₦airaland Forum

ositadima1:
"Fintech refers to the application of software and hardware to financial services and processes, making them faster, easier to use and more secure. The fintech industry includes everything from payment processing solutions to mobile banking apps."

Traditional banks do these already nah, though the era of branch proliferation is coming to an end. In d near future, banks will run fewer branches as most banking transactions move online.

Good for investors and bad for d work force.

I observed in the last three years all the banks have been reducing staff except for Access. Perhaps due to it's recent mergers/acquisition. So perhaps they've started heeding the warning by upping IT. But the article mentioned names like interswitch eating into banks profitability.

JUST IN: Fintechs May Crash Commercial Banks &#; CBN Raises Alarm

https://techdigest.ng/fintechs-crash-cbn/

This doesn't sound nice. It means a time is coming naija banks will loose streak of profitability. How much time do they have left before fin techs start eroding their profitability significantly

OBAGADAFFI:
So Presco pays 2 interim dividends and 1 final dividend Every Year.

No. It's one final paid earlier in the year and an interim later in the year. Not three dividends per year.

OBAGADAFFI:
Is OKOMU paying interim dividend twice a year?

Presco kicked off twice a year last year and has sustained it with an increase this year. Not sure of when Okomu started.

RabbiDoracle:
Yes, all the banking stocks rose. Some names did x2 to x3 in 4 weeks. Mo gbe ja . Because it was too steep.

After that they lost between 50% to 60% in 2 weeks.

You can check the chart on investing site.

AKBNK
VAKBN
ISCTR
GARAN
HALKB
TSKB
SKBNK

Their financials is all over the place. Mostly flat on EPS, but with revenues rising sharply across the banks. In the first four AKBNK did well in EPS in 2021 and GARAN performed extremely well. Used the following to take a quick glimpse.
https://www.morningstar.com/stocks/xist/akbnk/financials
https://www.morningstar.com/stocks/xist/vakbn/financials
https://www.morningstar.com/stocks/xist/ISCTR/financials
https://www.morningstar.com/stocks/xist/GARAN/financials

This means some Naija banks will surely ride well on inflation. While some may not.

Thanks.

I just picked this story from google search
https://www.reuters.com/business/finance/turkish-bank-stocks-rollercoaster-ride-leaves-investors-reeling-2022-09-16/

Will Naija banks ride the wave of inflation to higher incomes or some may collapse. will look at those specific stocks you listed to see if there is anything I can learn.

RabbiDoracle:
Yes, all the banking stocks rose. Some names did x2 to x3 in 4 weeks. Mo gbe ja . Because it was too steep.

After that they lost between 50% to 60% in 2 weeks.

You can check the chart on investing site.

AKBNK
VAKBN
ISCTR
GARAN
HALKB
TSKB
SKBNK

This is Christmas gift to shareholders. Nice

yMcy56:
MORE INTERIM DIVIDENDS DECLARED....

PRESCO
Interim Dividend: N2.00
Qualification Date: 21st November, 2022
Payment Date: 25th November, 2022
Registrar: First Registrar
https://doclib.ngxgroup.com/Financial_NewsDocs/37162_PRESCO_PLC%20CORPORATE_ACTIONS_ANNOUNCEMENT_CORPORATE_AC.pdf

OKOMU
Interim Dividend: N2.00
Qualification Date: 15th Nov, 2022
Payment Date: 22nf Nov, 2022
Registrar: Cardinal Stone
https://doclib.ngxgroup.com/Financial_NewsDocs/37165_OKOMU_OIL_PALM_PLC%20CORPORATE_ACTIONS_CORPORATE_ACTION.pdf

AIRTEL
Interim Dividend: 2.18cents
Qualification Date: 9th Nov, 2022
Payment Date: 9th Dec, 2022
Registrar:
https://doclib.ngxgroup.com/Financial_NewsDocs/37167_AIRTEL_AFRICA_PLC%20DIVIDEND_CONFIRMATION__CORPORATE_ACT.pdf

Did Turkish banks participate in this steep rise or were left out. Please can you share the names of some of their banks that did well.

