₦airaland Forum

hbrednic: So you are a chicken

Bros na naija we dey oh.

I always have that at the back of my mind.

As for Skye,the H1 2014 EPS currently stands at N0.44 .Baring the unforeseen,they should be able to produce same figures for H2 to bring the FY 2014 to 0.9.

With a dividend payout ratio of 50%,they should be able to pay N0.3 at least.

DonDiego: Why don't you just call Peter Obi by his given name instead of all this incantations?

Oga,libel things oh .

I dont feel safe writing some things on the internet,I have this paranoid feeling that someone somewhere can identify and fish me out.

I dont want to be hounded at Opa Iweka by some mean looking boys for breach of public peace

ayztech: Oga Charles na so you go dey go - apologising to all Anambrarians one by each?

Why not just modify that post in the first instance abi?

Done Ma.

mercylicious: @charlesnerd, u funny oooo
we are here to make money . if u want to exchange words, go to politics section.

@immanuelo, no coy is useless. i understand watched half of ur investment vanish in skye. it maybe time to laugh again.

Madam Mercy no vex oh, na money I come find no be politics. I made the comment in good faith ,but when fullfilment2020 drew my attention to the choice of word, I realised how bad it could have made him and other people from the state feel. Knowing how sensitive we are to such issues,I had to quickly apologise.

But believe me,apart from the slip in my choice of word,every other thing I said about the state vis-a-vis fidelity is very true but not verifiable; that is my dilemma with the "cowboys" down there who operate without a trace -money no loss but money dey miss.

You are from Anambra I guess,so I also extend the apologies to you.

Double post.

Yem0350: http://www.thisdaylive.com/articles/nsesuspends-37-dealing-members-for-operating-without-compliance-officers/190117/

I never knew this na serious matter.

One of my brokers employed a young lawyer as their compliance officer over a year ago and gave her targets to conclude some exams before june this year.

Fine girl sha...

Dexterax: The line in bold completely destroys the intention of this apologetic post.

Chai,Dexter you like trouble!!!

Please don't stoke the fire.

I know fulfillment has accepted my heartfelt apologies.

Let's move on.

fulfillment2020: Don't bring tribal bashing into this peaceful thread. Why calling Anambrarians naive, Is that the best way to address your opinion if you have anything meaningful to say?

Sorry if I hurt your sensibilities.

I couldn't have found a better substitute.

Please don't be offended and accept my sincere apologies.

The internet is definitely not anonymous,so people are constrained to say little while leaving out the specifics,but believe me,the directors at Fidelity are not doing so badly for themselves and their businesses.

There are advanced forms of stealing govt funds these days,its gone digital.

I don't have Skye in my portfolio,but I have some tashere units of Fidelity I bought during their IPO and I can class it among the underperforming stocks I've owned.

The "cowboys" in the bank operate on a different level - they corner the state funds,deposit it in their bank and sell a lie to the masses that they are saving money for the rainy day,they in turn loan the money to themselves and their businesses and to be honest,very viable businesses.

At the end of the day,the masses are shortchanged,the shareholders get no reasonble return ,but the directors live large and grow their businesses.

If a bank gets N60 billion free and assured deposit for 4-8 years,with almost zero percent cost of fund and the bank is still not growing ,then something is definitely wrong somewhere.

Skye is a systemically important bank (SIB) as designated by the CBN,and there are only eight of such banks. In simple terms,these are banks that are "too big to fail".Fidelity does not come close,maybe the acquisition of Mainstreet will expand the list to nine banks ie if Fidelity emerges the preferred bidder.

If Skye is "useless" then fidelity cannot be qualified with a better adjective. Fidelity should be eternally grateful to the good people of Anambra state if you understand what I mean.

A good stock does not need a market maker to sustain its market valuation? (CC: Access,FCMB).

The market is not too irrational to price a large cap company well below its real worth. Diamond did a rights issue without technical suspension, but its share price never went below or at par with the rights price,despite not paying dividends for two years. Skye is currently on a down trend and is gradually finding its true level without stress,so what is the real incentive to keep the price (Access,FCMB) at a pre determined level if shareholders and management are on the same wavelength with regards to the current and future prospects of the company.

Its really hard to understand what goes on at the NSE, except you are an insider. E no dey possible these days to take your eyes off the NSE for a day or two and hope that everything will be fine by the time you are back.

dsonofmaan: We know say na you...you just dey code.

He is not Emma,I am 100% certain.

