₦airaland Forum

Top Energy Nigeria Ltd

Top Energy Nigeria Ltd is the smart, simple solution to your energy needs. Our top-notch mode of operation provides you with the best performance you seek.

We have trained team of skilled professionals working round the clock in providing first class products and services delivery that are second to none. Our clientele needs are topmost priority, driving our core value at the forefront of management operation in the oil and gas industry here in Nigeria and Africa at large.

We are licensed Oil & Gas Company established in Lagos, Nigeria. We are into Sales and Distribution of Petroleum Motor Spirit (PMS), Automotive Gas Oil (AGO), Dual Purpose Kerosene (DPK), Low Pour Fuel Oil (LPFO) and Gas at affordable prices.

Address: Plot 2 Samelein, Off Opebi links bridge, Oregun, Ikeja, Lagos State.
Phone: +2347037302693, +2347035158433, +2348170462044
Email: info@topenergynigeria.com
michael@topenergynigeria.com
iykopress@yahoo.com
Website: http://topenergynigeria.com/

Top Energy Nigeria Ltd

Top Energy Nigeria Ltd is the smart, simple solution to your energy needs. Our top-notch mode of operation provides you with the best performance you seek.

We have trained team of skilled professionals working round the clock in providing first class products and services delivery that are second to none. Our clientele needs are topmost priority, driving our core value at the forefront of management operation in the oil and gas industry here in Nigeria and Africa at large.

We are licensed Oil & Gas Company established in Lagos, Nigeria. We are into Sales and Distribution of Petroleum Motor Spirit (PMS), Automotive Gas Oil (AGO), Dual Purpose Kerosene (DPK), Low Pour Fuel Oil (LPFO) and Gas at affordable prices.

Address: Plot 2 Samelein, Off Opebi links bridge, Oregun, Ikeja, Lagos State.
Phone: +2347037302693, +2347035158433, +2348170462044
Email: info@topenergynigeria.com
michael@topenergynigeria.com
iykopress@yahoo.com
Website: http://topenergynigeria.com/

Top Energy Nigeria Ltd

Top Energy Nigeria Ltd is the smart, simple solution to your energy needs. Our top-notch mode of operation provides you with the best performance you seek.

We have trained team of skilled professionals working round the clock in providing first class products and services delivery that are second to none. Our clientele needs are topmost priority, driving our core value at the forefront of management operation in the oil and gas industry here in Nigeria and Africa at large.

We are licensed Oil & Gas Company established in Lagos, Nigeria. We are into Sales and Distribution of Petroleum Motor Spirit (PMS), Automotive Gas Oil (AGO), Dual Purpose Kerosene (DPK), Low Pour Fuel Oil (LPFO) and Gas at affordable prices.

Address: Plot 2 Samelein, Off Opebi links bridge, Oregun, Ikeja, Lagos State.
Phone: +2347037302693, +2347035158433, +2348170462044
Email: info@topenergynigeria.com
michael@topenergynigeria.com
iykopress@yahoo.com
Website: http://topenergynigeria.com/

Top Energy Nigeria Ltd

Top Energy Nigeria Ltd is the smart, simple solution to your energy needs. Our top-notch mode of operation provides you with the best performance you seek.

We have trained team of skilled professionals working round the clock in providing first class products and services delivery that are second to none. Our clientele needs are topmost priority, driving our core value at the forefront of management operation in the oil and gas industry here in Nigeria and Africa at large.

We are licensed Oil & Gas Company established in Lagos, Nigeria. We are into Sales and Distribution of Petroleum Motor Spirit (PMS), Automotive Gas Oil (AGO), Dual Purpose Kerosene (DPK), Low Pour Fuel Oil (LPFO) and Gas at affordable prices.

Address: Plot 2 Samelein, Off Opebi links bridge, Oregun, Ikeja, Lagos State.
Phone: +2347037302693, +2347035158433, +2348170462044
Email: info@topenergynigeria.com
michael@topenergynigeria.com
iykopress@yahoo.com
Website: http://topenergynigeria.com/

Top Energy Nigeria Ltd

Top Energy Nigeria Ltd is the smart, simple solution to your energy needs. Our top-notch mode of operation provides you with the best performance you seek.

We have trained team of skilled professionals working round the clock in providing first class products and services delivery that are second to none. Our clientele needs are topmost priority, driving our core value at the forefront of management operation in the oil and gas industry here in Nigeria and Africa at large.

We are licensed Oil & Gas Company established in Lagos, Nigeria. We are into Sales and Distribution of Petroleum Motor Spirit (PMS), Automotive Gas Oil (AGO), Dual Purpose Kerosene (DPK), Low Pour Fuel Oil (LPFO) and Gas.

Address: Plot 2 Samelein, Off Opebi links bridge, Oregun, Ikeja, Lagos State.
Phone: +2347037302693, +2347035158433, +2348170462044
Email: info@topenergynigeria.com
michael@topenergynigeria.com
iykopress@yahoo.com
Website: http://topenergynigeria.com/

MARKET UPDATE FOR SEPTEMBER 11, 2017

Nigeria’s stock market started the week weak as revealed by poor technical that consolidated the previous day downtrend. The pre-market open was full of mixed expectations from participants at INVESTDATA seminar held in Abuja over the weekend where investors were taught how to protect their portfolio and profit from market correction as the government is yet to make any form of economic reform policy pronouncement or action that will give support to the recovery economy as statistics figure from the NBS indicated that the nation is out recession, which investors and ordinary man on the street are expecting to see action that will propel growth, knowing that the seeming growth in Q2 was driven by CBN intervention and sustainability is shaking as the fiscal authorities had gone to sleep leaving the whole system in the state of confusion that is gradually building confidence problem again in the market and the economy as 2017 budget implementation style is poor and no impact on the system. The index opened with slight gap up in the morning, then pulled back, in midday to the session lows, but couldn’t make new lows on the index. The loss suffered by high cap stocks backed up the rest of the day consolidation to close lower on a low volume traded as investors are still looking to see actions and moves by the economic managers that guaranty sustainable growth going forward.

The selling pressure continue as revealed by the volume index of 0.39, with a buying position of 11% while selling volume was 89% of the day’s total transaction to support the down market.
Meanwhile, the All Share Index shed 292.30 basis points on Monday to close at 35,664.94 point, up from the 35,953.44 points opening level which represented 0.81% decline on a lower volume traded, when compared to previous session. Similarly, market capitalisation for the day dropped by N100.75 billion to close at N12.29 trillion, from N12.42 trillion in the previous session, representing a 0.81% value loss to continue the two day bear transition.

Downturn in the share price of Dangote Cement, Nestle, Flourmills, Guinness, Okomu Oil, Presco, Guaranty Trust Bank and Double 11 Plc that impacted negatively to reduce the ASI’s year-to-date returns to 32.71%, just as market capitalisationgain stood at N3.05 trillion within the period, representing a 32.94% rise above the year’s opening value.

Market breadth for the day continue it negative position as the number of decliners outnumbered advancers in the ratio of 24:20 on a low volume of trades to sustain a two-day down market.
Market activities in terms of volume and value were down by 24.73% and 29.51% respectively to 114.77 million shares, as against previous day’s 152.47 million units valued at N2.17 billion from the N3.08 billion recorded in the previous session.
Transaction in the shares of Zenith Bank, Access Bank, UACN Property, Diamond Bank and C & I Leasing topped the volume chart.

At the close of the day’s trading session, Newrest ASL topped the advancers’ log, gaining 4.87.%, closing at N6.25 per share, on market forces ahead of Q3 numbers. It was followed by Trancorp with a 4.76% notch at N1.32per share, on positive market sentiments and expectation of reform in power sector to further boost its numbers in the coming months of the year.
On the flipside, Okomu Oil lost 4.92% to close at N59.90 on a profit taking, followed by McNicholes that shed 4.55% to close at N1.26 per unit on market forces.

TODAY’S OUTLOOK
Technically, the week opened weak, on a high volatility that is likely to continue as market opens this morning amidst standing on the sideline attitude of investors, profit booking and repositioning in hope that the positive macro-economic indices will drive optimism in equity investments ahead of Q3 earnings season and year end, while we expect the Nigerian government to review its 2017 budget implementation strategy and put in place some fiscal measures that will help the monetary authorities to sustain the ongoing economic recovery as shown by the positive but fragile GDP, to make growth and development a reality.

However, investors need not panic if they take position based on strong numbers and future prospects of any stock as smart investors are using this correction to accumulate and increase their positions in some stocks.
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 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.

Meanwhile, be reminded once more that industry potential, market timing are very important when picking a stock, because there are factors that are sector-specific and would naturally impact positively or negatively on companies operating within such an industry, especially now that the economy is recovering. Market is in phases know it in order to manage your trading and investing 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.


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/2017/09/market-update-for-september-11-2017.html

Honeywell Targets 20% Market Share Of Flour Milling Business

Stockbrokers Urge Directors To Consider Rights Issue, Reduced Holding
Photo Caption: From left to right, Tony Ibeziako, Head, Domestic Primary Market, The Nigerian Stock Exchange (NSE); Ade Bajomo, Executive Director, Market Operations and Technology, NSE; Lanre Jaiyeola, Group Managing Director, Honeywell Group, Dr. Nino Ozara, Executive Director, Manufacturing, Honeywell Group at the Facts Behind the Figures presentation at the Exchange today in Lagos

The management of Honeywell Flour Mills Plc, on Friday said it has set a market share target of 20% in the coming years, up from the current 12% in an sector that also includes biscuit, bread and pasta segments.
Addressing stockbrokers, analysts and investment journalists on the occasion of the company’s Facts-behind-the-figures to offer details of its latest financials for the year ended March 31, 2017, the Managing Director, Olanrewaju Jaiyeola, noted that the market share computation is based on the nation’s $1.2bn total wheat import bill for the period.
In a bid to reduce the company’s import dependence and foreign exchange demand, he however assured that Honeywell Flour is gradually introducing local content by substituting with home-grown wheat.