RabbiDoracle:
BIST 100

83% inflation, bank deposit rate at 16%, interest rate cut to 9%+

Nigeria just 20% inflation rate.

Soon the wind of change on NSE will be like BIST.

They now need to catch up on dividend payment, as well as start paying interim dividend. Fidelity has already beat them in kicking off interim dividend.

But can they. With their good PAT not reflecting in their comprehensive income. Looks like all the banks having significant foreign operations are hit with negative foreign ops currency valuation impact.

yMcy56:
FBNH
Impressive performance!!
*Over +1000% in Q3 2022 over Q3 2021
* Around +121% increase over 2021 year-to-date...
https://doclib.ngxgroup.com/Financial_NewsDocs/37050_FBN_HOLDINGS_PLC%20_QUARTER_3_%20_FINANCIAL_STATEMENT_FOR_.pdf

*Btw, Femi Otedola remains the largest single shareholder with 5.57% shareholding..
* Odukale trailing behind with 4.42%.........with Leadway RSA's 1.01% arguably separated from his holdings...

** Those pitying First Bank investors, hope Una dey observe the result as well...

If one needs to fill a form when will it be out ?. I thought holders of the shares will just be paid off and get ebuyout payment in their accounts like a dividend warrant automatically?

yMcy56:
UBN
At long last, Titan Trust is buying out minority shareholders......
@Mpeace are you still holding unto it?

From my % calculations now,
Bulk purchase from majority shareholders is 89.39%
Minority shareholders: 6.59%
So, 89.39% + 6.59% = 95.98%

Who owns the remaining 4.02% .......Or maybe this was acquired off record.

** For those planning to take part in the Mandatory Take-over @N7, if not already seated in the bus, you have only today and tomorrow to key into it.

Qualification Date is Monday 31st October 2022
..BUT for settlement purpose (T+3days), you have to buy latest 26/10/2022.
REGISTRAR: Cardinal Stone

pluto09:
If he had continued with providing subsidized dollar to every tom dick and harry, by now he would have finished our reserve and that would had been catastrophic.
At a time we were averaging 2m barrel of crude oil per day but now we can only do about 1million per day and you are still blaming the CBN Governor for not providing us with enough dollar. Where do you want the dollar to come from?

Also add NNPC remitting nadding for oil and gas sold this year to CBN reserves claiming it's all used up by subsidy. I don't know if people bashing Emefiele are aware of this NNPC not remitting to CBN reserves wahala. The only thing he is not doing well is creating money from thin air excessively to close the budget deficit that has been ballooning year after year over the last 8 years. Obaseki blew the whistle last year on this excessive printing. I think economists see that excess as one of the root causes of inflation.

owolabi5:
Me thinks it may be the Russ Federation

First, the elites fled

Now the Next Gen

The rate of brain drain is too high, how they will manage the Mirage of missiles remains to be seen.

Indeed it is imploding. Even it's military system seemed to malfunction attacking itself (effect of not being able to retain top notch brains).

Ibrahim505:
The volume with UBA is huge today, 50 million+.

Close: N7.55 today.

Mpeace:
Minor dilution naa. 3billion unit will be nothing if they continue with their current performance. The likes of UBA, GTB and Zenith would have been recording declining furtunes if not for the exchange rates issues in nigeria. If you convert their results to $ you realise that they have not been doing much for some years now.
The law of diminishing returns done catch them. On the other hand, fidelity has alot of space to grow

Okay so it's a minor dilution.

Mpeace:
Uba dont want to improve on their dividend. Fidelity will soon over take them

With the dilution in the works for Fidelity, it will be tough to catch up with UBA interim div.

This private placement in the works will dilute Fidelity income and potential dividend.
https://doclib.ngxgroup.com/Financial_NewsDocs/36728_FIDELITY_BANK_PLC%20FIDELITY_BANK_PLC%20NOTICE_OF_EXTRA%20OR.pdf

Mpeace:
Aswear. All interim and final dividends need to go up aswell. Inflation is biting hard and the naira has lost alot.
For the purpose of foriegn investors, dividends need to go up to meet the devalued naira.

