• Wednesday, July 24, 2024
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These stocks made NGX Africa’s best in H1


Veritas Kapital, Geregu Power, and Julius Berger topped the list of best-performing stocks in the first half (H1) of 2024.

These stocks and other major advancers in H1 helped to place the Nigerian equities market as Africa’s best.

The NGX grew by 33.81 percent in the first half of 2024. The All Share Index surpassed the psychological from the 74,773 points it started at the beginning of the year.

In the review first half, Nigerian Bourse outperformed Casablanca Stock Exchange (+9.99percent), Namibian Stock Exchange (+10.06 percent), Tunis Stock Exchange – (+11.15 percent), and The Egyptian Exchange – (+11.54 percent).

Nigeria’s equities market achieved this feat despite that increased yields in fixed income space made equities less attractive. Though, some resilient investors still moved in to hunt for value on Custom Street.

Other African exchanges the NGX outperformed are: Dar es Salaam Stock Exchange (+15.32 percent), Uganda Securities Exchange (+17.93 percent), Nairobi Securities Exchange (+18.87 percent), Ghana Stock Exchange (+22.34 percent), and Lusaka Stock Exchange (+28.13 percent).

Tracking Nigeria stocks half year performance shows a surprise as Veritas Kapital rose most by 162 percent in H1, followed by Geregu Power which was up by 150 percent, and Julius Berger which moved high by 127 percent in H1.

Other notable advancers in H1 are: Dangote Cement which rose by 105 percent, BUA Foods (96 percent), Tripple Gee (92 percent), and Cutix (87 percent).

Investors in Presco saw 83 percent increase in their share price, while those holding CAP share got 72 percent capital appreciation in H1.

Seplat Energy rose by 64 percent Morison was up by 58 percent, Transcorp Power rose by 55 percent, while Transcorp was up by
48 percent. BUA Cement rallied by 47 percent in H1 while Meyer increase same period by 47 percent.

“The NGX Exchange All-Share Index has been trading within a 2.75 per cent lowest-to-highest range since mid-April (and an 8.56 per cent range since the beginning of February).

“For equity markets to trade flattish is the exception, not the norm. And T-bill rates have been very consistent for over a month. Somehow, calm has emerged ahead of the principal banks’ rights issues and capital raises. We think these will succeed,” said Coronation Research analysts in their recent note.

Read also: NGX All Share Index crosses 100,000 points in week ended June 28

Here are the best-performing stocks in the first half of 2024, according to the NGX.

Vertas Kapital Assurance Plc

Veritas Kapital Assurance Plc, an insurance company, had a share price growth rate of 162.16 percent, with its share price moving from N0.37 to N0.97 in the first half of 2024.

In the first quarter of the year, the company’s earnings rose to N5.67 billion, its highest profit in at least ten years, according to BusinessDay’s analysis of its financial report.

Shareholders’ funds also grew in the first quarter, rising to N22.04 billion from N16.37 billion in the first quarter of 2023, a 35 percent increase.

Geregu Power Plc

Geregu Power Plc, which had a share price growth of 150.62 percent, had its price move from N399 to N1000 in the first half of 2024.

In March 2024, Geregu Power topped the list of stocks that helped the market defy the impact of interest rate hikes. The share price went up by 150.6 per cent as against the NGX ASI which was up by 39.60 per cent.

Julius Berger Nigeria Plc

Julius Berger Nigeria Plc also recorded 127.91 percent share price growth, with its price moving from N43 to N98 in the first half of 2024.

In May, its share price rose to N72.4 from N43 in January, making it one of the top-performing stocks in the building construction sector of the Nigerian Exchange Limited.

It also recorded a 348.9 percent growth in its earnings in the first quarter of 2024, according to BusinessDay analysis.

Dangote Cement

Dangote Cement, the multinational cement manufacturer, also made the list of top best-performing stocks in the first half of 2024.

It recorded a growth of 105 percent, with the share price growing from N319.9 at the beginning of the year, to N656.7 at the end of the first half.

Dangote Cement became the first company to hit the N10 trillion market capitalisation on the Nigeria Stock Exchange in January, BusinessDay earlier reported.

BUA Foods

BUA Foods Plc, Nigeria’s largest consumer goods company, recorded a share price growth of 96.43 percent in the first half of 2024. The share price increased from N193.4 to N379.9 in the same period.

The Company’s Profit After Tax (PAT) grew by 23 per cent to N112.1 billion while turnover grew by 74 per cent to N729.4 billion for the year ended December 31, 2023.

It also recently proposed a final dividend of N5.50 per ordinary share of 50 kobo each, subject to appropriate withholding tax and approval, BusinessDay earlier reported.

Other top-performing stocks include; Tripple G (92 percent), Cutix (87 percent), Newgold( 86 percent), Presco (83 percent), and VETINDETF (81 percent).

Analysts at Coronation Registrars expect that the performance of the NGX will enable banks to succeed in rights issues and capital raises.