“We have milled wheat in our factory,” he said, adding that home-grown wheat is already in every Nigerian meal today in very small quantities, assuring that the company places a high premium on research and development.
As a result, he said the company’s is investment in backward integration to reduce demand for forex used for importing wheat and in the process driving down cost of production, while increasing capacity utilization from between 80 and 85% and enhancing returns on investment. In this way, he stressed, the management is determined “to sweat out our assets by raising capacity utilization,” which is why the Honeywell Foods and Agro-allied Industrial Complex is being constructed at the Sagamu, Ogun State to enable access to incremental capacity, while using technology to drive the entire business process to optimize returns on investment. The first phase of the complex- the pasta plant, he assured would be completed in the 2018 Q1, after which construction of swing mill would commence.
He also assured that the company enjoys evenly spread acceptance across the Nigerian market, with the Northern Nigerian market previously accounting for 53 to 58% share of revenue, followed by Lagos and the South-West contributing 22%; South East, 10% while the rest was from South-South. With Lagos and South-West now accounting for up to 36%; the northern market contributes 42%; and South East, 15%.
He spoke of plans to introduce smaller pack of its products into the market as a way of making them more affordable and further enhancing market penetration.
The management, he continued, is also focused on topline growth through innovation and the number of product offerings to the market, which is why an innovation unit has been established in the company.
Commenting on the 2017 audited financials, the MD said revenue grew by just 5% to N53.228bn and operating expenses fell by 14% from N6.569bn, even as net finance cost jumped by 241% to N2.793bn. This, he said arose from the need to increase working capital following the Naira devaluation within the period, need to cash-back letters of credits and the rising bank charges on import finance facilities, in spite of which net profit stood at N4.3bn from a loss in prior year of N3.02bn, translating to earnings per share of 54 kobo.
The robust growth recorded during the just ended financial year, he continued, is being sustained, judging by the first quarter figures showing that while revenue climbed 83% to N18.27bn and tax expenses by 600% to N161m, net profit for the period ballooned by 537% to N643m or N8.11 EPS.

The challenge today, Jayeola concluded, is “to do more in terms of managing operating costs and looking forward to better returns on investment.
The management was however challenged to impress upon the board, the urgent need to seek fresh funds at a time when the market seems very receptive to rights issues to further drive down cost of finance, while challenging the core investors to consider selling down on its holdings and in the process deepen market participation and liquidity.

http://investdata.com.ng/2017/09/honeywell-targets-20-market-share-flour-milling-business/#more

CBN Unveils e-Certificate Of Capital Importation

Poised to further enhance transparency and seamless inflow of foreign exchange by way of Foreign Direct of Portfolio investments to the country, the Central Bank of Nigeria (CBN), on Friday announced the deployment of an Electronic Certificate of Capital Importation (eCCI) platform.
A statement titled: Implementation of Electronic Certificate of Capital Importation (eCCI), dated September 7, 2017 and signed by Wuritka Dauda Gotring, director, Trade & Exchange Department of the CBN, said the new platform which replaces the hard copy CCI normally issued in respect of all capital inflows either in form of cash or machinery/equipment
He therefore announced that from Monday, September 11, 2017, “the processing of certificate of Capital Importation in Nigeria shall only be done electronically on the eCCI platform.

http://investdata.com.ng/2017/09/cbn-unveils-e-certificate-capital-importation/#more

CORPORATE ACTION AS AT SEPTEMBER 8, 2017

https://investdataltd..com.ng/2017/09/corporate-action-as-at-september-8-2017.html

INVESTDATA-PRICE-EARNINGS-TRACKING-FOR-WEEK-ENDED-SEPTEMBER-8-2017

http://investdata.com.ng/2017/09/corporate-action-september-8-2017/#more

TAKING ADVANTAGE OF MARKET CORRECTION TO BUY IN DIP

In the past two weeks, the benchmark index has been on the decline, during which the month of August closed negative in the aftermath of profit taking and cautious trading as the market would not react positively as expected to impressive corporate earnings and economic data including the slowly sliding inflation and the latest report from the National Bureau of Statistics (NBS) which confirmed that Nigeria’s economy recovered, although sluggishly from recession after five successive quarters, spanning 15 months.

The sell-off witnessed was part of market dynamics especially after a long rally as investors became concerned over the sustainability of the economic recovery with the way the fiscal authorities continue to foot drag in the implementation of Nigeria’s 2017 budget that ought to be the catalyst for economic growth and development. It is known that government is the biggest spender in any economy and there is the compelling need to compliment the various interventionist activities of the Central Bank of Nigeria (CBN). This has been most visible in the foreign exchange window of the inter-bank market where the apex bank continues to support the manufacturing sector by opening an Investors and Exporters window to ease access to forex, while encourage inflow of capital and investments into the market and economy, since these can be easily repatriated when there is need. In furtherance of this desire to encourage seamless and transparent inflow of capital, the CBN announced the creation of a new electronic Certificate of Capital Importation (e-CCI) platform which takes off on Monday, September 11, 2017.

The Nigerian Stock Exchange (NSE) composite All-Share Index (ASI) hit a high of 38,198.60 in August 11, 2017, after which it took a plunge of over 2790.81 points to a lows of 35,407.79 by September 5, 2017. This represented a 7.31% slide in just 15 trading days that spanned the period.
The question for this post-holiday week is: Will the composite NSEASI continue to reward traders who have been buying every dip, or is it finally time to sell on this rebound?

I have been writing for some times now about how to position on the strength of companies earnings that are trending up and have the possibility to beat estimates in the next earnings season and in the process influence price movement in the market. Since the sessions following the March of 2017 lows we have seen several pullbacks that created opportunities for buying and then rebound to continue the up rally. From February till date we have seen negative news or events that crashed the market even while analysts were so sure that the market would continue to attain higher highs.
Now that the market has finally rebounded after two weeks of pullback, the experts are now linking the escalation to the expected earnings season and review of government strategies in the implementation of the 2017 budget with the hope that this would sustain the economic recovery and growth as we move farther from recession as reason for likely movement of the market from the 35,407.79 low. The high of 38,198.60 had been an ideal target zone for another breakout that will confirm another bullish market this period.

I recall that during INVESTDATA’s “Invest 2017 summit,” we predicted that 2017 will be a bullish year, noting that the Nigerian Stock Exchange had never in its history experienced three straight years of down market and all the stocks recommended at that summit, as those who attended or purchase the seminar materials would attest, have recorded over 50% year to date,better than the All share Index’s Year-To-Datereturns now at 34.37%. Beyond that, INVESTDATA Research sees the market closing the year positive with many stocks hitting three year highs on the strength of improving company, market and economy fundamentals that will influence their prices,helped by the fact that different sectors of the economy are looking up already as revealed by the Q2 GDP fugues.
"If the benchmark index is able to follow-through in anspontaneous pattern up of that March 6th low then we have an ideal target zone on this smaller degree timeframe right in the 35,407.79-38,198.60 zone. This zone has excellent confluence with our larger degree Fibonacci target level of 38,212 as it falls right with that smaller degree target zone’’
If the 38,198.60 level was indeed the top of the larger degree fourth wave as noted on the charts below, then the target level that I had laid out on August 11 would have been within four points of the actual high.

Again, this was before the correction was escalated by profit taking and cautious trading due to delay in implementing the capital expenditure side of the budget 2017 and expected economic reforms policies. The targets that were laid out were based purely on our Elliott Wave analysis and our Fibonacci Pinball targets. These tools help us measure sentiment in the market based on what we are seeing in the charts. So, rather than rely on some economic news only, there is need togauge market sentiment also.
The market does still have a bit of work to do before proving that the 38.198.60 level was indeed the top of the larger degree fourth wave, but hitting the ideal target within four points is certainly a decision just as time to sell or hold to breakout which is always very dicey for many traders and investor.

What's Ahead?
There are two distinct paths that I am currently watching on the Index. These paths are shown in green and red on the charts below.

The green path would suggest that the NSEASI has already made a larger degree top in wave (E). This should then result in correction down towards the 38,198.6-35,407.79 zone for wave (D) prior to turning up again into 2018.
The scenarios above suggest that the NSEASI will see higher levels into the end of 2017. It is really just a matter of whether the pattern needs another minor high prior to seeing the larger degree top for wave (E).
The initial move down of the 36,534.34 level was corrective in nature, and the index has so far held over the smaller degree support level of 35,320.12. So for these reasons we still do not have initial confirmation of a top being in place just yet.
The next signal that the NSEASI has indeed topped would come with a breakout of the 37,047.6 level followed by a breakout of the 38,198.6 level. If those two resistance levels can break, then we will once again focus on the 39,200.13 level as the next signal that we have indeed struck a larger degree top for wave (E). Although a break of the 38,214.16 level would signal that we have indeed struck fairly significant top, as long as the Index is able to remain over the long term support levels at 38,198.6-24,426.16, there are still likely higher levels to be seen into 2018 if the government doubles its efforts at driving this growth, staying away from mere sloganeering andavoiding the distractions of the politics of 2019 election activities.

In all these, what is important for you as an investor or trader is knowing when to sell for profit and when to hold cash and just watch for another opportunity that beckons.

https://investdataltd..com.ng/2017/09/taking-advantage-of-market-correction.html

Buhari Promised He Won’t Seek Re-election in 2019 -Minister

Nigeria’s President Muhammadu Buhari told members of his party before he was first elected that he would only seek one term, implying he did not intend at that time to run in 2019, Aisha Alhassan, Nigeria’s Minister of Women’s affairs told Reuters on Wednesday.
She said Buhari made the promise in 2015 to APC members without giving further details.
Although the president’s two spokesmen declined to speak on the minister’s remarks to Reuters, the comments could heighten uncertainty over whether Buhari plans to contest the next election, but the President himself is yet to say if he will seek a second term, even amidst subterranean campaigns already for his re-election. It is not however known whether such moves enjoy his blessing.

