Most of the contributors to this thread did not use any analysis to back up their interest in one share rather than the other. i think they have ALL spoken for themselves as their investment instincts dictate.
you may need to consult a financial analyst to present some or more details to you before you make your choice.

as for me, i prefer the fidelity shares

@ kusehin

i think what you should do is to send copies of the business proposal to interested persons. this is to afford us the opportunity to analyse the viability of the business and the associated risks before committing our hard earned fund to the venture.

you may send a copy of the business proposal/plan to me: remmychess@yahoo.com or canaan.partners@gmail.com. EVERY INFORMATION SO RECEIVED WILL BE TREATED WITH HIGH REGARDS TO CONFIDENTIALITY.

This is a battle we have been waiting for. the battle to decide WHO IS REALLY IN FORM?. base on the following analysis, Arsenal will win the match come sat. 3rd Nov @ the Emirate, London.

1. Teamwork
2. compact midfield
3. number of goal scorers in the team
4. Arsenal has not played a match without scoring this season
5. Youthful agility

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at times i wonder if the best brains can ever come together to achieve a purpose. i have gone thru threads on stock market questions and realize that the best financial analysts are members of nairaland.

but can these brains- easimoni, pumping, myself, MT and the host of others float an investment magazine to compete with the likes of financial standard, businessday etc. i think we can do it. what do you think?

@ pumping

i think we are missing something here. while i appreciate the individual nature and strategy of each investor, i beg to disagree with the position of pumping on the following grounds:

a) the PE ratio of any company should not be too low as canvassed by pumping. your PE should be maximised to the best possible level. this is important because, the ONLY way to determine the growth of shareholders investment is MARKET VALUE of their shares. also management efficiency is measured by how strong its PE ratio.

Simply put, the share price in an efficient market is determined by combination of factors- high earnings, growth rate, dividends policy, management team experience, high rate of return, strong internal control system among others.

therefore, if the PE ratio is low, the company risks being acquired by a stronger company because it it perceived as BEING WEAK. a case in hand was the hostile romance advance made by access bank to afribank sometime in january 2007.

having said that, if you discover a company with a WEAK or LOW PE ratio, please buy because the PE may rise in future. however, if you hold an investment in a company whose PE is nosediving, it means something drastic is required as it portends a BAD OMEN.

@GM008

what you need according to demmyqueen is a financial consultant that will assist you structure out your marketing plans, recruit the required personels and monitor their performance. if you need a consultant for these purposes, contact Tunde Owoeye on 08055628489 or remmychess@yahoo.com.

he's a seasoned young chartered accountant with great bias for financial consultancy. am sure he will assist you.

Regards

Hi nairalanders
i want to thank you guys for accepting me into your fold and the administrator- seun for this laudable ideas.

i have just been appointed a financial consultant, tax consultant and auditor by a company owned by a nairalander. we met here on nairaland and after weeks of interaction, the board of directors of the company appointed my firm for the position afore mentioned.

thanks all.

getting a loan is not as hard nor as easy as pple think but it requires a lot of mental work. you can approach any of the microfinance banks. you propsal should be inviting and implemetable. the bank may critize your ideas, dont be put off but, try to convince them. they are always critical of giving loans to newbies cos of the risks involved. notwithstanding there is no harm in trying. iwsh u all the best.

if you need a pre loan risk assessment, you may contact me at remmychess@yahoo.com for a token.

CAC is no longer at UBA house, Marina but 26 Aje Street, sabo Yaba. i visted their office last week for the same purpose and was able to obtain this information.

regards

@ pixeleo

I will advice that you halt all transaction with this company for this reasons:

1. there is no address in FCT like plot 125 FCT, abuja. it means there cant be a physical verification of their office
2. there is no registered financial service provider company by that name in nigeria. you may send an email to the central bank of nigeria, the nigerian stock exchange to confirm
3. the company did not quote his landline. every responsible company in nigeria has a landline managed by at least a receptionist.

so i again advice that you halt all transaction with this company, cos it appears this A SCAM

@ all,
I have never been so glad than i am now with the response am getting from this thread. i really appreciate the efforts of all posters to this thread as we are doing great jobs to ensure nigerians are more financially educated.

