Stock Market Tips For Nigerians

@bibiking1

Since you are a long-termer the decision to make as far as you are concerned is relatively easy. By all means if you want to buy into the Dangote brand do buy some Dangote Flour but you will probably see better returns on Dangote Sugar because the two business models are completely different and hence the difference in fundamentals between the two companies.

Japaul oil is being offered at a discount of 40% so if you buy on the primary market and hopefully the allotment is done on time and the certificate follows 6 weeks after (new SEC directive) you have automatically made 40% so buy as many units as you can.
 We all agree that we can dive into the secondary market now so there is Nigerian-German Chemicals(loving it everyday), C&I Leasing and there is Costain (WA) i lke their forward looking plans. They have already spent N1B in the last 24 months on operating plants and equipments and a further N2.5B in the next 12 months so they can execute their projects worth billions of naira( i think they are doing a PO in November so will wait for the prospectus)

from the fidelity prospectus, it looks quite good when looking at its projected eps, 0.49 in 2008??? could be 13 naira by then.
however, they are trading at a current pe of 40 .
and its been offered at a pe of 30. so i think the price of 8 naira is still a bit high. i see no reason why u shouldnt be able to get fidelity at close to 9 naira when the ts is lifted cos there has been nothing to write home about their earnings so far. but not a bad offer though. looks promising for the future

@otokx,
u are more than right o,from their prospectus,considerin present and even forecast earning,to me the share(fidelityBnk) is grossly overvalued/overpriced.d offer price supposed to be N6 or less.

crazy t,
bbking1 is right!! though i think 70 is quite optimistic.
a price in the mid fifties should be more like it unless they give a bonus.
so hold on to this one.

it is not advisable to enter the stock market to make cash in like 2-3 months, a good 1 year is needed for sound ROI.
howvwe, if u must , go for dangote sugar ,skye bank or oceanic, if ure lucky ull make 15% on any of those.

Like shigidi said you will be lucky to get anything appreciable on your investment within your timeframe and it does not help that stock prices are depressed right now on the NSE(the bearish period) so a short-term frame as far as stock investment is concerned is anything between 12-18 months and anything longer is medium-long term so you can see there is a wide ocean between your definition of  short-term and what short-term time frame actually means. Like i always say to  people who are thinking of making `quick bucks` within 2-3 months on  the stock market this  is not for you may be you need to think of somewhere else to invest your 100k. If you are not a stockbroker and you are looking for returns within 3 months then the stock market is a no-no.

If the stock market works the way most peeps think it should then there would be no need for this forum. The point of this forum is to analyse and evaluate the performance of the stocks and then armed with the information we have all shared then you make a judgement on the information you have been armed with.  
I would advise you to start doing your own homework so you can start making some investment decisions yourself and i am sure peeps on this forum are always ready to help and answer questions on what you are not sure about. Go and invest in some literature that would help you

Nuff said!

I side with the Shig. Somewhere in the fifties.

Kudos to all contributors esp the Analysts!

Please can someone give us more highlights on Fidelity PO, Please.

Help where and how can i buy NEM INSURANCE STOCKS in private placement.

Please i need this info

thanks guys.

Nice one!

The FY 07 results are not out yet but if you annualize the 3Q results and compare to the offer projections, they plan to grow PAT at 140% this fiscal year. 

Now i may be wrong but loooking again at the fidelity prospectus they are projecting a forward PE of 16.3 in 2008 and  EPS of 0.49 so that gives us a price of N8 and PAT for the 9 months ended Mar 2007 is N3B so extrapolating that gives a PAT of about N4B for FYE 2007.
They hope to grow the PAT from N4B in 2007 to about N11B in 2008 an increase of 175% i would say that is overly optimistic
Assuming they grow  PAT by a whopping 175% and extrapolating this to the share price gives a price of  N9 assuming all the assumptions hold so from the prospectus the share is actually going to shrink from N12 to about N9

Well well this is indeed a no-brainer and i sincerely hope i`m wrong because if i`m not i wont bother does not make any sense to me at all. Need somebody else to do the number crunching for me!

its ridiculous, what is gonna be the drastic increase,??? that was the same problem i had with dangote flour(from 0.42to 1.6) but i have no other choice but to work with these figures cos thats what we are given.
fidelity is definetely a no go, maybe from the floor if it drops but not the po.

easimoni,

The high flyer - o nfo l'oke!!!

Abeg we still need your contribution on this website in spite of your work assignment.

Would never forget the abuses i got on that thread for saying me opinion, one went as far as abusing me granny , though he later apologized , God help them sha and sorry for the digression 

Yes PHB is supposed to come out with a po soon.
Wema's a winner for me.

About these pos, i was reading that fcmb and afribank might both open up their po next week, thats gonna be 200-300 billion being searched for, then thr's a long list after them again.
If you'll be buying into any pos, make sure you are buying a really good one.