emmanuelewumi:



Can you share the metrics used to arrive at this conclusion?


Five years ago, GTB sold for N24 while Zenith sold for N14.

At that price GTB gave a dividend yield of about 10%, while Zenith gave a dividend yield of 17%.

The margin between both stocks was N10 which has now reduced to less than N2.00.

Both stocks paid a total dividend per share of N14 in 5 years.

N2.50
N2.80
N2.80
N2.80
N3.10.

At their current price on 25th December 2021.

N1 million invested in Zenith Bank shares in 2016, would have returned 170% capital appreciation and dividends inclusive

While N1 million invested in GTB shares would returned a total of about 60% based on its current price

Even if GTB had maintained the traditional premium pricing of N10 margin with Zenith. That is selling at N34, while Zenith is selling for N24.

N1 million invested in GTB shares in 2016, would have returned about 99% ie both dividends earned and the capital appreciation, compared to 170% for Zenith Bank

locodemy:
No matter how the market batters stocks.These stocks I listed below are high dividend yield stocks at NSE for now.They are good at the current market prices.

Zenith 12.27% dividend yield at the current price.
Gtb 11.81%
Npf 11.43%
Stanbic 10.82%
Cap 10.77%
Mansard 9.87%
Lasaco 9.43%
Access 9.29%
Dangote sugar 9.11%

More batter means more dividend yields.

Let's cherry pick from these list.

Are you sure of the figures for Stanbic IBTC Bank?
Can the bank afford to pay the same dividend paid in 2021.

More batters mean more dividend yields, provided you have the cash flow.

If not na to lament or be forced to sell at a loss

locodemy:
No matter how the market batters stocks.These stocks I listed below are high dividend yield stocks at NSE for now.They are good at the current market prices.

Zenith 12.27% dividend yield at the current price.
Gtb 11.81%
Npf 11.43%
Stanbic 10.82%
Cap 10.77%
Mansard 9.87%
Lasaco 9.43%
Access 9.29%
Dangote sugar 9.11%

More batter means more dividend yields.

Let's cherry pick from these list.

What of UCAP?

Raider76:


What of UCAP?

About 7.5%.

Dividend yield does not tell the whole story, look at the earning growth for the business and likely increase in dividend payments.

United Capital is still a good buy.

For those whose average cost price is N3, they have a dividend yield of 23%

Raider76:


What of UCAP?

These are the top list based on the last dividend payout.

There are other stocks to watch out based on the last quarter financials.....

Stocks like upl, Academy press,etc

emmanuelewumi:



Are you sure of the figures for Stanbic IBTC Bank?
Can the bank afford to pay the same dividend paid in 2021.

More batters mean more dividend yields, provided you have the cash flow.

If not na to lament or be forced to sell at a loss

Sir I don't think stanbic can make it next year based on the last result.I think one need to check well before picking these high dividend yield stocks for next dividend

locodemy:


Sir I don't think stanbic can make it next year based on the last result.I think one need to check well before picking these high dividend yield stocks for next dividend

Since the core Investors are increasing their holdings you don't have much to fear on the long run.

You only need to be careful when the core investors start selling, like what we are seeing with MTN Nigeria

locodemy:


These are the top list based on the last dividend payout.

There are other stocks to watch out based on the last quarter financials.....

Stocks like upl, Academy press,etc

Liquidity is important.

Acceptability of the shares to financial institutions and lenders is also important, especially for those who use their shares as collateral to get loans and credit facilities

emmanuelewumi:




Liquidity is important.

Acceptability of the shares to financial institutions and lenders is also important, especially for those who use their shares as collateral to get loans and credit facilities

You mean there are still financial institutions that accept shares as collateral?

Raider76:


You mean there are still financial institutions that accept shares as collateral?

Banks prefer bonds to shares.

If you have dealings with Stockbroking firms that are subsidiaries of banks or Investment banking firms you can get "Asset Backed loans".

I have one running with FSDH Capital at 22% per annum. I am running for 6 months at a prorated rate of 11%, although the normal thing is for 12 months.


