…The latest decline adds to the market’s recent correction from its record territory.
…The official exchange rate appreciated 0.2% to N1,347.60 per dollar
FRI AUG 21 2026-theGBJournal| Nigeria’s equities market extended its losing streak on Thursday, with the benchmark index falling for a fourth consecutive trading session as investors continued to take profits in large-cap stocks.
The NGX All-Share Index (ASI) declined 0.30% to 240,037.80 points, while total market capitalisation fell by about N440.3 billion to N154.98 trillion.
The market’s year-to-date return consequently eased to 54.25%, from 54.71% a session earlier.
The latest decline adds to the market’s recent correction from its record territory.
Market capitalisation has fallen from roughly N160.42 trillion at the recent peak to N154.98 trillion, representing a decline of about N5.44 trillion in market value.
The retreat reflects a broader shift from aggressive buying towards profit-taking after the strong rally that had lifted Nigerian equities sharply this year.
Aradel Leads Heavyweight Selloff
Selling was concentrated in several prominent stocks, with Aradel Holdings falling 5.40%, Oando declining 3.68% and UBA losing 2.17%.
Other major stocks including AccessCorp, Wema Bank, Zenith Bank and GTCO also closed lower.
Aradel has been at the centre of the recent correction. The stock fell almost 10% on Wednesday, before losing another 5.40% on Thursday.
That puts its two-day decline at roughly 14.9%, making it one of the clearest targets of the recent profit-taking wave.
The selling does not appear to have been driven by a deterioration in Aradel’s underlying operating performance.
The company reported strong first-half results in July, with revenue rising 577% to N2.49 trillion and operating profit increasing 789% to N1.06 trillion.
Production also increased sharply following the consolidation of its enlarged upstream and gas portfolio.
The sharp fall in the shares therefore appears more consistent with profit-taking and valuation adjustment after a strong run, rather than a fresh negative earnings surprise.
Aradel’s recent performance illustrates the tension facing the NGX: strong corporate fundamentals remain supportive, but investors who have accumulated substantial gains are increasingly locking in profits.
Trading Activity Surges
Market activity was mixed. Trading volume jumped 140.65% to 2.87 billion shares, while transaction value fell 10.11% to N33.99 billion.
Aradel dominated value turnover, with about N9.53 billion worth of its shares changing hands, highlighting the intensity of trading in the stock.
Sterling led the volume table with 28.07 million units, while Transexpress gained 8.90% among the more notable advancers.
Market breadth remained weak, with 27 stocks declining against 17 gainers, reinforcing the view that Thursday’s weakness was broader than the headline index alone suggested.
Intensegins fell 9.85% to lead the losers, while HMCALL gained 9.38% to top the gainers.
Naira Flips Higher
The equity-market weakness came alongside another modest move in the naira, underscoring the currency’s recent two-way trading pattern.
The official exchange rate appreciated 0.2% to N1,347.60 per dollar, reversing part of the previous session’s weakness.
Proshare’s market data put the NFEM rate at N1,347.63/$1, up 0.21% from N1,350.41.
The relatively small daily moves underline the naira’s recent flip-flop pattern, with the currency alternating between modest gains and losses rather than establishing a decisive short-term direction.
For domestic investors, the stability in the official FX market remains important because it influences foreign-investor returns, imported costs and the valuation of companies with significant dollar exposure.
NASD Market Also Weakens
The selloff was not confined to listed equities.
The NASD OTC market also closed lower, with the NASD Securities Index falling 1.11% to 4,284.84 points and market capitalisation declining by the same percentage to N2.57 trillion.
Trading volume plunged 85.12% to 111,218 units, although transaction value increased 95.24% to N4.61 million across 25 trades.
SDAFRILAND was the sole gainer, rising 2.44%, while SDCSCSPLC fell 7.21%.
Overall, Thursday’s session points to a market moving through a profit-taking phase rather than a fundamental reversal.
Nigerian equities remain up more than 54% this year, but the retreat from record levels shows investors becoming more selective after a powerful rally.
The key question for the market now is whether the recent selling pressure stabilises once profit-taking subsides, or whether elevated valuations and weaker breadth trigger a deeper correction.
By Charles IKE-OKOH
X-@theGBJournal|email:gbj@govbusinessjournal.com|govandbusinessj@gmail.com
