Dangote Cement, BUA Cement, BUA Foods, and Nestle Nigeria have been listed as the most valuable manufacturing companies in Nigeria, following their impressive performance in the capital market in the month of January 2022.
According to popular business analyses platform, Nairametrics, Dangote, and BUA Cement maintained their spot as the most capitalized manufacturing firms while newcomer, BUA Foods displaced Nestle to seat in the third position after just one month of listing on the Nigerian Stock market, hereby joining the elite list of Stocks Worth Over One Trillion (SWOOT).
The Stock market closed on a positive note in the review month as the All-Share index rallied 9.15% in January, closing at 46,624.67 points while the market capitalization closed at N25.1 trillion.
Still, on Nairametrics’ listing, the aggregate market capitalization of the 30 companies under consideration, comprising of consumer and industrial goods companies increased by N592.6 billion to close at N10.8 trillion
Dangote Cement, maintained the top spot with a market value of N4.44 trillion, having gained N61.3 billion in the month under review compared to N4.38 trillion recorded as of the previous month. Fellow industry giant, BUA Cement followed with a valuation of N2.4 trillion. BUA Cement gained 5.5% in the review month from N2.27 trillion recorded as of December.
Similarly, newly listed consumer goods company, BUA Foods displaced Nestle Nigeria in the third position with a market capitalization of N1.16 trillion. The company, which was listed on the exchange on the 5th of January 2022, rallied 61% in just less than a month after listing, gaining N439.2 billion in its first month.
The surge in the market value of BUA Foods has been attributed by analysts to the tight liquidity in the company’s shareholding structure. This implies very few floating shares available to the public, hence any change in demand will significantly affect the price of the stock.
Nestle Nigeria dropped by one spot to stand in the fourth position with a valuation at N1.14 trillion as of the end of January 2022. Its downturn is attributed to the 7.8% decline in the share price of the company as it lost N96.3 billion in valuation.
Others on the list include Lafarge Africa (N412.36 billion), Nigerian Breweries (N391.27 billion), Dangote Sugar (N212.57 billion), International Breweries (N153.1 billion), Flour Mills (N117.07 billion), and Guinness Nigeria (N106.34 billion).
The two listed BUA companies were the biggest gainers in terms of value in the month of January, with BUA Foods gaining N439.2 billion in the month, followed by BUA Cement, which gained N125.3 billion. Dangote Cement also gained N61.3 billion after the share price of the company appreciated by 1.4% in January.
Lafarge Africa, another cement giant in the country recorded an appreciation of N26.6 billion in its market valuation, Guinness Nigeria gained N20.9 billion, while International Breweries appreciated by N20.1 billion in January.
Similarly, in terms of percentage increase, BUA Foods’ 61% gain, ensured it maintained the top spot on the list, followed by Guinness Nigeria with a gain of 24.5%. Also, paint company, Meyer Plc gained 19.6%, with International Breweries appreciating by 15.2% in the review month.