COSTAIN (WEST AFRICA) PLC:
Costain released its Q-1 results for the period ended June 30, 2007 reporting a
significant turnover and PAT increase. The company’s turnover more than doubled,
jumping from N344.40m recorded in the preceding year to N772.40m for Q1-2007.
This translates to an increase of 124.3 per cent while its after tax profit showed a
similar movement, transiting rapidly from a loss position of N205m to a profit level of
N116.50m. The profit after tax for Q-1 exceeds the N107.9m figure for the full year
profit for financial year ended 31 March, 2007. This stellar performance of Costain
which had for several years remained moribund can be traced to the fresh blood
injected into the upholstery/construction company by its new owners – Shoreline
Energy International Ltd and the series of contracts/projects embarked upon by the
company in recent times.

The scintillating Q-1 results is making some astute investors take position in the stock
in preparation for its full year results with the belief that the company might probably
declare a dividend after so many years of benefit drought. This expectation is not
misplaced considering the various plans of the new management to work towards
repositioning the company by embarking on a series of strategic projects and payingoff
the debts it inherited from previous management. In furtherance of all the strategic
expansions, the management has put in place plans to raise fresh funds from the
capital market.
It is worthy of note that following the turnaround of Costain, it has recorded
appreciable price increasing, moving from a year-Low of N1.43 on the first trading day
of the year to year-High of N23.13 recorded on the June 7, 2007. From the beginning of
the year to date, investors have reaped over 1,200 per cent capital appreciation from the
stock. We recommend COSTAIN as a long term BUY in light of its emerging
prospects.

Source: MERISTEM SECURITIES

@ easimoni,
dividing PAT for Q1 by 159.9m, i get a first quarter eps of 0.728, so fy eps should be 2.91, you are right. also, their recent expansions means i would expect higher eps for Q2 and Q3. with such a high growth rate, and good market sentiment, a pe of 20 should be reasonable, this stock should AT LEAST doble by june next year.
fantastic fundamentals.
but easi, im concerned about the po plans, this will surely dilute their eps, although i guess better profits should come in later years to come. i hope they are not misleading us about the number of shares they have like japaul, cos i dont see any better stock in terms of fundamentals right now except maybe flour mills.
will let you know when i get more info on berger paints.
thanks for your help

@ easimoni,
the berger paints has forecast eps of 0.6. so it should give a 12 naira stock as you rightly pointed out.
the chemicals and paints sector seems to be booming this year.
nigerian german, CAP ,have very solid fundamentals and now so does berger points.
BTW, easi do you know anything about university press limited. it seems to be a BUY recomendation in CSL, meristem , and its pe looks low, whats your take on it

shigidi:

@ easimoni,
the berger paints has forecast eps of 0.6. so it should give a 12 naira stock as you rightly pointed out.
the chemicals and paints sector seems to be booming this year.
nigerian german, CAP ,have very solid fundamentals and now so does berger points.
BTW, easi do you know anything about university press limited. it seems to be a BUY recomendation in CSL, meristem , and its pe looks low, whats your take on it

d shigidi is finally awake:-)
_{cant help cracking up with laughter}
Shigidi can you please do a little a cookbook with a list of alternative stocks that we can jump into based on the analysis we make and we agree on that are looking good right now (bank-free zone)

The TS has been lifted on Access Bank. Its closing price today is 19.86

Costain W.A is gradually inching up.

I placed an order at 21 naira yesterday, I hope they got it ooooooo or else!!!!!.

The unit traded yesterday was just too small Approx 65k , haba!!

I no sabi for WEMA ojare - its btwn the devil and the deep blue sea. IF we wait for financials be4 plugging in and the results are good - it will be too late then to get on the bandwagon. If we get on now and the result isnt impressive -------na loss be that ooo

pls whats the implication of a stock broking firm that did not meet up with  capitalisation? And wat important question do l need to ask my broker before opening an account with them?

Thanks for your usual help.

yodiyokun:

Costain W.A is gradually inching up.

I placed an order at 21 naira yesterday, I hope they got it ooooooo or else!!!!!.

The unit traded yesterday was just too small Approx 65k , haba!!