However, i need to make one or two clarification:

1. The relationship between the PE, EPS and MPS. i believe i do not need to define these terms any longer. but what implication, if the PE is HIGH or LOW?. an HIGH PE signifies that the company MPS is appreciating to the DELIGHT of SHORT TERM INVESTORS. it further shows that the MANAGEMENT is doing "GREATLY". Dont forget that the objective of every management decision is TO INCREASE SHAREHOLDERS WEALTH OR INVESTMENT VALUE. a low PE on the other hand means that the company management are deficient in certain areas. the implication of a low PE is that it could be "acquired" by a stronger comapany.

to illustrate my point, we all could remember the hostile romance of ACCESS BANK to AFRIBANK, because the former perceived the latter as being TOO WEAK AND INEFFECTIVELY MANAGED. that hostile romance WOKE UP the management of AFRIBANK and the result is available for all to see.

as an investor, it is advisable to look for company's with potential high PE else you may wait a bit longer to sell your shares. because management efficiency is measured by the PE of their company's, some management put UNDUE PRESSURE on the market price of their shares through a). Artificial scarcity b). propagada c). creative accounting d). hired speculators e). dividend payment from capital etc. the danger in all these is that soon or later, the price is expected to reflect the true PRICE but i doubt the Nigerian Stock Market.

i think he has not and would never get that GLORIOUS FORM that earned him an IDOL status at HIGHBURY. i congratulate him for his first hat trick in La Liga. but he's got past his prime. however it may be another war between him Thierry Henry, Ruud Nistelrooy and Kanoute for the highest goal scorer's award. remember that it was only Ruud that distorted henry's reign in the priemiership before Drogba last season. he won 4 out of six highest goal scorers award in england in the last six seasons. therefore watch out for a RENEWED WAR of goal scorers (HENRY vs RUUD)

I have been pondering on this question for a very long time. i even asked a partner of an indigenious accounting firm in nigeria whether a stammerer can get the jobs. i know during interviews the adrenalin within a body system rushes speedily that make an orator grasp for words at times. how much more a stammerer? what tips do you have for them to pass interviews?

Do you have a genuine business duly registered in nigeria? do you need an independent professional accountant to act as your accountant/financial consultant/tax advisor/internal auditor and investment adviser on a part time basis? contact remmychess@yahoo.com.

Dont forget that it is cheaper and more efficient to outsource some of these services. You pay a professional a token to keep your books accurately updated at a token. you dont need to contribute to someone's PENSION (pension act 2004). the person owes you a duty of care as a professional. while the person does your assignment, you have more time to attend to other biz engagement. there are lots of benefit in outsourcing your accounting activities to a professional. contact Oluremi at remmychess@yahoo.com

thanks my brother.

@ posters
All posters to this thread have done a tremdous job. but i need to make one or two clarification that may help us all:

1. the 50k quoted in most shares is the NOMINAL VALUE of the unit share of that company as quoted in the memorandum and articles of association of the company during incorporation. in the accounting world, it is called BOOK VALUE OF THE SHARE. it has no signficant role in the share value.

2. a poster posited that the 50k is the amount payable to any investor at liquidation of the company. this is ABSOLUTELY UNTRUE. the liquidation value of the assets of any company is determined by (TOTAL ASSETS-TOTAL LIABILITIES-PREFERENCE SHAREHOLDERS CAPITAL)/NUMBER OF SHARES. so the 50k0b0 plays no role in determining the liquidation value of any share

3. a poster asked how to determine whether a share is overvalued or undervalued. this question is a question that THE BEST INVESTOR IN THE NIGERIAN MARKET CANNOT DETERMINE. why? the MARKET IS NOT EFFICIENT. what do i mean by market inefficiency? it simply means that ADEQUATE AND ACCURATE INFORMATION ARE NOT READILY AVAILABLE TO INVESTORS IN NIGERIA. hence moribund companies have their share prices SKYROCKETING IN THE NIGERIAN STOCK MARKET. however, one can analyse the financials eliminate some fraudulent or window dressing made to the account and adjust downward all intangible assets in the account. take a market survey of the performance of the company's product in the consumers market and determine whether they are improving or not. you can further obtain information on plans by the company to launch a new product and CRITICALLY ANALYZE the PROBABLE SUCCESS OF THE PRODUCT. carry out trend analysis of the compay's prior year performance among others. better still contact a knowledgeable person to carry out the research for you (BUT SUCCESS IS NOT GUARANTEED).