Payments of interest MUST be paid every quarter

Payment of principal can be paid every quarter depending on your cash flow. Debt must be liquidated at maturity or you can rollover.


So N1 million loan at 22%. You will pay an interest of 55k at the end of the quarter, you can decide to reduce the principal by 200k.

Meaning your new principal is now 800k and the interest to be paid at the end of the quarter will be 44k plus the outstanding principal

With this your total interest on N1 million for 6 months will be 99k

Accelerated depreciation, does it apply to Nigeria? Do u use it in ur valuation models?

I heard it is a way to defer taxes by increasing depreciation of an asset at early stages and reducing it later.

emmanuelewumi:



Banks prefer bonds to shares.

If have dealing with Stockbroking firms that are subsidiaries of banks or Investment banking firms you can get "Asset Backed loans".

I have one running with FSDH Capital at 22% per annum. I am running for 6 months at a prorated rate of 11%, although the normal thing is for 12 months.


Payments of interest MUST be paid every quarter

Payment of principal can be paid every quarter depending on your cash flow. Debt must be liquidated at maturity or you can rollover.


So N1 million loan at 22%. You will pay an interest of 55k at the end of the quarter, you can decide to reduce the principal by 200k.

Meaning your new principal is now 800k and the interest to be paid at the end of the quarter will be 44k plus the outstanding principal

With this your total interest on N1 million for 6 months will be 99k

Thanks. I will see if GTB will do similar with Investment One.

Honeywell will soon enter full bid. what a dramatic change. From full offer yesterday to full Bid today.

locodemy:
No matter how the market batters stocks.These stocks I listed below are high dividend yield stocks at NSE for now.They are good at the current market prices.

Zenith 12.27% dividend yield at the current price.
Gtb 11.81%
Npf 11.43%
Stanbic 10.82%
Cap 10.77%
Mansard 9.87%
Lasaco 9.43%
Access 9.29%
Dangote sugar 9.11%

More batter means more dividend yields.

Let's cherry pick from these list.

Has Stanbic paid the bonus.

yMcy56:
https://doclib.ngxgroup.com/Financial_NewsDocs/34618_HONEYWELL_FLOUR_MILL_PLC%20HONEYWELL_FLOUR_MILLS_PLC_ASS.pdf

https://doclib.ngxgroup.com/Financial_NewsDocs/34617_FLOUR_MILLS_OF_NIGERIA_PLC%20FLOUR_MILLS_OF_NIGERIA_PLC_.pdf

What we really need is for Flourmills to say exactly how much they are planning to pay per share of Honeywell after considering all factors including Honeywell debt. I don't know why that kind of transparency is so difficult to get at the NGX. Of course they can't come out and say "Oh. We have been stupid. We forgot that there are legal issues here".

Raider76:


Thanks. I will see if GTB will do similar with Investment One.

Investment One has something similar through their finance house, that is Orange One Finance.

Interest rate is 24%, processing and management fees is 2%.

So FSDH at a total of 22% is better, the rates can be negotiated based on the size of your loan.

United Capital is about 16%, but they only accept their Fixed income Fund, Eurobond Fund and Money Market Funds as collateral, shares are not acceptable

There is a hope so sure.
There are oceans that must be crossed.
The birds are singing and the violins are sounding.
The journey seems short, but the distance disagrees.
The faint must package ice.
The destination is sure not sore.
The ultimate glory does not lie along the battered way.
The fine treasures are all solidly loaded at the destination.
Count not the mountain peaks from the valleys, but from the highest peak.
Mumbling is stumbling, just get going.
What does not kill you has many lessons.
Learn and move on.
Many are the days of afflictions, but the reward will be surely crowned in gold.
We must all succeed, not a choice but a last option.

May God help us all.




Greetings from DRP to you all..

@DeRuggedProf:

Long Time ....Bros

emmanuelewumi:



Investment One have similar through their finance house, that is Orange One Finance.

Interest rate is 24%, processing and management fees is 2%.

So FSDH at a total of 22% is better, the rates can be negotiated based on the size of your loan.