Emma is yoruba and cannot be linked to his username if you understand what it means in Igbo.

kotlass: Not bullish on the banks but I think Diamond looks good not hot though.
@APR team; what do you think about Diamond?

Diamond is a rough gem.

I have some pending orders with my broker to buy at N6 and N5.8 if it ever gets there.

But meanwhile,why all the energy dissipated on oando?

There must be something about the company,either for good or bad. Whenever Oando matter comes up for hearing on this thread,the no of pages increases geometrically,everyone gets fired up and you suddenly get to have a full house - even the no of guest viewers increases.

Biko someone should suggest a new hot stock, so that people who couldn't buy oando at N10 can see something to hang on to...lol.

kotlass: Permit me to quote you on this. You got my attention on Oando issue. I duff my hat for the appreciable facts that you have at your disposal. Many of those for and against don't have facts to back up their claims/counter-claims. But please I think you should check again with the bolded. OML 131 is included in the assets purchased from COP. OER has 100% WI and is the operator of this field. Capital will be needed to continue with the exploration of this field. The projections made (for 6 other producing fields in their portfolio) as you rightly stated can not be relied on but does not include this field.

Disclosure: I continue to hold position in Oando. I made my decision based on my own findings(which in my opinion are facts). Like someone mentioned, I might exit position tomorrow so newbies it is not a recommendation to buy. I understand the risks (you need to know these risks FOR YOUR OWN GOOD). I know when someone mentions a fact. I have my exit plan too.

Make una crash am down to N20 if you fit, I wan load more Newbies stay off pls. Thanks

You are very correct.

My comment in the context of virgin oil block is that most of the acquired assets are OMLs and already producing,not some exploratory wells with no production history.

Talking about risk ,Oando's annual crude projection with the acquisition of COP assets is a bit uncertain,I would rather accept Seplat's crude production forecast than go with Oando -Seplat controls the levers of production as an operator ,but Oando is a bit on the periphery and has no input to the day to day running of the company .Oando only relies on the information provided by the operator and believe me ,these info,more often than not, are not always reliable for very obvious reasons.

I did not want to join the oando conversation as I am not a shareholder,but its quite obvious that many people who are loaded with Oando do not understand what the COP deal means for "their" company.

People say Oando needs money and time to develop their assets?? Yes,they need money ,but they dont need time. Oando did not buy a virgin oil well/block ,it only purchased 20% of ConocoPhilips shareholding in the NNPC/NAOC/COP joint venture.This JV has assets (OMLs,OPLs and undeveloped acreages) which are already producing like the Kwale gas plant in Delta,OB-OB gas plant in Omoku (this plant has a long term commitment with Indorama to the tune of $2B to supply gas to their petrochemical plant in Rivers state and also feeds gas to the Bonny LNG trains) and a host of others. Oando is not the operator of this JV ,Eni operates the JV through their Nigerian registered subsidiary ,NAOC. The only commitment Oando has to this JV is to provide money for cash calls. The cash provided has to be in the percentage of NNPC (60%),Oando (20%),NAOC (20%).Now the cash call is where the problem lies,and I trust Oando as a Nigerian company to avoid the pitfalls that led COP to sell their 20% shareholding,even though they (COP) have recouped their initial investment.

I know Oando overpaid for the COP asset,but they got a quality asset in return and their long term goal is to buy off the remaining 20% shareholding from the operator, NAOC. Despite overpaying for the asset,Oando did a thorough due diligence as they had a long standing relationship with this JV.Oando,hitherto, had an indepth knowledge of the operations of the company - its subsidiary OES has some rigs working for this JV even before the COP deal was muted,they have also developed a deep offshore well with Eni which was not profitable and they later sold.

To operate this newly acquired asset,the only requirement from Oando is to provide money for the cash calls and collect their oil/cash depending on what the PSC of the JV says.

Putting these into perspective,I have just two worries for Oando, one is the management and the second one is the management.

I have to stop here for now cos I can write a book on Oando....

Tjohn1: Today dull sha!!! knock! knock!! where is everyone?

Pls any info on First Bank, i wonder why the shares are worst hit........where is it headed N12 or 10? i'm interested

The market reacted when they posted their 2014 H1 results and in the absence of any recent news,I think its just the bears taking its toll on the stock.

The bank has not performed too well in the last few years,despite being the largest bank by assets and deposits. Placed with its peers in the Tier 1 space,Zenith and Guaranty has been able to produce good results even with less assets ,that shows how efficient the two banks are being ran compared to the elephant.