4. To determine the PE and the EPS, you need to have the company's audited account at hand. PE= the market price divided by the EPS. the EPS on the other hand = PAT/Nos of shares. for illustartion, assume company A posted N5,000,000 profit after tax (PAT) result and have 10,000,000 ordinary share capital. while the market price of his share is N15 per share at close of a business day.

it therefore means that EPS= N 5,000,000/10,000,000 = 50kobo per share.
the PE= N 15/0.5 = 30.

i hope i have played my part to this thread. for more information send an email to remmychess@yahoo.com

Cheers

One may bank with any bank and invest in any bank provided the security of your fund and investment is guaranteed. personally, i prefer any of the new generation banks for my fund safe keep and investment. but, i dont subscribe to having a savings account and a current account with the same bank no matter how strong the bank. also me and my spouse will not use the same bank. guess you understand why? DIVERSIFICATION

About 48 hours ago, the nnpc radio station was bombed in PH that has also recorded about 18 corpses in the clash between 2 rival CULT GROUPS. a different dimension from the KIDNAP for CASH approach in recent times. the area has been the most volatile not only in nigeria but the whole world. the area is seen as being more dangerous than even BAGHDAD this days.

the implication is that the country's image is being battered at the international community level, with various investors not willing to invest in the area due to uncertainty and insecurity of lives and properties. the pple of the area are caught in the middle as they turn the GREATEST LOSERS. so what do we do to bring sanity to the area?

1. there must be SINCERE dialogue among the communities in the niger delta.
2. FG should increase the derivation fund to this area
3. Only trustworthy contractors should be allowed to handle contract in the area
4. The youths should be advised by their immediate communities to down weapons
5. efforts should be made by the FG to retrieve all weapons from the militants
6. the WESTERN nations that gives WEAPONS for OIL in the area should be reported to the UN and be advised to desist from such act.

these are my opinions for now. i may include more as time goes on. but what do you think we can do to ARREST the situation IN THE NIGER DELTA

i was trying to download the prospectus for better analysis and comment. while it is downloading, i may choose to say one or 2 things concerning the fund.

the bank is offering the opportunity to the public to be LAND and HOUSE owners even when the do not possess land. i mean the bank is investing the fund in real estate- a movement from the usual STOCK INVESTMENT MENTALITY. real estate is a lucrative business venture where price KEEPS GOING UP. in accounting land appreciates while other assets depreciates- therefore your investment is bound to grow in value over time. JIM SLATTER in his book "How to become a millionaire" posited that a wise combination of stocks and real estate investment will take you to your promise land.

Also, LASG has substantial interest in the bank, hence land will be made available to the bank to develop, therefore your investment is over 85% safeguarded.

IN MY OPINION
It will be a good buy for those that are interested.

og2711:

My friend keep quiet!! [/b]That equipment is used only in the united kingdom where atms' are left unattended and are in some very deserted areas. [b]Have you seen any ATM in Nigeria that is left unguarded?!! I saw the documentary on DSTV that you got your information from and it is not fair to sart spreading panic when there is no reason for none.

the post i guess originated from a fraud alert by UBA group. so why castigate the guy for a patrotic job. abi u be one of them?

congrats pal. just be cool.

you can contact remmychess@yahoo.com or 08055628489. for your business consultancy engagement.

am sorry you may not be able to lodge your dividend warants into your savings account, except the accounts are hybrid in nature by these i mean they possess attributes of both the savings and current accounts. again, if i may ask, why do you want to sell the stocks without your fathers consent?

i just hope you are not making a mistake. cos i can sense a sinister motive that may cause you pains if care is not taken. a word is enough for a wise

yes. sound so good but how realistic? there are majorly 3 participants in the field of politics- those that participate (the candidates and the electorates), those that sponsor (adedibu, andy uba etc) and those that analyse (antagonists and protagonists). no 1 group is better or more relevant than the other(s) on the field but no rule says you cant be a member of more than one of the groups.

like all other nigerian ideas, well concieved but POORLY IMPLEMENTED. do i sound pessimistic? no but realistic. by the time the idea picks up, some money bags will either hijack the platform or kill the platform. depending on how we play ball with them.

notwithstanding, am in with my hands and feet.

carry me along.

the gunners continued form the emirate cup to beat another italian club-Lazio 2:1 at the amsterdam tournament courtesy goals from brendtner and eduardo. senderos captained the team made up of second string team.this team though young, very great and promising.

gunners 4 live
cheers

@ibkn,
i appreciate your contribution to my analysis. however, one thing is clear: there is NO boundary or place called OVER THE COUNTER!. it is just an arrangement may be thru the net or telephone that two or more willing buyer(s) and Seller(s) communicate and negotiate their stocks.

the price at OTC is not verifiable, hence could not be picked or used as a basis for stock analysis. my point is the verifiable value of ANY STOCK IS THE MARKET VALUE.

you also commented on spring bank or unity bank as a better "wife" compared to ibtc. well you may have your parameter for such conclusion. however fiven an efficient market, where all investors are risk averse, stanbic may have found ibtc more viable than the other banks else, they would not MAKE ADVANCES where BETTER OPTIONS EXIST.