Totally agree with you. Likewise earnings need to grow somehow in line with the growth in deposits that the banks state in their annual reports. I guess the growth in deposits is also a result of inflation.

Mpeace:
https://doclib.ngxgroup.com/Financial_NewsDocs/36715_FIDELITY_BANK_PLC%20_QUARTER_2_%20_FINANCIAL_STATEMENT_FOR.pdf

Fidelity have joined the interim dividend gang.
Nice result
Eps from 67k to 80k

Interim dividend if 10k.

Interesting.
Fidelity has beat First Bank in kicking off interim dividend payment.
With this 10kobo from Fidelity, UBA needs to perform better than 20kobo.

thesilentone:
Not averaging down is a general principle for me and not stock specific. I am happy to pay a higher price when the trend changes upward.

GTCO is no longer the leader in its sector but their fans won't admit it

Indeed GTCO has dropped performance in many metrics. The interest income that dropped in 2021 Q1 persisted into 2022 Q1. In the process dropping the EPS. There is a likelihood those selling may resume dumping if 2022 Q2 doesn't show improvement.

RabbiDoracle:
Commodities decline have bottomed.

We are about entering the sharpest and the most vicious rise in commodities.

Buy food and keep at home. Grow food if you can. It is gonna take a while.

Coffee, copper, cotton, crude oil, aluminium, rice, beef, Zinc, Gasoline and diesel, raw sugar, natural gas, ati bebelo will all rise so much.

Many nations (poor or rich but unprepared) could be destroyed by this rise. Societal collapse due to poverty could be a norm.

I'm still bullish NSE and other EMs.

At least for now plantain price has come down small. Abeg make plantain price no jump again now wey e done cool down small.

Mpeace:
their result is yet to be released by CBN.

We pray the audit which seem to be jointly done with the CBN will come out with goodies of increased dividends.

emmanuelewumi:
He said coupons from bonds are used for investment in equities. Some of the bonds will continue to generate predictable cashflow for the next 30 years, dont doubt the compounding and wealth generation ability of that strategy

Not challenging the compounding and wealth generation ability of the strategy once stocks are carefully selected and managed. Selection and management of the stocks is very key. My point is, at this point in time, buying new Naira bonds should be temporarily on hold for someone already into stocks, as there are stocks that will likely deliver the same cashflow over the next 2 to 5 years, by their dividend payments. And there is a strong likelihood those stocks will also appreciate in value in the same period. The cashflow from newly bought stocks dividends, can then be deployed in the same strategy to compound by buying more shares.

And portfolio can be re-balanced as desired to acquire more bonds in future. Especially when their is a rush by FPI'S etc to buy stocks and prices rise.

For someone building a kind of pension income through his or her portfolio it is a perfect idea to maintain a good ratio of bonds in his or her portfolio. With a slight managed deviation when the market opportunities come. At the moment a slight extension into equities is a good move. So if the desired conservative Portfolio was 70% bond and 30% Equity for example. Based on the current market it should be adjusted towards 60% bond and 40% Equity.

samsonline:
Well done my brother. You are doing very well. That is exactly my strategy, I want to retire on stocks dividend so I keep buying and I am ready to hold as long as possible.
Recently I changed my strategy a little bit, I am investing 500k monthly into FGN savings bonds and intend to do that for about 5 years and use all the coupon payments from the bonds to invest in stocks.

At this moment saving in bond is not as good as taking the risk and buying some stocks. In fact I sold some bonds to buy some of the discounted bank stocks without loosing any annual income from the change in portfolio. If the banks do no collapse I stand to even earn more dividends than the bond coupons in time due to the situation of the current market. I also stand a very likely price appreciation in the shares to the point I can covert back to bonds in future if I do wish and get a jump in income through coupons when there is rush to buy with confidence, shares in the market at higher prices.

yok:
WHILE PEOPLE ARE SWEATING WAITING FOR THE SUPPORT OF THE FALLING PRICES- SOME PEOPLE ALREADY HAVE THE BLUEPRINT IN THEIR HAND
For our members these are some of the support levels we are looking at. We don't want to be sweating in the market everyday or risk our funds unecessarily.

