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By Chukwuma Umeorah
The Nigerian Exchange (NGX) closed the week ended January 30, 2026 on a negative note as sustained sell pressure in banking stocks dragged the broader equities market, despite gains in several other sectors and fresh share listings that lifted market capitalisation.
The NGX All-Share Index (ASI) declined by 0.09 per cent week-on-week to close at 165,370.40 points, while market capitalisation rose by 0.18 per cent to N106.15 trillion, reflecting the impact of additional shares listed by Guaranty Trust Holding Company Plc (GTCO) and Presco Plc.
The NGX Banking Index fell by 0.63 per cent, making it one of the worst-performing indices for the week and a major drag on overall market performance. The decline in banking stocks came amid profit-taking by investors following recent price appreciation and cautious positioning ahead of corporate earnings releases.
In contrast, some other equity sectors posted modest gains. The NGX Insurance Index rose by 0.81 per cent, while the Consumer Goods, Oil and Gas, Industrial Goods and Commodity indices advanced by 0.69 per cent, 0.06 per cent, 0.09 per cent and 0.01 per cent respectively. However, these gains were insufficient to offset losses recorded in banking and other large-cap stocks.
Trading data from the Exchange showed a slowdown in equity activity during the week. A total of 3.09 billion shares valued at N81.51 billion were traded in 222,185 deals, compared with 3.75 billion shares worth N99.87 billion exchanged in the previous week. This represented declines of 17.64 per cent in traded volume and 18.34 per cent in traded value, underscoring cautious investor sentiment.
The Financial Services sector, dominated by banking and insurance stocks, led trading activity by volume, accounting for 1.50 billion shares worth N33.92 billion, representing about 48 per cent of total market volume and 42 per cent of value traded. The Services and ICT sectors followed, reflecting continued interest in select non-bank equities.
Market breadth remained negative, as 49 equities declined in price, compared with 43 gainers, while 55 stocks closed flat. The negative breadth highlighted the cautious mood in the market, even as pockets of bargain hunting emerged in some low- and mid-cap stocks.
On the gainers’ chart, Zichis Agro Allied Industries Plc led with a 59.9 per cent appreciation, followed by Omatek Ventures Plc, which gained 49.3 per cent. Other notable gainers included UH Real Estate Investment Trust, Morison Industries Plc and SCOA Nigeria Plc.
Conversely, Neimeth International Pharmaceuticals Plc topped the decliners’ table, shedding 26.0 per cent, while LivingTrust Mortgage Bank Plc fell by 21.4 per cent.
May & Baker Nigeria Plc, Livestock Feeds Plc and Austin Laz & Company Plc also recorded significant price declines, pointing to sustained selling pressure in some healthcare and consumer-related stocks.
Despite the weak index performance, market capitalisation increased by about N194 billion during the week, driven largely by new equity listings. GTCO listed an additional 125 million ordinary shares of 50 kobo each at N80.00 per share, while Presco Plc listed 166.67 million ordinary shares following its rights issue.
According to the Exchange, “the additional shares listed on NGX arose from GTCO’s private placement and Presco’s rights issue, increasing their total issued and fully paid-up shares.” The listings helped support market value even as prices softened across several counters.
Cowry Research in its weekly review note highlighted that the equities market closed lower “as investor sentiment weakened amid sustained profit-taking pressure,” adding that while the index declined, the rise in market capitalisation reflected corporate actions rather than broad price gains.
They expect equities to remain cautious in the near term, with trading likely to be guided by corporate earnings releases and dividend expectations. “The ongoing release of corporate earnings may drive selective buying in stocks with strong results and dividend potential,” but warned that weak liquidity and profit-taking could keep the market range-bound. Overall, while gains in non-bank sectors and fresh listings provided some support, the decline in banking stocks proved decisive, pulling the NGX lower and reinforcing the cautious tone currently prevailing in the Nigerian equities market.
