₦airaland Forum

megawealth01:
It's possible... I've been following his lane since his days in STB. I was working in UBA then sha... UBA and STB merged then he became CEO

I took some snaps on Morningstar today for comparison in a month's time to see if any movements

megawealth01:
All Tony's stocks are rebounding and might target opening price soon

My opinion pls

Perhaps some foreign portfolio investors have zeroed in on his stocks. He has marketed investing in Africa/Nigeria a lot in the last couple of years.

emmanuelewumi:
.quote author=stcool post=127852504]


As a matter of fact UBA has a book value per share of about N40.


Access BVPS is N46

GTB BVPS is N43


Zenith Bank BVPS is N61.

Double check the UBA book value per share you quoted. It is an understatement
UBA has a book value per share of N50 based on 2023Q3.

BabsO2:
This summary picture of Global equities suggests Nigerian stocks with PE's mostly under 10 are still undervalued compared to the rest of the world. While US stocks are relatively overvalued but are not yet at prior peak values.

Nigerian banks despite the rally so far are still relatively undervalued compared to their peers in Africa as seen in the picture below. For international smart money looking for African investments, Nigerian Banks still look relatively attractive according to this picture .

Not a Buy recommendation. Just a note. DD please.

megawealth01:
This OANDO discuss eh... We wan resurrect am again

Requires no discussion. Enough said
Just reporting back on market performance.

Oando drop today. But overall gain small this week. The sideways trading don do. I am still bullish on it and looking forward to at least 400% this year.

Transcorp already done a 1000% since this time last year


DD please. Not an investment advice.

This summary picture of Global equities suggests Nigerian stocks with PE's mostly under 10 are still undervalued compared to the rest of the world. While US stocks are relatively overvalued but are not yet at prior peak values.

.

December bull picked up this week

megawealth01:
Oando going to #7?

Shame go catch Wale to offer such trash

DrAwo:
Last week, I saw an excellent post by CHIDI UZO with a beautiful chart showcasing the monthly and annual returns of NGX ASI over a 10 year period. He kindly consented to my reproducing the chart.

it was thought provoking and led me to write an article about a few lessons I took away from looking at the chart.

I hope you find it instructive...

https://stocksng.com/lessons-from-10-years-of-market-returns/

Reminds me of the fruits trees around while growing up.
We need a new drive to plant fruit trees all over our cities

KayOn1:
That I picked up UBA @ below 9 not too long ago. I no talk o.

Some even sold off at N8 in March 2023 And even at N9.xx in June 2023

UBA staying strong in Km 24.
Looks like all the weak hands that want to jump out are out. Offers are looking only upwards 24, unlike FBNH that suffers with offers below 24 once the strategic buyers step back small. UBA needs to upgrade final dividend to at least N2 to stay positively above N20 and it can comfortably sustain such dividends going forward. That is N2.0 final and N0.5 Interim, bringing total annual dividend to N2.50. It can also comfortably aspire to grow the final dividend every year and become a trustworthy dividend growth stock like GTCO or Zenith.

emmanuelewumi:
The minimum required return on a naira denominated asset in other to beat inflation is 20% and above as a result the banks will always sell at a discount to their book value in order to achieve that

That's why most banks will not achieve close to book values till inflation goes down. Used Yahoo to quicky check a few global banks many are down in market price and operate at price to book values in range of 0.5 to 1.5 right now with Europe more bearish than North America

emmanuelewumi:
It might be difficult to sell at the N50 book value, you need to consider the unleveraged return on equity of the business and the expected minimum total return on investment from naira denominated assets and Investments

GT always commands better market price due to long standing trust by investors due to its better returns with respect to book value etc. Its price has been operating within 10% of its book value for quite a while and looks set to exceed book value.

Globally many banks have share prices at or above book value. Our banks are not different in leverage compared to global banks. I think our banks even have higher CAR's due to more stringent CBN regulations which is fair in view of the operating environment.

I noted till inflation reduces to single digit most Naija banks will continue selling at discount to book value. (Interest rates will drop when inflation rates drop)

Good to see UBA at N24.
Slow and steady it is marching forward. It still should have a long way to go as book value is already above N50 since Q2 results. Abi the book value na fake? I don't think so. When will confidence return with banks trading close to or above book values ? Perhaps when inflation returns to single digit.

Not a buy recommendation. Just a short note at Km 24.

KarlTom:
Is it live?

It should be looking at the date. Got the notification from a stockbroker. But have not seen it yet on NGX website. Perhaps it's on the way there.

WEMA Rights Issue of 8,572,103,573 Ordinary Shares of N0.50 each at N4.66 per share

on the basis of two (2) new Ordinary Shares for every three (3) Ordinary Shares held as at the close of business on September 28, 2023

Acceptance List Opens: December 11, 2023 | Acceptance List Closes: December 29, 2023

This rights offer is rapid !!!!

