The Nigerian stock market has achieved a remarkable feat in 2024, closing with a striking 37.65% gain. The All-Share Index surged, fueled by substantial growth in mid and large-cap stocks. These stocks saw their prices rise sharply, boosting the market’s performance.
The Oil and Gas sector led the charge, posting an incredible 160% increase. It became the top-performing sector of the year. Meanwhile, the Insurance sector followed closely with a strong 123.15% increase.
At the start of 2024, the NSE Oil and Gas Index stood at 1,043.60 points. By December, it had maintained steady growth. Despite slight declines in March and April, the index finished ten out of twelve months in positive territory. This resilience was driven by strong performances from key players in the sector.
The impressive performance of major oil and gas companies was a major factor in the market’s success. These companies thrived, fueled by favorable market conditions and solid earnings reports. Here’s a closer look at the top five performers in the Oil and Gas sector for 2024:
- Oando (528.57%)
Oando led the pack with a staggering 528.57% gain. Starting at N10.50, the stock saw significant growth throughout the year. This surge was driven by Oando’s $783 million acquisition of Nigeria Agip Oil Company. The move boosted the company’s market cap to N1 trillion, attracting strong investor interest. By December, Oando’s shares soared to N66. - Conoil Plc (361.50%)
Conoil posted an impressive 361.50% growth. Beginning the year at N83.90, the stock saw steady upward movement. The company’s strong FY 2023 financial results, which showed a 99% increase in profit after tax, spurred investor confidence. By December, Conoil’s shares reached N387.20, marking a strong finish to the year. - Seplat Energy (146.75%)
Seplat Energy achieved a solid 146.75% gain. The stock opened the year at N2,310, then gained momentum as the year progressed. A key turning point came when the company’s chairman bought a substantial number of shares in September. By October, the stock surged by 39%, and by December, it closed at N5,700. - MRS Oil Nigeria Plc (107.43%)
MRS Oil Nigeria finished the year with a 107.43% gain. Starting at N105, the stock went through a period of stagnation. However, a strong earnings report in October triggered a 65% rally in December. By the end of the year, the stock closed at N217.80. - Total Energies Marketing Nigeria Plc (81.30%)
Total Energies rounded out the top five with an 81.30% gain. The stock started at N385 and hit a low of N321.50 in April. However, it rebounded strongly in the second half of the year. By December, it closed at N698, driven by strong market activity and positive earnings reports.
The 2024 performance of the Nigerian stock market has attracted significant attention. With oil and gas companies driving the gains, there is growing optimism about the future of the market. As we move into 2025, all eyes will be on these sectors to see if the growth continues.