₦airaland Forum

NSE: Market Cap Soar By N519.639bn In Nov., As Index Notch 41.19% YTD

Despite the volatility that earmarked the month, trading on the Nigerian Stock Exchange (NSE) closed with the value of investors’ worth or market capitalization climbing by N519.639bn in November on Thursday at N13.214tr from N12.694tr at the end of October.
The average price movement or All-Share index rose from 36,680.29 basis points to 37,944.60 in November, representing a difference of 1,264.31bp or 3.45% for the month.
On a Year-To-Date (YTD) basis, the index was up by 11,069.98bp or 41.19% in the 11 months between January and November 2017, while capitalization grew by N3.885tr or 42.02%.

In absolute terms, for the month of November, according to data by the NSE, Dangote Cement, the biggest company by market capitalization gained the most, as its N21 per share, or 9.38% gain translated to additional N357.84bn to its value for the month, helped by Thursday’s N4.00 notch. Also, Dangote Cement, at the end of November, stood at N4.174tr, representing 31.58% of total market capitalization, from 33%, apparently due to new listings resulting from recently successful rights issues, particularly by Guinness and Unilever Nigeria. The figure is further expected to reduce when new shares of DangCem’s arch-rival, Lafarge Africa, about N140bn arising from the ongoing rights issue is listed on the NSE.

The general rise in the NSE composite index for the month may not be unconnected with the plethora of positive economic and market data, particularly the robust improvements in performance of listed companies for the period. There were also the growth in Nigeria’s GDP from 0.71 (reviewed for the second quarter), to 1.4% as released by the National Bureau of Statistics (NBS), the Purchasing Managers’ Index (PMI); just as the price of oil, Nigeria’s mainstay, at the international market continued to rise, amidst the country’s stable production output helped by the sustained peace in the volatile Niger-Delta region.

In percentage terms, Fidelity Bank was the biggest gainer for the period, as its share price improved by 35.53%; followed by NAHCO Aviance with 32.31%; Diamond Bank, 24.75%; Cadbury, 23.24% and International Breweries, 22.47%. Dangote Sugar gained 20.33%; Medview Air, 19.74%; FBN Holdings, 15.16%; Forte Oil, 14.98%; Eterna, 14.59%; Caverton, 13.49%; NEM Insurance, 12.80%; University Press, 11.16%; BOCGas, 10.36%; and United Capital, 9.63%; among others.

The biggest laggard during the month was Linkage Assurance, which lost 27.91% of the month’s opening price; C & I Leasing, 24.72%; Airline Services, 20.45%; and Nigerian Breweries, 11.80%. Champion Breweries dropped 10.98%; Neimeth Parmaceutical, 10.77%; GlaxoSmithKline Consumer, 9.52%; Transnational Corporation of Nigeria, 5.56%; Beta Glass, 5% and Fidson Healthcare, 4.76%; among others.

http://investdata.com.ng/2017/12/nse-market-cap-soar-n438-23bn-nov-index-notch-41-19-ytd/

Lafarge Africa Executives Visit NSE For Fact Behind N140bn Rights Offer

(Photo News) From left, Olumide Orojimi, Head, Corporate Communications, The Nigerian Stock Exchange (NSE); Bola Adeeko, Head, Corporate Services Division, NSE; Michel Puchercos, Group Managing Director/CEO, Lafarge Africa Plc; Tony Ibeziako, Ag. Head, Capital Market Division, NSE and Femi Onifade, Head, International Primary Market, NSE during Lafarge Africa Plc Facts Behind the Offer at The Exchange on Thursday, November 30, 2017.

http://investdata.com.ng/2017/12/lafarge-executives-visit-nse-fact-behind-n140bn-rights-offer/#more

Be Entrepreneurs, Not Job Seekers, Emefiele Tasks Varsity Graduates

(Photo Caption) University of Nigeria Nsukka (UNN) 2017 convocation lecturer and Central Bank of Nigeria (CBN) Governor, Godwin Emefiele, in warm handshake with Prof. Chukwuma Soludo former CBN Governor, Chairman of the 2017 convocation lecture on Thursday, November 30, 2017. Emefiele and Soludo were 1984 graduates of UNN.

The Governor, Central Bank of Nigeria (CBN), Godwin Emefiele, on Thursday, November 30, 2017, enjoined graduates of the nation’s universities to change their mindsets by work towards becoming entrepreneurs and employers of labour than job seekers
Emefiele, who spoke while delivering the 47th Convocation Lecture of the University of Nigeria, Nsukka, Enugu State, insisted that in spite of its many challenges, Nigeria remains a land of limitless opportunities.
Graduates, he said, can explore and take advantage of these challenges to become job creators in the economy at a time of rising unemployment.

To enable the youths become job creators, the CBN Governor, who spoke on: “A mindset for Succeeding in Today’s Nigeria,” however warned that failure to galvanise the youths could boomerang against the Nigerian society.
Emefiele, who is also an alumnus of the University, said the CBN, as part of its effort to address the challenge of unemployment on the one hand and the promotion of entrepreneurship among the youths, had designed and formulated policies and programmes aimed at direct real sector intervention.

He therefore encouraged Nigerian youth with not more than five years post-service experience to take advantage of the CBN’s Youth Entrepreneurship Development Programme (YEDP), run in collaboration with banks and the National Youth Service Corps (NYSC).
Citing examples of successful entrepreneurs and businesses in Nigeria and abroad, Emefiele further challenged the graduating students to take identify opportunities in their respective environments, motivate themselves, create innovative ideas that would turn their ideas into profitable ventures.
Speaking on current economic developments and policies of the CBN, Emefiele recalled that several global shocks that affected the Nigerian economy were amplified due to the country’s over-reliance on the oil sector for its foreign exchange revenue and for government finances.

The apex bank, he recalled, embarked on some proactive policy measures such as policy tightening, restriction of forex for imports of 41 non-essential commodities, exchange rate management and development financing in key sectors in order to keep the economy sound.
Citing indicators such as the decline in inflation, improvement in forex supply, accretion to the foreign reserves and improvements in the World Bank’s “doing business indicators,” as well as the significant boost in local production, Emefiele said the Nigerian economy had turned the corner and the worst days were behind.

Earlier, in is his welcome address, Vice Chancellor of UNN, Prof. Benjamin Chukwuma Ozumba said the convocation lecture was one of the prestigious public lectures hosted by the institutions, following which the convocation lecture was usually reserved for men and women whose achievements will motivate and inspire graduating students and the entire university community to greater achievements.
He listed some of the projects being embarked on by the university, for which solicited funding support to accomplish them, assuring that the initiatives would not only increase entrepreneurship and innovation, but help curb youth restiveness in the country.
One of the highpoints of the convocation lecture, which was graced by Governor Ifeanyi Ugwuanyi, of Enugu State, was the presentation of plaques and the Lion laptops manufactured by the University to Emefiele as well as a former Governor of the CBN, Prof. Chukwuma Soludo, who was Chairman of the event.

http://investdata.com.ng/2017/12/entrepreneurs-not-job-seekers-emefiele-tasks-varsity-graduates/#more

MARKET UPDATE FOR NOVEMBER 28, 2017




NIGERIA’S INDEX TURNS GREEN ON REALIGNMENTS INHEAVY WEIGHT, FINANCIAL SECTOR STOCKS


Nigeria’s stock market had a spectacular Tuesday and a fantastic run up from the opening point of the session to continue its volatility on the strength of positive sentiments as market and economic fundamentals improved on the strength of the recently released corporate earnings and macro-economic data, which taken together tell a fantastic story.
As we mentioned in our update for Monday, funds will continue to seek opportunities for better returns without losing sight of safety, especially when calculated risk are taken in the hope of higher returns. The inflow from retail foreign exchange by the CBN has in one way or the other improved money flow in the financial market.

The market opened on Tuesday with a little pullback that continued to move front and back in the mid-morning and then charged forward by midday to attain an afternoon peak of 37,541.88 after touching intraday low of 37,212.61 to break out the market’s recent resistance after forming a double top on the index movement chart to close higher and reverse previous day’s bear market.
Technicals were positive and strong on huge volume with positive market breadth supported by the high buying pressure of 88% to reverse the previous day’s selling volume of 88% as revealed by the volume index at 2.91 and buying position of 88%. Selling pressure was 12% of the total transaction to halt Monday’s down market.

It is not out of place to warn that this current breakout is very fragile and calls for caution in this short primary bullish market. The sectoral indexes followed the path of the Composite index, except the NSE Oil/Gas and NSE Lotus that were lower.
The All Share Index gained 252.95 basis points to close at 37,503.73, from the 37,250.78 points, representing a 0.68% growth and in the same direction with market capitalisation which gained N88.09bn to close at N13.06tr from the previous day’s N12.97tr, representing a 0.68% value gained in inventors’ portfolio.

Upturn in the market was driven by price appreciation of low,medium and high cap stocks like Dangote Cement, which recently opened its latest plant in Congo;Stanbic IBTC, Zenith Bank, UBA, Dangote Flour, Unilever, Forte Oil, Nigerian Breweries and FBNH, which together impacted positively on the ASI’s year-to-date returns, taking it to 39.55%, just as YTD growth in market capitalisation stood at N3.81tr, representing a 41.25% rise over the year’s opening value.
Market breadth was positive as the number of advancers outpaced decliners in the ratio of 25:11on a huge traded volume that was higher than previous day’s level that was boosted by Wapic Insurance and Diamond Bank.

Market activities in terms of volume and value were up by 16.90% and 0.42% respectively to 1.10bn shares worth N4.8bn from previous day’s 942.72munits valued at N4.78bn. Other heavy transaction drivers during the day were Zenith Bank, FBNH and Tantalizer Plc, that also topped volume chart.
Eterna oil topped the advancers’ table with its 4.99% gain to close at N4.21 per share on low price attraction and impressive Q3 numbers, followed by GSPLC which notched 4.95% to close at N5.51 on market forces.
On the flipside, PZ shed a further 4.32% to close at N22.72 each on market forces and profit taking, ahead of Aiico, which lost 3.57% to close at N0.54 each, also on market forces.

TODAY’S OUTLOOK

With month end underway, expect volatility to continue as traders take profit and balance their trading positions, which might influence price positively or negatively, depending on market momentum on the strength of liquidity and ahead of the year-end season, since the price of oil in the international market remains relatively high, ahead of the Organisation of Petroleum Exporting Countries (OPEC) meeting tomorrow that will determine whether there would be an extension in production cut beyond Q1 2018, or a further supply cut to boost price.

Again, we advise that investors allow numbers to guide their decisions while repositioning for the rest of the year’s trading activities, especially now that stock prices remain volatile amidst improving company, economic and market fundamentals.
It is time to combine fundamentals and technical tools to take decision by knowing the support and resistant level to reposition or exit any position. Market is in phases know the cycles in order to manage your trading and investing risk. For stocks that should be on your shopping list to buy in this seasonality changes as the year winds down, sign up to INVESTDATA BUY AND SELL signal setup by calling 08032055467.
Get your home study pack today and ride with the current recovery on Nigeria’s stock market and economy. By investing and trading knowledgeable

Comprehensive training materials on stock Trading and Investing for Financial Independence series are Available (Home Study Pack), you can play and watch on your mobile phone, laptop, desktop and Tv. Kindly call or send yes to 08032055467 or 08111811223.

Attention! Attention!! Attention!!!

INVEST 2018 TRADERS & INVESTORS FINANCIAL SUCCESS SUMMIT
Sub Topics
The Pre-election Economy & 2018 Budget: Implementation and Impact On the Recovery Bull Market
In this presentation, Mr Olufemi Awoyemi the founder/CEO of Proshare Limited, chartered Accountant and seasoned financial analyst will review the economy and impact of government policies so far, discussing how the proposed N8.6tr budget will influence the economy in a pre-election year. He will also take participants through the outlook for the stock market in 2018, while attempting to answer a question like: Is there really any reason to cheer from the mere size of the 2018 budget, considering how those of the past two years have been implemented, especially during this economic recovery phases?

Impact and Implication of NSE New Rules on your Equity Investment in 2018 and Beyond.
The new strategies to trade and invest in a transforming market will be revealed to boost players profit and minimized losses by Alhaji Garba Kurfi, a chartered accountant, Fellow CIS and Managing Director of APT Securities & Funds Limited. He will also tell participants about classes of stocks to focus on, in this new market normal value of 1kobo in 2018.

The Secret For Finding Better Trades & Investment Opportunity
Mr. Abdul-Rasheed OshomaMomoh, Head, Capital Market in TRW Stockbrokers Limited will handle: “Discover how to Trade Smarter, How You Can Stay on the Right Side of the Market Most of the Time,” as well as specific, high winning probability, chart patterns: “Trading Price Direction based on Momentum Flows, The current market cycles, how they are used for trading price direction, in addition to How to set realistic & achievable profit.”

Comprehensive Earnings Guide for Investing and Trading in 2018 Earnings Season Profitably
“Equity price movement is a function of earnings in the short run and long term,” market reaction to earnings in any market cycles is prolonged by dividend payout, relative to price. It makes a lot of sense to trade in the direction by knowing the companies that will grow their payout in 2018… as long as you identify such stocks in their early stages. Hindsight, as they say, earnings calendar, trend, surprise and quality of numbers are very useful in making profitable investment decision in 2018 and beyond, which would be handled by Ambrose Omordion, Chief Research Officer of InvestData Consulting Ltd

How to Pick Investable Securities: Using Econometric Models and Other Strategies Of Successful Traders To Improve Your Trading Margin.
In this presentation by Engr Mike Ekwueme Anyadibe, CEO of X-Front Trader Limited, you will learn how financial engineering can be applied on NGSE market data: How the gurus pick securities, depending on their client’s different investment goals, whether for dividend Income. Or, are you a momentum or trend following trader who wants to grow your wealth through the stock market? Even If you’re a complete beginner – What is model, And Why Was It the profitable strategy between 2009 - 2017 so far.
This summit is the perfect opportunity to learn from the best industry experts and to get the personal attention in the exclusive Q&A session after presentations!


The summit holds on December 9, 2017 at Ostra Hall & Hotel, Behind M.K.O Abiola Gardens, Opposite NNPC Gas Plant, CBD, Alausa, Ikeja. Time is 9:00am. The fee is N25,000 per participant. Payment made on or before December 1, 2017 attracts 10% discount. Companies sending more than two representatives would enjoy 15% discount. Those who have participated in our previous seminars and workshops will enjoy 15% discount. Payment should be made into Investdata Consulting Limited; Zenith Bank Acct. No: 1013033032 or UBA, Acct. No: 1020288683.

To register for the coming summit Kindly visit our site www.investdataonline.com OR www.investdata.com.ng also you can call or send yes to 08032055467, 08111811223 or 08179547605

N.B: At this event you’ll hear real case studies and see examples of exactly how you can use these same techniques. This summit is packed with great content, but the room only has capacity for 100 people and registration is ongoing, so you’ll need to act fast.
If you are looking for a way to make money in the market as a Full-time or Part-time trader or investor, this is your opportunity.

Dream it! Wish it! Do it! Enjoy it! Don’t Miss out

Best regards
Ambrose Omordion
CRO | Investdata Consulting Ltd
info@investdataonline.com
info@investdata.com.ng
ambrose.o@investdataonline.com
ambroseconsultants@yahoo.com
Tel: 08028164085, 08032055467
https://investdataltd..com.ng/2017/11/market-update-for-november-28-2017.html

MARKET UPDATE FOR NOVEMBER 27, 2017




AMIDST PORTFOLIO ADJUSTMENTS, INVESTORS, TRADERS TAKE PROFIT AHEAD OF SANTA CLAUS, YEAR-END RALLY

Trading on the Nigerian Stock Exchange on Monday was an interesting, but mixed session after three straight day of a seeming bull transition as the week started on a negative note due to high selling pressure and low demand for stocks that was evident in the general financial market, with bonds closing on sell side and pushing yields marginally higher, while money market instruments like Treasury Billswere slightly bearish, due to tight liquidity amidst the sustained foreign exchange market intervention and sale of OMO by the Central Bank of Nigeria (CBN).

This circular flow of money is expected to continue in the financial market as capital looks for opportunity for better returns without losing sight of safety, with no major trigger for the equities’ market at a time the Q3 numbers are already available and the direction each company is tilted is known. More so, investors have also taken into account the major positive economic data made available. The major factor investors could be watching to take advantage of now is the expected Santa Claus and year-end rally that comes in the weeks leading to Christmas and towards the end of December which suggests that oscillation of trend and volatility will continue till another earnings reporting season kicks off in February, ahead of the release of audited numbers by companies with December year end.

The market’s technicals were lousy and mixed on huge volume and negative market breadth that reflected a pullback in all sectoral indexes, except the NSE Insurance and Oil/Gas which closed up. The day started out on a margin down slide that was sustained till the midday but had a little up movement to an intraday high of 37,393.29, before closing the day lower at 37,250.78, while forming a double top that supports pullback.
The high volume in the market for the day was driven by Wapic Insurance and quick service restaurant chain- Tantalizer which may likely approach the market soon for primary activities, especially as they made no impact on the market indicators with their prices remaining unchanged irrespective of the high volume traded.Volume index for the day stood at 2.70 with selling position of 88%, while buying volume was 12% of the total day transaction to halt the up market.

Meanwhile, at the close of trading, the composite NSEAll-Share Index shed 115.13 basis points to close at 37,250.78, from the 37,365.91 points it opened, representing a 0.31% decline, just as market capitalisation slipped N36.49bn to close at N12.97trfrom the previous N13.01tr, representing a 0.28% value loss.The slower percentage fall in market cap was due to the admission of the 800m ordinary shares of oil servicing company- Global Spectrum for listing on the NSE by way of introduction at N5.00 each, adding N4bn to the market’s value.
The downturn in the market resulted from losses suffered bymedium and high cap stocks like Zenith Bank, Access Bank, UBA, Flourmills Unilever, Guinness, Double One,Stanbic IBTC and Ecobank Transnational Incorporated, as investors and traders took profit, a situation that negatively impacted the ASI’s year-to-date returns, dragging it down to 38.61%, just as YTD growth in market capitalisation stood at N3.73tr, representing a 40.29% rise over the year’s opening value.

Market breadth was negative as the number of decliners outnumbered advancers in the ratio of 24:18on a huge traded volume that was higher than Friday level.
Market activities in terms of volume and value were mixed as volume was up by 8.29% to 942.72m shares from previous day’s 870.58munits,while value dropped by 5.17% to N4.78bn,from N5.04bn. Other heavy transaction drivers during the day were Fidelity Bank, Zenith Bank and Transcorp Plc, which topped volume chart.
Law Union & Rock Insurance recovered from its string of losses, topping the advancers’ table with its 4.92% gain to close at N0.64 per shareon market forces, followed by NahcoAviance, which notched 4.87% to close at N4.09 on market forces and strong Q3 numbers.
On the flipside, Newrest ASL shed a further 4.88% to close at N5.85 each on market forces and unimpressive Q3 numbers, ahead of Portland Paints,which lost 4.76% to close at N2.00 each, also on market forces.

TODAY’S OUTLOOK

With just three days to end the month of November, expect volatility to continue as traders take profit and balance their trading positions, which might influence price positively or negatively, depending on market momentum on the strength of liquidity and ahead of the year-end season, since the price of oil in the international market remains relatively high, ahead of the Organisation of Petroleum Exporting Countries (OPEC) meeting on Thursday that would determine whether there would be an extension in production cut beyond Q1 2018, or a further supply cut to boost price.
Again, we advise that investors allow numbers to guide their decisions while repositioning for the rest of the year’s trading activities, especially now that stock prices remain volatile amidst improving company, economic and market fundamentals.

It is time to combine fundamentals and technical tools to take decision by knowing the support and resistant level to reposition or exit any position. Market is in phases know the cycles in order to manage your trading and investing risk. For stocks that should be on your shopping list to buy in this seasonality changes as the year winds down, sign up to INVESTDATA BUY AND SELL signal setup by calling 08032055467.
Get your home study pack today and ride with the current recovery on Nigeria’s stock market and economy. By investing and trading knowledgeable
Comprehensive training materials on stock Trading and Investing for Financial Independence series are Available (Home Study Pack), you can play and watch on your mobile phone, laptop, desktop and Tv. Kindly call or send yes to 08032055467 or 08111811223.

Attention! Attention!! Attention!!!

INVEST 2018 TRADERS & INVESTORS FINANCIAL SUCCESS SUMMIT
Sub Topics
The Pre-election Economy & 2018 Budget: Implementation and Impact On the Recovery Bull Market
In this presentation, Mr Olufemi Awoyemi the founder/CEO of Proshare Limited, chartered Accountant and seasoned financial analyst will review the economy and impact of government policies so far, discussing how the proposed N8.6tr budget will influence the economy in a pre-election year. He will also take participants through the outlook for the stock market in 2018, while attempting to answer a question like: Is there really any reason to cheer from the mere size of the 2018 budget, considering how those of the past two years have been implemented, especially during this economic recovery phases?

