GTCO Market Cap Hits N2.9 Trillion As Investors Target Unrestricted Dividend

Guaranty Trust Holding Company Plc (GTCO) soared to a market capitalization of approximately N2.9 trillion on Friday, buoyed by strong investor sentiment and expectations of unrestricted dividend payments. The stock surged 21.3% during the week, closing at a new 52-week high of N84.95 per share.

Investor appetite both foreign and local intensified following a directive by the Central Bank of Nigeria (CBN) barring banks with unresolved forbearance positions from paying dividends. GTCO stood out among its peers, having fully exited its forbearance obligations well ahead of the June 2025 regulatory deadline.

According to data, GTCO traded 21.063 million shares worth N1.704 billion on Friday alone. The stock opened the week at N71.50 before a wave of confidence-driven buying sustained a rally throughout the trading week.

“GTCO has positioned itself as a more conservative and disciplined lender,” noted Meristem Securities in a market commentary. The firm cited GTCO’s 2024 investor call, during which management confirmed that the group had eliminated all forborne exposures. This shift was reflected in the bank’s loan growth, which moderated to 12.32% in 2024 from 31.52% in 2023.

GTCO’s relatively low exposure to the oil and gas sector just 38.23% compared to Fidelity Bank’s 221.3% also contributed to investor confidence in its risk profile.

As other banks saw sharp selloffs in response to the CBN’s directive, GTCO remained largely immune, reinforcing its reputation as a resilient and well-managed financial institution. Analysts expect GTCO to continue its tradition of interim dividend payouts, aligning with its strong earnings outlook ahead of the Q2 earnings season.