to ₦27.90 from ₦27.15.

• Market Cap: Rose to ₦1.00 trillion from ₦974.56 billion.

• Trading Volume: Dropped to 2.89 million shares from 5.06 million.

5. Fidelity Bank PLC:

• Share Price: Increased by 5.11% to ₦17.50 from ₦16.65.

• Market Cap: Climbed to ₦560.21 billion from ₦533.00 billion.

• Trading Volume: Declined to 12.51 million shares from 21.98 million.

6. Guaranty Trust Holding Company PLC (GTCO):

• Share Price: Fell by 1.36% to ₦57.95 from ₦58.75.

• Market Cap: Dropped to ₦1.71 trillion from ₦1.73 trillion.

• Trading Volume: Declined to 17.42 million shares from 39.38 million.

7. Sterling Financial Holdings Company PLC:

• Share Price: Surged by 6.36% to ₦5.85 from ₦5.50.

• Market Cap: Increased to ₦168.42 billion from ₦158.35 billion.

• Trading Volume: Slightly reduced to 8.53 million shares from 9.79 million.

8. Wema Bank PLC:

• Share Price: Rose by 2.86% to ₦9.00 from ₦8.75.

• Market Cap: Grew to ₦192.87 billion from ₦187.51 billion.

• Trading Volume: Increased to 5.60 million shares from 4.25 million.

Expert Insights:

Charles Sanni, CEO of Cowry Treasurers Limited, highlighted the role of banks as economic drivers, attracting investor interest due to their liquidity and profitability, especially during inflationary periods. He noted that the recapitalization directive by the Central Bank of Nigeria (CBN) earlier this year significantly boosted the sector, enabling banks to strategically deploy capital.

Recapitalization Policy:

In March, the CBN raised the minimum capital requirements for banks:

• International Banks: ₦500 billion.

• National Banks: ₦200 billion.

• Regional Banks: ₦50 billion.

This move aligns with Nigeria’s economic growth goals and strengthens the financial sector.

With banks performing as key economic enablers, their market activity continues to be a focal point for both local and international investors.

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