She threatened to resign from the Federal Executive Council, should he principal seek re-election, to support former vice president Atiku Abubakar if he decides to run. Alhassan recalled that “in 2014/2015 he said he was going to run for only one time to clean up the mess that the (previous) PDP government did in Nigeria. And I took him for his word that he is not contesting in 2019.”
“If today Mr. President says he is running in 2019 I will go to him respectfully and thank him for giving me an opportunity to serve and then tell him that I have to resign because my political father may be running,” she stressed.
Another report quoted her as telling BBC Hausa Service that even if President Buhari decides to seek re-election, she would still support Abubakar who she described as “my godfather even before I joined politics.
“Let me tell you today that if Baba said he is going to contest in 2019, I swear to Allah, I will go before him and kneel and tell him that ‘Baba I am grateful for the opportunity you gave me to serve your government as a minister but Baba just like you know I will support only Atiku because he is my godfather. If Atiku said he is going to contest.

The Minister popularly called Mama Taraba, added that she is not scared of being relieved of her job as minister, stressing: “If because of what I said, I am sacked, it will not bother me because I believe in Allah, that my time has elapsed that is why…” “Baba is not a mad man like those calling for my sack. They have been sending it and spreading that if Baba sees this I will be sacked.”
Abubakar was vice president from 1999 to 2007 as part of the People’s Democratic Party (PDP), from where he teamed up with the All Progressives Congress (APC) in 2014.
Buhari, 74, returned on August 19 from a 103-day medical leave in Britain for an unspecified ailment. It was his second stint of sick leave this year following a break between January and March.
Many people expressed doubts as to whether Buhari is healthy enough to serve another four-year term as Nigeria’s President.

http://investdata.com.ng/2017/09/buhari-promised-wont-seek-re-election-2019-minister/#more

Economic Recovery Will Be Gradual, But Govt Must Do The Needful, Says Kale

I’ve Insisted On Authentic Data Since Becoming NBS CEO In 2011

Irked by suggestions especially in the social media casting aspersions on the GDP data released by the National Bureau of Statistics (NBS) on Tuesday morning, Dr. Yemi Kale, its chief executive, on Thursday continued defence of the numbers churned out by the agency showing that Nigeria came out of recession in the second quarter of 2017.
In a series of tweets, Kale, who is also statistician General, defended the figures insisting that they are products of empirical data indicating that the country is on the path of slow and even gradual recovery that would be sustained and improve over time, provided the government the needful without which the nation would “once again sink into negative growth as quickly as we got out.”
What Nigeria faced, he explained, was stagflation, defined as when an economy is growing negatively (recession), in the presence of rising inflation and unemployment, which means recession normally comes with low inflation.
“In many cases, a recession will exhibit lower inflation because a recession suggests producers are producing less usually, because there is no demand for their goods and when there is no demand then supply will outstrip supply and prices will decline. In fact the CBN (Central Bank of Nigeria) will raise interest rates in an inflationary environment to prevent demand pull inflation which is overspending by the masses and remove money in circulation.
“So, sometimes, inflation is caused by the masses having money in their pocket so monetary policy may be used in this regard to curtail demand and spending. Again, this suggests that they may be linked but are not dependent on each other when they are independently computed.

“Inflation we face today is however not demand pull but cost push and structurally linked largely to forex issues and infrastructural issues we have had for years (which accounts for the fact that) prices (of goods) are high in the market.”
For those wondering how any one can truly say Nigeria is to be truly out of recession in the face of all of these factors when the impact of the positive GDP is not being felt, or the economy said to be recovering, Kale explained that economic recovery is gradual, just as getting into recession is (negative GDP) is a process began from decline in GDP from 6% to 5%, 3% to -0.6% to -1.4% to -2.3%.
Meanwhile, he wondered why no one raised eye-brow when the same agency reported that Nigeria slipped into recession are now blowing hot, while insisting that the GDP is not reflecting the real situation of Nigeria’s economy.

“I was statistician general and CEO of NBS since 2011 and no data since then has ever been “false or bogus” as being claimed he stressed.
Critics of the NBS data showing that the country is out of recession have continued lament the rate of poverty in the land, as well as hunger and unemployment as proof that Nigeria is still in recession, to which he replied: “If you claim recession is only over when everybody has jobs and food, then Nigeria has been in recession since colonial times. It also means every country in the world is in recession because there is no country in the world that doesn’t have poor and unemployed people.”
There are 46 economic activities considered while computing GDP and 21 recorded negative growth as in the case of the Q2 GDP data, he said, which suggests “that all is not well yet, but it is an important first step to arrest the slump.”
Moreso, Kale continued, the services sector which ordinarily “impacts the man on the street more was still negative though agric and industry took us out of recession so it is expected that for now and as recovery continues depending on doing the right things and I can’t stress that enough then services will also come out of recession and people will feel the impact more over time.
“There is no magic wand or auto button. It’s a process,” he further noted.

http://investdata.com.ng/2017/09/economic-recovery-gradual-govt-must-needful-says-kale/#more

MARKET UPDATE FOR SEPTEMBER 7, 2017

NSE STOCKS SOAR HIGHER ON LIKELY REVALUATION, POSITION TAKING AHEAD OF Q3 NUMBERS

Trading on the Nigerian Stock Exchange on Thursday closed higher to consolidate the previous session rebound, despite the continued volatility that has forced investors and traders to the sidelines as they watch the market re-emerge from correction mode on the two-day bull transition. The index pulled back slightly shortly after market open, but retrace marginally by the afternoon and later bounced back significantly to breakout the psychological line of 36,000 and then hit an intraday high of 36,141.70 and low of 35,559.76 on a low volume traded. There was a noticeable high buying pressure of 95% as revealed by the volume index of 0.71, while selling volume was 5% of the day’s total transaction to support the up market.

Also, important is the fact that foreign investors continued to show interest in the consumer goods and the financial sectors, a situation which should inspire interest as to what exactly mat be driving this class of investors and what they look at before jumping into any stock. During the day’s trading also, 1.87m shares of Nestle Nigeria were crossed to a foreign investor at N1,220 per unit by a domestic investor. Guinness Nigeria continues to enjoy positive response to its recommendation of 64 kobo dividend per share, as well as its 2017 audited financials indicating a recovery from previous year’s loss before and after tax (READ). On the strength of this, the stock has so far recorded 22% gain since its result hit the market. This situation is however not playing out yet in the case of PZ Cussons, which also released its audited full-year result within the week, showing that net profit ballooned by 73.1% (READ), even as the market has not looked its way. It may not confirmed whether this is due to the decision of the board to still recommend a 50 kobo dividend just like prior year, despite the net profit jump. What happens to the share price in coming weeks would determine whether it is the outcome of investor dissatisfaction or the fact that they are still digesting the numbers.

Over the past four years, according to INVESTDATA Research findings, the market had closed the month of September in positive territory, except 2014. It is the last in the Q3 and first in the last four months of the year when investing and position taking are high in preparation for the October earnings season and ahead of the 2017 full-year results in 2018 for medium and long term investors. This is especially true, now that Nigeria’s market and economic fundamentals are looking up as reflected in the recent corporate earnings and positive economic data that should guide discerning investors to know where to invest for profitable returns in no distant if this growth and recovery tempo is sustained with good policies and action.

Meanwhile, the All Share Index gained 503.30 basis points on Thursday to close at 36,112.37 point, up from the 35,609.07 points opening level which represented 1.42% growth on a lower volume traded, when compared to previous session. Similarly, market capitalisation for the day further recovered N174.79bn to close at N12.45tr, from N12.27tr in the previous session, representing a 1.42% value gain to continue the two day bull transition. It also reduced losses suffered in the last two week by investors.

Price appreciation in the shares of the two most capitalized stocks Dangote Cement, Nigerian Breweries and others likes Guinness, Stanbic IBTC, Flourmills, Lafarge Africa, Guaranty Trust Bank and Dangote Sugar impacted positively to boost the ASI’s year-to-date returns to 34.37%, just as market capitalisation gains increased to N3.2tr within the period, representing a 34.62% rise above the year’s opening value.
Despite this, market breadth for the day remained slightly negative as the number of decliners outpaced advancers in the ratio of 22:19 on a relatively low volume of trades to sustain a two-day up market.

Market activities in terms of volume and value were down by 20.99% and 23.14% respectively to 222.69m shares, as against previous day’s 281.34m units valued at N4.17bn from the N5.42bn recorded in the previous session.
Transaction in the shares of Sterling Bank, Royal Exchange Insurance, Fidelity Bank, Access Bank and Zenith Bank topped the volume chart.
At the close of the day’s trading session, Guinness Nigeria topped the advancers’ log, gaining 10.23%, closing at N96.33 per share, as investors reacted positively to its full-year audited result released during the day. It was followed by Dangote Cement with a 4.73% notch at N216.91 per share, on positive market sentiments and expectation that government’s infrastructural development projection as contained in the 2017 budget may further boost its numbers in the coming months of the year.
On the flipside, Seplat lost 5.00% to close at N457.90 on a profit taking, followed by NCR that shed 4.91% to close at N6.97 per unit on market forces.

TODAY’S OUTLOOK
Technically, the market closed mix on Thursday, but volatility is likely to continue as market opens this morning amidst profit booking and repositioning in hope that the positive macro-economic indices will drive optimism in equity investments ahead of Q3 earnings season and year end, while we expect the Nigerian government to review its 2017 budget implementation strategy and put in place some fiscal measures that will help the monetary authorities to sustain the ongoing economic recovery as shown by the positive but fragile GDP, to make growth and development a reality.
However, investors need not panic if they take position based on strong numbers and future prospects of any stock as the news of the nation’s exit from economic recession is a plus for the market.
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 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.