Impact and Implication of NSE New Rules on your Equity Investment in 2018 and Beyond.
The new strategies to trade and invest in a transforming market will be revealed to boost players profit and minimized losses by Alhaji Garba Kurfi, a chartered accountant, Fellow CIS and Managing Director of APT Securities & Funds Limited. He will also tell participants about classes of stocks to focus on, in this new market normal value of 1kobo in 2018.

The Secret For Finding Better Trades & Investment Opportunity
Mr. Abdul-Rasheed Oshoma Momoh, Head, Capital Market in TRW Stockbrokers Limited will handle: “Discover how to Trade Smarter, How You Can Stay on the Right Side of the Market Most of the Time,” as well as specific, high winning probability, chart patterns: “Trading Price Direction based on Momentum Flows, The current market cycles, how they are used for trading price direction, in addition to How to set realistic & achievable profit.”

Comprehensive Earnings Guide for Investing and Trading in 2018 Earnings Season Profitably
“Equity price movement is a function of earnings in the short run and long term,” market reaction to earnings in any market cycles is prolonged by dividend payout, relative to price. It makes a lot of sense to trade in the direction by knowing the companies that will grow their payout in 2018… as long as you identify such stocks in their early stages. Hindsight, as they say, earnings calendar, trend, surprise and quality of numbers are very useful in making profitable investment decision in 2018 and beyond, which would be handled by Ambrose Omordion, Chief Research Officer of InvestData Consulting Ltd

How to Pick Investable Securities: Using Econometric Models and Other Strategies Of Successful Traders To Improve Your Trading Margin.
In this presentation by Engr Mike Ekwueme Anyadibe, CEO of X-Front Trader Limited, you will learn how financial engineering can be applied on NGSE market data: How the gurus pick securities, depending on their client’s different investment goals, whether for dividend Income. Or, are you a momentum or trend following trader who wants to grow your wealth through the stock market? Even If you’re a complete beginner – What is model, And Why Was It the profitable strategy between 2009 - 2017 so far.
This summit is the perfect opportunity to learn from the best industry experts and to get the personal attention in the exclusive Q&A session after presentations!


The summit holds on December 9, 2017 at Ostra Hall & Hotel, Behind M.K.O Abiola Gardens, Opposite NNPC Gas Plant, CBD, Alausa, Ikeja. Time is 9:00am. The fee is N25,000 per participant. Payment made on or before December 1, 2017 attracts 10% discount. Companies sending more than two representatives would enjoy 15% discount. Those who have participated in our previous seminars and workshops will enjoy 15% discount. Payment should be made into Investdata Consulting Limited; Zenith Bank Acct. No: 1013033032 or UBA, Acct. No: 1020288683.

To register for the coming summit Kindly visit our site www.investdataonline.com OR www.investdata.com.ng also you can call or send yes to 08032055467, 08111811223 or 08179547605

N.B: At this event you’ll hear real case studies and see examples of exactly how you can use these same techniques. This summit is packed with great content, but the room only has capacity for 100 people and registration is ongoing, so you’ll need to act fast.
If you are looking for a way to make money in the market as a Full-time or Part-time trader or investor, this is your opportunity.

Dream it! Wish it! Do it! Enjoy it! Don’t Miss out

Best regards
Ambrose Omordion
CRO | Investdata Consulting Ltd
info@investdataonline.com
info@investdata.com.ng
ambrose.o@investdataonline.com
ambroseconsultants@yahoo.com
Tel: 08028164085, 08032055467
https://investdataltd..com.ng/2017/11/market-update-for-november-27-2017.html

INVESTDATA PRICE & EARNINGS TRACKING FOR THE WEEK ENDED NOVEMBER 24, 2017

https://investdataltd..com.ng/2017/11/investdata-price-earnings-tracking-for_29.html

HONEYWELL FLOUR:WHEN CAPACITY BUILDING AND AGGRESSIVE MARKETING DRIVES GROWTH



The manufacturer and marketer of wheat based products like flour, semolina, whole wheat meal, noodles and pasta recently released its earnings report for six months ended September 30, 2017,in line with its post-listing requirements, which would allow investors assess its state of health, while planning their investments.
The result which came slightly earlier, when compared to that of 2016, was impressive, beating market and analysts estimates, despite the challenges that militated against the country’s manufacturing sector under review and continues to negatively impact operating costs. Noteworthy among these costs are: poor power supply, among other infrastructure problems bad roads continue to threaten bottom line of operators in the system.

The impact of these factors may however have been mitigated in the period under review as reflected in the average improvements in productivity with the Purchasing Management Index (PMI)rising continuously above 50 points for the seven consecutive months in October, when it stood at 55 points. This is therefore expected to translate into an improvement in the Q3 GDP data to be published by the National Bureau of Statistics (NBS) on Monday morning, from the0.55% improvement recorded in Q2, helped by the improvement in supply of foreign exchange by the Central Bank of Nigeria (CBN) through its investors and exporters window of the of the FX market that has so far helped to stabilize the exchange rate of the Naira, unlike in the past when many where plunged into losses as a result of foreign exchange differential.

As shown in its second quarter score-card under review, Honeywell Flour’s sales revenue grew by 60.22%, reflecting its aggressive marketing drive and improved market share through penetration into new segments, rising to N39.13bn, from N24.42bn. Earnings rose by a significant 469.15% from N389m in the corresponding period of 2016, to N2.21bn, despite the 68% increase in cost of sales, which largely contributed to the low Q2’17profit margin, despite the turnover growth rate. Also, on a quarterly basis, profit margin remains small albeit modestly by 5bps, also driven by high operational and production costs. The company continues to benefit from easier access to foreign exchange (for its imported inputs) and the relative improvement in demand for its products as purchasing power among consumers gradually improves, keeping the company products off the shelves.

Net Assets increased by a marginally 3.31% to N54.03bn from N52.34bn, while Earnings Per Share climbed to 28 kobo from 5 kobo in the 2016 half-year.
Based on its intrinsic value, Honeywell shares are fairly price at N6.20 each,helped by the recent improvement in its earnings power and fundamentals.
The growth in its numbers shows that the company has capacity to meet market demand and service the new markets as reflected on the top line, which is responsible for the increased cost of sales, which has nonetheless put serious pressure on operating cost, just like others. The company ’net profit margin is still below investor-expectation and the 15% international standards, despite moving from 1.59% in 2016 to 5.66%.

The strong earnings and improved balance sheet have however offered investors a high margin of safety, considering its price in a recovering stock market and economy, following which the stock is grossly undervalued, when benchmarked against its book value of N6.82
Judged by contributions of the various business segments, food recorded over 80% of total revenue, given a significant boost to the company’s bottom-line.

HONEYWELL FLOUR PLC
SECOND QUARTER EARNINGS REPORT FOR SEPTEMBER 30, 2017
COY
2016
2017

% Chg
(N)

(N)
Date Released
October,31 2016
October, 30 2017

Price at Released Date
1.23
2.01
63.41

Revenue
24,423,000,000
39,131,000,000
60.22

Profit After Tax
389,,000,000
2,214,000,000
469.15

Shareholders' Fund
52335,000,000
54,073,000,000
3.31

ESTIMATED RATIOS
Earnings Per Share

0.05
0.28
460.00

PE Ratio
6.27
1.80
-71.20

Earnings Yield
3.99
13.89
248.12

Book Value
6.60
6.82
3.33

P/B
0.19
0.29
52.63

ROE (%)
0.74
4.09
452.74

Profit Margin
1.59
5.66
255.97

Year Ended
March
March

Source: NSE, Company Report &Investdata Research

We expect the earnings growth to be sustained in Q3 and the rest of the financial year, driven by gross margin expansion in the near term, particularly in Q4, as we foresee further increase in the pace of revenue growth owing to market expansion, especially with the festive period around the corner. This will also be supported by management's cost cutting efforts which would impact on bottom-line, judging by the improvement in profit margin for the period.The continued turnaround in Honeywell Flour’s operation, if sustained,can give shareholders the confidence to expect a better dividend payout at the end ofthe ongoing 2018 financial year in March.
Valuation/Recommendations
The company’s price to earnings ratio stood at 1.80x, down from 6.27x, thereby shortening investors’waiting period on the strength of its improved earnings. Price-to-Book for the period stood at 0.29x,reflecting the inherent value and high margin of safety.
With the 65 kobo earnings per share projection for full year 2018, Investors with short, medium and long-term horizon should look the way of this stock, while traders cantake advantage of the current pullback price to position for share price appreciation.
We have therefore revalued Honeywell and upgraded it to a BUY for all investment purposes.


Technical View
Honeywell’s price action has recently formed cup and handle to trade above it 50-day moving average, a chart pattern that supports uptrend. The stock began trending up from March 17, 2017, but pulled back in July as a result of profit taking, and rebounded before this pulling back that is finding support at N1.94. But now that the stock is again trending down with year-end seasonal changes and the improved numbers, reversal is imminent. Traders should watch for the first support level at N1.94 and second support level at N1.90 as the market and analysts look forward to its Q3 earnings report.
Honeywell Flour Mill PLC
Share Holding Structure
Siloam Global Services Ltd

75%
First Bank Nigeria Plc

5%
Other Nigerians/ Institutional Investors

20%


Other Statistics
Shares Outstanding (MN)

7,930,197,658
Opening Price (2017)

1.46
Closing Price (2017)

1.05
Closing Price as at Nov 17, 2017

1.94
Date Listed

20th Oct., 2009
Year End

31st March
Five-Year Earnings Performance

Honeywell Flour's mixed performance for the past five years has reflected in its sales revenue and profit level that resulted in an unstable dividend payout for the period under review. Sales revenue for the period has been on the rise, helped by its penetration into new markets, which as stated earlier has reflected in the bottom line, despite the fluctuating cost centres that continue to influence profit.
With the economic recovery and improving output from the manufacturing sector as reflected in Honeywell Flour’s performance to place a fair value that matches the current market price,investor confidence and sentiments for the equity’s price has helped it to retain strength.
Nevertheless,when all other ratios such as the low Price to Earnings (P/E) and Book Value, are compared to current market price, it will be appropriate to place the equity at an intrinsic value of N6 to reflect the recent numbers posted for 2017.

Over the past five years specifically, the company’s turnover grew by 16.45% to N53.23bn from N45.71bn in 2013 after touching a high of N55.08bn in 2014, while within the same period, profit after tax has oscillated to a negative position of N3.02bn in 2016 and low of N1.12bn 2015 from N2.84bn in 2013, representing 51.41% growth to N4.5bn.
The company’s profit level has been unstable in the five-year period and at the beginning of the financial year 2017, while dividend payout has been irregular to indicate its earnings power that may result in investors retaining their shares, while the company's current shareholding structure and float are expected to support the share price.
HONEYWELL FLOUR PLC FIVE-YEAR FINANCIAL POSITIONS




2013
2014
2015
2016
2017

Date Released
July 20,2013
July 30, 2014
June 29, 2015
June, 30, 2016
June 30, 2017

Price @ Released
2.01
4.25
3.50
1.77
1.76

Turnover
45,709,382,000
55,054,365,000
49,057,511,000
50,883,780,000
53,227,891,000

Profit After Tax
2,843,520,000
3,351,564,000
1,120,267,000
-3,023,854,000
4,304,955,000

Net Assets
18,553,083,000
20,605248,000
20,315,834,000
16,362,599,000
52,334,665,000

Dividend

0.16
0.17
0.05

nil
0.06

Bonus

Nil
Nil
Nil
NIL
NIL


Source: NSE, Company Report &Investdata Research

Profitability Ratios
The company’s rebounding earning power and low full year P/E ratio of 3.24x as against the 5.61x in 2013, has reduced the waiting period investors have to recoup their investment as at 2017 release date. Also important is the high estimated Earnings Yield of 30.84% of the price.
Please note that the fluctuations recorded year-on-year in P/E ratio and Earnings Yield in the table below were due to the company’s unstable earnings and price movement. Estimated ratios show that the Book Value has not been stable in the last five years, just as profit margin has been low significantly, due to the increasing cost of operations from a low of 2.28% in 2015 to 8.09% in 2017. Return on Equity for investors have been mixed also for five years as depicted in the table below.

HONEYWELL FOLUR PLC- ESTIAMATED RATIOS


2013
2014
2015
2016
2017

Earnings Per Share

0.36

0.42

0.14

-0.38

0.54

PE Ratio

5.61

10.06

24.78

-4.64

3.24

Earnings Yield

17.84
9.94
4.04
--21.54
30.84

Book Value
2.34
2.60
2.56
2.06
6.60

Price To Book
0.86
1.64
1.37
0.86
0.27

ROE (%)
15.33
1.27
5.51
-18.48
8.23

Profit Margin (%)
6.22
6.08
2.23
-5.94
8.09

Year End

March
March
March
March
March

Source: Company Financial &Investdata Research
https://investdataltd..com.ng/2017/11/honeywell-flourwhen-capacity-building.html

YEAR-END OUTLOOK: VOLATILITY, PROFIT TAKING, AS INVESTORS REALIGN PORTFOLIOS

MARKET UPDATE FOR WEEK ENDED NOVEMBER 24 AND OUTLOOK FOR NOV 27-DEC 1

Nigeria’s stock exchange over the past week continued on its volatility path, even as it reversed previous week’s down market on the strength of investors and traders taking advantage of last week’s Monetary Policy Committee (MPC) meeting outcome, which induced a pullback. It was not just the outcome of the MPC meeting alone, as investors and traders interpreted it along with other positive economic data such as the Q3 GDP and inflation data, as well as the Purchasing Managers’ Index to position in fundamentally sound equities, especially blue-chip stocks like Dangote Cement, which recently expanded its foot-hold on the continent, with the opening of its latest plant in Congo Democratic Republic; and Nestle Nigeria that continues to bask on the robust market disposition, helped by the juicy interim dividend of N15per share, just as its improved earnings capacity remains a support base for its price and dividend to hit a new all-time high.

The market during the week recorded a mixed performance,closing higher on strong technicals and good buying pressure that reflect demand for stocks, hit tinga recent resistance level on a weekly high of 37,374.88 after breaking out the psychological line of 37,000 point again from the low of 36,563.48basis points. At the same time, the index formed a symmetrical triangle chart pattern that supports continuation or reversal of current trend with end of month and year round the corner.Market breadth was positive as volume index for the period stood at 1.29, with buying pressure of 99% and 1% selling position of the total transaction, amidst repositioning on the part of traders after Moody’s downgrade of both the sovereign and banking stocks; coming after the reclassification of most Nigerian stocks on the MSCI Frontier Index, and the decision of the MPC to hold its benchmark Monetary Policy Rate (MPR) at 14%, while retaining others on the argument that the recent improvements in the GDP remains fragile, when considered against the nation’s population growth rate.



Investdata Research maintains its long held opinion that there is need for a holistic approach to quickening the growth of Nigeria’s economy, which must involve the monetary and fiscal authorities to boost productivity, achieve and sustain meaningful growth.

The composite NSEAll-Share index for the week gained 662.33points to close at 37,365.91 points, from an opening figure of 36,703.58 points, representing a 1.80% growth on a higher volume of transactions that were driven by financial services and consumer goods.

Market capitalisation for the period closed higher at N13.01trfrom the opening value of N12.77tr, representing a 1.84% value gained in investor portfolios, with low and medium cap stocks dominating the advancers’ log as a result of their high upside potentials and low price attraction, considering impressive numbers of quoted companies.



The upturn recorded for the period were due to price appreciation in the low, medium and high stocks that impacted positively on the NSEASI’s year-to-date return to 39.04%, just as market capitalisation for the period increased to N3.76tr, representing a 40.69% gain from the year’s opening value.

Market breadth for the week was positive with advancers’ outnumbering decliners in the ratio of 36:24 on a high volume of trades that is marginally lower than previous week’s.

It was a big and mixed week for markets around the world as U.S equities rose on investors expected increase in shopping activities as households celebrated Black Friday, whereas in Europe markets closed lower on the lingering political uncertainty and lower liquidity levels due to the thanksgiving holiday. Asia markets were mixed to close the period as investors look to position with Chinese stocks,ahead of the November 30thmeeting of the Organisation of Petroleum Exporting Countries (OPEC) to determine whether to sustain the supply level, or further cut output that would further drive oil prices higher, with oil price hitting $64 to close on Friday at $63.7 from the previous day $63.4.



Trading on the NSE for the week started on a positive note as the market reacted to the better-than-expected Q3 GDP growth of 1.4% released same day to consolidate the previous trading session’s up market by gaining 0.24%. This was short-lived as the loss in Tuesday’s trading session wiped out the previous gains, as the index shed 0.52%, after which midweek’s trading session closed by a marginal 0.02% gain to signal an uptrend that was sustained on Thursday, just the following day with the index gaining 0.22% and 1.85% respectively to close the week higher than its opening with 1.80% gain.

The All Share Index and sectoral indices closed higher for the period, except for the NSE Oil/Gas that was lower by 1.45% while NSE ASeM closed flat for the week.

Market transaction for the week in terms of volume and value were down by 22.14% and 58.38% respectively at 2.18bnshares worth N22.8bn, from the previous week’s 2.8bn units valued at N54.78bn.

The best performing stock for the period was Dangote Sugar, which hit a new 52-week high, after gaining20.31% to close at N17.24,while Linkage Assurance recorded a rebound after the previous week’s sell-off to close at N0.64, gaining 14.29% to top the advancers table on the strength of low price attraction and market forces.



The worst performing equity for the period was Forte Oil which lost 17.73%, closing at N40.00 on market reaction to its exit from the MSCI frontier Market index and profit booking, while GSK followed with a 9.70% drop to close at N22.80per share on profit taking and its unimpressive Q3 numbers.

During the week also, Lafarge Africa listed additional shares of 85,261,220 units as a result of its capital re-organisation with Ashaka Cement; while FCMB and Nigerian Enamelware released their Q3 and Q2 earnings reports respectively.



Market Outlook
This week, expect a continuation of the volatility, being the lasttrading week for the month of November and the mark down of Nestle Nigeria for the N15 dividend, listing of Global Spectrum shares on the exchange and OPEC meeting, amidst portfolio reshuffling as seasonal changes influence stock prices amidst the volley of positive economic data. Expect traders to also take advantage of volatility and strong Q3 numbers for repositioning, profit taking and rebalancing their positions. There is also the effect of the reshuffling of stocks on the MSCI Frontier Index at this time.

But one thing that is clear in the current market situation is: Smart investors are accumulating and enhancing their positions in selected stocks.


Again, we advise that investors allow numbers to guide their decisions while repositioning for the rest of the year trading activities, especially now that prices of stocks are oscillating amidst improving economic and market fundamentals.
It is time to use your technical tools to take decision by knowing the support and resistant level to reposition or exit any position.


Investing in the stock market is in phases. You must know this in order to manage your trading and investment risk. For stocks that should be on your shopping list to buy in this end of the year and ahead of 2018 full year earnings season, sign up to INVESTDATA BUY AND SELL signal setup by calling 08032055467 or text Signal.
Get your home study pack today and ride with the current recovery on Nigeria’s stock market and economy. By investing and trading knowledgeable in this recovery market.
Stock market trading and investing materialsfor Financial Independence series are Available. Kindly call or send yes to 08032055467 or 08111811223.



Attention! Attention!!Attention

INVEST 2018 TRADERS & INVESTORS FINANCIAL SUCCESS SUMMIT

Attend Invest 2018 Traders and Investors Financial Success Summit, where top investment tips for 2018 and beyond will be shared by stock market experts and professional Traders.
You may have had some ideas as to what we are going to suggest, maybe Bitcoin, or changes in the market in terms of companies whose shares are about to take off or the healthcare company with a new blockbuster product. It is much more than these…
I truly believe the best investment you can make if you want to check whether 2018 would be a great year for you financially, is to invest in education and I have a way for you to do that through the Investdata Buy and Sell Signal setup.



Plan to attend Invest 2018 and learn from industry experts the strategies that are working in today’s market for starting or growing your trading business and for investing in the stock market, as well as strategies to fast track your success…
When you attend this summit you’ll find out how you can start a stock trading or grow your investment in a smart way – so that it is easy to manage and generate increasing earnings whilst you spent less time at work.
You will also learn what really works in stock market investing – strategies that even beginners and experienced traders/ investors can use.


In the Nigeria stock market today, it is no longer about how long you have been in the market, how close you are to MDs and stockbroking firms, being particularly smart or working hard – the most important thing is doing it yourself through your phone and laptop by knowing the right strategies via knowledge and understanding how to effectively combine economic, company fundamentals and technical tools for profitable investing.
And once you know these strategies even someone of average intelligence and average resources can achieve outstanding results relatively fast.



