₦airaland Forum

ositadima1:
Good or Bad?

Hello bro, please how do I correctly calculate the EBIT in this example below?

Air Macklon at $45 per share, has a market cap of $13.5 billion and a price-to-earnings (P/E) ratio of 10.
But its balance sheet was burdened with nearly $30 billion in net debt.
So Macklon's EV was $43.5 billion, or nearly 13 times its $3.4 billion in EBIT.

How did they get $3.4b as EBIT?
From my calculation, my EBIT is $1.35b which represents 10% of the market cap since that is 10% of EPS

KarlTom:
Let me put it in layman's terms. On the 5th of July, they will mark attendance. If you are a shareholder at close of business, you will be marked present and paid dividend.
I believe your dividend will be credited to your account (provided you have completed the e-dividend registration). Send a mail to your brokers to confirm...

Okay, thanks very much for the details

pansophist:
It's official.

It is no longer a ''special military operation''. The Russian Ministry of Defence has announced that it is now in a ''state of war'' due to nato involvement, and all gloves are off.

Hmmmmmmm

May God help us.
I pray and hope this doesn't spiral beyond this

KarlTom:
TIP proposed 6k p.s.
Register closes 5th July

https://doclib.ngxgroup.com/Financial_NewsDocs/40593_THE_INITIATES_PLC-DIVIDEND_INFORMATION_CORPORATE_ACTIONS_MARCH_2024.pdf

I have shares with them.
What does it mean register closes by 5th July bro?
And will my dividends be credited to my account directly through my investment one account? Or there is a process of clearing it

Penboy:
Ps.
You can also add good podcasts in addition to those books. You can download Google podcast or Spotify.

Search for "HALF TIME REPORT CNBC"
"FAST MONEY" CNBC

You'll keep abreast with recent happenings and analysis in Wallstreet.

Ohhhh, thanks very much Penboy.
I really appreciate.
I will do that toi

Capitas7:
It is a pleasure boss, and I am glad you found it relevant.
1. Ordinary people, extraordinary wealth - Ric Edelman
2. The little book about value investing - Christopher Browne
3. The five rules of successful stock investing - Pat Dorsey

1 and 3 were recommended by DrAwo on the NGX thread, and I learnt a lot from both.

I like the connection between Graham's ideas and those of his "followers" and I think this connection forms the basis of why Warren Buffett and most of the authors of value investing books tend to have very similar approaches. Christopher Browne shared the details of how his father's co-owned firm was on the same block as Graham's on Wall street. He mentioned in some of his statements that he bought (as a broker) stocks for many of Graham's past students, and he observed their consistent pattern of buying undervalued stocks. He also mentioned about how he bought (again as a broker) Berkshire Herthaway shares for Warren Buffett in the late 60's.

Thanks very much bro.
I will go through those books and read them thoroughly.
Thanks

ositadima1:


[color=#000099]He gave this example:

1. Earnings growth - A minimum increase of at least one-third in per-share earnings in the past ten years using three-year averages at the beginning and end:

Let's assume a company called ABC Ltd. had the following earnings per share (EPS) figures in Naira:

2013-2015 average EPS: ₦2.50
2020-2022 average EPS: ₦4.00

In this example, the EPS grew from ₦2.50 to ₦4.00 over the 10-year period, which is an increase of 60% using the 3-year averages at the beginning and end. This meets Graham's minimum threshold of a one-third (33%) increase in EPS.

2. Moderate price-to-earnings ratio - No more than 15 times average earnings of the past 3 years:

Continuing with the example of ABC Ltd., let's assume the company's current share price is ₦75, and its average EPS for the past 3 years (2020-2022) is ₦4.00.

The price-to-earnings (P/E) ratio would be calculated as:
P/E ratio = Current share price / Average EPS for the past 3 years
P/E ratio = ₦75 / ₦4.00 = 18.75

In this case, the P/E ratio of 18.75 would exceed Graham's recommended maximum of 15 times the average earnings of the past 3 years. Therefore, ABC Ltd. would not meet this specific criterion for a "Defensive Investor" stock pick based on Graham's guidelines.

It's important to note that these are hypothetical examples, and actual Nigerian companies would need to be evaluated based on their reported financial statements and stock prices.

Additionally, Graham's criteria should be used in conjunction with other fundamental analysis techniques and adjusted for current market conditions and inflation levels in Nigeria.

Ohhhhh........Abasi Mbok.

Oga Osita, you really finish work for this my question.
You break it down for me to the extent that even a lay man will understand.
I owe you 10k for trophy beer abeg.
I really really appreciate your effort.
Thanks alot

Please house, can the gurus explain with a calculation how i can go about this?
Read it on @the intelligent investor@ and just want more light on it.

1. Earnings growth - A minimum increase of at least one-third in per-share earnings in the past ten years using three-year
averages at the beginning and end

2. Moderate price to earnings ratio - No more than 15 times average earnings of the past 3 years

emmanuelewumi:
Since you have equities with them you can get loan of a minimum of N5 million to buy shares only. Provided the stocks in your portfolio are liquid and are acceptable as collateral.The loan will be credited into your stockbroking account.