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*Anticipate whether a stock is likely to beat or miss earnings estimates

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MARKET UPDATE FOR SEPTEMBER 6, 2017



INVESTORS DIGEST ECONOMIC DATA IMPACT ON STOCKS, AMIDST WAIT FOR BUDGET 2017 IMPLEMENTATION

Nigeria stock market rebounded at the end of midweek’s trading session, with the benchmark index in a positive come-back session amidst continued volatility. The market gapped up in the opening hours, but came down pretty hard, held support at 35,326.19 basis points, before doing a nice come-back by the afternoon, taking the index to intraday high of 35,745.70 and low of 35,348.94, recording a 205.15-point rally. In the last minutes of trading, the market lost a big chunk of the gains but still managed to close the day positive.

The improvement in volume traded however signals a gradual increase in demand for stocks again after five consecutive days of selloff that propelled the pullback before Wednesday’s reversal despite the slight weakness in market breadth at the end the session.
With the improvement in buying pressure of 65%, to support the up market as revealed by the volume traded index of 0.87, while selling volume was 35% of the day’s total transaction, it does appear investors are taking advantage of the correction and the emerging positive economic data to position in some stocks, which are being considered vis-à-vis the strong Q2 numbers of listed companies and the few full-year numbers that are also impressive. There is also the factoring in of hopes that the Nigerian government would urgently change its approach to economic management to ensure that the nation’s GDP is enhance, given that the 0.55% growth in 2017 Q2 is fragile, particularly by fixing critical road and rail infrastructure across the country.

The Muhammadu Buhari government needs to ride on the momentum of the relatively stable exchange rate, as well as the seeming peace in the Niger Delta that had impacted positively on the crude oil production output of 2million barrels per day. The increased output contributed substantially to the Q2 oil GDP as a result of relatively high price of the commodity at the international market that had influenced Nigeria’s external reserves positively, while supporting the nation’s positive economic outlook and the likelihood that it would attract more forex inflow if the Central Bank of Nigeria (CBN) continues to sustain its intervention as promised and is able to achieve a single exchange rate.
Meanwhile, the composite index NSEASI gained 205.15 basis points on Wednesday to close at 35,609.07 point, from the 35,403.92 points opening level which represented 0.58% growth on a higher volume traded, when compared to previous session. Similarly, market capitalisation recovered by N70.71bn to close at N12.27tr, from Tuesday’s N12.2tr, representing a 0.58% value gain to halt the losing streak in investors’ portfolios.

The upturn in the share price of medium and high cap stocks during the session impacted positively to boost the ASI’s year-to-date returns to 32.50%, just as market capitalisation gains stood at N3.03tr within the period, 32.97% above the year’s opening value.
Market breadth for the day was slightly negative as the number of decliners outnumbered advancers in the ratio of 23:22 on a relatively low volume of trades to halt the five-day bear transition.
Market activities in terms of volume and value were up by 22.52% and 13.60% respectively to 281.34m shares as against previous day’s 230.03,m units valued at N5.42bn, as against the N4.77bn recorded in the previous session.

Transaction in the shares of Guaranty Trust Bank, Access Bank, FBNH, Fidelity Bank and Sterling Bank topped the volume chart.
At the close of the day’s trading session, Guinness Nigeria topped the advancers’ log, gaining 10.24% respectively to close at N87.39, as investors reacted positively to its full-year audited result released during the day, which indicated a return to profit, following which the directors offered 64 kobo dividend per share (READ). It was followed by Redstar Express with a 9.82% notch at N4.81 per share, on market sentiments and strong Q1 numbers.
On the flipside, PZ lost 4.98% to close at N25.94 on a day it released its audited full year numbers, with profit rising by 73.1% and its board recommended a 50 kobo dividend (READ). Morison Industries shed 4.88% to close at N0.78 per unit on market forces despite its proposed primary activity.

TODAY’S OUTLOOK
As trading opens this morning, volatility is likely to continue amidst profit booking and repositioning in expectation that the positive Q2 GDP will drive optimism in equity investment ahead of Q3 earnings season and year end, as we expect the government to review its 2017 budget implementation strategy and some fiscal policies that will support the monetary authorities to sustain the ongoing economic recovery to make real growth a reality.
However, investors need not panic if they take position based on strong numbers and future prospects of any stock as the news of exits from economic recession is a plus for the market.

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 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.

Meanwhile, be reminded once more that industry potential, market timing are very important when picking a stock, because there are factors that are sector-specific and would naturally impact positively or negatively on companies operating within such an industry, especially now that the economy is recovering. Market is in phases know it in order to manage your trading and investing 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


INVESTDATA CONSULTING LIMITED
ambroseconsultants@yahoo.com
Tel: 08028164085, 08032055467
https://investdataltd..com.ng/2017/09/market-update-for-september-6-2017.html

MARKET UPDATE FOR SEPTEMBER 5, 2017

NEWS OF NIGERIA’S EXIT FROM RECESSION FAILS TO BUOY NSE INDICATORS, AS SEPT OPENS IN RED

The nation’s stock market opened the week and month of September lower after the long holidays, continuing a five-day downtrend that ended August negative as stocks recorded strong volatility despite news of Nigeria’s exit from economic recession technically following its positive Q2 GDP growth of 0.55%. This additional positive economic data, it seems, did not impact on the market as at end of Monday’s trading. The composite NSE All-Share index went south at the opening session, while in the last hour it snapped back a little to cut back the losses, which was not enough to change the market’s direction as it closed marginally lower. The low volume traded and the reversed market breadth to negative signaled cautious trading and investing on the first trading of the week given that the market had previously failed to responded positively to the impressive earnings that were released since mid-August.

The ongoing correction is a clear reflection that the market had earlier factored in the positive corporate earnings and economic data, following which investors and traders are playing safe at a time like this when the economy continues to stand on one leg- monetary authorities through the intervention of the Central Bank of Nigeria (CBN) in the FX market. This intervention, particularly its creation of the importer and exporter window has so far helped to relatively sustain the exchange rate of the Naira against other global currencies, besides enhancing liquidity in the market, attracting more inflow and impacting positively on the nation’s manufacturing sector and others as revealed by numbers and data.

It must be emphasized that there is palpable fear among investors and traders as to whether or not this trend would be sustained much longer, given that the fiscal authorities have since gone on a long slumber. This has resulted in the apparently poor implementation of the 2017 budget, which many had expected to significantly drive the much celebrated Economic Recovery & Growth Plan (ERGP) launched by the Federal Government in February, which seemingly accounts for the very negligible recovery in Nigeria’s 2017 Q2 GDP, a rate far slower than population growth. It is agreed even on the streets that what Nigerians desperately desire today is a robust job-led economic growth that would tackle the fast rising poverty in the land.

With another round of increased insecurity in the North East, poor road network across the country that continues to negatively impact movement of agricultural produces from the farm to the city centres, it was no surprise that unlike South Africa which also came out of recession after just two quarters, Nigeria’s agric GDP growth was retarded in the period under review. This government must move from the era of sloganeering to fixing the nation’s dilapidated road, rail and other critical infrastructure, by constructing some afresh and maintaining others to ease the pains of Nigerians. It is such that increases the cost of doing business, unemployment, as we gradually return to the era of multiple strike actions by various workers’ unions dissatisfied with the country’s present situation that has left so much to be desired. All of these contribute enormously to send negative signals to investors, inspiring fear and uncertainty in the land, thereby draining what is left of confidence in the government and its economic team.

Back to the market, selling pressure remained high at 71%, to support the down market as revealed by the volume traded index of 0.71, while buying volume was 29% of the day’s total transaction, as shown in the market breadth.
Meanwhile, the benchmark NSE ASI shed 100.70 basis points on Tuesday to close at 35,403.92 point, from the 35,504.62 points opening level which represented 0.28% decline on a lower volume traded, when compared to previous session. Similarly, market capitalisation for dropped by N34.71bn to close at N12.2tr, from an opening value of N12.24tr, representing a 0.28% value loss in investors position.
The downturn in the share price of medium and high cap stocks during the session impacted negatively on the ASI’s year-to-date returns, reducing it to 31.74%, just as market capitalisation dropped to N2.96tr within the period, which left it at 31.97% above the year’s opening value.
Market breadth for the day was negative as the number of decliners outnumbered advancers in the ratio of 24:21 on a relatively low volume of trades to continue its five-day bear transition.
Market activities in terms were mixed as volume dropped 13.96% to 230.03m of shares as against previous day’s 266.51m units while valued was up at N4.77bn, as against the previous day’s N4.04bn.

Also, transaction in the shares of Access Bank, UBA, Zenith Bank, FBNH and Stanbic IBTC topped the volume chart.
At the close of the day’s trading session, C&I Leasing and NEM Insurance topped the advancers’ log, gaining 5.00% respectively to close at N1.05 apiece on market forces, followed by Guinness Nigeria with a 4.99% notch at N79.27 per share, as investors reacted positively to its audited result released during the day indicating a turnaround and return to profit, just as the offer of 64 kobo dividend per share.
On the flipside, Seplat lost 5% to close at N465.98 on profit taking, ahead of Julius Berger’s 4.99% to close at N30.87per unit on market forces.

TODAY’S OUTLOOK
As trading open this morning, it’s expected that volatility will continue amidst profit booking and repositioning in expectation that the positive Q2 GDP will drive optimism in equity investment ahead of Q3 earnings season and year end, even as we expect improved efforts from fiscal and monetary authorities to sustain the ongoing economic recovery.
However, investors need not panic if they take position based on strong numbers and future prospects of any stock since there is no bad news in the market at the moment.

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 prices of stocks are looking down ahead of the improving economic fundamentals, amidst the wait for the Federal Government to complement initiatives of the monetary authorities needed to quicken Nigeria's economic recovery. It is time to use your technical tools to take decision by knowing the support and resistant level to reposition or exit any position.