FBNH leverages on its past history,goodwill and asset size ,otherwise the bank might not be able to survive in a competitive market space.I won't be surprised if Diamond knocks them of their Tier 1 perch in the next few years,ie if they don't reform and improve on their efficiency,rather than being content with paying N1 dividend year after year,with little or no dividend growth.

Anyway,I like the bank as there seem to be no vested interest or "cowboys" running the bank,its a conservative bank - an institution.

As for where it is headed,I can't categorically say,but if it trades between N10-N12,I'd surely buy.

Businessdayonline.com has gone the way of FT.com ,they now charge money to access their services.

passwelle: Honestly, I have absolutely no idea. Maybe some folks just likes the Kunoch style.

Thank you bro.

passwelle: Na only Diamond bank waka come today o.

Sorry Paswelle our in-house research analyst,do you have an idea what's brewing in Diamond? I can see over 250million shares traded already from my bloomberg app.

Agbalowomeri: Sell into strength and buy into weakness

Quote of the day.

@ Paswelle ,thanks for the research and insights on IEI vis-a-vis Heritage and Enterprise bank.

The name of the imigration chief sounds somehow,let's be sure he's not from chad or niger.

Moneysage: Oga mi Charles, you may kindly substitute "majority of" for "real" in my last post. I also included an elaboration in the bracket .

And your reply raises the questions: How many businessmen are you talking about? Knowing they can't possibly account for your quoted figure, could there be other players?

#Cowboyism is real...
#playing forex with a dom. acc.

Most Nigerian businesses/businessmen who depend on imported stuffs for business continuity keep a healthy reserve of forex in their coffers, they even consider forex volatility a high risk item. Contracts in the multibillion dollar Nigerian oil industry is awarded in dollars and payment is made in the ratio of 60% dollar and 40 % naira. Even for upwardly mobile Nigerians,it has become fashionable to save some bucks in foreign currency and you can never go wrong - the Naira will always loose ground year on year to the dollar and other major currencies.

Go through the CBN WDAS/RDAS auction list then you'd appreciate the amount of dollars businessmen/businesses control in the economy.

Moneysage: @nitrogen: I would think you understand Dexter's post because you have never appeared as a learner. IMO, this is the least of Dexter's wordsmithery...even the most purblind shouldn't be clueless.

For the benefit of doubt, he [Dex] has extended his Cowboyism hypothesis to 'retail' banking. And he can't be more correct!

@Charlesnerd: 'Nigerians' as you used it, doesn't necessarily imply your next door neighbour. For all you care, the real Nigerians (quoted by UN Dollar/day ranking) would hardly consider a dom. account. Abraham Marslow's pyramid gives a clearer picture.

I'm still at a loss to the cultural aspects of this phenomenon. It is basically 21st century capitalism fuelled by globalisation. #shikena

Oga sir,it depends on your definition of "real" Nigerians. Virtually every Nigerian businessman I know has a dorm account,not excluding the importers at Alaba,Onistha,Aba etc who keep a stock of foreign currency to fund their imports.They buy during off peak periods as figures have shown that dollar rates hike during mid-year and towards year end.

While I agree that globalisation has played a huge part,the figures are quite scary and could be a case study on the merits or demerits of globalisation on developing economies.

Dexterax: 75% (estimating conservatively) of the results we were taught in economics classes are produced outside of standard economics my oga.

Economics in trying to achieve the precision of the sciences assumes that the selfish activities of human beings can be mathematically modeled.

Smh.

In essence,the tendency cannot be explained within the mere construct of standard economics.

But bros,your phraseology is next to none..

Dexterax: The problem is from the general interpretation of the bolded.

There's a set of men who have come to appreciate themselves as citizens of the world and only use the concept of a country to push forward their motives and personal interests. In essence, the idea of a country as a clear geographical boundary and a region of peeps with some kinda shared commonwealth has been completely discounted from mental faculties.

The bolded is a cultural fact.

Economically speaking, are you saying the the high volumes of savings in foreign currency can be explained largely by cultural tendencies? Or do you believe that could be a subtle indication of low confidence by the elites on the economy and by extension the Naira?.

Charlesnerd: Fact: 24.8 % of total deposits in Nigerian banks are in US dollars.

Opinion: Nigerians don't seem to trust the Naira enough,everyone has a domiciliary account.

Opinion: If you add the Euro and GBP , the figures could rise to 26-27 %. Who are these depositors?

Fact: 24.8 % of total deposits in Nigerian banks are in US dollars.

Opinion: Nigerians don't seem to trust the Naira enough,everyone has a domiciliary account.