Investors interest in the shares of UAC of Nigeria Plc and other major gainers on Monday drove the Nigerian Exchange Limited (NGX) All Share Index (ASI) higher by 1.99 percent. The shares of UACN have been on demand following the company’s disclosure that it has entered into an agreement to acquire Chivita|Hollandia (CHI Limited) from The Coca-Cola Company. Investors have continued to defy UACN half-year earnings which dropped by 23 percent on cost pressure, as the stock rallied on Monday from N88.30 to N97.10, up by N8.80 or 9.97 percent.
UAC of Nigeria Plc recorded a 22.9 percent decline in its after-tax profit to N7.36 billion in the first half of 2025, down from N9.54 billion in the same period of 2024, as higher finance costs eroded gains from operating efficiencies.
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Other market gainers at the close of trading on Monday are: Lasaco which rose from N2.60 to N2.86, up by 26kobo or 10 percent, Royal Exchange which rose from N1.50 to N1.65, adding 15kobo or 10 percent, and UPDC which advanced from N5.40 to N5.94, adding 54kobo or 10percent.
“As the earnings season wraps up, our focus will likely shift to the banking sector as the market awaits H1’25 earnings and interim dividend announcements.
“We will stay nimble and adjust our portfolio positioning as needed, with any mid-week changes communicated via the Daily Market Summary to keep our strategy aligned with market sentiment,” said CardinalStone Research analysts.
The Nigerian Exchange Limited (NGX) All-Share Index (ASI) and Market Capitalisation increased by 1.99 percent from preceding trading day’s 141,263.05 points and N89.373 trillion respectively to 144,071.78 points and N91.149 trillion.
In 35,547 deals, investors exchanged 797,219,336 shares valued at N19.022 billion. FCMB, Universal Insurance, Fidelity Bank, AIICO, and Veritas Kapital Assurance were actively traded stocks.
“We maintain a cautiously optimistic outlook for the Nigerian equities market this week, anticipating continued upward momentum driven by strong corporate earnings.
“Barring any major macroeconomic headwinds or negative market surprises, investor sentiment is expected to remain broadly positive,” said Futureview Research.
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Also in their recent note, Coronation Research analysts said, “Looking ahead, market sentiment is expected to remain broadly positive as more corporates release their half year results and investors position for potential interim dividends”. “That said, some profit taking may emerge, particularly in stocks that have posted strong recent rallies.
“In addition, developments in the fixed income space, such as the outcome of upcoming bond auctions may influence short term portfolio rebalancing decisions,” Coronation Research further said.