Best regards
Ambrose Omordion
CRO | Investdata Consulting Ltd
info@investdataonline.com
info@investdata.com.ng
ambrose.o@investdataonline.com
ambroseconsultants@yahoo.com
Tel: 08028164085, 08032055467

http://investdata.com.ng/2017/11/year-end-outlook-volatility-profit-taking-investors-realign-portfolios/http://investdata.com.ng/2017/11/year-end-outlook-volatility-profit-taking-investors-realign-portfolios/

N.B:At this event you’ll hear real case studies and see examples of exactly how you can use these same techniques. This summit is packed with great content, but the room only has capacity for 100 people and registration is ongoing, so you’ll need to act fast.

VOLATILITY PERSISTS AS INVESTORS POSITION FOR YEAR-END RALLY, AMIDST PROFIT TAKING

Trading on the Nigeria Stock Exchange on Thursday remained very volatile to consolidate the recovery mode on the strength of positive and bright economic indices that were recently released to the market, as investors and traders positioned for September year-end results and December end of year seasonal rally and those hoping to end the year higher than they opened.
Market direction, especially at this time of the year, will be a function of money flow and depending on the prevailing sentiment, particularly when the Q3 corporate earnings has laid bare the true position of most companies on the NSE, in terms of their financial health, fitness and possibility of beating market expectations again when their full year earnings score-cards are released, with higher payout.

The day’s trading started out with little gain which continued to move back and forth till midday when it picked up and rallied very strongly by the afternoon session to hit an intraday high of 36,984.36 point which had been the recent resistance level, helped by value gain in Dangote Cement which on that day opened its latest cement plant in Congo Democratic Republic, making its 17th across Africa. The index later pulled back, touching a low of 36,592.26 as it took back about three-quarter of the day’s gains, before rallying up again to form a symmetric triangle chart pattern that supported continuation of trend as it closed the day higher on a huge volume and stronger positive market breadth.

Market techincals for the day was positive despite the seeming high selling pressure as revealed by the volume index of 1.71 with selling position of 75% and buying volume at 25% of the total transactions of the day to continue the previous day’s bull transition. All of the market indexes closed higher for the day except NSE Industrial that was down.
Meanwhile, the composite index NSEASI gained 79.99 basis points to close at 36,688.75 from the 36,608.76 points it opened, which represented a 0.22% growth, in the same direction with market capitalisation that went up by N27.85bn to close at N12.77tr from the previous N12.75tr, representing a 0.22% value gain in investors’ position.

The upturn recorded was due to price appreciation by low, medium and high cap stocks like Zenith Bank, Access Bank, Dangote Sugar, UBA, Flourmills Seplat, Nestle and International Brewery, as investors and traders took position ahead of year-end rally, a situation that impacted positively on the ASI’s year-to-date return to 36.52%, just as YTD growth in market capitalisation stood at N3.53tr, representing a 38.14% rise over the year’s opening value.

Market breadth was positive as the number of advancers outpaced decliners in the ratio of 29:11 on a huge traded volume that was higher than previous day level.
Market activities in terms of volume and value were up by 55.11% and 16.01% respectively to 513.8m shares valued at N6.45bn, from previous day’s 331.24m units worth N5.56bn. Transactions were driven by the shares of UBA, Access Bank, Zenith Bank, Tantalizer and Fidelity Bank that topped the volume chart.

At the end of the day’s trading session Custodian & Allied Insurance topped the advancers’ log, gaining 4.99% to close at N4.00 per share, on the strength of its improving fundamentals. It was followed by International Brewery that was up by 4.13% to close at N53.94 on market forces due to its going merger process.
On the flipside, PZ shed a further 4.99% to close at N23.42 each on market forces and profit taking, ahead of Champion Breweries which lost 4.69% to close at N2.05 each, also on profit taking and market forces.

TODAY’S OUTLOOK

Being the last trading day of the week, expect volatility to continue as traders take profit from the few day rally, as investors position on strength of strong earnings and positive economic data ahead of the year-end since the price of oil in the international market remains relatively high to boost the nation reserve that will attract inflow.

Again, we advise that investors allow numbers to guide their decisions while repositioning for the rest of the year’s trading activities, especially now that stock prices remain volatile amidst improving company, economic and market fundamentals.
It is time to combine fundamentals and technical tools to take decision by knowing the support and resistant level to reposition or exit any position. Market is in phases know the cycles in order to manage your trading and investing risk. For stocks that should be on your shopping list to buy in this seasonality changes as the year winds down, sign up to INVESTDATA BUY AND SELL signal setup by calling 08032055467.

Get your home study pack today and ride with the current recovery on Nigeria’s stock market and economy. By investing and trading knowledgeable
The training materials on stock Trading and Investing for Financial Independence series are Available, you can play on your mobile phone, laptop, desktop and Tv. Kindly call or send yes to 08032055467 or 08111811223.

Attention! Attention!! Attention!!!
INVEST 2018 TRADERS & INVESTORS FINANCIAL SUCCESS SUMMIT

Sub Topics
The Pre-election Economy & 2018 Budget: Implementation and Impact On the Recovery Bull Market
In this presentation, Mr Olufemi Awoyemi the founder/CEO of Proshare Limited, chartered Accountant and seasoned financial analyst will review the economy and impact of government policies so far, discussing how the proposed N8.6tr budget will influence the economy in a pre-election year. He will also take participants through the outlook for the stock market in 2018, while attempting to answer a question like: Is there really any reason to cheer from the mere size of the 2018 budget, considering how those of the past two years have been implemented, especially during this economic recovery phases?

Impact and Implication of NSE New Rules on your Equity Investment in 2018 and Beyond.
The new strategies to trade and invest in a transforming market will be revealed to boost players profit and minimized losses by Alhaji Garba Kurfi, a chartered accountant, Fellow CIS and Managing Director of APT Securities & Funds Limited. He will also tell participants about classes of stocks to focus on, in this new market normal value of 1kobo in 2018.

The Secret For Finding Better Trades & Investment Opportunity
Mr. Abdul-Rasheed Oshoma Momoh, Head, Capital Market in TRW Stockbrokers Limited will handle: “Discover how to Trade Smarter, How You Can Stay on the Right Side of the Market Most of the Time,” as well as specific, high winning probability, chart patterns: “Trading Price Direction based on Momentum Flows, The current market cycles, how they are used for trading price direction, in addition to How to set realistic & achievable profit.”

Comprehensive Earnings Guide for Investing and Trading in 2018 Earnings Season Profitably
“Equity price movement is a function of earnings in the short run and long term,” market reaction to earnings in any market cycles is prolonged by dividend payout, relative to price. It makes a lot of sense to trade in the direction by knowing the companies that will grow their payout in 2018… as long as you identify such stocks in their early stages. Hindsight, as they say, earnings calendar, trend, surprise and quality of numbers are very useful in making profitable investment decision in 2018 and beyond, which would be handled by Ambrose Omordion, Chief Research Officer of InvestData Consulting Ltd

How to Pick Investable Securities: Using Econometric Models and Other Strategies Of Successful Traders To Improve Your Trading Margin.
In this presentation by Engr Mike Ekwueme Anyadibe, CEO of X-Front Trader Limited, you will learn how financial engineering can be applied on NGSE market data: How the gurus pick securities, depending on their client’s different investment goals, whether for dividend Income. Or, are you a momentum or trend following trader who wants to grow your wealth through the stock market? Even If you’re a complete beginner – What is model, And Why Was It the profitable strategy between 2009 - 2017 so far.
This summit is the perfect opportunity to learn from the best industry experts and to get the personal attention in the exclusive Q&A session after presentations!

The summit holds on December 9, 2017 at Ostra Hall & Hotel, Behind M.K.O Abiola Gardens, Opposite NNPC Gas Plant, CBD, Alausa, Ikeja. Time is 9:00am. The fee is N25,000 per participant. Payment made on or before December 1, 2017 attracts 10% discount. Companies sending more than two representatives would enjoy 15% discount. Those who have participated in our previous seminars and workshops will enjoy 15% discount. Payment should be made into Investdata Consulting Limited; Zenith Bank Acct. No: 1013033032 or UBA, Acct. No: 1020288683.

To register for the coming summit Kindly visit our site www.investdataonline.com OR www.investdata.com.ng also you can call or send yes to 08032055467, 08111811223 or 08179547605

N.B: At this event you’ll hear real case studies and see examples of exactly how you can use these same techniques. This summit is packed with great content, but the room only has capacity for 100 people and registration is ongoing, so you’ll need to act fast.
If you are looking for a way to make money in the market as a Full-time or Part-time trader or investor, this is your opportunity.

Dream it! Wish it! Do it! Enjoy it! Don’t Miss out

Best regards
Ambrose Omordion
CRO | Investdata Consulting Ltd
info@investdataonline.com
info@investdata.com.ng
ambrose.o@investdataonline.com
ambroseconsultants@yahoo.com
Tel: 08028164085, 08032055467
https://investdataltd..com.ng/2017/11/market-update-for-november-23-2017.html

Year-End Portfolio Rebalancing By Investors, Traders, Keeps NSE Indicators On Edge

Market Update for November 22

Nigeria’s stock market ended trading at the midweek on a flat note, with marginal gain and weak technicals, as market players continue to weigh the expected impact of positive macro-economic data over the recent downgrade by Moody’s and MSCI Index rebalance on the market performance as the year draws to a close, and in view of the end of the year Santa Claus rally and other seasonal changes, this is especially given that the market and economy remain on the path of recovery, given the seeming slower than expected growth pace of the Q3 GDP released on Monday.

The market’s composite index opened the day green and started moving up and down by the mid-morning, rallying at midday to a high of 36,693.59 before the downward pull by profit taking activities. It failed to break down the recent support at 36,563.43 points. This was until the last hour when a 5-wave advance slightly took formation from a double bottom chart pattern that supports uptrend and recovery, which was not strong enough to make meaningful impact. Thursday’s market sentiment and direction will however confirm it.

The selling pressure in the market remain relatively high at 65% on negative breadth with improved volume as revealed by the volume index of 0.88 and buying position at 35% of the total transactions of the day to reverse the previous day’s bear market in search of direction. all the sectorial indexes were in green, except the NSE Pension that closed in red, while Nestle Nigeria’s share price hit another all-time high at N1,300 on the strength of its impressive third quarter earnings report and positive market sentiment on its consistent dividend payout, irrespective of the yield and its shareholding structure that had always supported the price.

Meanwhile, All Share Index for the day gained slightly 8.69 basis points to close at 36,608.76 from the 36,600.07 points it opened, which represented a 0.02% growth, just as market capitalisation was up by N7.29bn to close at N12.75tr from the previous N12.74tr, representing a 0.02% marginal appreciation.
The seeming upturn resulted from value gain by medium and high cap stocks like Nestle, Zenith Bank, Unilever, Dangote Sugar and International Brewery, as investors and traders took position ahead of year-end rally, a situation that helped the ASI’s year-to-date return to 36.22%, just as YTD growth in market capitalisation stood at N3.5tr, representing a 37.88% rise over the year’s opening value.

Market breadth for the day was negative as the number of decliners outnumbered advancers in the ratio of 23:17 on a high traded volume that was higher than previous day level.
Market activities in terms of volume and value were up by 28.42% and 68.99% respectively to 331.24m shares valued at N5.56bn from previous day’s 257.93m units worth N3.29bn.
At the end of Wednesday’s session also, Unilever topped the advancers’ table, gaining 5.69% to close at N39.95 per share, on the strength of its improving fundamentals and it retention on the MSCI index. It was followed by Nestle, which notched 3.08% to close at N1300 as investors react to its interim dividend of N15 and based on its improved earnings.
On the flipside, GSK shed a further 9.70% to close at N22.80 each on market forces and profit taking, ahead of Flour Mills which lost 4.98% to close at N31.5 each also, on profit taking.

TODAY’S OUTLOOK

As market opens, expect volatility to continue as interpretation of the recent positive economic data like inflation, Q3 GDP and retention of MPR at 14% continues, in the midst of profit booking, portfolio rebalancing and repositioning ahead of the year-end rally as commodity price of oil in the international market remain relatively high to boost the nation reserve.
Again, we advise that investors allow numbers to guide their decisions while repositioning for the rest of the year’s trading activities, especially now that stock prices remain volatile amidst improving company, economic and market fundamentals.

It is time to combine fundamentals and technical tools to take decision by knowing the support and resistant level to reposition or exit any position. Market is in phases know the cycles in order to manage your trading and investing risk. For stocks that should be on your shopping list to buy in this seasonality changes as the year winds down, sign up to INVESTDATA BUY AND SELL signal setup by calling 08032055467.

Get your home study pack today and ride with the current recovery on Nigeria’s stock market and economy. By investing and trading knowledgeable
The training materials on stock Trading and Investing for Financial Independence series are Available, you can play on your mobile phone, laptop, desktop and Tv. Kindly call or send yes to 08032055467 or 08111811223.

Attention! Attention!! Attention!!!

INVEST 2018 TRADERS & INVESTORS FINANICAL SUCCESS SUMMIT

Sub Topics
The Pre-election Economy & 2018 Budget: Implementation and Impact On the Recovery Bull Market
In this presentation, Mr Olufemi Awoyemi the founder/CEO of Proshare Limited, chartered Accountant and seasoned financial analyst will review the economy and impact of government policies so far, discussing how the proposed N8.6tr budget will influence the economy in a pre-election year. He will also take participants through the outlook for the stock market in 2018, while attempting to answer a question like: Is there really any reason to cheer from the mere size of the 2018 budget, considering how those of the past two years have been implemented, especially during this economic recovery phases?
Impact and Implication of NSE New Rules on your Equity Investment in 2018 and Beyond.

The new strategies to trade and invest in a transforming market will be revealed to boost players profit and minimized losses by Alhaji Garba Kurfi, a chartered accountant, Fellow CIS and Managing Director of APT Securities & Funds Limited. He will also tell participants about classes of stocks to focus on, in this new market normal value of 1kobo in 2018.

The Secret For Finding Better Trades & Investment Opportunity
Mr. Abdul-Rasheed Oshoma Momoh, Head, Capital Market in TRW Stockbrokers Limited will handle: “Discover how to Trade Smarter, How You Can Stay on the Right Side of the Market Most of the Time,” as well as specific, high winning probability, chart patterns: “Trading Price Direction based on Momentum Flows, The current market cycles, how they are used for trading price direction, in addition to How to set realistic & achievable profit.”

Comprehensive Earnings Guide for Investing and Trading in 2018 Earnings Season Profitably
“Equity price movement is a function of earnings in the short run and long term,” market reaction to earnings in any market cycles is prolonged by dividend payout, relative to price. It makes a lot of sense to trade in the direction by knowing the companies that will grow their payout in 2018… as long as you identify such stocks in their early stages. Hindsight, as they say, earnings calendar, trend, surprise and quality of numbers are very useful in making profitable investment decision in 2018 and beyond, which would be handled by Ambrose Omordion, Chief Research Officer of InvestData Consulting Ltd

How to Pick Investable Securities: Using Econometric Models and Other Strategies Of Successful Traders To Improve Your Trading Margin
In this presentation by Engr Mike Ekwueme Anyadibe, CEO of X-Front Trader Limited, you will learn how financial engineering can be applied on NGSE market data: How the gurus pick securities, depending on their client’s different investment goals, whether for dividend Income. Or, are you a momentum or trend following trader who wants to grow your wealth through the stock market? Even If you’re a complete beginner – What is model, And Why Was It the profitable strategy between 2009 – 2017 so far.
This summit is the perfect opportunity to learn from the best industry experts and to get the personal attention in the exclusive Q&A session after presentations!

The summit holds on December 9, 2017 at Ostra Hall & Hotel, Behind M.K.O Abiola Gardens, Opposite NNPC Gas Plant, CBD, Alausa, Ikeja. Time is 9:00am. The fee is N25,000 per participant. Payment made on or before December 1, 2017 attracts 10% discount. Companies sending more than two representatives would enjoy 15% discount. Those who have participated in our previous seminars and workshops will enjoy 15% discount. Payment should be made into Investdata Consulting Limited; Zenith Bank Acct. No: 1013033032 or UBA, Acct. No: 1020288683.

To register for the coming summit Kindly visit our site www.investdataonline.com OR www.investdata.com.ng also you can call or send yes to 08032055467, 08111811223 or 08179547605

N.B: At this event you’ll hear real case studies and see examples of exactly how you can use these same techniques. This summit is packed with great content, but the room only has capacity for 100 people and registration is ongoing, so you’ll need to act fast.
If you are looking for a way to make money in the market as a Full-time or Part-time trader or investor, this is your opportunity.

Dream it! Wish it! Do it! Enjoy it! Don’t Miss out

Best regards
Ambrose Omordion
CRO | Investdata Consulting Ltd
info@investdataonline.com
info@investdata.com.ng
ambrose.o@investdataonline.com
ambroseconsultants@yahoo.com
Tel: 08028164085, 08032055467
http://investdata.com.ng/2017/11/year-end-portfolio-rebalancing-investors-traders-keeps-nse-indicators-edge/

Nigeria’s GDP Jumps 1.4% In Q3, As NBS Revises Previous Growth

The week started with good news on Monday as Nigeria’s National Bureau of Statistics (NBS) released the Gross Domestic Product (GDP) numbers for the third quarter of 2017, indicating that the nation’s economy grow by a more robust 1.4%.
The bureau also revised the figure for Q2 from 0.55% to 0.71%, owing to what it called the revision of oil GDP to 3.53% for that period and -2.24% in the corresponding period (Q2) of 2016.

Year-to-date, the NBS put Nigeria’s GDP at 0.41%, as nominal GDP (Q3) was valued at N29.83tr, while GDP for the period came to N18.03tr, with the non-oil sector contributing 89.96%, down from 90.96%, and representing the third consecutive quarter drop since Q4, 2016, when it stood at 93.25%. This may be a wake-up call for the Federal Government to intensify its efforts at diversifying the economy as far as from oil as possible.

In terms of contributions to GDP, the service sector leads with 48.28%, followed from afar by industries with 22.56% and agriculture, 29.15%.
The data shows an sustained improvement in agric sector GDP, which has continued to rise, as services and oil sectors decline gradually, especially since 2017Q1, which represents the peak of the service sector’s contribution since Q1 2016.
Contribution of oil which, incidentally continues to account for the about 75% of Nigeria’s annual revenue, stood at 10.04%, up from 9.04% in the previous quarter.

Crude oil production for the period under review rose by 8.55% from 1.87 million barrels per day (mbpd) in the second quarter of 2017, to 2.03mbpd, representing the second consecutive rise since Q1, when it stood at 1.69mbpd, a pointer to the government’s efforts at maintaining and sustaining the peace (though) fragile, in the country’s Niger-Delta region.
The nation’s manufacturing sector GDP contracted by -2.85% in the period under review, from 0.64% in the preceding quarter. In the 2016Q3, it recorded -4.38%, impacted by cement GDP, which continued to lag behind, contracting by 4.56%, worse than its -4.16% in Q2 just as it moves nearer the -6.26% record in 2016Q3

Agric GDP growth recorded improvements at 3.06%, from 3.01% in 2017Q2 and 4.54% in 2016Q3; helped by crop production, which improved by 3.19%, slower than 3.21% in 2017Q2 and 4.88% in 2016Q3
Fishing contracted by 2.84% in Q3, from 2.72% and 0.34% in the 2017Q2 and 2016Q3; just as forestry improved by 3.95% from 3.89% in Q2 and 2.08% in 2016Q3; just as livestock sub-sector climbed by 2.52% from 2.28% and 0.76% in 2017Q2 and 2016 Q3 respectively.

Industry GDP climbed 8.83%, an improvement over the 1.45% in Q2 and -12.66% in 2016Q3; GDP in the services sector suffered negative growth at -2.66% in Q3, bigger than the -0.81% recorded in Q2 and -1.17% in 2016Q3.
Wood and wood products under manufacturing sector grew by 1.24% from -2.09% in Q2 and -6.3% in 2016Q3; while textiles, apparels and footwear under Manufacturing GDP rose 0.19%, down from 0.2$ in the preceding quarter.

Food and Beverage under Manufacturing GDP suffered decline as it managed to grow by 0.58% from 2.67% in Q2, while facing the risk of negative growth soon, just as it did with -5.75% in 2016Q3.
Mining and quarrying soared 25.44% from just 3.51% in the previous quarter and -22.65% in 2016Q3, boosted by the 25.89% growth in crude petroleum and natural gas, from just 3.53% in Q2 and -23.04% in the corresponding period of 2016.
Growth in quarrying and other mining activities continued to be constrained, as it improved by 1.86%, down from 2.24% in the 2017Q2 and 7.07% in 2016Q3; metal ores recorded a robust 10.7% from a negative of -1.09% and the 6.89% of the 2016Q3.