I no sabi for WEMA ojare - its btwn the devil and the deep blue sea. IF we wait for financials be4 plugging in and the results are good - it will be too late then to get on the bandwagon. If we get on now and the result isnt impressive -------na loss be that ooo

That's why it's a speculative and should i add a risky one. If the results are not what its cracked up to be all those millions of shares bought in anticipation will be dumped without looking back and the share price crashes  if on the other hand, i hate to predict the outcome
Already as we speak its traded 9M units already. So i guess its your call

good news on ACCESS,

AT FORUM MEMBERS, at what time do you think we should exit ACCESS,

not going to get the DANSUGAR bug BITE me again

RoughCut:

That's why it's a speculative and should i add a risky one. If the results are not what its cracked up to be all those millions of shares bought in anticipation will be dumped without looking back and the share price crashes  if on the other hand, i hate to predict the outcome
Already as we speak its traded 9M units already. So i guess its your call

If you have the information you have now regarding Costain and you own the stock would you sell? i dont think so and the scarcity will ensure the stock price remains at the level it is so i suppose if anybody is waiting for a drop i'm not sure its going to happen soon!

yodiyokun:

I no sabi for WEMA ojare - its btwn the devil and the deep blue sea. IF we wait for financials be4 plugging in and the results are good - it will be too late then to get on the bandwagon. If we get on now and the result isnt impressive -------na loss be that ooo

Welcome to speculative investing! You must hold liver well well!

Tmoni:

good news on ACCESS,

AT FORUM MEMBERS, at what time do you think we should exit ACCESS,

not going to get the DANSUGAR bug BITE me again

ON the day it stops gaining 5% daily. That means the pent-up demand has been satisfied. We go watch am together! My bet is on 27.

Tmoni:

good news on ACCESS,

AT FORUM MEMBERS, at what time do you think we should exit ACCESS,

not going to get the DANSUGAR bug BITE me again

I'm waiting for the N20 mark not too sure its got a lot go again i still think its a N25 stock in the next 6 months. I bought a lot of the stock when it was N1.65 so i guess i should quit while i'm ahead. Dont like all the business with share reconstruction and there's a lot of convertible debenture and loan and preference stock on their balance sheet. If the holders of the convertible instruments decide to convert it means more dilution!

easimoni:

Welcome to speculative investing! You must hold liver well well!

That is why I will not buy it. But my husband will not let me rest if it should cross N12 peren

@easimoni
A lot is riding  on WEMA for you but i'm sure the results would not be disappointing as a minimum i'm expecting them to double the PAT from N2.2B for YEnd Mar 31 2006  to ~N4B for YEnd Mar 31 2007.

yodiyokun:

That is why I will not buy it. But my husband will not let me rest if it should cross N12 peren

That's probably the right decision. Those you us who bought around N4 can wait it out. At N10, that's a different ball game.

@ Shig, sure if Costain does a PO/rights, it  will dilute the value we are projecting. Then again they will surely bid up the price (a la Fidelity Bank) before freezing it. If you like it, buy it. Until they formally apply for the PO, it's all just gist.

RoughCut:

@easimoni
A lot is riding on WEMA for you but i'm sure the results would not be disappointing as a minimum i'm expecting them to double the PAT from N2.2B for YEnd Mar 31 2006 to ~N4B for YEnd Mar 31 2007.

The scarcely seen 1Q to June 06 shows a PAT of N1.7B. That projects to almost N7B. I'm expecting anything from 5-6B. But the band is really N4-8B. We shall see.

@easimoni
of course they are pushing up the price with the raft of good news left right and center they are dishing out into the public domain

easimoni:


@ Shig, sure if Costain does a PO/rights, it  will dilute the value we are projecting. Then again they will surely bid up the price (a la Fidelity Bank) before freezing it. If you like it, buy it. Until they formally apply for the PO, it's all just gist.

Well a Public Offer will definitely dilute the value but it may still be a lot better than some of the Banks - lets wait and see.

The problem with buying be say the number of shares is too small. Less than 70K exchanged hands today when other stocks where doing hundreds of thousands  to millions.

