Investors Lose N983bn as NGX Return Slips Below 50% for First...

Investors on the Nigerian Exchange (NGX) lost N982.96 billion on Friday as sustained selloffs dragged the market’s year-to-date return below the 50 per cent threshold for the first time this year, deepening the ongoing correction in equities prices.

The bearish sentiment wiped out nearly N1 trillion from market capitalisation, which declined to N148.91 trillion, while the NGX All-Share Index (ASI) fell by 0.66 per cent to close at 232,049.02 points from 233,580.83 points recorded in the previous session.

The latest decline pushed the market’s year-to-date return down to 49.12 per cent, representing its lowest level in 2026 and extending the market’s retreat from the more than 60 per cent return recorded earlier in May.

The negative close marked the third consecutive trading session of losses as widespread profit-taking and heavy selloffs in large-cap stocks continued to weigh on investor sentiment.

Aradel Holdings led the market decline after shedding the maximum daily limit of 10 per cent for the second straight session to close at N1,417.50. The stock had been one of the market’s strongest performers earlier in the year.

Banking stocks also came under pressure as four of the FUGAZ banks recorded losses. GTCO declined by 1.62 per cent, First HoldCo lost 0.66 per cent, Access Holdings fell by 0.22 per cent, while Zenith Bank dipped marginally by 0.04 per cent.

The combined weakness in the banking sector, alongside declines in Aradel Holdings and Dangote Sugar, added significant pressure on the market and limited the impact of gains recorded in a few counters.

Sectoral performance reflected the broad-based weakness, with all major indices closing in negative territory. The Oil and Gas Index recorded the sharpest decline, falling by 4.66 per cent, while the Commodity Index lost 3.13 per cent. The Insurance Index declined by 2.23 per cent, the Pension Index fell by 1.26 per cent, while the Consumer Goods Index shed 0.96 per cent.

Trading activity remained subdued as total volume traded fell by 1.26 per cent to 388.69 million shares, while the value of transactions dropped by 4.07 per cent to N18.43 billion across 44,631 deals.

Access Holdings emerged as the most actively traded stock by volume with 33.22 million shares valued at N758.26 million. Wema Bank followed with 24.34 million shares worth N680.38 million, while Deep Capital, Chams Holding Company and Sterling Financial Holdings also featured among the most traded equities.

Despite the broad market weakness, a handful of stocks recorded gains. Universal Insurance led the gainers’ chart with a 6.32 per cent increase to close at N1.01, while McNichols rose by 5.52 per cent to N8.60. Linkage Assurance appreciated by 4.67 per cent, NGX Group gained 4.35 per cent to N120, while Transcorp advanced by 3.62 per cent.

However, market breadth remained weak as 37 stocks declined against 13 gainers, indicating a negative sentiment among investors.

Analysts said the current correction reflects profit-taking activities after the market’s strong rally in the first five months of the year, with investors rotating funds amid concerns over elevated valuations and shifting macroeconomic conditions.

The market has now retreated by more than 20,000 basis points from its all-time high of 252,508 points reached in May, while cumulative losses in market capitalisation from the peak have exceeded N11 trillion.

For the week, the NGX All-Share Index declined by 1.65 per cent, while market capitalisation fell by 1.60 per cent, reinforcing the cautious sentiment that has dominated the equities market in recent weeks.