Coal mining could not pull a similar stunt, as it contracted by a princely -38.49% from 4.92% and -7.76% in 2016Q3.

http://investdata.com.ng/2017/11/nigerias-gdp-jumps-1-4-q3-nbs-revises-previous-growth/

AMIDST CAUTIOUS TRADING, BEARS BARE FANGS, AS INVESTORS DIGEST ARRAY OF ECONOMIC DATA, OUTLOOK

Market Update for November 21

Tuesday’s trading on the floor of the Nigeria Stock Exchange ended on a negative note amidst technicals, which reflected bearish sentiments as traders and investors begin to gradually add the outcome of the day’s Monetary Policy Committee (MPC) meeting to the array of data that have graced the market so as to take a holistic decision on the direction of the market and indeed, the nation’s economy for the short, medium to long-term investment purpose. Before the meeting of the Central Bank of Nigeria’s MPC, data that and happenings in the market in recent weeks, besides the Q3 earnings season filings, stakeholders are trying to make sense of today, are the inflation and Gross Domestic Product (GDP) data, the MSCI Frontier Market outcome, Moody’s downgrade of the Nigerian sovereign and banks, confidence, the 2018 Appropriation Bill, as well as purchasing managers’ indices among others.

On Tuesday, the MPC at the end of its two-day meeting, the committee did not vote for easing of monetary policy to reduce cost of funds, increase lending by banks and in the process further boost productive activities to drive growth. Members voted eight to one to retain all rates, despite the relative improvements in the economy, warning that economic recovery remains fragile yet, considering where it was before slipping into recession. The committee also based their not-yet-time-to-clink-glasses decision on the fact that Nigeria’s population growth rate was faster than the GDP’s 1.4%.

That said, there is every need today than ever before for the monetary and fiscal authorities to redouble their efforts, strategies to undertake a review of their strategies, while critically assessing progress and impact to sustain and even improve on the recovery as revealed by the positive economic data and the latest Q3 GDP data. Profit booking as mentioned in our Monday update, where we warned that with the three trading sessions of gains, traders are likely to take their profit which took place at the end of trade on Tuesday.
The day started out with a little gap up in the index before the midday pullback into red where it lingered for the rest of the day, until the last minutes when there was a slight support at 36,579.63 from the intraday high of 36,864.64, to close lower for the day.

Market breadth also turned negative on Tuesday with high selling pressure of 93% on improved volume as revealed by the volume index of 0.86 and buying position at 7% of the total transactions of the day, halting market recovery to pullback the NSE All-Share index to its 20-DMA. It was however above the 50-DMA as money flow for the day turned head-down to reflect the bear situation of the day.
Meanwhile, the NSE’s composite index shed 192.52 basis points to close at 36,600.07 from the 36,792.60 points it opened, which represented a 0.52% decline, just as market capitalisation went down by N67.01bn to close at N12.74tr from the previous N12.81tr, representing a 0.52% value lost in investors’ portfolios.
The day’s downturn resulted from losses suffered by medium and high cap stocks like Forte Oil, Zenith Bank, UBA, FBNH, PZ, Dangote Flour, Stanbic IBTC, PZ, Flourmills and Nigeria Breweries as investors and traders took profit, a situation that impacted negatively on the ASI’s year-to-date return, reducing it to 36.19%, just as YTD growth in market capitalisation stood at N3.5tr, representing a 37.76% rise over the year’s opening value.

Market breadth for the day was negative as the number of decliners outpaced advancers in the ratio of 22:19 on a low traded volume that was higher than previous day level.
Market activities in terms of volume and value were up by 23.58% and 34.29% respectively to 257.93m shares valued at N3.29bn from the previous day’s 208.71m units worth N2.45bn.
At the end of the day’s trading session, Champion Brewery topped the advancers’ log, gaining 9.09% to close at N2.16 per share, on market forces, followed by Linkage Assurance which notched 5.17% to close at N0.61 on market forces.

On the flipside, Forte Oil shed a further 8.86% to close at N40 each on profit taking and the probable impact of its exit from MSCI index, ahead of Caverton which lost 5.30% to close at N1.25 each also on profit taking.

https://investdataltd..com.ng/2017/11/amidst-cautious-trading-bears-bare.html

NSE INDICATORS REACT TO FASTER GDP GROWTH, INVESTORS UPBEAT ON MPC OUTCOME

Market Update for November 20

The nation’s stock market had a mixed and volatile session on Monday as it recovered from the seeming effects of the downgrade-induced pullback with the help of more positive economic data, particularly the nation’s Q3 GDP that came in a better than expected at 1.4%, helped by the robust growth in the oil sector, which begins to make more sense when considered vis-à-vis all other positive macro-economic indices like inflation which had in the last nine months grown slower to berth at 15.91% in the month of October. The improved GDP growth did not come as a surprise to many analysts and keen watchers of the Nigerian economy, judging from the marked improvement over the period of key indicators like the Purchasing Managers’ Index (PMI)that has consistently stayed above 50 points over the past seven months, hitting 55 point in October, consumer confidence index had moved up in the last three quarters to 67.48% at the end of Q3, just as corporate earnings have so far remained positive in the three quarters so far, of 2017, beating market and analysts’ expectations.

These factors are pointers to what investors should expect of stock prices as the market and economic fundamentals continue to improve, supporting expansion and productivity as reflected in the Q3 GDP data released by the National Bureau of Statistics (NBS)on Monday. This is a foretaste of what should be expected in 2018 if the monetary authorities continue to review strategies, while the fiscal authorities step up their game with more stimulus packages for critical sectors like the value chains in power, transportation, manufacturing and agricultural sectors to create more job opportunities, while enhancing the earnings power of the people thereby improving their living standards and in the process supporting growth and sustainable productive activities.

Trading for the day and week started out with a little move to the upside, after which it slid down. By late morning and near midday, the index hit the session’s lows at 36,599.99. In the afternoon, it rebounded to continue rallying as more medium and high cap stocks appreciated in value to touch intraday high of 36,800.85 which at the end of the day closed in positive territory to maintain three days of up market as investors and traders await the outcome of the two-day Monetary Policy Committee (MPC)which ends on Tuesday.

Market technicals for Monday was positive but weak on low volume despite the high buying pressure of 96%, with volume index for the day at 0.69and selling position at 4% of the total transactions on Monday. This is a signal that market recovery is gaining momentum as the NSE All-Share index is crossing its 20-Day moving average with money flow still looking up on a daily time frame, which suggests that investors can still hold their position despite the expected short-term profit taking from gains of the last few days.

Meanwhile, the benchmark index gained 89.02 basis points to close at 36,792.60 from the 36,703.58 points it opened, which represented a 0.24% growth, just as market capitalisation notched N30.98bn to close at N12.81tr from the previous N12.77tr, representing a 0.24% value gain in investors’ position.
The upturn recorded during the day was as a result of price appreciation in medium and high cap stocks like Zenith Bank,UBA, FBNH, PZ, Dangote Sugar, Nascon and Dangote Flour that impacted the ASI’s year-to-date returnto 36.90%, just as YTD growth in market capitalisation stood at N3.56tr, representing a 38.48% rise above the year’s opening value.

Market breadth for the day was positive as the number of advancers outnumbered decliners in the ratio of 17:15 on a low traded volume that was lower than last week Friday’s.
Market activities in terms of volume and value were down by 88.58% and 61.13% respectively to 208.71mshares valued at N2.45bn from the previous day’s 1.83bnunits, worth N6.31bn.
At the end of Monday’s trading session, PZ Cusson topped the advancers’ chart, gaining 10.23% to close at N24.79per share, on market forces, followed by National Salt which notched 9.59% to close at N15.89 on market sentiment and its impressive Q3 numbers.

On the flipside, Forte Oilshed a further 9.73% to close at N43.89 on profit taking and the probable impact of its exit from MSCI index, ahead of Law Union& Rock Insurance, which lost 4.62% to close at N0.62 each on market forces.

https://investdataltd..com.ng/2017/11/nse-indicators-react-to-faster-gdp.html

STRATEGIES FOR EQUITY INVESTMENT IN A PRE-ELECTION YEAR ECONOMY


At any given time in a nation’s political life cycle, success is measured by the living standard of the people economically or socially, which is a function of economic progress that is driven by developmental policies capable of ensuring sustainability through active participation of the private sector and effective implementation of such policies by government.
It has been an established fact across the globe that a nation’s economy cannot be separated from its politics, meaning that policies and political activities influence economic activities and investment in an economy.Elections come with uncertainties which every investor or trader factors into his investment decision to hedge against certain risks when the process is drawing closer.

This is why 2018 for Nigeria therefore comes with great investment opportunities for discerning investors and traders, just as it is spiced with uncertainties, for no other reason than its being a pre-election year, in a market structure dominated by foreign players that are here to make profit and not to look at the face of the economic managers. As such, when it is time for them to cash out of the market, they will go for the next available environment that offers opportunities, or even stay with cash while observing the unfolding scenario.
As a domestic investor or trader playing the same market with this sophisticated fund managers also known as smart money or institutional players, you need to up your game in stock market investment. This will help ensure that you do not become a dumping ground for fleeing portfolio investors through knowing and planning to exit positions before the general market begins.
This comes with knowing institutional money flow directions that would prompt you as to when you should exit or hold and whether you should enter/buy.

These and other technical indicators will be discussed at the INVEST 2018 TRADERS & INVESTORS FINANICAL SUCCESS SUMMIT, where different stock market trading and investing models that are technical analysis driven and fundamentally designed are shared with participants. The one that combines both technical and fundamentals are delivering profit, which has been working since 2009 till date.
Other take-aways from the summit are:
· The power of trading quarterly and full year earnings reporting season.
· Our rules-based approach to trading and investing in stocks.
· How buy & sell securities resistance and support
· How to take advantage of best market timing strategies to position before Major market earnings reporting season.
· How to quickly and accurately "predict" the next market reaction
· Learn why trading less is making more.
· Learn how to make use of trend identification, resistant and support to double your returns.
· Learn how to follow the institutional money flow and much more in pre-election year to protect capital.
Also, it is an opportunity to know you can identify opportunities in different sectors, especially with the Federal Government's plan to spend almost N8 trillion for 2018, which if implemented will quicken ongoing economic recovery.

Discover how you can unleash your Income Potential Trading stocks.

You will also discover why trading and investing in stock is the way to go.
Best regards



Ambrose Omordion
CRO | Investdata Consulting Ltd
info@investdataonline.com
info@investdata.com.ng
ambrose.o@investdataonline.com
ambroseconsultants@yahoo.com
Tel: 08028164085, 08032055467
https://investdataltd..com.ng/2017/11/strategies-for-equity-investment-in-pre.html

Attention! Attention!! Attention!!!
Invest 2018 Traders & Investors Financial Success Summit

Sub Topics
The Pre-election Economy & 2018 Budget: Implementation and Impact On the Recovery Bull Market
In this presentation, Mr Olufemi Awoyemi the founder/CEO of Proshare Limited, chartered Accountant and seasoned financial analyst will review the economy and impact of government policies so far, discussing how the proposed N8.6tr budget will influence the economy in a pre-election year. He will also take participants through the outlook for the stock market in 2018, while attempting to answer a question like: Is there really any reason to cheer from the mere size of the 2018 budget, considering how those of the past two years have been implemented, especially during this economic recovery phases?

Impact and Implication of NSE New Rules on your Equity Investment in 2018 and Beyond.
The new strategies to trade and invest in a transforming market will be revealed to boost players profit and minimized losses by Alhaji Garba Kurfi, a chartered accountant, Fellow CIS and Managing Director of APT Securities & Funds Limited. He will also tell participants about classes of stocks to focus on, in this new market normal value of 1kobo in 2018.

The Secret For Finding Better Trades & Investment Opportunity
Mr. Abdul-Rasheed Oshoma Momoh, Head, Capital Market in TRW Stockbrokers Limited will handle: “Discover how to Trade Smarter, How You Can Stay on the Right Side of the Market Most of the Time,” as well as specific, high winning probability, chart patterns: “Trading Price Direction based on Momentum Flows, The current market cycles, how they are used for trading price direction, in addition to How to set realistic & achievable profit.”

Comprehensive Earnings Guide for Investing and Trading in 2018 Earnings Season Profitably
“Equity price movement is a function of earnings in the short run and long term,” market reaction to earnings in any market cycles is prolonged by dividend payout, relative to price. It makes a lot of sense to trade in the direction by knowing the companies that will grow their payout in 2018… as long as you identify such stocks in their early stages. Hindsight, as they say, earnings calendar, trend, surprise and quality of numbers are very useful in making profitable investment decision in 2018 and beyond, which would be handled by Ambrose Omordion, Chief Research Officer of InvestData Consulting Ltd

How to Pick Investable Securities: Using Econometric Models and Other Strategies Of Successful Traders To Improve Your Trading Margin.
In this presentation by Engr Mike Ekwueme Anyadibe, CEO of X-Front Trader Limited, you will learn how financial engineering can be applied on NGSE market data: How the gurus pick securities, depending on their client’s different investment goals, whether for dividend Income. Or, are you a momentum or trend following trader who wants to grow your wealth through the stock market? Even If you’re a complete beginner – What is model, And Why Was It the profitable strategy between 2009 - 2017 so far.
This summit is the perfect opportunity to learn from the best industry experts and to get the personal attention in the exclusive Q&A session after presentations!


The summit holds on December 9, 2017 at Ostra Hall & Hotel, Behind M.K.O Abiola Gardens, Opposite NNPC Gas Plant, CBD, Alausa, Ikeja. Time is 9:00am. The fee is N25,000 per participant. Payment made on or before December 1, 2017 attracts 10% discount. Companies sending more than two representatives would enjoy 15% discount. Those who have participated in our previous seminars and workshops will enjoy 15% discount. Payment should be made into Investdata Consulting Limited; Zenith Bank Acct. No: 1013033032 or UBA, Acct. No: 1020288683.

To register for the coming summit Kindly visit our site www.investdataonline.com OR www.investdata.com.ng also you can call or send yes to 08032055467, 08111811223 or 08179547605

N.B: At this event you’ll hear real case studies and see examples of exactly how you can use these same techniques. This summit is packed with great content, but the room only has capacity for 100 people and registration is ongoing, so you’ll need to act fast.
If you are looking for a way to make money in the market as a Full-time or Part-time trader or investor, this is your opportunity.

Dream it! Wish it! Do it! Enjoy it! Don’t Miss out

Best regards
Ambrose Omordion
CRO | Investdata Consulting Ltd
info@investdataonline.com
info@investdata.com.ng
ambrose.o@investdataonline.com
ambroseconsultants@yahoo.com
Tel: 08028164085, 08032055467

Market Infractions Cases Down By 87.6% In 18 Months, Says Gwarzo, SEC DG

Director General of the Securities and Exchange Commission, Mounir Gwarzo, on Thursday in Lagos said there are evidence that its zero tolerance to infractions has started to yield positive results.
A pointer to this reality, he noted, is the significant 87.6% drop in cases of market infractions from 291 in first quarter of ’2016 to 36 in Q3’ 2017.
In his opening remarks at the 21st Annual conference of the Chartered Institute of Stockbrokers (CIS), Gwarzo also noted the drop in the number of enforcement cases from 49 to 30 within the same period, in what he linked to the belief that all the initiatives introduced and results are helping capital market stakeholders respond adequately to the dynamic changes in the financial market.
On market regulation and development, he said the commission is committed to continue developing the Nigerian Capital Market in line with the 10-year Master Plan, besides the electronic dividend initiative that is very central. This is why, he continued, which the commission recently embarked on a massive media campaign to sensitize the public on the December 31, 2017 deadline on free e-dividend registration exercise and regularization of multiple accounts by investors.
In addition, he highlighted that the Commission has strengthened its Rule making process and more Rules are considered on a timely basis with the underlying justifications which will aid the market’s understanding of the thought process behind coming up with the rules.
He urged capital market participants to constantly adapt to new and rapidly changing economic, regulatory and business environments which will aid the performance of their expected roles in economic development of the nation.
Gwarzo noted that “almost everything now comes down to the application of (relevant) technology. In fact, at the nucleus of dynamic changes is technology. The financial market institution of the future is one that is currently making conscious effort to automate its processes by leveraging on relevant technology”.
He however noted that as an evidence of the responses to dynamic changes in the Nigerian Financial Market, the capital market has begun to observe the evolution of new products and processes which include Sukuk, Green Bonds, Derivatives, Commodities and Financial Technology (Fintech).

http://investdata.com.ng/2017/11/market-infractions-cases-87-6-18-months-says-gwarzo-sec-dg/#more

10 Year After, Investors Await Daar Communications First Dividend Payment

By Kingsley Ighomwenghian

When Daar Communications Plc opened its initial public offering (IPO) between February 25 and on March 31, 2008, expectedly, there was excitement in the air, especially given that Nigeria’s first private broadcast conglomerate was offering the public part ownership of a potential honey pot.
The icing on the cake, many reasoned, was that the owners of RayPower Fm and African Independent Television (AIT), which broke the monopoly of state-owned Nigerian Television Authority and Radio Nigeria would afterwards list its shares for trading on the Nigerian Stock Exchange (NSE) as an entry and exit window.
Raypower and AIT had attracted the best of Nigeria’s broadcasters from the various government owned organisations across the country, following which both new stations became instant household brands and toasts of advertisers.
So, when the Initial Public Offering opened, it was no surprise that investors seized the opportunity. The unique selling proposition of the company was its upgrade to international standards with Higher Definition (HD) production, PayTV, as well as the sole broadcast rights over the 2009 Under-17 World Cup for which Nigeria initially got the nod to host. Many had calculated that the broadcast rights would have meant Daar Communications literarily breaking the bank in terms of revenue generation, profit and Returns-On-Investment (ROI) to shareholders.

A Juicy Offer

The company offered 1,829,478,000 ordinary shares for subscription, which was expected to yield a net proceed of N8.752bn, and another 960,000,000 units for sale by Daar Investment & Holding Company Limited (the parent company), all at N5.00 per share, with BGL Securities Ltd, Skye Bank and Fidelity as lead issuing Houses.
In an offer for sale, the proceeds goes to the offeror, in this case- the parent company, while proceeds of an offer for subscription belongs to the company- the issuer.
As such, of the net proceeds of the offer for subscription, the digital multi-channel platform to be completed over a six-month period, was to receive the lion’s share of N4bn or 45.7%; followed by N1.134bn or 12.97% for immediate procurement of programme content; N762.905m or 8.8% for working capital; while development of mobile TV, was to get N700m or 7.9%.
Also, N520m or 5.94% of the net proceeds was for completion of 11 new stations in Adamawa, Benue, Borno, Cross Rivers, Katsina, Kano, Ogun, Osun, Oyo, Sokoto and Zamfara also from the proceeds and construction of a film village over a four-month period; followed by N607.944m or 6.95% for upgrade of existing facilities; and N566.974m or 6.48% for programmes and digital satellite system; while the remaining N459.946m or 5.25% was for building and equipping of new studios across the country, the UK, US and the Carribean.

Juicy Projections

According to the offer prospectus, Daar Communications’ financials were supposed to have turned green in the 2005 full year profit after tax stood at N146.798m, from prior year’s N30.268m loss; and then N168.689m in 2006. Thereafter, it galloped to N223.782m in the 2007 half year ended June 30, from a turnover of N1.071bn.
In its three-year forecast (2008-2010), Daar Communications projected profit before tax of N3.217bn from total turnover of N10.294bn in 2008; after which it would grow to N4.258bn from N13.686bn; and then N5.772bn profit from revenue of N17.668bn in the 2010 full year. For the period, directors expected to distribute N2.496bn dividend or N0.31 per share in 2008; N3.072bn or N0.38 each the following year; and N4.032bn or N0.50 each in 2010.
This forecast, if achieved, many prospective investors must have calculated, would also have significantly boosted share price on the NSE, resulting in huge capital appreciation opportunities for those wishing to take profit.
It was therefore not unexpected that investors fell for the offer, after crunching the numbers and probably salivating, based on the robust outlook.
What most did not however take into account was the risk of the various matrixes going sour; including the withdrawal of Nigeria’s hosting right for the Under 17 (U-17) FIFA World Cup for which the company had ploughed short-term borrowings into the otherwise long-term broadcast equipment and acquisition of the rights.

And Suddenly…

The company’s first headache was therefore the withdrawal of Nigeria’s hosting rights for the U-17 World Cup, following the expiration of a three-week grace period for Nigeria to fully meet all hosting requirements between October 24 and November 15, 2009. This was even after an extension of the deadline for final inspection of tournament venues from July 5 to 26th and 27th owing to a personal guarantee to FIFA by then President Umaru Yar’Adua of Nigeria’s preparedness to host the tournament.
As if this was not enough trouble, Daar Communications’ multimillion Naira PayTV investment launched in October 2008 with 50 local and international channels went off air for some weeks over alleged debts to the channel owners.
It is not known whether the Securities & Exchange Commission (SEC), the apex capital market regulator, made efforts to ascertain that the offer proceeds were utilized for the various projects for which they were meant at the time.
While a message to the WhatsApp number of Tony Akiotu, Managing Director/Chief Executive of Daar Communications Plc on at 9.53pm on October 13, 2017, seeking to clarifications on certain issues around poor corporate governance and the company’s inability to post record profit over the years, were neither acknowledged nor responded to, although read. Even a November 10 reminder had not been answered by 11pm on Thursday, November 16, 2017, just as neither the chairman nor his predecessor-father could be reached, despite various attempts by this newspaper.