@ gettolove
the choice to sell belongs SOLELY to your friend based on his/her investment strategy. we have all posited so far, that short term investors should sell while long term investors retain their stocks.

cheers

i was planning to post a topic on this when i stumbled on the analysis by panadol. In corporate finance, one of the problems being faced by investors and shareholders is when to sell and at what price to sell. therefore the dilema being faced by the shareholders of ibtc is not surprising. i will onlly attempt to state and express my PERSONAL opinion.

the advances being made by stanbic to ibtc is not a MERGER as being advertised rather an acquisition. the 50.1% shares being targetted is enough to take over the control of ibtc management. when companies make an acquisition proposal and attempt on another company, it could be for any or combination of the following reasons: 1. the targetted company is being undervalued  2. the targetted company is not being efficiently managed  3. the acquirer company has spare fund to invest. for whatever reason(s) the bottomline is stanbic is attempting to improve the wealth or value of it's shareholders. given the assumption that the nigerian stock market is efficient, and the consequent proposal of 16 per share to the ibtc shareholders whose stock sell at 11.54k at the stock market, can it be said that ibtc is overvalued as posited by panadol? i don't think so. else stanbic wont be committing their shareholders fund in the investment.

therefore, could it be that the management of ibtc are not efficient enough? well, maybe but i don't think so. given their pedigree as an investment bank begore the merger, i don't think they are being managed inefficiently. notwithstanding, stanbic could have excess fund and may be looking gor a rosy virgin to screw, of which ibtc has been found worthy; it is expected that due valuation nad analysis of the financial state of ibtc has been done.

considering the high yield being offered to investors that are willing to sell (16-11.54=4.48) equivalent to about 45% higher than market price, investors are in the dilema whether to sell now or later.

MY OPINION
at this price, some shareholders may offer to sell, therefore putting pressure on the force of demand and supply. in essence on attaining the targetted 50.1% ownership in the company, the price of the shares will drop. so for short term shareholders, you can sell your stock now and reinvest in other lucrative stock. you may however repurchase the shares after the conclusion of the share accumulation! by stanbic at that point it will be cheaper than 16 per share.

however, for long term shareholders, your patience may enable you benefit from the synergy associated with the acquisition. by this your share price will fall but pick up after stanbic takes over the management. as more funds especially from south africa will be injected into the bank for more lucrative investment and higher returns.

whatever choice you make, ibtc has not rejected or protested the attempt by stanbic. consult your stock broker or fund manager for more information.

courtesy
remmychess@yahoo.com

thanks lifeman
am a certified professional accountant interested in ensuring that young entrepreneurs dont lose their hard earned fund.

regards. i will continue with the topic tomorrow

the first analysis is to determine the profitability of the company. this is done by calculating the profit margin: gross profit divided by sales.(GP/Turnover) the higher the percent the higher the profitability. in like manner, you can compare the net profit to sales : Net profit divided by sales (NP/turnover) if this margin is high, the management is prudent in minimizing admin expenses. the higher the net profit margin the higher the profitability. you can also compare the return on capital employed by the management to determine the efficiency of the management.

see you tomorrow on how to determine the going concern and cashflow of a venture or business.

for more information contact remmychess@yahoo.com
cheers

am a gunner because a love their creativity and entertaining play. aside the prudent management of fund, arsenal represents business and fun. they are a beauty to watch, a delight for your weekend and prudent for your resources. as a finance person, ONLY arsenal represents effectiveness and efficiency (criteria for value for money) just like the Ajax Fc of 1995 and 1996

it's a sign of gud things to come this season. we have just passed a message to all that cares that we are coming with a balm. the defeat of inter milan is not a joke oooooo.

watch out.
arsenal 4 eva
kissremmy@arsenal.co.uk