Nigerian Equities Start August On Strong Footing, As Investors Push More Stocks To 52-Week Highs
The Nigerian stock market kicked off the month of August on a bullish note, extending the positive momentum that defined July’s performance. Friday’s session reflected continued investor appetite for fundamentally strong and technically sound stocks, with several counters posting impressive gains and hitting fresh 52-week highs. The NGX All-Share Index closed higher, as investors reacted to earnings expectations, dividend positioning, and a broader market rotation into value and growth opportunities.
Market capitalization rose by ₦948.11 billion to close at ₦89.37 trillion, lifting year-to-date returns to 37.25 percent. Despite the strong upside, market breadth closed slightly negative, with 35 decliners against 32 gainers. This reflects a mix of institutional accumulation in breakout stocks and some profit-taking in others, as smart money continues to rotate across sectors in search of short-term alpha and long-term value.
Top gainers for the day included UACN, BUA Cement, Beta Glass, Wema Bank, Custodian, NEM Insurance, BUA Foods, Vitafoam, FirstHoldCo, Unilever, MTNN, Fidelity Bank, Berger Paints, AccessCorp, NAHCO, and a few others. Notably, UACN surged to ₦88.30, trading above its 52-week high. BUA Cement also broke above a significant resistance at ₦148.00, while Beta Glass, Wema Bank, Custodian, and NEM recorded new highs at ₦408.50, ₦23.90, ₦39.00, and ₦25.40 respectively. These breakouts signal strong bullish momentum backed by high institutional interest and positive earnings sentiment.
On the other hand, Champion Breweries, Oando, and Dangote Sugar led the losers’ chart, as investors locked in profits and rotated into stocks with more upside potential. These pullbacks are not unusual in a rising market and may present fresh entry opportunities depending on the underlying fundamentals.
From a technical perspective, the NGX remains in a confirmed uptrend, as the index continues to trade above its short- and medium-term exponential moving averages. The Relative Strength Index is currently hovering around 68, close to the overbought territory, which suggests that while momentum is still on the side of the bulls, a minor pullback or sideways consolidation could emerge in the short term. However, the presence of multiple 52-week highs across sectors is a bullish signal that confirms underlying market strength.
Activity levels remained elevated, though total traded volume declined slightly by 2.72 percent to close at 1.08 billion units. Market value stood at ₦26.85 billion across 34,488 deals, highlighting healthy investor participation and liquidity. FCMB recorded the highest trading volume, contributing over a quarter of total market volume, while Aradel Holdings topped the value chart with ₦3.27 billion worth of trades. Fidelity Bank, SterlingNG, and Zenith Bank also saw notable trading activity, reflecting both retail and institutional interest in banking and energy-related counters.
Looking ahead, the market’s strong start to August suggests continued investor confidence, especially as more companies release their half-year earnings. While short-term consolidation may occur, the broader trend remains upward. Traders and investors are advised to stay nimble, manage their risks, and take advantage of opportunities in fundamentally sound stocks showing strong technical signals. The momentum is clear, but disciplined execution will remain the edge in navigating the sessions ahead.
