By Ayomide Otitoju
Dangote Cement Plc, Airtel Africa Plc, and 13 other blue-chip stocks accounted for a staggering 79.98% of the ₦62.76 trillion total market capitalisation on the Nigerian Exchange Limited (NGX) in 2024, cementing their dominance in the equities market.
The elite group of stocks with market capitalisation exceeding ₦1 trillion includes BUA Foods Plc, BUA Cement Plc, MTN Nigeria Communications Plc, Seplat Energy Plc, Lafarge Africa Plc, FBN Holdings Plc, Zenith Bank Plc, United Bank for Africa Plc (UBA), Guaranty Trust Holding Company Plc (GTCO), Aradel Holdings Plc, Transcorp Hotels Plc, Geregu Power Plc, and Transcorp Power Plc.
Dangote Cement Leads the Pack
Dangote Cement emerged as the most capitalised stock on the NGX in 2024, with its stock price surging 49.67% from ₦319.90 to ₦478.80 per share. The cement giant ended the year with a market capitalisation of ₦8.16 trillion, underpinned by robust corporate earnings, including a profit before tax of ₦406.39 billion for the first nine months of 2024. At its peak, the company’s stock reached ₦763 per share, driving market capitalisation to an impressive ₦13 trillion.
Airtel Africa’s Resilient Growth
Trailing closely behind, Airtel Africa saw its market capitalisation rise to ₦8.11 trillion, driven by a 14.4% increase in its stock price, which closed the year at ₦2,156.90 per share, up from ₦1,887.00. Despite a decline in profit for the half-year ending September 2024, the company benefited from operational growth, including customer base expansion and improved mobile money services.
BUA Foods and MTN Nigeria in Focus
BUA Foods recorded a remarkable 115% stock price increase, closing at ₦415 per share, up from ₦193.40, and ending the year with a market capitalisation exceeding ₦7 trillion. Meanwhile, MTN Nigeria Communications saw its market capitalisation decline to ₦4.2 trillion, as its stock price fell by 24% to ₦200 per share, reflecting weaker corporate earnings.
Seplat, BUA Cement, and Others Shine
Seplat Energy’s stock price soared from ₦2,310 to ₦5,700 per share, significantly boosting its market value, while BUA Cement saw a slight dip, closing at ₦93 per share. Newly listed Aradel Holdings, alongside Geregu Power and Transcorp Power, closed 2024 with market capitalisations of ₦2.88 trillion, ₦2.7 trillion, and ₦2.68 trillion, respectively.
Top Tier-1 Banks and Other Notable Performers
Several banks also stood out, with GTCO, Zenith Bank, UBA, and FBN Holdings posting market capitalisations of ₦1.68 trillion, ₦1.43 trillion, ₦1.16 trillion, and ₦1.01 trillion, respectively. Transcorp Hotels and Lafarge Africa also maintained strong positions, closing the year with over ₦1 trillion in market value each.
Market Dynamics
Analysts attributed the strong performance of these stocks to solid fundamentals, including consistent dividend payouts and impressive corporate earnings. Despite economic challenges, these blue-chip companies demonstrated resilience, cementing their status as the backbone of Nigeria’s equities market.
