By NIyi Jacobs
Despite the NGX-Banking Index rising 2.45% week on week (W-o-W) to close at 933.79, Zenith Bank’s shares recorded a negative year-to-date (YTD) return of -2.46%. This decline occurred even as other Tier 1 banks’ YTD returns advanced, with FBNH leading at 19.53%.
The NGX-Banking Index was boosted by Access Holding Plc’s positive H1 2024 result, which spurred share price appreciation and reduced the negative YTD return to -15.77% from -17.93% recorded last week. However, Zenith Bank’s shares failed to join the rally, leading to a decline in its YTD return.
On the other hand, Stanbic IBTC and Sterling Holding’s mild share price rally this week improved their YTD returns to -17.44% and 23.91%, respectively. Fidelity, FCMB, and Wema’s YTD returns also increased, with Wema leading at 42.86%.
Analysts will continue to monitor the market to provide market intelligence about banks that have yet to commence their recapitalisation exercise. Despite the decline in Zenith Bank’s shares, the NGX-Banking Index’s rally suggests a positive outlook for the banking sector.
