Investment researchers at Bancorp Securities Limited, a leading investment and stockbroking consultancy in Nigeria, have projected that in view of the prevailing micro and macroeconomic factors, the nation’s equities market will sustain positive trend during trading sessions this week.
The experts, in the firm’s ‘Weekly Stock Recommendation 28th September-2nd October 2026’ circulated to our correspondent on Monday, predicted that despite the positive outlook of the equities market, portfolio allocation would remain sensitive to the fixed-income yields as government sustains its borrowings from the market.
The experts forecasted: “We expect the equities market to remain supported this week, with sentiment driven by expectations of H1 2026 bank earnings and interim dividend announcements. The 350bps MPR reduction provides a more favourable valuation backdrop for equities, although portfolio allocation will remain sensitive to fixed-income yields amid elevated government borrowing requirements. Technical indicators remain positive, although intermittent profit-taking is likely following three consecutive weeks of gains.”
Reflecting on the performance of the equities market last week, the researchers noted that the market extended its positive run for a third consecutive week, although the pace of gains moderated, as the NGX All-Share Index (ASI) advanced 0.92% week-on-week (W-oW) to 252,113.41 points, compared with 2.78% gain in the previous week, raising the market’s YTD return to 62.01%, while market capitalization increased to N163.66 trillion.
- Advertisement -
Also, they observed that trading activity strengthened considerably, with total volume rising 44.30% Week-on-week to 4.69 billion shares, while value traded increased 1.19% to N240.82 billion.
However, the analysts noted that the number of deals declined 9.28% to 261,189, indicating that the increase in activity was driven by higher trading volumes despite fewer transactions, compared with 3.249 billion shares worth N237.986 billion across 287,919 deals in the preceding week.
On the market breadth and sentiment, the experts recalled that the market sentiment strengthened further, with market breadth improving to 1.52x from 1.26x in the previous week, while the Weekly Up/Down Volume Ratio increased sharply to 3.86x from 1.01x, and the Weekly TRIN declined to 0.64x from 1.26x.