Blinking Hope

Ten years after the offer was conclude however, Daar Communications’ forecasts have remained just that: Mere projections. It may never be known whether truly the directors sold a dummy to the market, or unforeseen circumstances and uncertainties in the economy moved against the company, or whether it is a combination of both.
According to the financials for the full-year ended December 31, 2016, revenue dropped by N3.356bn or 47.35% from N7.089bn; while after tax loss increased from N1.51bn to N2.139bn, representing a 41.62% rise. This translated to a loss per share of 27 kobo, up from the previous 19 kobo.
Over the years too, shareholders have watched helplessly as Daar Communications share price cascaded from N5 at IPO price to 50 kobo per today, with the possibility of touching a new floor soon as a result of the new NSE rule that allows share prices to fall to a new floor of one kobo
No one needs look too far reasons why Daar’s share price has remains on the floor. The company’s nine-month result presented last month offered no hope even of a brighter tomorrow, with revenue down by 7.87% from N2.765bn in September 2016 to N2.547bn. While the revenue margins continue to shrink, cost of sales jumped to N3.31bn from N3.1bn, resulting in a gross loss of N762.476m, more than double the previous N335.05m. Other income slowed down from N1.02bn to N642m.
Net loss for the period increased to N2.021bn from N1.659bn, representing a N361.805m or 21.8%, representing loss per share of 25 kobo, from 21 kobo.

Peer Comparison

For comparative analyses, investdata.com.ng has produced below a table of companies (using company data) that were listed on the NSE in 2008 just like Daar Communications and how much better an investor would have fared put their money in those alternative vehicles. Notice that the worst of the trio is Omatek Ventures, which paid a dividend of five kobo in 2009, (a year after listing 1.5bn units at N4.90 each) before going into comatose. Consolidated Hallmark Insurance listed six billion units at N1.85 each; while 1.25bn shares of Dangote Flour Mills were listed on February 4, 2008 at N15 each.



Governance Gaps

But then, many links what is going on at Daar Communications to an obvious none adherence to good corporate governance practices which the Securities & Exchange Commission (SEC) has at various times codified since the days following the collapse of global corporates like Enron, WordCom and Arthur Anderson, among others.
Enforcement of rules however remains the biggest problem in Nigeria today.
For instance, under “Family and Interlocking Directorship,” Section 7.1 of the SEC governance code says: “Not more than two members of the same family shall sit on the board of a public company at the same time.”
The SEC Nigeria seems to be ignoring the clear breach of this rule. Besides the annual reports, Daar Communication on its website lists four Dokpesis as directors namely: Chief Raymond Paul Dokpesi Jnr, Chairman; High Chief Raymond Aleogho Anthony Dokpesi, (Chairman Emeritus/Founder); Dr. (Mrs) Oluwatosin Dokpesi; and Barr. Mary Dokpesi.
The SEC may need to explain this regulatory complacence.

Caveat Emptor

Reacting, Mazi Okechukwu Unegbu, a lawyer, chartered stockbroker and former bank Managing Director and chief executive of Maxifund Investment & Securities Ltd, told Investdata News in a telephone interview that the governance code is not a law in itself, but an advice on how a company should be properly governed.
Investdata.com.ng however notes that one of the allegations against Oando Plc by the SEC is the breach of the same code of Good Corporate Governance.
On the forecast given by Daar Communications in its 2008 IPO, Unegbu, also a former President and chairman, Council of the Chartered Institute of Bankers of Nigeria (CIBN), explained that it was a forecast based on the conditions precedent at the time, which should usually be followed by the “All things being equal” caveat.
For those who lost money in the deal, his advice: “As an investor you have taken a risk and you will live with it.”
Agreeing with him, Adebayo Adeleke, a shareholder activist and former General Secretary of the Independent Shareholders Association of Nigeria (ISAN) told investdata.com.ng also on telephone that all that shareholders can do when dissatisfied with the state of their company, “is to vote out the board or sell their shares.”
Unfortunately, Adeleke was quick to add, there is little shareholders can do in this case because there is a dominant shareholder in High Chief Dokpesi, “who cannot be outvoted.”
According to the company’s annual report, High Chief Dokpesi owns 320m units or 4% stake directly and another 4,890,522,000 or 61.13% (through Daar Investment & Holding Company), leaving the general public with 34.87%.
While the dominant shareholder may also not be receiving dividend because the company is in loss position, he continued, Dokpesi is still in charge of the company’s management, as a result of which he could be earning some form of income.
The SEC and NSE, he believes, may not be able to call the board and management to account either, unless they have reason to believe there is a serious infraction, or a whistleblower calls their attention to one.
Like Unegbu also, he say: “In the capital market, the golden rule of equity investment is caveat emptor.”

I Disagree

Disagreeing with both Unegbu and Adeleke however, Nona Awoh, another shareholder activist, says it is not true that there is nothing minority shareholders can do about the situation.
The questions that require answers he told Investdata in an interview are: “What efforts have the shareholders made to correct the situation? What role did the media play before now? What role should they have played?”
For him, “it is not also true that corporate governance is not enforceable. If I stole company money, do you mean I won’t I go to jail?”

Going Concern

Indeed, SIAO (Chartered Accountants), the company’s external auditors, in its report, expressed concerns over the ability of Daar to continue as a going concern.
It noted: “The current financial state of the company raises the issue of the ability of the company to continue in business in the nearest future.”
This conclusion, it said, was reached based on indicators such as the N2.1bn loss in 2016, from N1.5bn a year earlier; the fact that current liabilities for 2016 exceeded its current assets by N3.5bn; as well as the N1.5bn accrued statutory charges: pension, Payee, VAT, etc.

But Why?

Meanwhile, shareholders have not earned returns on their investment for the umpteenth time, but according to the 2016 financial report, the company’s chairman earned N18m as fees, N10.936m or 154.81% more than previous year’s N7.064m. Executive directors got N70.657m for the period, a drop from the previous N97.202m, with the highest paid director taking home N8.428m, same as prior year.
Under staff costs, in the note to the 2016 account, the group put staff salaries and allowances at N1.246bn, up from N1.153bn, at a time Investdata learnt that the workers are owed salaries in arrears, a situation that requires explaining.
The company has also in the past had to grapple with allegations of fraud arising from weak internal controls and organisational structure.

Timely Warning

The board and management of Daar Communications, Awoh believes, must do things differently to salvage the company, “because if they continue in their old ways, in two years, there may not be that company in existence any more.
“I may not be able to tell you the company’s problems off hand, but the truth is: In our environment, if you want to play politics and do business at the same time, you may run into a problem,” Awoh stressed further.
The only options opened to the company today are recapitalization by the owners, or new investors, in which case the core investor would divest its holding and give up some control of management. Are the owners ready for the hard options? Time, like Awoh believes, would tell.


http://investdata.com.ng/2017/11/10-year-investors-await-daar-communications-first-dividend-payout/#more

Between Cadbury And Oando: Comparing Two SEC Forensic Audit Scenarios

Exactly a month ago, on Wednesday, October 18, 2017, management of the Securities & Exchange Commission (SEC) ordered the full suspension of the shares of Oando Plc for an initial two days, followed thereafter by somewhat indefinite technical suspension.
Full suspension is a situation where a company’s shares are barred from trading on the Nigerian Stock Exchange (NSE), while the other describes a situation where the stock trades but price movement is frozen for the period the suspension subsists.
The SEC also appointed a team of five firms to conduct forensic audit, including Deloitte.
In this piece, Investdata News compares the current situation in Oando to that of Cadbury Nigeria Plc 10 years ago.
One similarity between both that immediately comes to mind is that it was Cadbury Nigeria’s board under Dr. Uduimo Itsueli that announced the commission of an independent firm of auditors to review the company’s recent financial statements. This, Itsueli explained at the time, arose from “an internal review.

In the Oando case, its top officials accused the commission of using information freely provided it as if they were some discoveries. One of such is the corporate governance infraction noted by the SEC, which the company says were reported in its audited financial statements over the years.
The difference is that while the SEC’s action in the Oando case followed petitions by shareholders, Dahiru Mangal, and Ansbury Incorporated, who the commission would later dub “whistleblowers,” alleging gross misconducts, including corporate governance infractions against management, it was Cadbury’s board that called attention to the various infractions.
Also, similar is that Cadbury was fined “for filing a Rights Circular for the N5bn irredeemable convertible loan stock which contained false/misleading statements, failing which trading on its shares will be suspended,” just as in its letter of October 17, 2017, the SEC said Oando’s 2014 Rights Circular “contained misleading information.”

Also, while Bunmi Oni and Ayo Akadiri, then managing director and finance director respectively of Cadbury were suspended to allow for an impartial audit, the SEC announced suspension of Oando’s shares on the NSE, leaving the management in place. Also, while Oando’s management got an injunction from the Federal High Court, Ikoyi, Lagos against the planned forensic audit, Cadbury full cooperated, leading to the sack of the Oni-led management, as well as the board. It must however be noted that a court ruled that his ouster breached his contract of employment, directing that he be paid his entitlements for upward of six months.
Related to this is the fact that while the NSE announced suspension of Cadbury’s shares at the time to forestall erosion in value and welcomed by all, the SEC suspension is generally viewed as punitive for investors.

For Cadbury, Akintola Williams Deloitte was the firm of external auditors indicted by the SEC and ordered to a pay fine, while PricewaterhouseCoopers was hired to conduct the forensic audit. Today, Deloitte is appointed by the commission among the team of five firms for forensic investigation of a company audited by Ernst & Young, another international audit firm.
The SEC alleges that Oando declared N1.4bn dividends from unrealised profits, disposal of an asset was not at arms’ length, just as it released false financial statements to the public, while Oni, rather than the board and management, was accused of false accounting/book cooking, stocks buy-back, trade loading, tax default, false stock certificate and undisclosed interest in the company, as if it was his unilateral decision.
Both Oando and Cadbury were flagged for corporate governance infractions
While Cadbury was accused of paying dividend from non-existing profit, Oando allegedly also paid dividends to its registrar in piecemeal, a clear violation of SEC regulations.
Unlike the Cadbury case, Oando’s independent auditors- Ernst & Young, according to the SEC, auditors drew attention to the going concern status of the 2016 account, among others. E&Y had noted that Oando Plc’s liabilities exceeded the assets by as much as N263,8bn, for which reason the commission could have directed the board of the company to recapitalize.

While only PwC was appointed by the SEC to conduct forensic audit on Cadbury, the commission named a consortium comprising Akintola Williams Delloite, United Securities Plc, SPA Ajibade & Co, TJADAP Consulting and Associates, and Nasiru Muhammad and Co. to audit Oando
While it is not clear who paid the audit fees in the case of Cadbury, the commission directed that Oando bears the N160m cost of the audit, which as has been noted, would be another sore point when it comes to bearing the cost.
 
Over-Reaction?

For Oando, while the commission insists that its preliminary findings are weighty enough to warrant further investigation, the company’s management believes the regulator over reacted, given the prescribed penalties as set out against the infractions. None of them, the company argued, singularly or together warrant the institution of a forensic audit, full or technical suspension of trading of the company’s shares on the NSE.

It therefore wonders how: “The SEC arrive at its findings if it cannot be sure of the veracity of those findings, and more importantly how did it ascribe the appropriate level of weight to be given to those findings, enough to warrant an immediate suspension followed by a technical suspension of the shares of the company, especially if those findings are still mere allegations at this point, as the Commission has clearly communicated?”

Is Oando truly guilty as charged? Did the SEC over-react? Only the courts can truly answer those questions, among many others.
But, like most lawsuits in Nigeria, the contenders know when it begins, only the divine knows how and when it would be finally dispensed with. Meanwhile, the fate of investors, particularly retail, and traders, hangs on a delicate balance, amidst the wait to see the end of the legal tango between a regulated company and its regulator. But then, must regulators wait for the worst case scenario?


http://investdata.com.ng/2017/11/cadbury-oando-comparing-two-sec-forensic-audits/#more

INVESTORS CONTINUE PORTFOLIO REBALANCING, REPOSITIONING, ALL EYES ON EXPECTED ECONOMIC DATA

Market Update for November 16

Nigeria’s stock market on Thursday continued its volatility as traders and investors digested effects of the Moody’s and MSCI Frontier Index review on the economy and market with the indicators turning from red to pale green as players took advantage of the pullback to continue their repositioning and rebalancing ahead of year-end seasonal changes, among others. Despite the weak market technicals, positive earnings surprising so far in the current financial year is likely to boost the market again as positive macro-economic indices continue to give direction. These alone would not however do the magic, as there is need for fiscal reform stimulus to drive recovery and growth needed to boost confidence and attract domestic and foreign investors. It is also expected that the quality of financial sector assets will improved if the government hastens its policies geared towards driving infrastructure development needed to boost economic activities thereby helping the banks to reduce their warehouses of Non-Performing Loans, while boosting customer deposits.
As mentioned in our update yesterday, that reversal is imminent as selling pressure continued to decline. The index slid down at opening until midday, moving up and down at first before an afternoon rebound after touching intraday low of 36,541.90 which is becoming the NSE’s support level in recent times, as it closed higher at 36,634.89 from the day’s peak of 36,679.93 basis points.

Buying pressure was high at 67%, to reverse the selling pressure of 86% in the previous day. Volume index for the day was 0.85 and sell position- 33% of the total transactions for the day, bringing an end to the two-day bear transition on higher volume. This is a signal that market recovery is underway, especially with institutional money flow indicator still looking up, suggesting that smart money is taking advantage of the pullback to accumulate.

Meanwhile, the composite NSE All-Share index gained a sluggish 17.44 basis points to close at 36,634.89 from the 36,617.45 points it opened, which represented a 0.05% marginal growth. Similarly, market capitalisation was up by N77.05bn to N12.75tr from the previous N12.67tr as result of the listing of news shares of Unilever Nigeria and Transnationwide Express, following their successful rights issues that boosted the market value.
Value gain recorded by medium and high cap stocks like Unilever, Double one, PZ, 7-Up, Zenith Bank, Guaranty Trust Bank, Stanbic IBTC and Access Bank, impacted the ASI’s year-to-date return to 36.32%, just as YTD growth in market capitalisation stood at N3.56 trillion, representing a 38.03% rise above the year’s opening value.

Market breadth remained negative as the number of decliners outnumbered advancers in the ratio of 25:17 on a low traded volume that was higher than previous day’s level.
Market activities in terms of volume and value were up by 18.18% and 252.71% respectively to 217.75 million shares valued at N11.71bn from the previous day’s 184.25m units, worth N3.32bn.

At the end of Thursday trading session, BocGas topped the advancers’ chart, gaining 9.88% to close at N4.56 per share, on market forces, followed by PZ Cussons which notched 5% to close at N21.42 on low price attraction and market sentiment, just after it was removed from the MSCI Frontier Market Index list.
On the flipside, Caverton shed a further 8.97% to close at N1.32 on profit taking. It was followed by University Press, which lost 5% to close at N2.66 each on profit taking.


TODAY’S OUTLOOK

Being the last trading day of the week, expect volatility to continue due to rebalancing and repositioning of portfolio. Profit taking to slow down as a result mixed performance so far in the week. Two crucial economic data are expected next week: There is the release of Q3 GDP figures by the National Bureau of Statistics (NBS) and the two-day Monetary Policy Committee (MPC) of the CBN which begins on Monday. The outcome of the meeting would be released via a communique on Tuesday after, providing data such as the benchmark Monetary Policy Rate (MPR), Liquidity Ratio and Cash Reserve Ratio (CRR), among other hints that give an over-view of economic behaviour going forward.

Again, we advise that investors allow numbers to guide their decisions while repositioning for the rest of the year trading activities, especially now that prices of stocks are moving up and down amidst improving company, economic and market fundamentals.
It is time to combine fundamentals and technical tools to take decision by knowing the support and resistant level to reposition or exit any position. Market is in phases know the cycles in order to manage your trading and investing risk. For stocks that should be on your shopping list to buy in this seasonality changes as the year winds down, sign up to INVESTDATA BUY AND SELL signal setup by calling 08032055467.
Get your home study pack today and ride with the current recovery on Nigeria’s stock market and economy. By investing and trading knowledgeable

The training materials on stock Trading and Investing for Financial Independence series are Available, you can play on your mobile phone, laptop, desktop and Tv. Kindly call or send yes to 08032055467 or 08111811223.

Attention! Attention!! Attention!!!
INVEST 2018 TRADERS & INVESTORS FINANCIAL SUCCESS SUMMIT

Sub Topics
The Pre-election Economy & 2018 Budget: Implementation and Impact On the Recovery Bull Market
In this presentation, Mr Olufemi Awoyemi the founder/CEO of Proshare Limited, chartered Accountant and seasoned financial analyst will review the economy and impact of government policies so far, discussing how the proposed N8.6tr budget will influence the economy in a pre-election year. He will also take participants through the outlook for the stock market in 2018, while attempting to answer a question like: Is there really any reason to cheer from the mere size of the 2018 budget, considering how those of the past two years have been implemented, especially during this economic recovery phases?

Comprehensive Earnings Guide for Investing and Trading in 2018 Earnings Season Profitably
“Equity price movement is a function of earnings in the short run and long term,” market reaction to earnings in any market cycles is prolonged by dividend payout, relative to price. It makes a lot of sense to trade in the direction by knowing the companies that will grow their payout in 2018… as long as you identify such stocks in their early stages. Hindsight, as they say, earnings calendar, trend, surprise and quality of numbers are very useful in making profitable investment decision in 2018 and beyond, which would be handled by Ambrose Omordion, Chief Research Officer of InvestData Consulting Ltd

The Secret For Finding Better Trades & Investment Opportunity
Mr. Abdul-Rasheed Oshoma Momoh, Head, Capital Market in TRW Stockbrokers Limited will handle: “Discover how to Trade Smarter, How You Can Stay on the Right Side of the Market Most of the Time,” as well as specific, high winning probability, chart patterns: “Trading Price Direction based on Momentum Flows, The current market cycles, how they are used for trading price direction, in addition to How to set realistic & achievable profit.”

How to Pick Investable Stocks: Using working Models/Tactics of Experts and Professionals to improve your Trading Profit
In this presentation by Engr Mike Ekwueme Anyadibe, CEO of X-Front Trader Limited, you will learn: How the gurus pick stocks, depending on their different investment goals, whether for dividend Income. Or, are you a momentum trader who wants to grow your wealth through the stock market? Even If you’re a complete beginner – What is model, And Why Was It the top performing strategy of 2015, 2016 and 2017 so far.
Impact and Implication of NSE New Rules on your Equity Investment in 2018 and Beyond.
The new strategies to trade and invest in a transforming market will be revealed to boost players profit and minimized losses by Alhaji Garba Kurfi, a chartered accountant, Fellow CIS and Managing Director of APT Securities & Funds Limited. He will also tell participants about classes of stocks to focus on, in this new market normal value of 1kobo in 2018.

This summit is the perfect opportunity to learn from the best industry experts and to get the personal attention in the exclusive Q&A session after presentations! Date Saturday December 9, 2017, fee N25,000
To register for the coming summit Kindly visit our site www.investdataonline.com also you can call or send yes to 08032055467 or 08111811223.

N.B: At this event you’ll hear real case studies and see examples of exactly how you can use these same techniques. This summit is packed with great content, but the room only has capacity for 100 people and registration is ongoing, so you’ll need to act fast.
If you are looking for a way to make money in the market as a Full-time or Part-time trader or investor, this is your opportunity.

Dream it! Wish it! Do it! Enjoy it! Don’t Miss out

Best regards

Ambrose Omordion
CRO | Investdata Consulting Ltd
info@investdataonline.com
info@investdata.com.ng
ambrose.o@investdataonline.com
ambroseconsultants@yahoo.com
Tel: 08028164085, 08032055467

http://investdata.com.ng/2017/11/investors-continue-portfolio-rebalancing-repositioning-eyes-expected-economic-data/

AHEAD OF NEXT MPC MEETING, NIGERIA’S Q3 GDP NEWS, INVESTORS NEUTRAL ON OCT. INFLATION DATA

Market Update for November 15

The mid-week trading activities on the Nigeria Stock Exchange was very volatile irrespective of the another positive economic data that revealed another slow decline in inflation rate for the month of October, even as investors keep their eyes trained on next week’s two-day meeting of members of the Central Bank of Nigeria’s Monetary Policy Committee (MPC), which begins on Monday.
Inflation in the month of October, according to data from the National Bureau of Statistics (NBS) on Wednesday morning stood at 15.91% (READ).

Also very important and the thought of which would keep investors and analysts guessing in the coming days, is the much awaited third quarter Gross Domestic Products (GDP) numbers, scheduled for release also by the NBS on Monday, November 20, 2017. The figure would also be key to the decisions of the MPC members at their meeting, the last for the year.