Save yourself from the sweat/high blood pressure, get the full list of the likely support for some of theses stocks plus the updates and some other useful daily trading ideas.

Chai your attached picture shows UBA support is at N6.04. That is a PE of about 1.5 if EPS of N4 is sustained. Well Q2 reports are not yet out. And we don't know what Q3&4 will be. And if one or more of the few remaining FPI's will seek the exit door. Fingers crossed.

RabbiDoracle:
NSE bearish? Some stocks could be, but the overall health of the market as seen from the index is still bullish.

From a high of 54,290 to current value of 49,546 is just 8.7% decline. This index doesn't look bearish.

The market has witnessed a prolonged bear especially for banking stocks that have ran several years based on their PE's and P/B's. Won't be surprised if PE's start dropping below 2 for some bank stocks. It's already on PE of about 3 and below on average. That's really bearish.

.

BabsO2:
The sizeable chunk at N6.9 moved up to N6.95 today. But it looks like the major seller did not budge from N7.0 Because todays average price was 6.996 even though closing price was N6.95. Hence most likely a desperate seller with >= 100,000 units must have moved down the price at close of today.

UBA: Market kicked off with N7.0 ignoring the last minute close of N6.95 of yesterday. More demand (bargain hunters ) gathering at N6.95 but looks like the major seller not interested in disposing at that discounted price right now. Rather seem to be looking at higher prices for disposal. Price climbed up marginally to N7.05 while volume traded seem to have thinned. Trading still on. More bargain hunters showing up physically with quotes. But sellers not showing up as much. For every offer to sell there are about 12 bargain hunters waiting at lower bus stops.

BabsO2:
Demand for UBA remains strong, courtesy of bargain hunters that have expressed their quotes at lower prices. The seller seams bent on offloading but watchful on not depressing the price by announcing too much offer and releasing the sales in small bits. There is a resistance by the seller to sell below N7 at the moment.

Couldn't wait for N6.9 again. A sizeable chunk of people (11million units) have been queuing at this price for some days now, with the seller not budging.

The sizeable chunk at N6.9 moved up to N6.95 today. But it looks like the major seller did not budge from N7.0 Because todays average price was 6.996 even though closing price was N6.95. Hence most likely a desperate seller with >= 100,000 units must have moved down the price at close of today.

https://doclib.ngxgroup.com/Financial_NewsDocs/36681_FBN_HOLDINGS_PLC%20NGX_NOTIFICATION_%20_EXECUTIVE_DIRECTOR.pdf

Reading the profiles of these directors, it looks strong. I am struggling to reconcile it with Remi Babalola's reason for exit last year.

The profiles of these directors appear good for FBNH.

The coming years will show what they can join with the management team to deliver for FBNH. I pray the share price and dividends climbs faster than inflation.

Demand for UBA remains strong, courtesy of bargain hunters that have expressed their quotes at lower prices. The seller seams bent on offloading but watchful on not depressing the price by announcing too much offer and releasing the sales in small bits. There is a resistance by the seller to sell below N7 at the moment.

Couldn't wait for N6.9 again. A sizeable chunk of people (11million units) have been queuing at this price for some days now, with the seller not budging.

Waiting for UBA at 6.90 and GTCO at 19 as it seems the sellers are still bent on selling.

emmanuelewumi:
I don't use EPS

Okay.

I notice sometimes, especially with banks the comprehensive income per share is lower than the PAT per share which can even come out negative and erode the shareholders funds. Meanwhile the audio will be all about a massive EPS from PAT when shareholders funds may have shrank.

emmanuelewumi:
You should also learn to detect audio EPS. I have a way of discounting the cash flow from operation, get the free cash flow for equity and use the the average of both as my alternative EPS.

This will not capture losses from comprehensive income. Unless the EPS used in your average is based on comprehensive income instead of PAT.