But with mutual fund investment you can get loan that will be paid into your bank account which you can use as you want.

Ohhh good.

Thanks very much.
CA you help me with the ucap limited number?

Capitas7:
I agree with you on the likely reason for low turnout on this forum. Paid subscription tends to be a fair way if making money if it is not forced, or advertisements not made to sound like "you can never do well at this unless you pay us to teach you or do it for you".
I think you will do very fine trading foreign stocks. Your experience with the local stocks market and your kind of questions are the important ingredients.

Thanks very much for the compliment.
I am trying and will keep trying my best.

Capitas7:
First, I must say that I'm learning, so nothing unique about my strategy that might be new to you.

1. My strategy
I wish I could give a short and direct answer. I am more of an investor than a trader, so I go for value and growth stocks.
The pensions and life savings of hardworking Americans are in most of the ETFs, and if you check their charts, many of them have maintained higher highs perpetually breaking the ceiling regardless of the many cycles of bull or bear that the market has experienced. So these fund managers are doing something right, and one thing I found that they do right is objective fundamental analysis.
So basically, I check every metric that I know. I start with free cash flow, earnings growth, retained earnings, projected growth, among others.

2. Entry price
I used to estimate the intrinsic value and compare it to current price to see how much room the stock has to grow in price, but I have since stopped using that because there is usually a lot of divergence between intrinsic value add price that may never close up. The intrinsic value of growth stocks is difficultand subjective to calculate. The DCF approach also requires using future cash flows predicted by the sharks of Wall Street who have their own motives.
Once the basic and derived metrics check out for a company, I wait for cyclical lows for entry opportunities. A friend enters APPLE every year with huge capital, and makes roughly nothing less than 30% by just flowing with the cycle.

3. Exit strategy
I am poor at this. My kinds of stocks also make me not to worry too much about exit price. Intel was giving decent dividends when I exit it over a year ago partially bevause of the resons in my nect post. Warren Buffett has been keeping and increasing his position in APPLE, AMEX, BAC for decades, and has never lost his title.

Summary: I am learning just like most, but I have developed an approach to the market that insures the return of my money and still gives me comfortable return on my money.

The resources I value are: financial statement, earnings guidance, macroeconomic news, consumer sentiments and behavior, market appeal of the company of interest, etc. Great books discuss these in details.

Thanks very very much for taking your time to explain this to me.
Really appreciate.
About the books, can you list some for me to go through?
Thanks

emmanuelewumi:
Do you have an Investment account with United Capital Asset management?
Existing loans will continue with the old rates until when the customer rollovers the loan for another 6 months

Do you have an Investment account with United Capital Asset management?
Yes, I do have it. Both for trading and mutual fund

Which of the investment account products did you invest in?
I am on using them as my broker for stocks presently. I want to be sure I can get a loan before investing in their mutual fund.

Who is your account officer? What is the purpose of the loan?
A lady called Eyo. I enquired about the loan thing from her. She said yes but can't really provide any number for me since then


Interest rate for new loans is now reviewed to 25%. - I can work my numbers around this

[quote author=yMcy56 post=128979721][/quote]Thanks very much Madam Mercy

emmanuelewumi:
You can access 85% of the official exchange rate equivalent as a Naira loan at 20% per annum from UC Plus Advance Ltd a subsidiary of United Capital

Hello bro.
Please can you help me with the contact of this people?
Thanks

Locotrader:
Deadly truth & other investors of IEI,

I am still waiting for the answer of the question I asked yesterday.

IEI will be trading at a bargain junction today.The stock is likely to touch #1.21 today.

If they still have their minority shareholders in mind, buying at the lowest price of #1.21 today shouldn't be neglected.

My worries
I learned the core investor bought the company 100% at 1.60 per share.Based on their latest report, the core investor has 50.6% of the total shares.From my findings, the core investor has applied for a mandatory takeover bid of the remaining 49.4% which belongs to the minority shareholders but at what price?

Whichever way, the stock at #1.21 down to #1.00 is a win win and I will be entering the stock at it's 10% loss today.

Still expecting your views/opinions on this matter.

Which one is IEI bro? Couldn't find it on investing.com app
Have been following your contributions on the thread and I will say kudos to you.
Have bought some champions and tip stocks after checking their fundamentals which kind of suite me aside champions free cash flow report.

Capitas7:
I mentioned in a post that discussions rarely happen here. I said so because we stand to gain a lot from one another when we share thoughts, constructively criticize stock picks, analyze data (financial statements, valuation metrics and charts), and even discuss sentiments.

A fellow shared their thoughts on Lucid and two of us replied with an opposing opinion (politely and constructively too). I have been checking that stock not for the purpose of coming back to say "I told you so", or to check how the said person is killing it, but to evaluate their prediction alongside my divergent opinion and make myself better.

Many made a kill in the 2020 bull run, and another one is on us; we can make a kill too.
When I mentioned (in Nov, Dec, Jan) the upcoming bubble in the AI space and the growth visiting the mag 7, it was already happening and that is why many of such stocks are overvalued (bubbly) today waiting to be bought by latecomers before correction (burst). The kill is in buying the rumor and selling the news like smart monies do - me sef advise babe to buy NVIDIA at less than $140, and the rest na story.

