Market capitalisation of MTN Nigeria Plc surged to N14.9 trillion as of Friday, February 13, following an 8.6 percent jump in its share price to N708.90, cementing its position as the most valuable listed company on the Nigerian Exchange (NGX).
The rally ends the six-month dominance of BUA Foods Plc, which had held the top spot since August 7, 2025, after displacing MTN Nigeria. According to data from African Stock Exchange, a market analytics platform, MTN Nigeria’s valuation now accounts for approximately 12.7 percent of the total equity market capitalisation on the NGX — underscoring its outsized influence on the bourse.
Dividend Comeback Fuels Investor Confidence
Investor appetite for the telecom heavyweight has strengthened markedly following the announcement of a N5 interim dividend payout. The declaration signals a significant turnaround after the company suspended dividends in 2022 amid financial headwinds.
The renewed payout has helped accelerate share price gains. Opening the 2026 trading year at N511.00, the stock has climbed 38.7 percent year-to-date, ranking 44th on the NGX performance table. The latest rally builds on a remarkable 178 percent return recorded the previous year, reflecting sustained investor optimism around earnings recovery and balance sheet repair.
Profit Rebound and Revenue Growth
Although the company has yet to release its full-year 2025 earnings, analysts at Lagos-based consultancy CardinalStone project a record profit of N1.062 trillion for the financial year — a sharp reversal from the N400.44 billion loss reported in 2024.
The anticipated rebound follows strong nine-month results ended September 2025, during which MTN Nigeria posted a N750 billion profit, compared with a N513 billion loss in the corresponding period of the previous year. Revenue climbed 57 percent year-on-year to N3.73 trillion, driven largely by sustained growth in data services and fintech operations.
Chief Executive Officer Karl Toriola said the company’s financial recovery reflects disciplined execution and improved operating conditions but noted that sustaining momentum will depend on continued macroeconomic stability.
In the final quarter, management’s focus remains on consolidating gains recorded in the first nine months, leveraging diversified revenue streams and a strengthened balance sheet to navigate market dynamics and capture growth opportunities.
Broader Market Implications
The resurgence comes amid a broader portfolio rebalancing by domestic institutional investors, particularly pension funds, as improved fixed-income yields and relatively stable macroeconomic conditions reshape asset allocation strategies. Equity investors are increasingly prioritising earnings quality, cash flow visibility and dividend sustainability over inflation-hedge narratives that previously dominated market positioning.
As one of the largest constituents of the NGX All-Share Index, MTN Nigeria’s price trajectory carries implications beyond its own valuation. Movements in the stock can materially influence overall market sentiment, passive fund flows and aggregate market capitalisation. A sustained rally could therefore provide additional lift to the broader equities market.
For BUA Foods, the shift in rankings reflects typical market rotation dynamics rather than a deterioration in fundamentals. The consumer goods manufacturer remains one of Nigeria’s most profitable companies, supported by strong brand equity and an expansive nationwide distribution network.
The return of MTN Nigeria to the summit of the NGX signals renewed investor conviction in the telecom sector’s earnings resilience and highlights the growing importance of dividend visibility in shaping capital market leadership.