FUGAZ stocks investors gain N134.54 billion during the week

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The market capitalization of the top five banks referred to as the Tier-1 banks increased to N2.57 trillion as at the close of business on the 8th of October, 2021 as investors in these banks gained N134.54 billion during the trading week.

After the five (5) trading days of the week, all of the FUGAZ banks enjoyed positive market sentiments and recorded gains.

According to data from the Nigerian Exchange (NGX), the market capitalization of the top five banks grew to N2.57 trillion, an appreciation of 5.5% during the week.

A summary of performance for each bank is captured below.

First Bank Holdings Nig. Plc 

First Bank Holdings Nig. Plc (FBNH) gained N62.82 billion as its market capitalization grew from N288.96 billion to N351.77 billion at the end of the week, making up 11% of the Fugaz capitalization. Amid sell-offs and buy-interests, at the end of the four-day trading session, FBNH share price appreciated from N8.05 to N9.80.

During the week, investors traded about 460,154,692 units of the Bank’s shares valued at N4.51 billion, making the bank’s stock the most traded in value amongst the FUGAZs during the week.

The volume of shares traded appreciated by 41.43%, when compared to 325.36 million units traded the previous week. The bank traded the highest number of shares in volume amongst the FUGAZ, trading its highest on Friday, at 154.68 million units of shares, valued at N1.54 billion.

FBNH Plc’s second quarter result revealed that Interest income for the period decreased by 19.36%. However, net profit for the period reported a growth of 79.76% from N12.50 billion in Q2 2020 to N22.47 billion in Q2 2021.

UBA PLC

United Bank for Nigeria Plc gained N13.68 billion as its market capitalization closed the week at N271.89 billion, with its share price closing the trading week at N7.95.

UBA Plc, during the week, traded a total of 70,965,269 units valued at N562.18 million at the end of the trading day.

In comparison, the bank’s share volume appreciated by 126.74%, from 31.30 million traded last week.

UBA Plc released its Half-year financials revealing a 33.4% growth in profit before tax which rose to N76.2 billion, up from N57.1 billion in the same period of 2020. In addition, the company’s gross earnings appreciated by 5.0% to N316 billion from N300.6 billion, while total assets grew to N8.3 trillion from N7.7 trillion.

GT Holding Company Plc

GTCO Plc gained a total of N16.19 billion after market capitalization appreciated to N841.73 billion from N825.54 at the end of the week’s trading session.

The growth can be attributed to the increase in the share price, from N28.05 traded the previous week, to N28.60 as at the close of business Friday, October 8, 2021 reflecting a growth of 2.00%.

During the trading week, Investors traded a total of 80,153,266 units of the bank’s shares valued at N2.23 billion.

In contrast with the volume traded last week, share volume for this week increased by 100.43% from 39.99 million.

The Group reported a decline of 15.2% in profit before tax from N109.7 billion recorded in the corresponding period of June 2020 to N93.1 billion in the current period. Also, post-tax profit depreciated by 15.76% from N94.27 billion in 2020 to N79.41 in the current period.

Access Bank Plc

Access Bank Plc’s share price appreciated by 2.7% from N9.15 to N9.40 at the end of the week as the market capitalization grew from N325.24 billion to N334.13 billion to close the week.

At the end of the week, investors had traded a total of 72,489,558 units of the bank’s shares valued at N678.84 million. The total volume traded for the week grew by 189.61%, from a total of 25.03 million traded in the previous week.

Access Bank Plc released its Q2 financial result for the year which recorded an improvement in gross earnings by 14 percent to N450.6 billion, while profit rose by 42.4 percent, surging from N61.03 billion in June 2020 to N86.94 billion in half year, 2021.

The bank approved the payment of interim dividend, to the tune of N0.30 which has been paid to existing shareholders on the 29th of September, 2021.

Zenith Bank Plc

Zenith Bank Plc gained N32.97 billion after its market capitalization appreciated to N769.21 billion from N736.25 billion at the end of the week. This appreciation can be attributed to the 4.5% increase in its share price from N23.45 traded at the end of last week, to N24.50 at the end of this week.

Hence, a total of 45,805,437 units of the bank’s shares were traded during the week, valued at N1.10 billion. The total volume, in comparison with the previous week, appreciated by 37.98%, from 33.20 million units traded last week.

The bank released their second quarter result which revealed that net Interest income for the period increased by 1.61%. However, post-tax profit for the period reported a slight growth of 2.21% from N103.83 billion in Q2 2020 to N106.12 billion in Q2 2021.

Zenith Bank approved an interim dividend of N0.30kb which was paid to shareholders on the 20th of September, 2021.

What you should know

The Nigerian Exchange Limited (NGX) closed positive week-on-week as ASI appreciated by 1.61% to close at 40,868.36.

The FUGAZ banks make up over 70% of the NSE Banking Sector Index, hence, strongly influence the growth or otherwise of the index.

The NGX Banking Index closed positive, appreciating by 4.53% to close at 387.64.