Mpeace:
For Oando abi na for who

It's for Banks

It looks like people are no more keen on selling shares at give away prices this morning. As offers at low prices are not forth coming. The FBNH buyer or buyers will be forced to buy at higher prices if their accumulation must continue.

KarlTom:
Depends of what you can lacklustre. UACN, Regency and a couple others had some gigantic deals

Access & UBA closed with gains of 25 & 50 Kobo respectively. Even Oando add 5 kobo gain.
Next week and rest of the month will likely remain positive. With December closing in Gains.
Noticed ETI gained a wooping 185 Kobo this same Friday .
It doesn't want Access and UBA leave it behind

mikeapollo:
PLEASE TAKE NOTE: 5 SHAREHOLDERS APPLY TO FED. HIGH COURT TO SET ASIDE ORDER TO DELIST OANDO
I just read that some 5 shareholders have applied to the Federal High Court to set aside the order granting OODP the the right to acquire minority shareholdings in OANDO PLC.

This could mean a new twist in the whole case.

Source: see a reader (Abiodun-Johnson's) comment in the link/page below
https://nairametrics.com/2023/12/06/court-adjourns-oandos-minority-stake-acquisition-case-to-february-5-2024/

If this slips out to the market, the price will stop falling again.

vacanci:
Its already on full offer.
When a bid of 23.85 being the lowest that is permitted is placed, it gets cleared immediately.

As of this moment, nobody wants to buy it above the lowest price for today

Looks like strategic mopping of FBNH is still on. The buyers are currently buying patiently in small bid tranches or picking offers up as they show instead of showing the bids. With a tactic of pulling down the price till another aggressive buying ops come up when the bullion van is fully reloaded.

ProphetUtuocha:
As the fearful sell, smart and savvy investors are eagerly accumulating Oando shares. Abeg, let the feeble minded exit so that the lion hearts can anchor firmly. Oando will surely awake folks and make us proud. Just remember: Thou shall seek it but shall not find it!

if it doesn't delist post 2022 & 2023 results at N7.07, It will always be available at higher prices. That is remember: Thou shall not find it at bargain hunter prices

Locotrader:
Don't you think all these are strategies to return oando to 7.07 price.

May be a strategy to drop price by some in the know of probable outcome so as to buy more at bargain prizes.

It's a puzzle and a pure betting exercise to me. My bet is the company will not be delisted

I have no prophesy right now on what will happen.

I have both pro and con thoughts. Wale also said it may happen it may not happen.

If the company wants to delist it will just issue extremely bad results all the way. But results released so far were mixed. We don't know what 2022 and 2023 that they have approved auditors for, will be like.

mikeapollo:
We are waiting to buy more of Oando (if possible), at the desired price range.
Let the price go further down.

Indeed. If the price comes further down, it's time to buy more.

*****Not an investment advice. But stock betting thoughts.******

BabsO2:
At this rate (following CBN recapitalization vision for $1T economy) current FBNH rights issue may be canceled and replaced with a fresh one at a higher price like N25 or more in a year or two.

With FBNH closing at N26.75 today, with very heavy momentum. The earlier planned rights is looking obsolete. A new price like + N30 may be the plan for the rights. A price closer to book value.

emmanuelewumi:
Low PE might be due to zero growth, below average return.

The dividend yield plus earning growth should give a total return that will give at least 25% premium over a risk free FGN bonds.

A typical Nigerian stock should a Return on Capital Employed of over 20%

The low PE's in many cases were caused by earnings growing faster than price appreciation over the last 5 to 10 years.

Streetinvestor2:
To me the market is still well under price because of naira depreciation and inflation rate in the country. The market is bound to catch up.When you sell most shares in the market at present price and visit other market you go understand better. Try the cash on building/construction materials you will know the reality

All what we are discussing, explain why Naira bonds even at current high yields don't look so attractive to a stockmarket bargain hunter. When there are many stocks with low PE's. Also a strong reason why the market will not go down despite high bond yields. People waiting for the market to go down will likely be disappointed as it's not worth cashing out anyhow on stocks at current prices.

Streetinvestor2:
This does not apply in many sectors. I will say pe of 10 or less is very reasonable

That means the markert is currently full of bargains. Or in other words currently under-priced as many stocks have a PE less than 10

aj8:
0.12 is for a quarter….use best quarter as earlier discussed on the premise that growth stocks are meant to grow
4 quarters = 1 year =0.48
X4 of the estimate FY i.e 0.48 =1.92

This in other words is simply a PE of 4 or less is a good entry point for a target growth stock.

yMcy56:
First Bank @24!!
24.35!

I for don bet when we were talking about this FBNH oo

Currently Full bid. With over 28 million uints buy mandate on the floor at N24.35 with no sell offers. Who is buying it this time. I sold some at N20 weeks ago. Will not sell anything again for less than N30