Meanwhile, be reminded once more that industry potential, market timing are very important when picking a stock, because there are factors that are sector-specific and would naturally impact positively or negatively on companies operating within such an industry, especially now that the economy is recovering. Market is in phases know it in order to manage your trading and investing risk.


https://investdataltd..com.ng/2017/09/market-update-for-september-5-2017.html

AUGUST MARKET ROUNDUP

TALE OF THREE-YEAR HIGH, VOLATILITY, CORRECTION, IMMINENT REVERSAL

Trading on the Nigerian stock exchange (NSE) for the just concluded month of August was mixed as earlier predicted in our July round up to close lower as it halted five straight months of bullish run, after breaking out of the psychological level of 38,000 basis points. During the month, the NSE All Share index hit an intra-day high of 38,241.67 on August 14, after closing at 38,198.60 points
on Friday, August 11, 2017, representing a 42.14% return on investment on that date. On that date too, market capitalization closed at N13.17tr, representing a N4.01tr or 42.64% jump in investors’ worth.

During the month of August also, the NSE index tasted a low of 35,417.16, reflecting the heavy cash out by investors, which took back all of its earlier gains after attaining a three-year high during the month. The impressive Q2 numbers from the banking sector did not influence the market positively as the earnings and interim dividend have been factored into the prices of the banks that made Q2 audited numbers available following which sell-offs persisted to end the month negative but with improved market breadth on the last trading day of the month that signaled reversal of the market correction is imminent.

The volatility seen in the second half of the month was despite the fact that positive factors supporting the market in the last six months remained intact, particularly the nation’s impressive foreign reserve pool. This is just as other macro-economic fundamentals continued to look up, helped by the continued intervention of the Central Bank of Nigeria (CBN) in the foreign exchange side of the inter-bank market, which had enjoyed sustained liquidity in the investors and importers window. This liquidity encouraged foreign investors and helped facilitate capital inflow into the stock market. Although the August Purchasing Managers’ Index released by the CBN on Thursday showed that fell marginally to 53.6 point from its level in July, it nonetheless remained above the 50 points threshold that shows that was some growth in productivity during the month (READ).

The magnitude of losses suffered within the month dragged the NSE ASI into the red, with the market down for 10 trading sessions and up for 13, leading to a pull-back that resulted in a drop in the market’s year-to-date gain from 33.39% in July to 32.11%. Despite the drop, the index remained among the top performing emerging markets in the globe and Africa, amidst its myriads of challenges.
It must be noted that companies on the NSE posted exceptional improvement in the Q2 numbers and the economic recovery, just as it remained attractive even as recent correction revealed the undervalued state of some stocks with high potential to rally.

Meanwhile, the composite Index for the month fell by a marginal 343.13 points to close at 35,504.62 from an opening figure of 35,847.72 which represented 0.96% decline over the period on a strong selling pressure that impacted on stock prices within the month.
The selling volume of total transactions for the month was 97%, while buying position was 3% to halt the five months of bullish transition,while volume index for the period was 1.04. Market capitalisation for the month shed N120bn to close lower at N12.24tr, from an opening value of N12.35tr, representing a 0.96% value loss. The market’s mixed trending was due to profit taking and repositioning by traders.
Traded volume for the month was up by 3.80% to 6.83bn shares from 6.58bn in the preceding month.
Market breadth for the month was negative with decliners outweighing the advancers in the ratio of 42:35 to cut short the five months bull transition by pulling back on the last trading week of the period due to price correction.

NSE Consumer Good Index topped the sectoral performance chart for the period with 11.68% gain to outperform the general market benchmark index that closed in the negative. While the NSE Main board ranked second, a gaining 3.48%, whereas the NSE 50 and NSE 30 notched 0.66% and 0.15% respectively to occupy three and fourth positions.

On the other hand, NSE Gas/Oil was the worst performing indexes as it shed all of 11.37%. It was followed by the NSE Premium 7.78% decline, reflecting the high selling pressure on the shares of Zenith Bank, FBNHoldings and Dangote Cement. This was followed by the NSE Industrial, which dropped 4.69% to reveal investors’ wait-and-see attitude at a time capital intensive projects of government are yet to start impacting bottom, due to the delay in implementation of the 2017 budget. Other sectors that closed in the red during the month were: NSE Insurance, NSE Banking, and NSE Lotus with 2.47%, 1.27% and 0.46% respectively to reflect investors and traders movement in and out of the stocks in sectors.




Best Performing Stocks
The month’s best performing stocks were C & I Leasing which gained 33.33% of its opening price, as it galloped on the strength of its quarterly earnings report that were released recently; followed by National Salt, which appreciated by 24.76%; while Dangote Flour Mills rose by 22.61% in the period under view; just as Nestle Nigeria chalked 21.55%. Other gainers on the table for the month included: PZ Cussons, 18.70%; NahcoAviance, 16.19%; Guinness, 16.06%; Livestock Feeds, 15.38%; and UBN, 14.50%; among others.

Best Performing Stocks in August
Securities
Sector
Open
Close
% Change
C & I Leasing
Services
0.75
1.00
33.33
National Salt
Consumer Goods
10.42
13.00
24.76
Dangote Flourmills
Consumer Goods
5.22
6.40
22.61
Nestle Nigeria
Consumer Goods
1003.70
1,220.00
21.55
PZ
Consumer Goods
23.00
27.30
18.70
Nahco
Services
2.78
3.23
16.19
Guinness Nigeria
Consumer Goods
65.05
75.50
16.06
Livestock Feeds
Agribusiness
0.78
0.90
15.38
UBN
Financials
5.24
6.00
14.50
Dangote Sugar
Consumer Goods
11.97
13.50
12.78
International Brewery
Consumer Goods
33.13
37.00
11.68
Jaiz Bank
Financials
0.69
0.77
11.59
Linkage Assurance
Insurance
0.61
0.67
9.84
BocGas
Industrial Goods
3.28
3.60
9.76
ETI
Financials
16.50
18.00
9.09
Cutix
Industrial Goods
2.31
2.50
8.34
Source; NSE and Investdata Research
Worst Performing Stocks

Worst performing stocks for the period was led by Morison Industries, which lost 36.91%, as a result of sell-offs after the company recorded unimpressive numbers despite the proposed primary market activities. Double One Plc lost 34.74% as a result of its weak Q1 and Q2 numbers; followed by the 25.37%drop in the price of Nem Insurance; and Conoil,23.90% on the back of profit taking by traders.

Worst Performing Stocks in August 2017
Securities
Sector
Open
Close
% Change
Morison Industry
Healthcare
1.30
0.82
36.92
Double 11
Oil/Gas
253.00
165.11
34.74
NEM
Insurance
1.34
1.00
25.37
Conoil
Oil/Gas
36.40
27.70
23.90
Forte Oil
Oil/Gas
61.70
49.00
20.56
Okomu Oil
Agribusiness
80.03
65.64
17.98
Champion
ConsumerGoods
2.85
2.40
15.79
Oando
Oil/Gas
7.98
6.81
14.66
FCMB
Financial
1.25
1.07
14.40
Redstar Express
Services
5.10
4.38
12.40
Source: NSE &Investdata Research

Chart view of August market.

NSEASI MONTHLY TIME FRAME FOR AUGUST


NSE Index has been trending up as revealed by the index action to form a rising channel where the market closed within the channel after trying to breakout the upper line of the channel which has become the resistant and pullback immediately to create a new entering point for discerning investor.

https://investdataltd..com.ng/2017/09/august-market-roundup.html

CORPORATE ACTION FOR JULY 13TH -12TH SEPTEMBER 2017

https://investdataltd..com.ng/2017/09/corporate-action-for-july-13th-12th.html

WHERE TO INVEST AND EXPECTATIONS FOR SEPTEMBER 2017




The global economic recovery is at the moment under threat by the continued tension from North Korea missiles display that may trigger war of any sort if not checked immediately, added to political risks and unfriendly international policies emanating from some developed countries, which are currently slowing growth. There is also the Hurricane Harvey currently ravaging the U.S state of Texas that had affected refineries in the country, following which there is a spike in gasoline price across the country, just as prices of other commodities are looking up at the international market, despite the continued oscillation in oil price that is currently trading at $52.07per barrel.

Another factor is the unstable fiscal and monetary policies around the world, with stimulus gradually being withdrawn; a situation that had triggered inflation in US, UK and Germany, while other parts of the Europe zone and Japan remained relatively unchanged.
Global economy growth outlook remains unpredictable, despite the positive economic data and impressive corporate earnings as political and economic uncertainties continue to threaten businesses and investments, made worse by the body language and utterances of world leaders.

Back home, there are factors such as the continued decline in inflation rate to 16.05%, growth in foreign reserves and positive macro-economic indices that had supported the recovery so far on the strength of CBN intervention in the FX market that strengthened the Naira relatively and supported stable exchange rate for this six months of recovery. However, the non-implementation of the 2017 budget is beginning to threaten confidence among the investing public in the whole system, given that the CBN’s efforts alone cannot sustain growth in productivity to create and grow employment. Regardless of the fluctuating price of crude oil, the relative peace and security that have since returned to the nation’s troubled Niger Delta region and stability in oil output, all of which would impacted the nation’s revenue positively, the secrecy in the budgeting process has not helped till date after four months since the Vice President, then Acting President Yemi Osinbajo assented to the 2017 Appropriation Bill.

In September, we expect Nigeria’s inflation rate to continue dropping as price will relatively remain flat until October when price will start looking up again for the end of the year/festive season.
PMI for the month of August was down but the expectation for improvement in the new month is high if the government does the needful to support the seeming recovery in Nigeria’s manufacturing sector as Q2 numbers from the sector surpassed market expectation to confirm the positive impact of CBN intervention policy in the FX market on the sector.

The June year-end accounts that are expected in the month are very few so it would not impact much on the market this month but we expect investors and analysts to interpret the recent scorecards from first-tier banking stocks and other sectors to reposition their portfolios ahead of the Q3 earnings season in October. Also, this being the last month in Q3,we expect the market to keep oscillating in the new month, just as economic policy direction from the government would further strengthen market fundamentals and the economic recovery.
The recent pullback supported the low valuation in the market despite the latest rally as many stocks still remain undervalued on the strength of the intrinsic value that should guide the investing public as they seek to invest profitably for the rest of the year.

