The market capitalization of the top five banks, referred to as the Tier-1 banks decreased to N2.66 trillion at the close of business on Friday, 29th of October, 2021 as investors in these banks lost N23.97 billion during the trading week, with FBNH championing the decline.

After the five (5) trading days of the week, 4 of the 5 tier-1 Nigerian banks enjoyed positive market sentiments while FBNH recorded depreciation in share price.

According to data from the Nigerian Exchange (NGX), the market capitalization of the top five banks declined to N2.66 trillion to depreciate by 0.9% during the week.

A summary of performance for each bank is captured below.

FBNH Plc

FBNH’s share price depreciated, closing the week at N11.05 and losing N43.07 billion to place its market capitalization at N396.64 billion. The bank’s shares constitute 14.89% of the Fugaz capitalization. Amid sell-offs and buy-interests, at the end of the trading week, FBNH’s share price depreciated by 9.80% from N12.25 to N11.05.

During the week, investors traded 718,653,906 units of the bank’s shares valued at N8.67 billion, making the bank’s stock the most traded in volume and value amongst the FUGAZ.

The volume of shares traded appreciated by 70.49%, when compared to 421.53 billion units traded the previous week. The bank traded the highest number of shares in volume amongst the FUGAZ, trading its highest on Monday at 350.54 million units of shares, valued at N4.35 billion.

FBNH Plc’s third-quarter result is yet to be released.

UBA Plc

United Bank for Nigeria Plc gained N6.84 billion as its market capitalization closed the week at N294.12 billion, with its share price closing the trading week at N8.60.

UBA Plc, during the week, traded a total of 113,814,080 units valued at N964.21 million. In comparison, the bank’s share volume appreciated by 94.61%, from 58.48 million traded last week.

UBA Plc released its Q3 2021 financials revealing that net interest income appreciated by 23.25% to N229.27 billion from N186.02 billion, while total assets grew to N8.35 trillion from N7.7 trillion. In addition, the company’s profit after tax rose by 35.61% to N104.60 billion, up from N77.13 billion in the same period of 2020.

GT Holding Company Plc

GTCO Plc gained a total of N4.14 billion after market capitalization appreciated to N843.20 billion from N838.79 billion at the end of the week’s trading session.

The growth can be attributed to the increase in the share price, from N28.50 traded at the end of last week, to N28.65 at the close of business, reflecting an increase of 0.50%.

During the trading week, Investors traded a total of 68,171,712 units of the bank’s shares valued at N1.95 billion. In contrast with the volume traded last week, share volume for this week grew slightly by 0.03% from 68.15 million.

In Q3 2021, the Group reported a decline of 7.48% in interest income from N74.52 billion recorded in the corresponding period of September 2020 to N68.94 billion in the current period. However, post-tax profit appreciated by 4.11% from N48.01 billion in 2020 to N49.99 in the current period.

Access Bank Plc

Access Bank Plc’s share price remained unchanged to close the week at N9.50 and the market capitalization stood at N337.68 billion.

At the end of the week, investors had traded a total of 82,875,897 units of the bank’s shares valued at N783.24 million. The total volume traded for the week declined by 17.28%, from a total of 100.19 million traded in the previous week.

Access Bank Plc released its Q3 2021 financial result which revealed a decline in Net Interest Income by 3.43% to N67.66 billion, while profit after tax dropped by 9.11%, from N38.46 billion in September 2020 to N34.95 billion in September 2021.

Zenith Bank Plc

Zenith Bank Plc gained N7.85 billion after its market capitalization appreciated to N792.76 billion from N784.91 billion at the end of the week. This appreciation can be attributed to the 1.0% increase in its share price from N25.00 traded at the end of last week, to N25.25 at the end of this week.

A total of 35,370,511 units of the bank’s shares were traded during the week, valued at N883.83 million. The total volume, in comparison with the previous week, appreciated by 3.66%, from 34.12 million units traded last week.

The bank released their nine-month financial result for the period ended September which revealed that Interest Income for the period declined by 3.13% to N308.84 billion from N318.82 billion in the corresponding period of 2020. However, post-tax profit for the period reported a marginal growth of 0.80% from N159.32 billion in 2020 to N160.59 billion in the current period.

What you should know

The Nigerian Exchange Limited (NGX) closed positive week-on-week as ASI appreciated by 0.76% to close at 41,763.26.

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 0.69% to close at 400.64.