All of these factors may account for the negative performance of the Nigerian Stock market as equities continued their free fall on Wednesday with noticeable increased selling pressure, especially in the four stocks that were demoted to the small cap segment and those delisted from the recently reviewed MSCI (Morgan Stanley Capital Index) Frontier Markets Index released on Monday (READ).
The situation was made worse by the downgrade of banking stocks, just like the sovereign by Moody’s, following which market correction was not unexpected, even as we expect that it would not last long, due to the low valuation of Nigerian stocks, added to the general improvements in corporate earnings on the NSE that would support higher payout at the end of the year.

Trading opened for the day with little sliding down, which continued until it reach lower-lows through the midday to afternoon before rallying back marginally at the final minutes to close lower than it opened. The index picked up near support as it broke down the 20-day moving average and the rising channel due to losses recorded by highly capitalized stocks at the end of the day.

Stepping back and reviewing the hourly chart patterns, the opening plunge for the first ten minutes got the indices to their lows for the day. An afternoon rally attempt fell short of the old highs, and it came down really hard. It was another day in the downtrend that recently developed. This is the second day that we’ve been in a downtrend, and the first support has been taken out as well.

Selling pressure on Wednesday was high at 86%, but lower than the previous day’s 92%. Volume index for the day was 0.71 and buy position- 14% out of the total transactions for the day to continue two-day bear transition on a low volume traded that signaled an end of the trend is in sight, depending however on the market direction at the end of today trading.
Meanwhile, the All Share Index shed 335.9 basis points to close at 36,617.45 from 36,953.41 points it opened, which represented a 0.91% decline, similarly, market capitalisation was down by N116.28bn to N12.67tr from previous N12.79tr.

The down market continued due to price depreciation in low, medium and high cap stocks like Unilever, NB, Dangote Cement, FBNH, PZ, Dangote Sugar, Dangote Flour, 7UP and Access Bank, which was enough to reduce the ASI’s year-to-date return to 36.25%, just as YTD growth in market capitalisation stood at N3.43tr, representing a 37.05% rise above the year’s opening value.
Market breadth remained negative as the number of decliners outweighed advancers in the ratio of 26:15 on a low traded volume that was lower than previous day’s level.

Market activities in terms of volume and value were down by 22.70% and 2.92% respectively to 184.25m shares valued at N3.32 billion from the previous day’s 238.36 million units, worth N3.42bn.
Transactions in the shares of FBNH, Zenith Bank, Fidelity Bank, Diamond Bank and UBA topped the volume chart.

At the end of the trading session, AG Leventis topped the advancers’ chart, gaining 8.47% to close at N0.64 per share, on market forces, followed by Red Star Express which notched 5% to close at N5.04 on market forces also, besides its impressive Q2 numbers and ahead of its rights issue.

On the flipside, C & I Leasing shed a further 8.97% to close at N1.32 on profit taking and apparent investor reaction to its proposed share reconstruction and primary activity. It was followed by PZ Cussons, which was deleted from the MSCI Frontier Markets list, which lost 8.93% to close at N20.40 each.

TODAY’S OUTLOOK

On the strength of market reaction to Moody’s and MSCI Index review, expect volatility to continue, just as selling pressure reduces amidst portfolio rebalancing, profit taking and repositioning, helped by the inflow of more positive economic data into the market, while investors continue to digest the implications of those already released and the implications for the market and the economy at large.
Again, we advise that investors allow numbers to guide their decisions while repositioning for the rest of the year trading activities, especially now that prices of stocks are moving up and down amidst improving company, economic and market fundamentals.

It is time to combine fundamentals and technical tools to take decision by knowing the support and resistant level to reposition or exit any position. Market is in phases know the cycles in order to manage your trading and investing risk. For stocks that should be on your shopping list to buy in this seasonality changes as the year winds down, sign up to INVESTDATA BUY AND SELL signal setup by calling 08032055467.
Get your home study pack today and ride with the current recovery on Nigeria’s stock market and economy. By investing and trading knowledgeable

The training materials on stock Trading and Investing for Financial Independence series are Available, you can play on your mobile phone, laptop, desktop and TV. Kindly call or send yes to 08032055467 or 08111811223.

http://investdata.com.ng/2017/11/ahead-next-mpc-meeting-nigeria-q3/

IN AFTERMATH OF MSCI FRONTIER INDEX REVIEW, NIGERIAN EQUITY INVESTORS BEGIN PORTFOLIO REBALANCING

MARKET UPDATE FOR NOVEMBER 14

With no shock absorber to the rescue as was the case on Monday, when core investor- Dangote Industries Limited, controlled by Africa’s richest man Aliko Dangote, sold a stake in its cement business to foreign investors in a one-off stock market deal valued at N27bn, Nigeria’s equity market on Tuesday suffered huge loss as trading succumbed to selling pressure. This was apparently triggered by the recent downgrade of the Nigerian sovereign and its financial institutions as a result of the increased total debt of the government, even as the nation’s upper legislative chamber, the Senate, on Tuesday, approved plans for a new $5.5bn borrowing to reduce the high quantum of local debt. Other factors include the government’s budget implementation style and high volatility of oil price, a key determinant of Nigeria’s revenue at a time when non-oil revenue continues to underperform, made worse by the risk exposure of the banks to Eurobond and high Non-Performing-Loans.

The rating is coming after the just concluded earnings reporting season that revealed sustained strong trend in earnings which was expected to support imminent reversal after this pullback. More positive economic data continued to grace the market, the latest was Tuesday’s Q3 2017 Consumer Confidence Index at 67.48 points, up from 64.84% in Q2, continuing its upward direction which began in Q1 2017.
Investors and traders also continued looking forward to the October inflation figures by the National Bureau of Statistics (NBS) expecting it to continue its declining rise, ahead of the last Monetary Policy Committee (MPC) meeting for 2017, which opens on Monday, the day the NBS would release the Q3 GDP figures, which report members of the MPC would likely also rely on arrive at decisions. The GDP figure is expected to reveal further growth in the economy, especially against the backdrop of the continued rise in Purchasing Managers’ Index (PMI) over the period; just as corporate earnings and other macro-economic indices remained positive.

The Nigerian Stock Exchange (NSE) All-Share index was highly volatile on Tuesday, as it had an interesting rally back late in the day to close above the intraday low of 36,917.60, with the highs for the day at 37,345.70, although it was still down for the day because of the early sharp down gap. The day started out with big gap closing down, it fell sharper to touch the moving averages at resistance. The technicals for the day was weak and negative as market breadth negative position widen.
The outcome of the semi- annual review of MSCI Frontier market Index that retained some stocks is a positive factor for the market as Fund and Portfolio Managers continue to rebalance their position, despite the removal of some companies and reclassification of others to small cap categories within the index (READ STORY HERE).

If the current improvement in corporate earnings is sustained with strong corporate governance from the quoted companies, investors can expect new additions especially from the consumer goods.

Selling pressure rose to a high of 92% with volume index of 0.96 and buy position of 8% out of the total transactions for the day to halt the two-day bull-run on a low volume traded
Meanwhile, the benchmark NSE’s Composite Index shed 358.87 basis points to close at 36,953.41 from 37,312.23 points it opened, which represented a 0.96% decline, the biggest drop in several months. Similarly, market capitalisation was down by N124.2bn to N12.79tr from previous N12.91tr.
The downturn resulted from value loss in medium and high cap stocks like Dangote Cement, FBNH, Nestle, PZ, Dangote Sugar and Guaranty Trust Bank, reducing the ASI’s year-to-date return to 37.50%, just as YTD growth in market capitalisation stood at N3.54tr, representing a 38.31% rise above the year’s opening value.

Market breadth was negative as the number of decliners increased to outnumber advancers in the ratio of 32:12 on a low traded volume that was lower than previous day’s level.
Market activities in terms of volume and value were down by 29.13% and 88.61% respectively to 238.36m shares valued at N3.42bn from the previous day’s 336.34m units, worth N30.02bn.
Transactions in the shares of FBNH, Diamond Bank, Stanbic IBTC, Transcorp and Zenith Bank topped the volume chart.

At the end of the Tuesday’s trading session, Vitafoam topped the advancers’ chart, gaining 4.98% to close at N2.95 per share, on market sentiments and expectation of it full year earnings report; followed by Nahco with 4.79% notch, to close at N3.72 on market forces and impressive Q3 numbers
On the flipside, Caverton shed 9.38% to close at N1.45 on profit taking, followed by C & I Leasing with 8.81% loss, to close at N1.45 each on profit taking, proposed reconstruction and primary activity. The stock, which has remained the toast of investors since April when its price soared from 50 kobo to N2.15 each in October came under a major sell-off, going on offer at 11.15am with 11,995m units, after trading 1,230,740 shares at 11.15am, according to hints by TRW Stockbrokers.

TODAY’S OUTLOOK

On the strength of the foregoing, investors should expect volatility to continue, while selling pressure reduces amidst portfolio rebalancing, profit taking and repositioning ahead of expected economic data.
Inflation data for the month of October released by the NBS on Wednesday morning revealed a nine-consecutive monthly drop in the rate of increase, as it stood at 15.91%, boosted as usual by food inflation (READ).

Again, we advise that investors allow numbers to guide their decisions while repositioning for the rest of the year trading activities, especially now that prices of stocks are moving up and down amidst improving company, economic and market fundamentals.
It is time to combine fundamentals and technical tools to take decision by knowing the support and resistant level to reposition or exit any position. Market is in phases know the cycles in order to manage your trading and investing risk. For stocks that should be on your shopping list to buy in this seasonality changes as the year winds down, sign up to INVESTDATA BUY AND SELL signal setup by calling 08032055467.

Get your home study pack today and ride with the current recovery on Nigeria’s stock market and economy. By investing and trading knowledgeable
The training materials on stock Trading and Investing for Financial Independence series are Available, you can play on your mobile phone, laptop, desktop and Tv. Kindly call or send yes to 08032055467 or 08111811223.

Attention! Attention!! Attention!!!
INVEST 2018 TRADERS & INVESTORS FINANICAL SUCCESS SUMMIT
Sub Topics
The Pre-election Economy & 2018 Budget: Implementation and Impact On the Recovery Bull Market
In this presentation, Mr Olufemi Awoyemi the founder/CEO of Proshare Limited, chartered Accountant and seasoned financial analyst will review the economy and impact of government policies so far, discussing how the proposed N8.6tr budget will influence the economy in a pre-election year. He will also take participants through the outlook for the stock market in 2018, while attempting to answer a question like: Is there really any reason to cheer from the mere size of the 2018 budget, considering how those of the past two years have been implemented, especially during this economic recovery phases?

Comprehensive Earnings Guide for Investing and Trading in 2018 Earnings Season Profitably
“Equity price movement is a function of earnings in the short run and long term,” market reaction to earnings in any market cycles is prolonged by dividend payout, relative to price. It makes a lot of sense to trade in the direction by knowing the companies that will grow their payout in 2018… as long as you identify such stocks in their early stages. Hindsight, as they say, earnings calendar, trend, surprise and quality of numbers are very useful in making profitable investment decision in 2018 and beyond, which would be handled by Ambrose Omordion, Chief Research Officer of InvestData Consulting Ltd

The Secret For Finding Better Trades & Investment Opportunity
Mr. Abdul-Rasheed Oshoma Momoh, Head, Capital Market in TRW Stockbrokers Limited will handle: “Discover how to Trade Smarter, How You Can Stay on the Right Side of the Market Most of the Time,” as well as specific, high winning probability, chart patterns: “Trading Price Direction based on Momentum Flows, The current market cycles, how they are used for trading price direction, in addition to How to set realistic & achievable profit.”

How to Pick Investable Stocks: Using working Models/Tactics of Experts and Professionals to improve your Trading Profit
In this presentation by Engr Mike Ekwueme Anyadibe, CEO of X-Front Trader Limited, you will learn: How the gurus pick stocks, depending on their different investment goals, whether for dividend Income. Or, are you a momentum trader who wants to grow your wealth through the stock market? Even If you’re a complete beginner – What is model, And Why Was It the top performing strategy of 2015, 2016 and 2017 so far.

Impact and Implication of NSE New Rules on your Equity Investment in 2018 and Beyond.
The new strategies to trade and invest in a transforming market will be revealed to boost players profit and minimized losses by Alhaji Garba Kurfi, a chartered accountant and Managing Director of APT Securities & Funds Limited. He will also tell participants about classes of stocks to focus on, in this new market normal value of 1kobo in 2018.

This summit is the perfect opportunity to learn from the best industry experts and to get the personal attention in the exclusive Q&A session after presentations! Date Saturday December 9, 2017, fee N25,000
To register for the coming summit Kindly visit our site www.investdataonline.com also you can call or send yes to 08032055467 or 08111811223.

N.B: At this event you’ll hear real case studies and see examples of exactly how you can use these same techniques. This summit is packed with great content, but the room only has capacity for 100 people and registration is ongoing, so you’ll need to act fast.
If you are looking for a way to make money in the market as a Full-time or Part-time trader or investor, this is your opportunity.

Dream it! Wish it! Do it! Enjoy it! Don’t Miss out

Best regards

Ambrose Omordion
CRO | Investdata Consulting Ltd
info@investdataonline.com
info@investdata.com.ng
ambrose.o@investdataonline.com
ambroseconsultants@yahoo.com
Tel: 08028164085, 08032055467
http://investdata.com.ng/2017/11/aftermath-msci-frontier-index-review-nigerian-equity-investors-begin-portfolio-rebalancing/

Cautious Trading Continues, As Investors Await October Inflation, Q3 GDP Data For Hints

Market Update for November 13

The nation’s stock market on Monday had a seemingly good session to start the week very volatile, reacting to the last weekend’s downgrade of eight Nigerian banks due to risk exposure resulting from their high Non-Performing Loan (NPL), an aftermath of the earlier downgrade of the sovereign, knowing that every company’s output or performance is a function of the operating environment. As such a company or sector cannot outperform its sovereign. The financial sector of the economy in recent years have been resilient despite the economic situation, especially given where the economy is coming, especially since the 2014 pre-election year.

It is important to also note that since the onset of the current financial year, some of the banks had posted strong earnings and robust balance sheets, while others have shown some decline in customer deposits, a situation that is not too good, especially when such has persisted for two consecutive quarters in the case of one or two of the downgraded banks, while some reported flat deposits, a factor that is very key to loan disbursements.
The major index broke down the recent strong support level before rebounding to close higher, although the NSE All-Share Index pattern was mixed rather than solid, even as market technicals were unimpressive. Trading started with the index running down in the morning, and thereafter retraced to test intraday high of 37,314.36 by the afternoon from a breakout on Friday after touching low of 36,843.04.

Experience has shown that markets don’t go in a straight line, as there are corrections along the way, one of which occurred in September and any one coming ahead should be taken as part of the year-end seasonal changes.
Meanwhile, the market eagerly awaits the outcome of MSCI Frontier market Index review.
Buying pressure remain high as revealed by volume index of 0.76 with buy position of 100% and sell of 0% , while total transactions for the day continued the two-day bull transition on the strength of high volume transacted in the shares of Dangote Cement.

Meanwhile, the composite index NSEASI gained 192.00 basis points to close at 37,312.23 from 37,120.28 points it opened, which represented a 0.52% growth, same as market capitalization, which climbed N218.73bn up to N12.91tr, representing 0.52% value gain in value from previous N12.85tr.
The upturn in the share price of medium and high cap stocks like Dangote Cement, Forte Oil, Okomu Oil and Guinness Nigeria impacted positively on the ASI’s year-to-date return, as it moved to 38.84%, just as YTD growth in market capitalisation stood at N3.67tr, representing a 39.65% rise above the year’s opening value.
Market breadth on Monday was negative as the number of decliners outnumbered advancers in the ratio of 24:16 on a high traded volume that was higher than previous day’s level to keep the bull running.

Market activities in terms of volume and value were up by 91.90% and 1032.83% respectively as 336.34m shares changed hands for N30.02bn from the previous day’s 175.27bn units, worth N2.65bn.
Transactions in the shares of Dangote Cement topped the volume chart as investors crossed 128,922,588 units, representing 0.75% of its shares in issue at N27.082bn in just 672 deals. Top volume transactions were also recorded in the shares of FBNH, Fidelity Bank, Diamond Bank and Guinness.

At the end of the day’s trading session also, Forte Oil topped the advancers’ chart, gaining 8.78% to close at N47.97 per share, on market sentiment and improved Q3 numbers; followed by Okomu Oil with 4.66% notch, to close at N67.99 on market forces and impressive Q3 numbers.
On the flipside, C&I Leasing shed 4.79% to close at N1.59 on profit taking and the proposed share reconstruction; followed by Caverton with 4.76% loss, to close at N1.60 per unit on profit taking.

TODAY’S OUTLOOK
Monday’s market was weak and down, until help came from Dangote cement. We expect volatility to continue in reactions to the downgrading of eight banks, along with portfolio rebalancing, as well as profit taking and repositioning ahead of the MSCI Index review outcome and October inflation figure from NBS.

Again, we advise that investors allow numbers to guide their decisions while repositioning for the rest of the year trading activities, especially now that prices of stocks are moving up and down amidst improving company, economic and market fundamentals.
It is time to combine fundamentals and technical tools to take decision by knowing the support and resistant level to reposition or exit any position. Market is in phases know the cycles in order to manage your trading and investing risk. For stocks that should be on your shopping list to buy in this seasonality changes as the year winds down, sign up to INVESTDATA BUY AND SELL signal setup by calling 08032055467.

Get your home study pack today and ride with the current recovery on Nigeria’s stock market and economy. By investing and trading knowledgeable
The training materials on stock Trading and Investing for Financial Independence series are Available, you can play on your mobile phone, laptop, desktop and Tv. Kindly call or send yes to 08032055467 or 08111811223.

Attention! Attention!! Attention!!!
INVEST 2018 TRADERS & INVESTORS FINANICAL SUCCESS SUMMIT

Sub Topics
The Pre-election Economy & 2018 Budget: Implementation and Impact On the Recovery Bull Market
In this presentation, Mr Olufemi Awoyemi the founder/CEO of Proshare Limited, chartered Accountant and seasoned financial analyst will Review the Economy and impact of government policies so far, discussing how the proposed N8.6tr budget will influence the economy in pre-election year. He will also take participants through the outlook for the stock market in 2018. He would attempt to answer a question like: Is there really anything to cheer from the mere size of the 2018 budget, considering how those of the past two years have been implemented, especially during the economic recovery phases?

Comprehensive Earnings Guide for Investing and Trading in 2018 Earnings Season Profitably
“Equity price movement is a function of earnings in the short run and long term,” market reaction to earnings in any market cycles is prolonged by dividend payout, relative to price. It makes a lot of sense to trade in the direction by knowing the companies that will grow their payout in 2018… as long as you identify such stocks in their early stages. Hindsight, as they say, earnings calendar, trend, surprise and quality of numbers are very useful in making profitable investment decision in 2018 and beyond. Ambrose Omordion CRO of InvestData Consulting Ltd.

The Secret For Finding Better Trades & Investment Opportunity
Discover how to Trade Smarter, How You Can Stay on the Right Side of the Market Most of the Time, as well as specific, high winning probability, chart patterns Trading Price Direction based on Momentum Flows, The current market cycles, how they are used for trading price direction, in addition to How to set realistic & achievable profit. Mr. Abdul-Rasheed Oshoma Momoh, Head, Capital Market in TRW Stockbrokers Limited.

How to Pick Investable Stocks: Using working Models/Tactics of Experts and Professionals to improve your Trading Profit
In this presentation you will learn: How the gurus pick stocks, depending on their different investment goals, whether for dividend Income. Or, are you a momentum trader who wants to grow your wealth through the stock market? Even If you’re a complete beginner – What is model, And Why Was It The Top Performing strategy of 2015, 2016 and 2017 so far. Engr Mike Ekwueme Anyadibe. CEO of X-Front Trader Limited

Impact and Implication of NSE New Rules on your Equity Investment in 2018 and Beyond.
The new strategies to trade and invest in the transforming market will be revealed to boost players profit and minimized losses. Also the classes of stocks to focus on, in this new market normal value of 1kobo in 2018. Alhaji Garba Kurfi, Managing Director of APT Securities & Funds Limited.

This summit is the perfect opportunity to learn from the best industry experts and to get the personal attention in the exclusive Q&A session after presentations! Date Saturday December 9, 2017, fee N25,000

To register for the coming summit Kindly visit our site www.investdataonline.com also you can call or send yes to 08032055467 or 08111811223.

N.B: At this event you’ll hear real case studies and see examples of exactly how you can use these same techniques. This summit is packed with great content, but the room only has capacity for 100 people and registration is ongoing, so you’ll need to act fast.
If you are looking for a way to make money in the market as a Full-time or Part-time trader or investor, this is your opportunity.