Together we can identify the next rewarding sector/idea, but it starts with discussions, not only 4 or 5 persons sharing their picks or transactions without receiving opinions or criticism or supporting ideas in return.

We are here to learn and build wealth!

Agreed but it seems some here won't interact with you unless you subscribe to their paid subscription. I guess that is the reason for the low turn out here.
Also, most Nigerians are into local stocks and not foreign ones.
I am just also about diversifying into foreign stocks due to devaluation, so am very careful in treading this part

Capitas7:
"I make no effort to forecast the market - my efforts are devoted to finding undervalued securities." - Warren Buffett.
One of the secrets of being successful in the stock market is developing a strategy that works for you and using the experience of successful investors (or maybe traders) to refine yours as you grow.
I have since learnt to remain a long term investor searching for value and buying at discounts - it works for me, and I continue to share/mention such stocks here.

NB: I do not see the tendency of 200% increase in price when I pick a stock for monitoring or entry - I just want to identify an underpriced one, and remain in the bus before news and attention start shining light on it. In my strategy, 30-40% capital appreciation in value stocks is a fortune, and the merrier when it even does 100% or more!

Hello bro
What strategy do you use in evaluating an undervalued stocks? When to enter and your exit strategy

monopolistic:
Hi Emma,
This is Mr Tim ,Thanks for previous respond, I cant access my email anylonger, What was the respond from shariff84 About the rice ordered.
I called him today and he still didnt pick.

He said he will refund your money.

slimmax:
Oh boy 👦, knock me out for 20mill dollars.
If uppercut no do I fit set face make you followup with a hook

Duelee:
Anybody here knows a way I could be the next to fight AJ or any other in line? Don't tell me to walk or fight my way up. I wanna be madly beaten just to pocket 10 million dollars afterwards, live happily ever after with atleast one or two missing teeth. Okay, I don't care if they knocked out half of my teeth!

Call me with the number on my signature

Don't worry. With $10m, you can always get a new set of teeth

Farrason:
He made $10M for beating up and double for allowing himself to be beating up. This is good business. I am interested.

Procashtips:
Start reading about Nebuchadnezzar.

Idrismusty97:
I found that investing in US stocks is far more profitable in the short term than NGN stocks. In just two months the US stock i was experimenting with have more than doubled in value and this in not counting the dollar rate i bought it at N1200 which is now about 1500.

Which dollar stocks are you buying bro? and which app are you using?

Emeka1441:
but why e be say na only nsempa get This pessimistic outlook.. every other forum have been spilling optimism

Which other forums do you follow on stocks bro?

Malroux:
OP see the people I'm telling you about. As if fufu is a gold in Nigeria.

Malroux:
Onanuga and BATists will tell you that this particular size is 56 thousand naira in Ghana so you should be happy to buy it at hundred naira here. What an amazing people!

Testimonies777:
I use Tradezero {USA] and I think their charges are better. You can register with them as a Nigerian and they have a live platform like Morgan. You can even short with them.

Okay. Thanks very much.
Will download it now

Willie2015:
Foreign apps are better than local one...
I use trading212 and Etoro...
Both zero commission on buy & sell ..
Downside is that they dont accept Naija...

Chaii

incogni2o:
Thanks for the summary.

at least, we sef dey use your notes travel in our fantasies, make I use small youtube video join am.

ticking Norway from my bucket list

Chaii

Poverty na bastard

sgtponzihater1:
Yes. If you don't have access to foreign brokers. As that's the next best option.

Aiit

Thanks

sgtponzihater1:
There is Bamboo, Chaka, Trove, Risevest etc. They are all legit. Do your research as to the cost implication of joining any of them.

I use Chaka as it seems most reasonable in terms of cost of dealing.

Welcome on board .

PonziHater

Thanks Ponzi.
For a sizeable trading capital of let's say $5,000. Is Chaka good to use? Because have seen where Yok discussed about using Chaka for small capital while for investments above $500, other foreign apps are better

Vic2023:
🇸🇩 🇵🇸 Sudan tops list of international humanitarian emergencies, Palestine second

The International Rescue Committee (IRC) has been monitoring crises and conflicts in 20 countries that are likely to worsen this year. The IRC's 2024 Emergency Watch List is divided into the top 10 classified countries and the second half unclassified.

Among the top 10 ranked countries, Sudan ranked first on the watch list due to the ongoing war between the Sudanese Armed Forces and the paramilitary Rapid Support Forces.

Palestine came in second, with the Gaza Strip being the world's deadliest place for civilians in 2024. Nearly 30,000 Palestinians have been killed in Israeli attacks since October 7, 2023, according to the enclave's authorities.

South Sudan ranked third on the list of the 10 worst global crises, followed by Burkina Faso, Myanmar (Burma), Mali, Somalia, Niger, Ethiopia, and the Democratic Republic of Congo.

Subscribe @sputnik_africa

🔸 <a hre...

Jesus Christ of Nazareth.....what a continent we are.
Out of top 10 countries that will require emergency aids, 8 are from Africa.

Hmmmmmm..... A cursed continent