Traders and investors who understand the dynamics of the market and the importance of combining fundamental and technical analysis in making investment decisions in the stock market should take this opportunity of pullback to position in some sectors for short, medium and long-term gains. Sectors that could be looked at for juicy returns this month include: the fast moving consumer goods, banking, agribusiness, building material, oil and gas after a careful study of the recent price pattern and fundamental data available in the market ahead of Q3 earnings season in October. This is a very important season in stock market cycle in taking final investment decisions for the year as numbers expected at that period give insight into what should be expected at the end of December financial year end.

What to expect in September and October

Release of June full year earnings in September, being the end of the statutory 90-day period for submission of audited results. The expected Guinness Nigerian earnings may strengthen market fundamentals if positive, dueto sectoral influence given that before now the company had posted weak numbers.
The oscillating trend of equity prices as a result of repositioning of portfolio along the line of positive numbers and profit taking ahead of October earnings season.
Market outlook for the new month remains mixed as less quarterly and full year are expected. But with the positive sentiment and strong momentum as the market expects the economy’s recovery to be strengthened if the government implements the 2017 budget faithfully and the CBN sustains its intervention in the FX market that had boosted liquidity and confidence in the economy and market and impacted business activity as revealed by recent corporate earnings.

The relative low price to earnings in market may further attract demand for stocks, but you must invest wisely, using bids, offers and volume when taking decisions as a trader.
Managing risk and protecting capital at this point is very important, so you will be able to determine when to buy or sell, by watching the stocks and the market, using technical analysis, which our buy and sell signal provide for subscribers. To join call 08028164085
Let corporate earnings guide your decision and time to stay in that position.
To learn how to manage trading risk and avoid getting scared out of trade position, which is a common challenge for most traders and investors of today, but for the exit strategy you can start using immediately to overcome this problem, get INVESTDATA’s comprehensive stock market trading and investing home study pack where short trading strategies and how to identify quality companies to invest before the market look toward ii were discuss.

https://investdataltd..com.ng/2017/09/where-to-invest-and-expectations-for.html

INVESTDATA PRICE & EARNINGS TRACKING FOR THE WEEK ENDED AUGUST 31, 2017

https://investdataltd..com.ng/2017/09/investdata-price-earnings-tracking-for.html

CORPORATE ACTION JULY 14 TO SEPTEMBER 11, 2017


https://investdataltd..com.ng/2017/08/corporate-action-july-14-to-september.html

UBA SURPASSES MARKET EXPECTATION, FORE-SHADOWS HIGHER DIVIDEND PROSPECTS





The management of United Bank for Africa released it audited 2017 half year earnings report to the market last week In line with its post-listing requirement, earlier than that of 2016, thereby allowing investors forecast and plan their investment.The bank’s re-engineering and continued expansion across the continent as Africa’s global bank continues to yield bountiful results as revealed by its diversified revenue base, soaring profitability ratios and growing balance sheet all of which have helped to support UBA’s repositioning into an African financial powerhouse. The commitment of its board and management to creating value for its shareholders and banking public through improved service delivery, new products and services that are people oriented to support strong assets quality. All of these translate to improved top and bottom-line, translating to good dividend payout that reflects on its share price even as it remains toast of Nigeria’s investing community.

UBA Plc’s numbers for the period under review show an impressive performance as its top and bottom lines were northward. Gross earnings rose 34.8% from N165.58bn in 2016 to N222.72bn on the back of a 44% growth in interest income due to improved yields on the loan book and high yields from money market instruments,just as Interest expense growth was slower at 24% due to the higher Interest rate environment. Higher growth in Interest Income relative to expense resulted in a 58% growth in Net Interest Income. Consequently, Net Interest Margins (NIMs) improved to 7.3% better than full year 2016 NIM of 6.7%. But the fees and commission Income remained relatively flat for the period under consideration, while profit before tax rose by 56.2% to N42.34bn from N27.11bn in 2016.

Other Income (Net trading Income and foreign exchange Income) was up 47%, mainly driven by a 238% increase in foreign exchange trading income while Net Fair value gain on derivatives was down significantly. Operating expenses grew significantly, up 27% while total operating income notched 39%. This resulted in an improvement in cost-to-income ratio to 58.6% outside loan loss provision from 62.4% in 2016. Growth in operating expenses as revealed by the numbers were driven partly by higher personnel cost, due to the promotion of 3,000 staff, inflationary pressure and the impact of Naira devaluation. Loan loss expenses increased 38% and Cost of Risk (CoR) increased slightly to 1.2%.
The recent cancelation of UBA’s 2,080,140, 955 shares further boosted Earning Per Share to124 koboin Q2 is a replica of the price in 1.94x, which is higher than the 1.54x recorded in 2016. The quarter’sBook Value grew by 25.71% to N14.13 from N11.24. The bank’s Price to Book ratio is 0.68 against 0.41 in the corresponding period 2016.
UNITED BANK FOR AFRICA PLC
HALF YEAR AUDITED
COY
2016
2017

(N)
(N)
% Chg
Date Released
August 25, 2016
August 24, 2017

Price as@ Released Date
4.59
9.60
109.15
Gross Earnings
165,580,000,000
222,718,000,000
35.00
Profit After Tax
27,107,000,000
42,339,000,000
56.00
Shareholders' Fund
407,901,000,000
483,131,000,000
18.44
ESTIMATED RATIOS
Earnings Per Share
0.75
1.24
65.33
PE Ratio
1.54
1.94
25.97
Earnings Yield
16.28
12.90
-21.00
Book Value
11.24
14.13
25.71
Price To Book
0.41
0.68
65.85
ROE (%)
6.65
8.76
31.73
Profit Margin
16.37
19.01
16.13
Year End
Dec
Dec





SOURCES: COMPANY DATA & INVESTDATA RESEARCH

The decision of UBA’s management toopen shop in six more Africa countriesis expected to further grow offshore contribution to top and bottom-lines above 40% very soon, while reengineering of itsNigerian operations for improved profitabilitythat would enable it compete strongly with the younger new generation banks and overtake them in no distant time if this tempo is sustained.

Technical View

UBA price action has formed a bullish channel for more than a year and is recently forming a pennant within the channel that supports continuation of trend. The positive sentiments on its strong financials and high buying pressure as the stock is trading above 100 DMA and RSI is reading 72.51 which is at overbought region. Signaling sell for traders as pullback is imminent due to profit taking.

All the momentum indicators indicate sell except for MACD that is saying buy at the current price.

Valuation
The bank’s share price is considered attractive at trailing 1.94x of earnings. Its recent financial results and upgrade to full year 2017 guidance are indicative of strong performance that continues to deliver on expectations, even as the shares trade at Price/Book ratio of 0.68x and Profit Margin of 19.01%. Meanwhile, the Book Value reveals an underpriced situation, tradingbelow its Book Value of N14.13 per share, following which each unit of UBA is fairly priced at N18.00.

Analysts Opinion/Recommendations
Since theKennedy Uzoka-led management came on boardits impressive performance and stronger numbers had supported the rally so far in the year, especially since early-March 2017when it broke out the trend line. With the numbers reported in this Q2 result, the bank full year EPS is projected to be in the region of 252 kobo. As summarised in the table above, the bank’s investment ratios are strong and attractive for discerning investors to look its way. We have placed a POSITIVE rating on the stock of UBA, BUY.




UNITED BANK FOR AFRICA
Share Holding Structure
Stanbic Nominees Nig. Ltd.
10.10%
UBA Staff Investment Trust Scheme
5.70%
Pioneer Investment Mgt Ltd.
5.02%
Tony Elumelu
5.70%
Nigerians & Other Institutions
73.48%
Other Statistics
Shares Outstanding (MN)
34,199,385,367
Opening Price (2016)
N3.35
Closing Price 2016
N4.25
Closing Price as at August 25
N9.70
Date Listed
1970
Year End
31ST DECEMBER


Management to drive positive scorecard
The bank’s managementhas so far demonstrated commitment to repositioning it for enhanced profitability, following which the board has for the third consecutive year offered a 20 kobo interim dividend.
Moreso, UBA was very proactive with its balance sheet deployment in the review period. The bank’s defensive strategy has remained very effective, ensuring that the backlash of some regulatory policy changes is mitigated. The Naira, Nigeria’s pressured local currency is a major disincentive for UBA to sustain this venture, but its offshore earnings through its operating network has also supported bottom-line.

Performance in Four Years (2013-2016)
The bank’s numbers in the period under considerationhas remained resilient, despite the tight economic conditions especially since the crash in oil prices and the resultant pressure on disposable income of many households, which may have been the major restraining factor for creation of risk assets.
Gross earnings for the period grew by 45% to N383.65bn from N264.69bn in 2013, even as profit for the period was stable despite the over regulation in the industry with banks having to make different set of provisions in line with Prudential Guidelines. Bottom line for same period was up by 55% to N72.26bn from N46.6bn in 2013.

Return on Capital Employed and Assets for the four-year period were 19.8%, 1.8%, 18.1%, 1.7%, 17.9%, 2.2%, 16.13% and 2.06% in the four years respectively from 2013 2014 2015 2016. Return on Equity was 16.13% in FY-2016, down from 18.84% in FY-2015 while Return on Assets experienced a marginal decline for the same period to 2.06% from 2.17% year on year. It also grew Net Assets for the period by 90.64% from N235.04bn in 2013 to N448.09bn.
FOUR YEARS FINANCIAL PERFORMANCE
2013
2014
2015
2016
Date Released
March 27, 2014
March 26, 2015
March 14, 2016
March 24, 2016
Price @ Released Date
9.45
4.03
3.50
5.39
Gross Earnings
264,687,000,000
290,019,000,000
314,830,000,000
383,647,000,000
Profit After Tax
46,601,000,000
47,907,000,000
59,654,000,000
72,264,000,000
Shareholders' Fund
235,036,000,000
265,406,000,000
332,621,000,000
448,069,000,000
Dividend
0.50
0.10
0.60
0.75
SOURCES: COMPANY DATA & INVESTDATA RESEARCH

Ratio Analysis
The bank has sustained upward earnings trend that supported price performance as the EPS moved from N1.41 in 2013 to N1.99 in 2016, just as Price to Earnings Ratio remained unstable due to the up and down movement in equity prices.
In arriving at our fair value price for the stock, we focused on its historical financial performance and our expectations for full year 2017, which was calculated using the Price to Book Value method of valuation as well as the Dividend Discount Model comprising our expected dividend estimate for the bank and to adjust for the risk of investing in the Nigerian Financial Services sector. We have placed a POSITIVE rating on the stock of UBA.