Dream it! Wish it! Do it! Enjoy it! Don’t Miss out

Best regards

Ambrose Omordion
CRO | Investdata Consulting Ltd
info@investdataonline.com
info@investdata.com.ng
ambrose.o@investdataonline.com
ambroseconsultants@yahoo.com
Tel: 08028164085, 08032055467
http://investdata.com.ng/2017/11/cautious-trading-continues-investors-await-october-inflation-q3-gdp-data-hints/

How To Read Financial Statements Of Companies

Please hold on before writing that cheque or taking that investment decision to buy into that company. Even if it is a “brand name” with seemingly predictable growth prospects, a solid understanding of its financials always is very necessary for any investor. Irrespective of the fact that past performance is not a guarantee for the future, since every investment is made against expectation, present performance or happening in any company, which are presented through its quarterly earnings reports in addition to its history gives an insight into what should be expected of the company in the nearest future. This will enable you decide to enter the stock and whether your stay is for the short, medium or long-term.
You don’t have to be an expert anyway; just as such decisions are not rocket science. However, if you want to be a knowledgeable stock investor, you should understand the importance of crucial financial concepts, such as Return on Equity and free cash flow.
This is particularly important, if you’re considering investment in a company that may become involved in future uncertainties.
Think of financial statements as a company’s medical charts/reports, and you the doctor who’s using these charts to determine a diagnosis as to the company’s financial health.
Here are the “Big Three” pointers of where a company is coming from and headed in any financial statement:
• The balance sheet of a company gives a snapshot of its financial health condition. The majority of public companies publish an interim balance sheet each quarter and a comprehensive one at the end of their fiscal year.
Typically, the end of the calendar year is defined as the end of a reporting year. The balance sheet reveals a firm’s financial resources and obligations at a given moment in time.

• The income statement summarizes a firm’s financial transactions over a defined period of time. The balance sheet and income statement match money coming in (revenues) with the expenses tied to generating those revenues.
• The cash flow statement reflects a company’s liquidity. Generally expressed, a healthy company will spend and hang onto less money than it takes in. The difference is the profit distributed to the shareholders and owners. This is called a “positive cash flow.”
Let’s take a closer look at all three elements.
The Balance Sheet
The balance sheet will give you an indication as to the sensitivity of a company’s bottom line to market ups and downs, which is especially important for cyclical firms whose fortunes are tied to economic conditions. The balance sheet will reveal the company’s risks during hard times and its upside during good times.
What follows is a breakdown of the most important lessons that you can learn from a balance sheet—the meaning of key terms, and how to extract and interpret information that are of most benefit to investors.
The balance sheet is broken into two sides. Assets are on the left side, while on the right is the company’s liabilities and shareholders’ equity.
The balance sheet is said to be “balanced” when the value of the assets equals the combined value of the liabilities and shareholders’ equity.
The balance sheet is therefore: Assets equal Liabilities, plus Shareholders’ Equity.
In other words, it is sectioned into two and according to the assets (the inherent means necessary to keep the company operating). It is “balanced” by: 1) the company’s financial obligations, and 2) equity investment and retained earnings.

Scrutinize these aspects:
• Current assets

Current assets can be easily turned into cash, because they have a lifespan of 12 months or less. These assets include accounts receivable, and inventory cash and cash equivalents. Cash includes non-restricted cheques and bank account balances. Cash equivalents include extremely safe assets, such as Treasury Bills that can be easily transformed into cash.

• Non-current assets

Non-current assets are those that can’t be easily converted into cash; they have a lifespan of more than a year. This class of asset includes buildings, land, machines, computers, etc. Non-current assets also can be intangible assets, such as patents, copyrights, goodwill, brand equity or other intellectual property.

• Liabilities

Liabilities include a company’s financial obligations to outside parties. As with assets, they are classified as either current or long-term.

• Long-term liabilities are debts as well as non-debts, due after a period of at least one year from the balance sheet’s date.

• Current liabilities, these are the company’s liabilities that must be paid within 12 months. These include both short-term borrowings, such as accounts payables, and the current payment on long-term borrowing.

• Shareholders’ equity, this is the initial amount of money invested into a business. If, at the end of the fiscal year, a company (after taxes) decides to reinvest its net earnings or profit after tax into its operations. This retained earnings will be transferred from the income statement onto the balance sheet and therefrom into it shareholder’s equity or funds account. This shareholders’ fund account represents a company’s total net worth.

The Income Statement

With a greater understanding of the balance sheet and how it is constructed, we can now look at the income statement.

Here’s a breakdown of the important aspects for investors:

• Gross profit

Gross profit is the basic difference between the cost of production/sales and/or rendering services and the revenues generated in the process.
• Operating profit
The selling, marketing and administrative expenses category entails administrative and marketing cost and overhead involved in operating the business. Another category is expenses for research and development (R&).
In simple terms, this is calculated as: Operating Profit = Gross Profit – Operating Expenses
Operating profits are earned from a company’s everyday core business operations. This figure doesn’t account for any profit earned from the company’s investments and the effects of interest and taxes. Operating profits also are called “Earnings Before Interest and Tax” (EBIT).

The Cash Flow Statement

A cash flow statement shows how changes—the continual ebb and flow, if you like—in balance statement. Simply put, the cash flow statement reflects the flow of cash in and out of the company.
The cash flow statement is an important barometer for investors, because it reveals the short-term viability of a company. Most importantly, it can show you the ability of a company to pay its bills or meet maturing obligations.
The cash flow statement leaves out transactions that don’t directly affect cash receipts and payments. It only includes inflows and outflows of cash (or cash equivalents).
The cash flow statement directly applies to activities related to these three areas: financing, operating and investing. As an investment tool, it is the best way for you to determine a company’s liquidity and solvency.
• Free cash flow, this indicator is crucial. Here’s the formula for determining free cash flow:

Net Income
Add Amortization/Depreciation
Minus Changes in Working Capital
and Capital Expenditures
= Free Cash Flow

Essentially, free cash flow is operating cash flow minus capital expenditures. It represents the cash that a company is capable of generating after spending all of the money necessary to maintain its asset base.
As an investor, think of free cash flow as “steroids” that boost the growth rate of the company. That’s because free cash flow can be used to make acquisitions, repurchase stock, or repay debt, all of which are highly positive actions that enhance Earnings Per Share.
Financial Ratio Analysis, Using the measures conveyed by these financial statements, you can perform interpretive analysis of a company’s finances and its operations to help your efforts to gauge its suitability as an investment option. This is known as “financial ratio analysis.”
When scrutinizing financial statements and extracting certain numbers from them, you can calculate financial ratios that provide you with a clearer understanding of the company’s financial condition, as well as the efficiency of its operations.
It’s not as complicated as it sounds. Keep in mind though; that to perform some of these ratios, you’ll need to extract information from more than one financial statement prepared by the company over a space of two financial years or more.
The main types of ratios that use information from the balance sheet are activity ratios and financial strength ratios.
Activity ratios focus on current accounts to reflect how efficiently the company manages its receivables, inventory and payables, which all come under the heading of “operating cycle.” These ratios can provide insights into the company’s operational efficiency.
Financial strength ratios, such as the working capital and debt-to-equity ratios, provide information on how well the company can meet its obligations and to what extent it is leveraged, or how much debt it is carrying compared to equity. This is why a lot of company raise equity funds via public offer or rights to de-leverage or reduce the debt/equity mix.

• Debt-to-equity ratio
The ratio is determined this way: D/E = Debt (liabilities) divided by Equity.
This ratio reveals the company’s financial leverage. Debt that has been financed with every Naira of equity would constitute a ratio of 1; scant debt compared to assets would represent a ratio of less than 1, such as 0.2. Any ratio above 1 tells you that the company owes more than it is actually making—surely, not a good sign for investors.
• Working capital (or current) Ratio, if you don’t understand what is working capital ratio here’s the formula for determining it:
Current assets = Current liabilities
The working capital ratio can give you inklings as to the company’s financial stability and the manner in which it finances itself. A declining working capital ratio over a sustained period of time is a very bad sign.
• Return on equity (ROE)
For investors, this ratio is very important and is calculated by dividing the net income by the shareholder’s equity/fund and measures a company’s Rate of Return on the money provided by its owners. An ROE of about 12% is roughly the average for public companies.

Conclusion
Now that you’re armed with the basics of financial statement analysis, sharpen your pencil and put on your green eyeshades. You’re ready to do some financial tracking—if not for fun, then certainly for profit. Do have profitable investing.

By Ambrose Omordion
http://investdata.com.ng/2017/11/read-financial-statements-companies-2/#more

Naira Remains Strong as CBN Pumps in $195m

The Central Bank of Nigeria (CBN), on Monday continued its sustenance of FOREX liquidity by injecting another $195m into the inter-bank Foreign Exchange Market, even as the Naira maintains its strength.
Figures released by the bank showed that a total of $100m was offered to operators in the Wholesale segment, while the Small and Medium Enterprises (SMEs) segment got $50m, leaving the invisibles segment (comprising tuition, medical payments and Basic Travel Allowance) with the remaining $45m.

The CBN’s Acting Director, Corporate Communications Department, Isaac Okorafor, said the intervention was in line with the continual determination to ensure FOREX liquidity and satisfy legitimate demand.
He assured that the bank will continue to intervene in the nation’s FOREX market to sustain liquidity in the market and guarantee the international value of the Naira.

Meanwhile, the Naira exchanged at an average of N363/$1 in the BDC segment of the market on Monday, November 13, 2017, maintaining its stability in the FOREX market.

http://investdata.com.ng/2017/11/naira-remains-strong-cbn-pumps-195m/#more

OPINION: Help! PenCom Has Gone On Sabbatical, Nigerian Pensioners Are In Pain

Nigeria’s National Pension Commission (PenCom) had been on sabbatical while Elder State-Men which it was created to cater for were in pains, despite the facts that The Pencom Acts of 2014 as amended had taken care of some of the shortcomings in that of 2004 and had enriched the powers and privileges of PenCom on the affairs of Contributory Pensioners with their former employers and Pension Managers, yet she (The PenCom) refuses to be proactive in the affairs of Nigeria’s contributory pensioners.

The nonchalant attitudes of PenCom to its mandate has led to series of communication among the Associations of Contributory Pensioners, their former employers (Federal Ministries/Agencies/Divisions), Federal legislators and PenCom, yet the seemingly almighty but truly toothless PenCom has refused to listen/reason or take any positive step to resolve the problems, and instead the management has kept itself incommunicado, daring anyone question it, at a time no Ministry/Department/Agencies has the right to make Pencom account for its responsibilities towards their former employees. The norm is: SUBMIT YOUR PAPERS AND GO, ask no question and commit no sin!
Recently, the Association of Contributory Pensioners of Nigeria held its “1st National Symposium at the Press Centre, Radio House, Garki, Abuja on Monday 23rd October, 2017 and NTA ASSOCIATION OF CONTRIBUTORY PENSIONERS (NTA-ACPEN) mobilized its members and travelled from its headquarters in Lagos as delegates hoping to interface with PenCom leadership or their representatives, who invited to the Symposium.

It was hoped that such opportunity would be utilized to resolve most of the plights of Contributory Pensioners if not all. But regrettably, of all Ministries/Agencies invited, only Pencom failed to show at a forum organized to resolve issues concerning CONTRIBUTORY PENSIONERS OF THE FEDERAL REPUBLIC OF NIGERIA- elder Statesmen and good citizens that had served the nation with their youthful vigour, with dignity, loyalty and honour and most especially, which remains the main reason for the creation of Pencom by the Federal Government in year 2004.

SINS OF PENCOM
OPAQUENESS & GROSS SECRECY in the STANDARD or SCALE for PAYMENT of Contributory Pensioners

• As at today, no government ministries/agencies or the Contributory Pensioners themselves know how Pencom arrived at the amount paid to pension fund administrators on behalf of the contributory pensioners.
Whenever, we make enquires on the formula used, we are told by Pencom: “we (Pencom) work on the information provided by your employers,” but we are never told how they (Pencom) arrived at our entitlements.

• None actualization of 33% payment and accrued 15% upward review of payment to Contributory Pensioners,despite the fact that”Old Pension Scheme”(Retirees on or before 30th June,2007) were enjoying all the benefits,despite the fact that no Law/Rules/Regulations says that Contributory Pensioners might not enjoy same.

• Section 173 (3) of the 1999 Constitution of Nigeria states that “PENSIONERS SHALL BE REVIEWED EVERY FIVE YEARS OR TOGETHER WITH ANY FEDERAL CIVIL SERVICE SALARY REVIEW, WHICHEVER IS EARLIER”.
The Upward Review of contributory pensioners payment is still a dream since its commencement/implementation in year 2004; while several of the would-be benefactors (Pensioners) have died.

• Shortchanging on payment of entitlement to contributory pensioners: Despite the fact that some Ministries/Agencies/Departments discovered wrong presentations to Pencom, acknowledged the mistakes, made the necessary corrections, and represented them as required, Pencom refused to act on such corrections. The contributory pensioners have continue their lamentations over such wrong computation of their entitlement and payments.

• There is a LACK OF PROACTIVENESS/CARE for the complaint and observations of Contributory Pensioners on the shortcomings in the system and total lack of interest in the affairs of contributory Pensioners, while several Pensioners are yet to receive their entitlements almost a year after retirement from service etc.

• NONE REPRESENTATION ON THE BOARD OF PENCOM: The law that established PenCom says contributory pensioners SHALL be represented at the board, though Pencom could boast of A Pensioner on their board, but we regret to note that “HE/SHE IS NOT A CONTRIBUTORY PENSIONERS’ REPRESENTATIVE”, therefore not our representative, which was one of the major reasons why PenCom is not proactive to the PLIGHTS of contributory pensioners, because the person said to represent them on its board is neither bothered or concerned. It is only he that wears the shoes knows where it pitches.

OUR APPEALS
• We seriously appeal to The Federal Government of Nigeria to recall Pencom from its sabbatical over the affairs of Contributory Pensioners, because the welfare of all retired civil servants is one of the major responsibilities of government.

• We hereby appeal to members of the National Assembly to extend their oversight functions to the welfare of CONTRIBUTORY PENSIONERS. It may be necessary once again to make necessary amendments to the Pencom Act in view of its many shortcomings as observed.

• Such amendments should be towards making PenCom very alive to its RESPONSIBILITIES as they relate to the affairs and welfare of contributory pensioners, since the task has been taken off the shoulders of the various Federal Government agencies and other private sector organisations as employers of labour.

It is our hope that PenCom would relialize that the Act of 2004 as amended was inadequate and work towards resolving the noted inadequacies in harmony with the Contributory Pensioners Associations.

We hereby appeal that PenCom be made to return from its sabbatical and save the thousands of Contributory Pensioners dying daily after being denied the privilege of enjoying the benefit of their labour.
We also call on all good citizens to come to our aid by rising against the injustice meted to Nigerian Pensioners who are suffering why people feed fat on our entitlements.
It’s our prayers and hope that Contributory Pensioners will not witness another “Injurious Maina-Gate on the affairs of pensioners in Nigeria again,” because the secrecy under which Pencom operates are unexpected and worrisome.

Yours,

Alhaji Gbadebo Omolaja OLATOKUNBO,
(Chairman, NTA Association of Contributory Pensioners, NTA-ACPEN).
08099148585//08034270314//08083394593//08055514565 (WhatsApp),
E-mail:tokohippo2007@gmail.com
http://investdata.com.ng/2017/11/help-pencom-gone-sabbatical-nigerian-pensioners-pain/#more

Moghalu, Ex CBN Deputy Gov, To Speak On Challenge of Nigeria’s Economic Growth


Former Deputy Governor of the Central Bank of Nigeria (CBN), Professor Kingsley Moghalu, will on Wednesday at the Nigerian Institute of International Affairs, Lagos, speak at this year’s Goddy Jidenma Foundation lectures.
Moghalu who teaches at Tuft University, USA, will on address: “The Challenge of Economic Growth in Nigeria,” bringing to bear his wealth of experience in contemporary global development economics at the event, the 5th Bi-annual edition, to be chaired by Mallam Mahanned Hayatu-deen,Vice Chairman/CEO, Alpine Investments Limited and Former Chairman of the Nigerian Economic Summit Group.
Also expected at the occasion are: Justice Rose Ukeje, retired Chief Judge of Federal High Court, as well as Professor Pat Utomi, Chairman of Goddy Jidenma Foundation.

Goddy Jidenma Foundation (GJF) is a non-profit, non-governmental organization founded in 2007, in memory of Arc Goddy Nwaolisa Jidenma, a typical servant leader who lived most of his life in the service of humanity, until death May 24, 2006 in Lagos, Nigeria.
He was a student leader and later served as a Commissioner for Works & Housing and later Commissioner for Commerce & Industry, serving as Chairman of the Organizing Committee of the Visit of His Holiness, Pope John Paul II for the beatification of Blessed Rev Father. Cyprain Iwene Tansi at Anambra State in 1998.

The Foundation seeks to promote the spirit of selfless service and support ethical leadership initiatives, to celebrate the human essence, promote self-discovery among the youth, support philanthropic activities and significantly contribute to thought leadership in Nigeria and Africa.
Chairman of the Foundation is Prof Pat Utomi, a renowned public intellectual and Founder/ CEO of the Centre for Values in Leadership (CVL), while the BOT of the Foundation was previously led by Prof Ben Nwabueze, from 2007 to 2015 and Otunba Dr Bola Kuforiji-Olubi of blessed memory in 2016.

The Foundation has embarked on several projects since incorporation, such as instituting prizes and awards in excellence and public speaking in several schools across the country. The schools include: Loyola Jesuit College, Abuja, Birch Freeman High School Surulere, Pacelli School for the Blind, Nnamdi Azikiwe Secondary School Abagana and Ezike High School Nibo, in Anambra State. It is engaged in philanthropy and promotes thought leadership through its bi-annual Public Lecture series which focus on strategic and contemporary issues.

http://investdata.com.ng/2017/11/moghalu-ex-cbn-deputy-gov-speak-challenge-nigerias-economic-growth/#more

ANXIETY, AS INVESTORS AWAIT OUTCOME OF MSCI INDEX REVIEW, OCTOBER INFLATION, Q3 GDP DATA



MARKET UPDATE FOR WEEK ENDED NOVEMBER 10 AND OUTLOOK FOR NOV 13-17

Equity market over the past week recorded a mixed performance with three trading sessions of bull market and two days down that was very volatile on low volume to closed higher on market sentiments.
The market’s behaviour last week is important, given the fact that President Muhammadu Buhari presented the Appropriation Bill for 2018 to National Assembly, the high point of which was the plan to spend an estimated N8.6tr. It is important because the announcement did not impact the market as investors seemed unmoved by the huge fiscal spending plan of government, a situation that may not be unconnected with the fact that the previous two budget (2016 and 2017) had seemingly little or no impact on the system and especially the well-being of the people. The failure of the market to respond may also have something to do concerns, particularly by foreign investors, who contribute a sizeable chunk of invested funds in the Nigerian market, about the downgrade of Nigeria’s sovereign by international rating agency Moody’s. As if these were not enough bad news already, banks operating within the sovereign were equally downgraded, amidst their bloating non-performing loans. Worse still is the fact that government is heavily indebted and incapable of rescuing them should the need arise and a stress testing is conducted in the nation’s financial system.

The recent Q2 and Q3 numbers revealed the health status of the quoted companies and have been the basis of ongoing portfolio rebalancing, repositioning and profit taking by investors and traders ahead of the November 13, 2017 review of the MSCI (Morgan Stanley Capital Index) Frontier index expected to further expose the market to more foreign fund managers. This is expected to drive price, except for some banks downgraded over their risk exposure. INVESTDATA had noted this trend in the current financial year where some major banks in the country reported declining customer deposits, a sign of the problem that lies ahead. We note that like in the manufacturing sector, when a company’s earnings is growing and operating cash-flow declining, such earnings growth is not sustainable. This is why investors must be eternally vigilant when studying company financials as a basis for decision making. This is why the INVEST 2018 Summit is an opportunity for you to arm yourself for knowledge-based investing, going forward.

The bull-run continued for the second consecutive week to breakout the recent market resistance level at the psychological line of 37,000 basis points, signaling uptrend that would be driven by year end seasonal changes and cycles.
Market technicality for the period under review were mixed but positive as market breadth was marginally positive. The weekly volume index was 0.85, with buying pressure of 86% and 14% selling position of the total transaction, as traders continue to position ahead of the review of the MSCI Frontier Index and end of the year trends.

The benchmark NSE All-Share index gained 180.69 points to close the week at 36,37,120.28 points, from an opening figure of 36,939.59 points, representing a 0.49% growth after touching the week’s high of 37,156.28 from a 36,907.07 low on a lower volume of transactions, as traders continued to take profit and rebalance their trading positions. Market capitalisation for the period closed higher at N12.85tr from the opening value of N12.79tr, representing 0.49% value gain in the investors’ position.
For the period under consideration, low and medium cap stocks dominate the advancers’ table as a result of low price attraction and strong earnings power that is expected to support prices appreciation and payout.
Value gain of these classes of stocks impacted positively on the NSE ASI’s year-to-date return to 38.06%, just as market capitalisation for the period increased to N3.59tr, representing a 38.87% gain from the year’s opening value.

