Bulls Run Wild on Custom Street: Nigerian Stock Market Gains N804bn Amid NGX Warning

 

​The Nigerian capital market witnessed a remarkable surge on Tuesday, February 24, 2026, as the Nigerian Exchange Group (NGX) recorded a massive gain of N804 billion in market capitalization. This bullish momentum reflects a renewed investor confidence in the local bourse, driven largely by stellar corporate earnings and strategic positioning in blue-chip stocks. However, amidst the celebration of green charts, the NGX management has issued a critical warning to investors, urging caution against speculative trading and emphasizing the importance of fundamental-based decision-making. As the market hit a new high, the day’s performance underscored both the immense opportunities and the inherent risks of the Nigerian financial landscape in 2026.

​The Numbers: A Multi-Billion Naira Rally

​The trading session opened with high demand, particularly in the banking and industrial sectors. By the close of business, the Market Capitalization—which represents the total value of all listed shares—leaped from its previous position to settle significantly higher, adding a whopping N804 billion in a single day. The All-Share Index (ASI), the primary benchmark for the health of the Nigerian stock market, also crossed a psychological resistance level, marking one of the strongest daily performances of the first quarter.

​This rally is largely attributed to "heavyweight" tickers such as Dangote Cement, MTNN, and Zenith Bank, which saw significant price appreciation. Market analysts suggest that the current influx of liquidity is a result of institutional investors rebalancing their portfolios following the release of impressive full-year audited reports and dividend announcements.

​NGX Warning: "Don't Chase the Hype"

​Despite the euphoric atmosphere on the trading floor, the NGX leadership released a timely circular aimed at retail and institutional investors alike. The Exchange warned that while the gains are impressive, investors must remain wary of "herd mentality."

​The warning specifically highlighted the risks of over-leveraging and trading based on unverified social media tips. "A gaining market is often a breeding ground for speculative bubbles," a representative from the Exchange noted. "We encourage investors to look at the Price-to-Earnings (P/E) ratios, debt profiles, and the quality of management of the firms they are investing in, rather than just following the upward price trend."

​Top Gainers and Losers: A Deep Dive

​The day’s success was not evenly distributed across all sectors, though the bulls clearly held the upper hand.

• ​Top Gainers: Leading the pack were stocks in the consumer goods and oil & gas sectors. Companies like Seplat Energy and BUA Foods saw price movements that hit the daily 10% limit, leaving many buyers in a "bid-only" position.
• ​Top Losers: On the flip side, a few insurance and mid-cap financial stocks suffered marginal losses as some investors chose to "take profit" from previous gains to fund their entry into the trending blue-chip names.

​This "rotation" is a healthy sign of a mature market, where capital moves from overvalued segments to areas perceived to have more growth potential.

​Factors Driving the 2026 Bull Run

​Several macro and micro-economic factors have converged to create this N804 billion windfall:

1. ​Corporate Earnings: Many Tier-1 banks have reported record-breaking profits for the 2025 financial year, leading to expectations of high dividend yields.
2. ​Monetary Policy Stability: Recent signals from the Central Bank of Nigeria (CBN) regarding interest rate stability have made the equity market more attractive compared to fixed-income instruments like Treasury Bills.
3. ​Digital Transformation: The NGX’s move to fully digitalize the trading process has lowered the entry barrier for younger, tech-savvy "Gen Z" and "Millennial" investors who are now contributing significantly to market volume.

​The Importance of Professional Financial Advice

​In light of the NGX warning, the role of certified stockbrokers and financial advisors has become more critical than ever. Investing in the stock market is not a "get-rich-quick" scheme, and the volatility of the Nigerian market requires a disciplined approach. Experts suggest a Dollar-Cost Averaging (DCA) strategy—investing a fixed amount regularly—to mitigate the risk of entering the market at a peak.

​Diversification remains the golden rule. While the N804 billion gain is mouth-watering, a portfolio concentrated in just one sector could be devastated if that specific industry faces a regulatory or economic shock.

​Conclusion: Navigating the Green Wave

​Tuesday’s performance at the Nigerian Exchange Group is a testament to the resilience and potential of the Nigerian economy. A N804 billion gain is no small feat and provides a much-needed boost to the national financial outlook. However, as the NGX rightly warned, the "smart money" is always the "informed money." As we move further into 2026, the winners will be those who balance the excitement of the bull run with the sobriety of sound financial analysis.