UBA- ESTIMATED RATIOS
2013
2014
2015
2016
Earnings Per Share
1.41
1.45
1.64
1.99
PE Ratio
4.95
2.77
2.13
2.71
Earnings Yield (%)
20.18
36.04
46.98
36.95
Book Value
7.13
8.05
9.17
12.35
Price to Book
0.98
0.50
0.38
0.44
ROE (%)
19.83
18.05
17.93
16.13
Profit Margin (%)
17.61
16.71
18.95
18.84
Year End
Dec
Dec
Dec
Dec
SOURCES: COMPANY DATA & INVESTDATA RESEARCH

https://investdataltd..com.ng/2017/08/uba-surpasses-market-expectation-fore.html

INVESTDATA PRICE & EARNINGS TRACKING FOR THE WEEK ENDED AUGUST 25, 2017

http://investdataltd..com/2017/08/investdata-price-earnings-tracking-for_28.html

Simple Strategies For Making Money In Stock Market

We believe in INVESTDATA that making money in stocks does not require a Doctoral Degree or your being a professor in science or mathematics, but through simply understanding market dynamics at any given time.
To become a winner in equity trading and investing, you must first have the right perspective of the market as a place, whether brick and mortal, where buyers and seller meet. Secondly you must know how to pick the direction of stocks, just as how to apply the right strategy in the different market situations, and finally, you should know how to keep your emotions under control when the market is going against your trades or position.

In making real money from stocks using technical analysis, you don’t need to know why a stock price is rising or falling, you just need to know two things: When to buy and when to sell. If you can quantitatively measure the buying and selling pressure of a stock then you will know in advance whether the price of a stock is likely to go up or down. And you will then know if you should take a buy or sell position. In other words, if you get a reading on the buying and selling pressures for a stock or the general market, you can successfully assess whether a stock is likely to be bullish or bearish in price movement.

There are many ways to measure the buying and selling pressure on a stock. We want to teach you several methods if you sign up for our one on one coaching classes by texting YES to 08032055467. That way you can use all of them or just work with the methods you are most comfortable with. Remember comfort and ease are what our team at Investdata are offering you, as can be seen from our Buy and Sell Signal Setup for subscribers.
As a trader or investor in the stock market, let your technical tools guide your decision to know the support and resistance levels of any stock to reposition or exit any position. See the Support and Resistant table below

http://investdata.com.ng/2017/08/simple-strategies-making-money-stock-market/

Daar Communications Remains In Red, As Half-Year Net Loss Hits N1.286bn

Almost one month after the end of the regulatory filing period for its half-year unaudited financials, the board of electronic media giant- Daar Communications Plc, on Friday presented its score-card, with numbers still in murky waters, with revenue sliding by 18.8%.
The company which is yet to offer shareholders cash dividend since its eight billion ordinary shares were listed on the bourse on Friday, September 26, 2008, reported a N400m drop in half-year revenue from N2.127bn to N1.727bn; which remained lower than its cost of sales of N2.198bn, as against the prior half-year’s N2.334bn; resulting in gross loss of N471.134m, which was significantly higher than the previous N207.036m. Other income however jumped to N2.17m from N761,000 in the previous half year.
Distribution cost rose to N34.281m from N24.926m; administrative expense rose from N697.077m to N719.986m; just as finance costs dropped to N39.648m from N56.159m.

These swelled loss before tax to N1.262bn from N984.437m; just as tax expense dropped to N23.905m from N41.368m; resulting in profit after tax of N1.286bn, representing Loss Per Share of 16 kob; from N1.025bn or 13 kobo LPS, further pointing to a need by the board to rethink the company’s management and funding structure once and for all for a possible new direction.
A further breakdown of the figure showed that the company’s television arm- African Independent Television earned N1.466bn, down from N1.853bn in the preceding half year; followed by Raypower Radio- N208.426m, slightly more than the previous N206.969m; while the pay TV is yet to earn revenue.

The period ended with retained losses of N7.416bn, up from N6.129bn, after opened the year at N6.129bn, compared with N3.99bn previously.
Daar Communications issued a 1:2 bonus for the year ended December 31, 2012, for which the annual general meeting held on November 2014.

http://investdata.com.ng/2017/08/daar-communications-remains-red-half-year-net-loss-hits-n1-286bn/#more

NAICOM Executives Visit Nigerian Stock Exchange For Closing Gong

From left, Oscar Onyema, Chief Executive Officer, The Nigerian Stock Exchange (NSE) presents a gong to Mohammed Kari, Commissioner for Insurance/Chief Executive, National Insurance Commission (NAICOM) at the Closing Gong Ceremony at the Exchange on Thursday in Lagos.

http://investdata.com.ng/2017/08/naicom-executives-visit-nigerian-stock-exchange-closing-gong/#more

S’Leone Mudslides: UBA, Elumelu Foundation Donate $0.5m To Victims

Nigeria’s former President, Chief Olusegun Obasanjo, UBA Group Chairman and Founder, The Tony Elumelu Foundation, Tony O. Elumelu and President of Sierra Leone, His Excellency President Ernest Koroma during their visit to survivors of the mudslides at the Connaught Hospital in Freetown and the donation of $0.5m by Elumelu on Wednesday.

Tony Elumelu, Chairman of United Bank for Africa, Transnational Corporation of Nigeria and Heirs Holdings, was on Wednesday in Free Town, capital of Sierra Leone to commiserate with the people and government following the devastating mudslides and floods that claimed hundreds of lives on August 14, following which many more are still missing.
Elumelu, Chairman of the Tony Elumelu Foundation, visited in company of former President of Nigeria Olusegun Obasanjo and Sierra Leonean President Ernest Koroma visited some of the survivors at the Connaught Hospital in Freetown, following which he made a donation of USD$250,000 on behalf of the Tony Elumelu Foundation and another USD$250,000 on behalf of staff, management and Directors of United Bank for Africa as emergency aid grants for victims of the mudslides later on at the country’s Statehouse.
UBA Group has a full-fledged subsidiary in the former British colony.
The donation, according to a statement by the UBA Group and TEF “will support the victims, some of whom are in hospital needing food, clothing and medicine,” in addition to assisting in ongoing recovery efforts and the construction of permanent settlements for the displaced persons.
Elumelu who called for more global and African private sector contributions to the ongoing rehabilitation and relief efforts, said “the little token we are giving is what it is, little, but symbolic. At a time like this, the world must come together to support the victims of this unfortunate disaster. It is not a situation that one prays to be in, but in the event that it does happen, we should all rally to support one another.”
He the world cannot afford to allow a disaster of such high magnitude go unnoticed, especially as over 600 persons have perished and many hundreds more are still missing.
“We must turn the global spotlight on Africa. The world must stand with Africa just as in the past, Africa has stood with the world,” he added.
The UBA Chairman reassured Sierra Leoneans of UBA’s steadfast support, just as it is poised to continue playing “its role in helping small and medium scale enterprises, and women, especially from the affected areas, to enable them rebuild their economic lives.”
Responding, President Koroma commended Elumelu, saying: “In you we have a brother and someone we can rely on.” He praised the consistency of the Founder of the Tony Elumelu Foundation (TEF). “You have always provided us with support. United Bank for Africa (UBA) was here immediately after the war to provide us with banking services to support our rebuilding efforts. Again, during our fight against Ebola, you were here through the United Bank for Africa (UBA) and the Tony Elumelu Foundation (TEF) and provided us with great support. And now again, you have come to support us.”
The Sierra Leonean mudlslides is the third catastrophe to devastate the West African country in the past two decades.

http://investdata.com.ng/2017/08/sleone-mudslides-uba-elumelu-foundation-donate-0-5m-victims/#more

MARKET UPDATE FOR AUGUST 24, 2017

It was yet another negative trading session on the floor of the Nigerian Stock Exchange on Thursday. The day opened with a big gap down as the index bounced back to resistance, but could not get through, following which it pulled back down, but was unable to get through support either. Basically, with a triple test of support, the market tried to bounce by afternoon. Selling pressure was higher than buying,despite the impressive half-year earnings reports of first tier banks with interim dividend. The profit booking at this point indicates that traders had factored in these numbers posted into the share prices of the banks. This state is not likely to endure as the strong numbers from the banks will attract attention before the closures of their books and afterwards. This is particularly important as many of the banks are still selling at a discount to Book Value with high margin of safety.

Another high point of Thursday’s trading session was the scooping shares of Guaranty Trust Bank, Zenith Bank and Nestle Nigeria by investors. While 71m units of GTBank worth N2.89bn were exchange (mostly crossed deals) at N41 each as foreign funds exchanged shares in off-market deals; followed by 14m shares of Zenith Bank that changed hands at N23 per share; while 250,000 shares of Nestle were crossed at N1,220.
The negative market sentiment on Thursday was revealed by the volume traded index of 0.72 as buying position for the day stood at 7%, while selling volume was 93% of total transaction to reversed the positive trend of the previous day’s on low volume and negative market breadth. This was despite the impressive numbers half-year numbers posted by Ecobank Transnational Incorporated (READ) and United Bank for Africa (READ). UBA announced a 20 kobo interim dividend (just like last year) which seemed in line with investing public expectation, while corporate earnings from Stanbic IBTC and Fidelity Bank are still being expected.