Market breadth was positive with advancers’ outpacing decliners in the ratio of 30:29 on a low volume of trades that is lower than that of the previous week.
The developed economies stock markets during the week were mixed due to extreme drop in the Japanese stock market, while its Nikkei within the period made a new multi-decade high, and the Topix index touched a new 26-year high. Shortly thereafter, however, profit takers moved in, closing the Nikkei 225 lower afterwards.

Back home, the week’s trading opened on a negative note with marginal loss of 0.02%, which was halted on Tuesday and Wednesday’s trading sessions when the index gained 0.22% and 0.34% respectively. The positive trend was however reversed on Thursday as the indicators closed 0.24% down, turning green the following day when it notched 0.19%, leaving the week 0.49% better than it opened.

The composite index and sectoral indices closed in the green for the week, except for the NSE Insurance and NSE Consumer Goods that lost 1.09% and 0.07% respectively.
Market activities by volume and value, were up by 2.91% and 22.19% respectively at 1.32bn shares worth N13.78bn from the previous week of 1.36bn units valued at N17.71 billion.
Best performing stocks for the period were Caverton and Cadbury that topped the advancers’ log, gaining 30.23% and 22.06% respectively, on the low price attraction and improved Q3 numbers.
The worst performing equity was Champion Breweries, which lost 14.34% at N2.09 on market forces, while Linkage Assurance followed with 12.82% drop to close at N0.68 per share on market forces.
During the week, Morison Industries opened its right issues on Friday November 10, 2017 to close at December 19, 2017

Market Outlook
This week, the market volatility will continue as events like MSCI Index review, October inflation figure and Q3 GDP are expected within period as trader take advantage of volatility and the numbers to repositioning and rebalancing of portfolio ahead of year-end sentiments.
Although the earnings season is officially over, expect more numbers from laybacks. But one thing that is clear in the current market situation is: Smart investors are accumulating and enhancing their positions in selected stocks.

Again, we advise that investors allow numbers to guide their decisions while repositioning for the rest of the year trading activities, especially now that prices of stocks are looking down amidst improving economic and market fundamentals.
It is time to use your technical tools to take decision by knowing the support and resistant level to reposition or exit any position.

Investing in the stock market is in phases. You must know this in order to manage your trading and investment risk. For stocks that should be on your shopping list to buy in this oscillating market or pullbacks sign up to INVESTDATA BUY AND SELL signal setup by calling 08032055467.
Get your home study pack today and ride with the current recovery on Nigeria’s stock market and economy. By investing and trading knowledgeable in this recovery market.

The workshop materials on Trading and Investing for Financial Independence series are Available.
Kindly call or send yes to 08032055467 or 08111811223.

Attention! Attention!! Attention!!!
INVEST 2018 TRADERS & INVESTORS FINANICAL SUCCESS SUMMIT

Sub Topics
The Pre-election Economy & 2018 Budget: Implementation and Impact On the Recovery Bull Market
In this presentation, Razaq Abiola, a seasoned analyst will Review the Economy and impact of government policies so far, discussing how the proposed N8.6tr budget will influence the economy in pre-election year. He will also take participants through the outlook for the stock market in 2018. He would attempt to answer a question like: Is there really anything to cheer from the mere size of the 2018 budget, considering how those of the past two years have been implemented, especially during the economic recovery phases?
Our carefully selected team of seasoned market analysts and traders would also take participants through topics such as:

Comprehensive Earnings Guide for Investing and Trading in 2018 Earnings Season Profitably
“Equity price movement is a function of earnings in the short run and long term,” market reaction to earnings in any market cycles is prolonged by dividend payout, relative to price. It makes a lot of sense to trade in the direction by knowing the companies that will grow their payout in 2018… as long as you identify such stocks in their early stages. Hindsight, as they say, earnings calendar, trend, surprise and quality of numbers are very useful in making profitable investment decision in 2018 and beyond.

The Secret For Finding Better Trades & Investment Opportunity
Discover how to Trade Smarter, How You Can Stay on the Right Side of the Market Most of the Time, as well as specific, high winning probability, chart patterns Trading Price Direction based on Momentum Flows, The current market cycles, how they are used for trading price direction, in addition to How to set realistic & achievable profit.

How to Pick Investable Stocks: Using working Models/Tactics of Experts and Professionals to improve your Trading Profit
In this presentation you will learn: How the gurus pick stocks, depending on their different investment goals, whether for dividend Income. Or, are you a momentum trader who wants to grow your wealth through the stock market? Even If you’re a complete beginner – What is model, And Why Was It The Top Performing strategy of 2015, 2016 and 2017 so far.

Impact and Implication of NSE New Rules on your Equity Investment in 2018 and Beyond.
The new strategies to trade and invest in the transforming market will be revealed to boost players profit and minimized losses. Also the classes of stocks to focus on, in this new market normal value of 1kobo in 2018.

This summit is the perfect opportunity to learn from the best industry experts and to get the personal attention in the exclusive Q&A session after presentations! Date Saturday December 9, 2017
To register for the coming summit Kindly call or send yes to 08032055467 or 08111811223.

N.B: At this event you’ll hear real case studies and see examples of exactly how you can use these same techniques. This summit is packed with great content, but the room only has capacity for 100 people and registration is ongoing, so you’ll need to act fast.
If you are looking for a way to make money in the market as a Full-time or Part-time trader or investor, this is your opportunity.

Dream it! Wish it! Do it! Enjoy it! Don’t Miss out


Best regards
Ambrose Omordion
CRO | Investdata Consulting Ltd
info@investdataonline.com
info@investdata.com.ng
ambrose.o@investdataonline.com
ambroseconsultants@yahoo.com
Tel: 08028164085, 08032055467
https://investdataltd..com.ng/2017/11/anxiety-as-investors-await-outcome-of.html

AFTER THIRD QUARTER EARNINGS SEASON, WHAT NEXT?





What should investors seek from the just concluded earnings reporting season which is third quarter reports for December year- end companies and second quarter for march year end company, while September year end companies are expected to release their full year ended September 30, 2017 before the end of the year.

How should investors position for robust returns? Let me share a few lines here.
Go back to the performance of previous quarters to review the pattern within the current financial year of any company in question.
In other words, what has the earnings trend been like in the last two or three quarters?
Please note that companies with consistent incremental performances are most suitable for investment purposes as the probability of a better last quarter performances are higher in those. You might choose to dwell on the reasons for the inconsistent performance patterns, including the fact that some companies do have cyclical sales trends for which reason the quarterly performances are bound to vary sharply.

Take note of such stocks and act accordingly.
Add up the three quarter earnings that you now have to see what the average performances would be. Or better still, find the average of the last four quarters, that is, add the three quarters of current year and the fourth for previous year, then divide your answer by four to get the average. This is important to project what the dividend possibilities are. To do this right, you might now need to consider previous year’s performances to see any similar trend or divergence. Companies with identical trends with previous years’ performance level are easier to project than those with divergent trends. In cases of divergence, seek to know what the issues are so as to take advantages or cut your loss swiftly.
The industry wherein the companies you are researching operate is key. For example, manufacturing concerns tend to release audited reports to the market faster than banks and insurance stocks. Equities like Vitafoam, Forte Oil, United Capital, and Nestle as well as in some cases, Cadbury are known to be among early fliers in the market every year, as their results often hit the market between four to eight weeks after the end of the financial year.

The reason is not far-fetched: Such companies do not present their financials to a regulator for approval before being released to the market, unlike banks and their insurance cousins particularly whose results go through the Central Bank of Nigeria or the National Insurance Commission (NAICOM). Over the last three financial years most insurance companies have had to grapple with new challenges posed by the new international accounting standards, which the banks had to contend with long before now.
Summarily, note the period to expect the audited result with the release of the third quarter result and position right.

Please note also that quarterly results alone will not determine equity prices even in the very short-term, as a result, learn to keep tab on the prevailing market situation to measure the probable impact of the third quarter performances on stock prices. In other words, positive earnings in an uptrend will most probably lead to further uptrend, while positive earning in a downtrend might not impact much. Negative earning in an uptrend won’t move price up in as much as the decline might not be sharp.
Ten per cent price circuit will propel a fast reaction to earnings report, leading to early equilibrium price level in response to earnings.

The implication of this is that positive results might not experience a bull run for more than a week after which profit takers will besiege the market to slow down price activities, ditto negative earning. The best every investor must learn to do at this point is to be technical-analysis compliant for the best of short term market play in anticipation of quarterly and full year audited reports.
Investors who may not be desirous of technical analysis skill could be shooting themselves in the foot because they might be buying at the end of an initial rally in response to positive earnings as profit takers dump stocks on them while traders will re-enter when audited report are near, in equities where projections of final dividends are likely to be positive.

The closure and payment date for third-quarter interim dividend paying companies are below

Period
Amount(N)
Closure Date
Payment Date
NB
Sept-30- 2017
1.00
Nov-16-2017
Nov-23-2017
Nestle
Sept-30- 2017
15.00
Nov-27-2017
Dec-11-2017
Total
Sept-30- 2017
3.00
Dec-4-2017
Dec-18-2017

Note Qualification date for Total Nigeria Plc dividend is December 1, 2017

Attention! Attention!! Attention!!!

INVEST 2018 TRADERS & INVESTORS FINANICAL SUCCESS SUMMIT

Sub Topics
The Pre-election Economy & 2018 Budget: Implementation and Impact On the Recovery Bull Market
In this presentation, Razaq Abiola, a seasoned analyst will Review the Economy and impact of government policies so far, discussing how the proposed N8.6tr budget will influence the economy in pre-election year. He will also take participants through the outlook for the stock market in 2018. He would attempt to answer a question like: Is there really anything to cheer from the mere size of the 2018 budget, considering how those of the past two years have been implemented, especially during the economic recovery phases?
Our carefully selected team of seasoned market analysts and traders would also take participants through topics such as:

Comprehensive Earnings Guide for Investing and Trading in 2018 Earnings Season Profitably
“Equity price movement is a function of earnings in the short run and long term,” market reaction to earnings in any market cycles is prolonged by dividend payout, relative to price. It makes a lot of sense to trade in the direction by knowing the companies that will grow their payout in 2018… as long as you identify such stocks in their early stages. Hindsight, as they say, earnings calendar, trend, surprise and quality of numbers are very useful in making profitable investment decision in 2018 and beyond.

The Secret For Finding Better Trades & Investment Opportunity
Discover how to Trade Smarter, How You Can Stay on the Right Side of the Market Most of the Time, as well as specific, high winning probability, chart patterns Trading Price Direction based on Momentum Flows, The current market cycles, how they are used for trading price direction, in addition to How to set realistic & achievable profit.

How to Pick Investable Stocks: Using working Models/Tactics of Experts and Professionals to improve your Trading Profit
In this presentation you will learn: How the gurus pick stocks, depending on their different investment goals, whether for dividend Income. Or, are you a momentum trader who wants to grow your wealth through the stock market? Even If you’re a complete beginner – What is model, And Why Was It The Top Performing strategy of 2015, 2016 and 2017 so far.

Impact and Implication of NSE New Rules on your Equity Investment in 2018 and Beyond.
The new strategies to trade and invest in the transforming market will be revealed to boost players profit and minimized losses. Also the classes of stocks to focus on, in this new market normal value of 1kobo in 2018.

This summit is the perfect opportunity to learn from the best industry experts and to get the personal attention in the exclusive Q&A session after presentations! Date Saturday December 9, 2017
To register for the coming summit Kindly call or send yes to 08032055467 or 08111811223.

N.B: At this event you’ll hear real case studies and see examples of exactly how you can use these same techniques. This summit is packed with great content, but the room only has capacity for 100 people and registration is ongoing, so you’ll need to act fast.
If you are looking for a way to make money in the market as a Full-time or Part-time trader or investor, this is your opportunity.

Dream it! Wish it! Do it! Enjoy it! Don’t Miss out

Best regards


Ambrose Omordion
CRO | Investdata Consulting Ltd
info@investdataonline.com
info@investdata.com.ng
ambrose.o@investdataonline.com
ambroseconsultants@yahoo.com
Tel: 08028164085, 08032055467
https://investdataltd..com.ng/2017/11/after-third-quarter-earnings-season.html

INVESTDATA PRICE & EARNINGS TRACKING FOR THE WEEK ENDED NOVEMBER 10, 2017

MARKET UPDATE FOR NOVEMBER 9, 2017


NSE INDICATORS SEEK DIRECTION, AS VOLATILITY, PORTFOLIO REBALANCING, PROFIT TAKING LINGER

The stock market on Thursday was lower on a mixed session that was volatile as traders took profit from short positions in rebalancing their portfolios and positioning.
The mixed sentiments followed the indifference among market players to the N8.6tr 2018 budget estimates submitted to the National Assembly and the downgrade of Nigeria’s sovereign rating by Moody’s. The seemingly weak speculation at this point should not shake you out of position as major factors to force prices to another lower lows are currently absent in the market except for market sentiment to different news or policy statements and action of the government or its agency. The smaller the range, the less the volume, the higher the possibility that the uptrend will continue since the recent strong resistance level have been broken, waiting for more volume for continuation of uptrend. The retention of Nigeria in the MSCI frontier index is expected to boost share prices, just as strong company fundamentals will certainly support higher payout at the end of the financial year.
The market gapped down and dropped sharply lower at the opening bell on its wave 5 extension which lingered till midday before the rally and then got hammered shortly during the afternoon hour where it reached its lows for the day. At that point, the intraday low was 36,932.48 from high of 37,156.28 to close below its opening.

Buying pressure reduced as revealed by volume index of 0.63 with buy position of 53% and sell volume of 47% , while total transactions for the day short lived the two-day bull transition.
Meanwhile, the benchmark index lost 87.43 basis points to close at 37,051.54 from 37,138.97 points it opened, which represented a 0.24% decline. In the same vain, market capitalisation was down by N30.26bn to N12.83tr, representing 0.24% depreciation in value from previous N12.85tr.
Downturn suffered on Thursday was due to value loss by medium and high cap stocks like Dangote Cement, Zenith Bank, Dangote Sugar, UBA, Nigeria Breweries and Guinness Nigeria as traders took profit, a situation that impacted negatively on the ASI’s year-to-date return, which fell to 37.87%, just as YTD growth in market capitalisation stood at N3.58tr, representing a 38.68% rise above the year’s opening value.

Market breadth for the day was negative as the number of decliners also marginally outpaced advancers in the ratio of 22:21 on a low traded volume that was lower than previous day’s level to stop the bull.
Market activities in terms of volume and value were mixed as volume was down by 9.16% to 175.75m shares from the previous day’s 193.48m units, while value for the day was up by 94.91% from N1.81bn on Wednesday to N3.52bn.
Transactions in the shares of Guaranty Trust Bank, FBNH, Fidelity Bank, FCMB and Diamond Bank topped the volume chart.
At the end of the day’s trading session, Caverton topped the advancers’ chart, gaining 9.46% to close at N1.68 per share, on market sentiment and improved Q3 numbers; followed by International Brewery’s 8.38% notch, to close at N48.99 on market forces and merger plan.
On the flipside, Law Union and Rock Inssurance, shed 4.62% to close at N0.62 on market forces; followed by Fidelity Bank’s 4.14% loss, to close at N1.62 per unit on profit taking.

TODAY’S OUTLOOK
Being the last trading day of the week, we expect volatility to continue Friday on the strength of portfolio rebalancing, profit taking and repositioning as the number of traders in the market increases ahead of economic data and year end changes.
Again, we advise that investors allow numbers to guide their decisions while repositioning for the rest of the year trading activities, especially now that prices of stocks are moving up and down amidst improving company, economic and market fundamentals.

It is time to combine fundamentals and technical tools to take decision by knowing the support and resistant level to reposition or exit any position. Market is in phases know the cycles in order to manage your trading and investing risk. For stocks that should be on your shopping list to buy in this seasonality changes as the year winds down, sign up to INVESTDATA BUY AND SELL signal setup by calling 08032055467.

Get your home study pack today and ride with the current recovery on Nigeria’s stock market and economy. By investing and trading knowledgeable
The training materials on stock Trading and Investing for Financial Independence series are Available, you can play on your mobile phone, laptop, desktop and Tv. Kindly call or send yes to 08032055467 or 08111811223.

Best regards
Ambrose Omordion
CRO | Investdata Consulting Ltd
info@investdataonline.com
info@investdata.com.ng
ambrose.o@investdataonline.com
ambroseconsultants@yahoo.com
Tel: 08028164085, 08032055467
https://investdataltd..com.ng/2017/11/market-update-for-november-9-2017.html

MARKET UPDATE FOR NOVEMBER 8, 2017



AGAIN, IT’S CAUTION, AS INVESTORS, TRADERS AWAIT MORE DATA, BREAKDOWN OF 2018 BUDGET

Nigeria’s equity market on Wednesday had a very volatile session, but continued its uptrend despite the seemingly weak market breadth, closing higher on the strength of last minutes appreciation in the share price of Dangote Cement (which alone accounts for about one-third of total market capitalization), following which it traded above the psychological line of 37,000 level on a low volume that made technicals for the day weak and mixed.
During, the trading session price performance of banking stocks were mixed as the sector’s index, as well as the NSE Insurance closed lower.

The fact that the Tuesday’s presentation of a N8.6tr Appropriation Bill for 2018 had little or no impact on the market, could mean that investors are indifferent to the fiscal spending plan, given, like Investdata noted in its update of Tuesday, that the effect of the 2016 budget and the current one (2017) has not meant improved well-being for the average Nigerian, whose reserve of hope is daily thinning out in the midst of hunger and poverty. Could it be that investors and traders are waiting for the budget breakdown? After all, like they say, “the devil is in the detail!” We have also continuously harped on the implementation style of the government, which was also noted partly as reason for the downgrade of Nigeria’s sovereign rating by international rating agency Moody’s, even as it left the outlook as stable and positive (READ). It is fair to also note, however, the protest to the downgrade by members of the nation’s economic management team, especially the fact that the issues raised by Moody’s are not new and being resolved by the government.

Also important is the fact that Investors continue to digest the Q3 financials recently presented, while seeking to position ahead of the November 13 review of MSCI Frontier index, besides the anxious wait for release of the October inflation and Q3 GDP numbers.
The trading session opened on a positive note, which was sustained till midday before pulling back in the afternoon on selling pressure in some equities by traders, before reversing in the last minutes of the closing session on high cap stocks value gain, after touching intraday low of 36,965.05 to close at the day’s high of 37,138.97 and above the opening figure of 37,013.57.

The 100% buying pressure on a volume index of 0.69 with 0% selling position of the day’s total transaction revealed a sentiment that extended the bull market for the second day.
Meanwhile, the composite NSE All-Share Index gained 125.40 basis points to close at 37,138.97 from 37,013.57 points, which represented a 0.34% growth, just as market capitalisation went up by N43.4bn to N12.85tr, representing 0.34% value gain from previous N12.81tr.
The upturn recorded by medium and high cap stocks like Dangote Cement, FBNH, Dangote Flour, Guaranty Trust Bank and UBA impacted positively on the ASI’s year-to-date return, to 38.19%, just as market capitalisation growth YTD stood at N3.61 trillion, representing a 39.01% rise above the year’s opening value.

Market breadth for day was negative as the number of decliners marginally outnumbered advancers in the ratio of 19:18 on a low traded volume that was lower than previous day’s level to continue the bull transition.
Market activities in terms of volume and value were down by 36.60% and 37.80% respectively to 193.48m shares worth N1.81bn from the previous day’s 305.17m units valued at N2.91bn. Transactions in the shares of Diamond Bank, FBNH, Fidelity Bank, FCMB and Aiico topped the volume chart.

Best performing stocks at the end of Wednesday’s were International Brewery, which topped the advancers’ chart, gaining 10.24% to close at N45.20per share, on market forces; followed by Learn Africa’s 5%, to close at N1.05 on market forces and improvement in its Q3 numbers.
On the flipside, UACN Property, shed 4.71% to close at N2.83 on profit taking; followed by Law Union & Rock insurance 4.41% loss, to close at N0.65 per unit on profit taking and market forces

TODAY’S OUTLOOK
As the opening bell rings, we expect volatility to continue on the strength of portfolio rebalancing, profit taking and repositioning as the number of traders in the market remain in the increase ahead of economic data and year end changes
Again, we advise that investors allow numbers to guide their decisions while repositioning for the rest of the year trading activities, especially now that prices of stocks are moving up and down amidst improving company, economic and market fundamentals.


Best regards
Ambrose Omordion
CRO | Investdata Consulting Ltd
info@investdataonline.com
info@investdata.com.ng
ambrose.o@investdataonline.com
ambroseconsultants@yahoo.com
Tel: 08028164085, 08032055467