United Capital is about 16%, but they only accept their Fixed income Fund, Eurobond Fund and Money Market Funds as collateral, shares are not acceptable

Tks for this sir...
Very informative ....

Willie2015:
@DeRuggedProf:

Long Time ....Bros

Boss I dey...

DeRuggedProf:
There is a hope so sure.
Count not the mountain peaks from the valleys, but from the highest peak. hmmmmmmmmmmmmmmmmm

Greetings from DRP to you all..

Welcome back Prof.

emmanuelewumi:



Investment One have similar through their finance house, that is Orange One Finance.

Interest rate is 24%, processing and management fees is 2%.

So FSDH at a total of 22% is better, the rates can be negotiated based on the size of your loan.

United Capital is about 16%, but they only accept their Fixed income Fund, Eurobond Fund and Money Market Funds as collateral, shares are not acceptable

Thanks for this additional info. It really takes money to make money.

robobo:


Welcome back Prof.

God bless you Boss.

SmartMoneyGuy:
Honeywell will soon enter full bid. what a dramatic change. From full offer yesterday to full Bid today.

That's it oooo. But that their negative news really some how affected the initial force.

Guys,
Please i need a detailed information on santabonk...
Has Anybody heard about it before ?

These are the acceptable stocks from one my lenders


They accept the following stocks as collateral


I wonder why Unity Bank is on the list

Mpeace:
My brother, that's not the way to compare or determine the value(which is more expensive) of stocks.
Market capitalization is a whole different thing from what you are talking about. If we go by ur method then all we will be buying will be insurance sector cos they have some of the lowest market capitalization on NSE. Market capitalization is only a function of the total outstanding shares of a company multiplied by the unit price per share.
Value looks at a company's profitability, fundamentals, sentiments*, dividend yield etc in relation to the price of the stock. Pls don't get them twisted.

Bro I am not here to argue with anyone.. I am here to make money.. I have made money from both..

My advice or point was based on sector
This is why at the moment Access bank is the best value in the entire sector in my opinion

Emmanuel, I appreciate and respect your opinions here but you are stressing the wrong points by taking dividends into account..

My point was, don't compare companies based on solely stock's prevailing market price..

For your info I made over 100% from both..


Please be guided accordingly

TA-wise:

The world will witness a Rice crisis (around 2022).

Rice could be very scarce and very expensive. It will be global. Hunger is coming.

At least my pot-belly will flatten that time.

emmanuelewumi:



Zenith Bank is currently the most profitable, with a profit after tax of N200 billion, has the biggest shareholders fund of over N1 Trillion.

GTCO will be on a buying spree for the next 3 years or there about, looking for pension fund, asset management firms, Investment banking firm, insurance companies, Fintech firms to buy.
Most of the acquisition will be bought at a huge premium.

Going the route of an organic growth will take time to achieve the desired result.

But GTCO is still good at the current price

I hope when they start this buying spree there would be a good management to foresee it.

Today they inched even closer to Zenith. It's matter when now rather than if.

IYGEAL:


I hope when they start this buying spree there would be a good management to foresee it.

Today they inched even closer to Zenith. It's matter when now rather than if.

Just be patient.

But why did Agbaje sell GT Assurance now Axa Mansard, GT Asset Management now Investment One Financial Services, and now interested in buying the Businesess at a huge premium

samguru:
If you are in Honeywell Flourmills PLC bus, just come down or jump out of the vehicle now.

What am hearing about honeywell PLC is not palatable ooooo

PLS dont DM me for explanation.


Goodluck to those who will act on this advice

It closed on full bid today, funny market

emmanuelewumi:



Investment One has something similar through their finance house, that is Orange One Finance.

Interest rate is 24%, processing and management fees is 2%.

So FSDH at a total of 22% is better, the rates can be negotiated based on the size of your loan.

United Capital is about 16%, but they only accept their Fixed income Fund, Eurobond Fund and Money Market Funds as collateral, shares are not acceptable

24% apr Loan���. IMO, that’s suicide, maybe it’s because I’ve been spoiled with very low rates