Meanwhile, the benchmark NSE All Share Index shed 483.35 basis points to close at 36,575.86 point, from its 37,059.21 points opening level, representing a 1.30% decline on a low volume traded, when compared to the previous day. Similarly, market capitalisation dropped by N166.6bn to close at N12.61tr, from an opening value of N12.77tr, also representing a 1.3% value loss in investors’ portfolios, following losses suffered by high cap stocks. As a result, the ASI’s year-to-date returns dropped to 36.10%, just as market capitalisation stood at N3.36tr within the period, representing 36.33% above the year’s opening value.

Market breadth for the day remained negative as decliners outweighed advancers in the ratio of 21:18 on a low volume of trades to short-lived the two day up market.
Trading activities in terms of volume and value were down marginally by 9.89% and 0.72% respectively at 238.16m shares, worth N5.49bn, as against previous day’s 264.29m units, valued at N5.53bn.
Also, transactions in the shares of Guaranty Trust Bank, Access Bank, UBA, Zenith Bank and FBNH topped the volume chart.
At the end of the day’s trading session, UBN topped the advancers’ table, gaining 5.08% to close at N6.00 each on market forces and positive Q2 numbers, despite the proposed primary activity by way of right issue. It was followed by Neimeth with a 5.06% gain at N0.83 per share, on market forces.
On the flipside, petroleum marketing giant- MRS lost 5.02% to close at N29.07per share on profit taking and sectorial trend as many stocks in the industry suffered losses, ahead of Custodian Allied Insurance that slide 5.00% to close at N3.42 per unit on profit taking after mark down for 10 kobo dividend.

TODAY’S OUTLOOK
Being the last trading day of the week, expect further volatility to continue today amidst profit taking and accumulation of interim dividend paying stocks as half year results continue to hit the market. As investors also take advantage of correction to position for the rest of the year, if the much desired economic recovery becomes a reality despite the slow and unclear implementation of the 2017 budget by the government. Even so, the July inflation figures and Nigeria’s second quarter GDP data are being awaited from the Nigeria’s National Bureau of Statistics (NBS) to officially confirm economic state and direction.

However, investors need not panic if they take position based on strong numbers and future prospects of any stock. Since there is no bad news in the market.
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 prices of stocks are looking up ahead of the improving economic 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.

Be reminded once more that industry potential, market timing are very important when picking a stock, because there are factors that are sector-specific and would naturally impact positively or negatively on companies operating within such an industry, especially now that the economy is recovering. Market is in phases know it in order to manage your trading and investing risk.

https://investdataltd..com.ng/2017/08/nigeria-stock-exchange-trading-remains.html

NSE SEEKS DIRECTION, AWAITS FG’S ECONOMIC RECOVERY BOOST

MARKET UPDATE FOR AUGUST 23, 2017

Nigeria’s stock market continued its volatility on Wednesday but closed positive, as technicals remained mix. The day began with a big gap up and then a pullback to support, which could not pull through, before bouncing back up to break through the resistance level again at the 37,000 psychological line after more than triple test of this level in the previous trading days as the market searched for direction. The index tried to rebound in the afternoon and indeed achieved a new nominal-session high above resistance at 37,059.21.

Market sentiment at the mid-week trading session was mixed as revealed by the volume traded index of 0.51. Buying position for the day stood at 68%,while selling volume was 32% of total transaction to maintain positive trend from previous day’s position as Access Bank released its half year earnings report with a 25 kobo interim dividend (just like last year) that met investing public expectation, as UBA, Stanbic IBTC and Fidelity Bank are underway with impressive numbers as recent scorecards have revealed.

Stock markets around the world were mixed despite the sustained reboundof oil price in the international market ahead ofthe meeting of Organisation of Petroleum Exporting Countries (OPEC) meeting and as U.S inventories had fallen consistently for eight weeks.
Meanwhile, the composite NSE All-Share index gained 96.73 basis points to close at 37,059.21 point, compared to the 36,962.48 points opening level, representing a 0.26% growth on a low volume traded, but higher than previous sessions when compared. Similarly, market capitalisation was up by N34.20bnto close at N12.77tr, from an opening value of N12.74tr, representing a 0.26% appreciation in investors’ position.

The upturn in the share prices of first tier banks and consumers goods like Nigeria Breweries and Dangote Sugar that impacted positively on the ASI’s year-to-date returns to 37.84%, just as market capitalisation stood at N3.50trwithin the period, representing 38.04% above the year’s opening value.
Market breadth for the day was negative as decliners outnumbered advancers in the ratio of 21:17 on a low volume of trades to continue the two day bull transition.
Trading activities in terms of volume and value were up by 8.17% and 50.68% respectively at 264.29 million shares, worth N5.53bn, as against previous day’s 244.32m units, valued at N3.67bn.
Also, transactions in the shares of Zenith Bank, UBA, Guaranty Trust Bank, Access Bank and FBNHtopped the volume chart.

At the end of the day’s trading session, Caverton topped the advancers’ table, gaining 9.52% to close at N1.10 each on market forces and positive Q2 numbers It was followed by Ucap with a 5.00% gain at N3.10 per share, on market forces.
On the flipside, Skye Bank lost 7.45% to close at N0.62 per share on profit taking and market forces; ahead of the 4.99% slide in the price of 7-Up Bottling Company to close at N92.00 per unit on profit taking and unimpressive Q1 numbers.

TODAY’S OUTLOOK
As trading activities open this morning, expect volatility to continue amidst profit taking and accumulation of interim dividend paying stocks ahead of their half year results, especially with the two first tier banks numbers giving insights into what should be expected. As investors also take advantage of correction to position for the rest of the year, if the much desired economic recovery becomes a reality despite the slow and unclear implementation of the 2017 budget by the government. Even so, the July inflation figures and Nigeria’s second quarter GDP data are being awaited from the Nigeria’s National Bureau of Statistics (NBS) to officially confirm economic state and direction.

However, investors need not panic if they take position based on strong numbers and future prospects of any stock. Since there is no bad news in the market.
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 prices of stocks are looking up ahead of the improving economic 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.

Be reminded once more that industry potential, market timing are very important when picking a stock, because there are factors that are sector-specific and would naturally impact positively or negatively on companies operating within such an industry, especially now that the economy is recovering. Market is in phases know it in order to manage your trading and investing 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
The workshop video can be viewed on your phone, laptop and television set. The home study pack costs N20,000 including DHL delivery at your door step. Payment should be made into Investdata Consulting Ltd, Zenith Bank 1013033032. Afterwards, kindly send payment details to 08032055467 or 08111811223.

MR. OMORDION AMBROSE
CHIEF RESEARCH OFFICER
INVESTDATA CONSULTING LIMITED
ambroseconsultants@yahoo.com
Tel: 08028164085, 08032055467
https://investdataltd..com.ng/2017/08/nse-seeks-direction-awaits-fgs-economic.html

10 Retirement stocks To Buy and Hold

It’s true that successful retirement at any time is a function of how prepared you are through your personal finance strategies adopted to facilitate your financial freedom while playing the financial markets anywhere in the world.
You must as of necessity, understand the big picture of the economy and stock market dynamics to succeed and grow your wealth, by getting involved in a second layer of saving for the raining day, the first being the compulsory contribution through a Retirement Savings Account kept and managed by your Pension Fund Administrator (PFA).

A second layer of saving by actively playing the financial market backed by knowledge is a sure way to guaranty your retirement, just as it could help you determine to retire early and engage in other fields of endeavour. It would also give a great measure of comfort, where you are forced by circumstances beyond your control, including workplace intrigues to give up your paid employment.
The top wealthy men of today who had made fortunes in equity investment are those that recognized the long term nature of the stock market early enough and also know the appropriate keys with which to play the game profitably. The big picture gives an idea of how various facets of the economy work together to influence the market and the share prices of quoted companies.
A blooming economy will have a strong and promising stock market which is the leading indicator or barometer that reveals a country’s economic health and indeed, its prosperity.

An economy consists of the socio-political and business environments that influence business activities which in turn, drive a nation’s development and growth. The economy is sub-divided into market, sector, industry and company. It also has economic cycles that go through a boom to gloom. The boom stages are the early, middle and late expansion periods; while the gloomy stages are the early and late periods of contraction.
For us to retire well and depend on dividend income from our retirement stocks, we must identify the stage our economy is presently and which sector, industry and company can do well in all these stages by remaining in business and posting good earnings that can support dividend payout in the future.
We have to look at the nature of the company’s products and services, and try to determine whether the demand for them is inelastic in nature, such that increase in prices will not have much effect on the demand for them. Is such a company with a clear and simply business model that you understand; do you adjudge the management team good enough; and finally is there are discernible succession plan in place?
Other factors that help identify quality companies are consistent earnings growth, a profit margin that is above 15%, low debt level, improved cash flow and good dividend payout ratio.

These suggest that planning one’s financial freedom through equity investment is very possible if you buy the right stocks for your retirement.
These 10 stocks selected below have shown, in the belief of INVESTDATA Research, strength in their earnings power on quarterly/yearly basis, good dividend yield and consistent growth in dividend payout. Also, the nature of their products or services and business model support their future performance.

They are:
1. Nestle Nigeria Plc
2. GTBank
3. Zenith Bank
4. Total Nigeria Plc
5. Presco Plc
6. Nigeria Breweries
7. Mobil Oil
8. Access Bank
9. UBA
10. Dangote Cement

These companies have exhibited in their sectors, qualities of operators with all, or most of factors listed above for consideration when selecting retirement stocks.
They are good and top set of stocks you can plan your saving and retirement with, because their services or products are essential to living.
Look forward to the financial formula that will help you achieve your financial freedom now and at retirement.

http://investdata.com.ng/2017/03/10-retirement-stocks-buy-hold/