By David Akinmola
As investors navigate an evolving economic landscape marked by high interest rates, currency volatility, and ongoing reforms, analysts have advised Nigerians to adopt a more strategic and research-driven approach to stock selection in 2025.
Market experts say that while the Nigerian Exchange Limited (NGX) has shown resilience in recent months, investors must focus on companies with strong fundamentals, consistent dividend history, and exposure to growth sectors to maximize returns.
According to analysts at Cordros Securities, stock-picking in 2025 will require a clear understanding of macroeconomic trends, policy direction, and sectoral performance. “Investors should look out for firms with robust earnings growth, manageable debt levels, and solid corporate governance,” the firm stated.
With inflation hovering around 24 per cent and monetary policy tightening expected to persist, analysts recommend a cautious but opportunity-driven approach. They say defensive stocks in sectors such as consumer goods, telecommunications, and agriculture could provide stability, while banking and insurance equities may offer value as the financial reforms take root.
An investment strategist at Meristem Securities, Mrs. Nneka Ogbonna, advised retail investors to “prioritize companies that demonstrate pricing power and the ability to pass rising costs to consumers without losing market share.”
She also emphasized the importance of dividend yield in an inflationary environment, noting that “stocks with consistent dividend payouts not only provide income but also cushion investors from market volatility.”
Technology and infrastructure-related stocks are also drawing attention as Nigeria accelerates its digital transformation and infrastructure financing drive. Analysts say government reforms and private sector participation in energy, transport, and fintech could create profitable openings for discerning investors.
Financial experts further advised investors to diversify their portfolios and stay updated on market trends through credible research sources. “Avoid herd behavior and speculative trading. Focus on long-term value rather than short-term gains,” said Mr. Adewale Ojo, an independent investment adviser.
As the Nigerian economy adjusts to post-reform realities, the consensus among analysts is clear: investors who combine sound research, patience, and diversification will be best positioned to identify and profit from the right stocks in 2025.