@easimoni
i'm supremely confident they will do >N4B so i guess i`m jumping in.  As we speak 9M units of WEMA shares have already changed hands and we are talking net bid here

yodiyokun:


Well a Public Offer will definitely dilute the value but it may still be a lot better than some of the Banks - lets wait and see.

The problem with buying be say the number of shares is too small. Less than 70K exchanged hands today when other stocks where doing hundreds of thousands to millions.

Yes, it's not a very liquid company. You may need a few days to get 100k shares. Hurry before Shigidi & Tmoni get there! Una hold well well o! I want to be like you when I grow up

easimoni:

Yes, it's not a very liquid company. You may need a few days to get 100k shares. Hurry before Shigidi & Tmoni get there! Una hold well well o! I want to be like you when I grow up

Na yam? are you kidding me? 100k shares I wish--- Oh I wish.

Some of us on this site no get that kind money !

@easimoni, lol

if ACCESS hits N27, i might faint ooo, my first buy and sell profit

hopefully, WEMA would be second,
my peeps cant just get me CRUSADER

Tmoni:

@easimoni, lol

if ACCESS hits N27, i might faint ooo, my first buy and sell profit

hopefully, WEMA would be second,
my peeps can't just get me CRUSADER

My peeps can't get me Crusader either. With alll the millions of shares trading daily, you have to wonder. 

As for Access, make sure you  are sitting down when you open next Friday's report.  They'll hit 27 then if they keep gaining 5% daily.

easimoni:

My peeps can't get me Crusader either. With alll the millions of shares trading daily, you have to wonder.

As for Access, make sure you are sitting down when you open next Friday's report. They'll hit 27 then if they keep gaining 5% daily.

My broker got me the following yesterday

Crusader @4.60
Diamond Bank @17.70
Mbenefit @ 3.10
WEMA @ 9.89

Are the any other stocks out there for short term/ speculative investment? Skyebank and NGC are currently out of my price limit.

koksieboy:

My broker got me the following yesterday

Crusader @4.60
Diamond Bank @17.70
Mbenefit @ 3.10
WEMA @ 9.89

Are the any other stocks out there for short term/ speculative investment? Skyebank and NGC are currently out of my price limit.

You see crusader oo ,

Wetin dey do Leadbank sef? Its only yeye stock they can get to buy? haba!

@easimoni,

When do you get your buy confirmation from Leadbank - I know its an automated system that emails you with the trade but I am not sure when exactly!.

I haven't seen anything on my account for Costain and its already 6.30 pm for Naija? I dont want to jump into conclusions yet but it seems they no get the stock to buy and my account officer is presently out of reach!.

Guys,

where can I get info on which stock closed on net bid or net offer?

The sites I visits for analysis no get that infor!!

yodiyokun:

@easimoni,

When do you get your buy confirmation from Leadbank - I know its an automated system that emails you with the trade but I am not sure when exactly!.

I haven't seen anything on my account for Costain and its already 6.30 pm for Naija? I don't want to jump into conclusions yet but it seems they no get the stock to buy and my account officer is presently out of reach!.

I typically get an email about 2PM Lagos time the day of the trade. So as we speak, I dunno if they bought my Crusader and NGC today. If I don't get a confirmation in 6 hours, I'll resend the instructions then pray they don't buy it twice.

yodiyokun:

Guys,

where can I get info on which stock closed on net bid or net offer?

The sites I visits for analysis no get that infor!!

Excellent Question! Proshare used to publish the top 5 on a daily basis. Now they seem to have stopped. I'd like to see an alternative source for the info.

http://www.proshareng.com/myproshare/portal_news.php?id=2959

yodiyokun:

Guys,

where can I get info on which stock closed on net bid or net offer?

The sites I visits for analysis no get that infor!!

Try http://www.firstglobalselect.com/scripts/cgiip.wsc/globalone/htm/country_home.r?vcountry-id=55.com and select the hyperlink Complete Company List and select the company of your choice

Also try www.nigerianstockexchange.com (this is epileptic though especially if you want the Daily Summary)

Try good old cashcraft.com and the Market Anaylsis

Dear all

any suggestion as to where i can find Japaul Oil financial statements. would appreciate any info because a brother needs it to do some analysis on the company's future profitability.