₦airaland Forum

TerraCota:
https://doclib.ngxgroup.com/Listings-site/corporate-disclosure-site/Documents/GTCO_Announcement_of_Private_Placement_.pdf

It is on NGX ......

Letter is dated 30th and offer is closing 31st. Seems they already have a buyer waiting. It doesn't seem right. It's basically selling to a preferred buyer at below market price. Seems wrong

awesomeJ:
GtBank doing N10bn PP at N80.

Link pls, abi are you an insider?

emmanuelewumi:
Based on the type of the business they do , some of those earnings are not backed by cash


What I do is to add a premium of 60% to 80% to the dividend paid and take that as my EPS for the basis of my valuation.

If a bank paid a total dividend of N5, I will assume the EPS to be between N8 and N9

Fair enough. I don't agree but I understand why you think so

Agbalowomeri:
We don tell Oga Nosa repeatedly o. Most of the bank earnings are fickle and not as "real" as sectors like consumers. I can't remember seeing PE of any bank beyond 5 in the last 15 years. Na GTB dey reach 5 sef because of the premium attached to it.

If I am wrong I lose some money. If I am right you guys will turn to incremental buyers. Time will tell

PoultryStuffx:
It's basically an app similar to the likes of bamboo. I can see that you have a stock and investment website forum so having an application like what I'm presenting to you can be very beneficial as you can generate leads from your forum.

Kindly let me know if you need more information.

Are you licensed and operating or its just the app

emmanuelewumi:
Better to also give a discount of 30% to 50% to the earnings of the banks.

Why?

Agbalowomeri:
NGXBNK rose from 350+ to over 1500 within 2-3 years. Which other repricing are you hoping for? Now na fundamentals and dividend go determine price for banks

Make I plug shamelessly small.......

Based on today's closing price

Zenith bank
forward PE 2.53
Expected Return on Equity 21.53%
Q3 Net profit margin 22.65%

Eco-bank Transnational
Forward PE 1.59
Expected Return on Equity : 25.82%
Q3 Net profit margin: 19.86

Now I dare anyone to find a listed company outside the banking sector that has similar profit margins and return on equity that is trading at similar earnings multiples.

Banking sector is grossly under priced relative to the market.

I have asked questions from other investors as to why they think this is the case and I am yet to hear any valid reason.

So yes, a repricing is necessary. Either the general market falls or the banking sector rises. The status quo makes no sense.

P.S I have one more investment to make in the banking sector in the first half of January but aside from that I am invested in the two stocks mentioned and as such you can look at it as me trying to sell my market.

Streetinvestor2:
It better for the person use his money to go play betnaija instead of this kind projection

N40 is low oh

mikeapollo:
How do you conclude that repricing has finished? There are still items that would need time to ''reprice''

repricing just dey enter banking sector

Agbalowomeri:
Repricing in dollar terms? Repricing has finished

I am of the view that the repricing in Naira terms is just beginning.

FGN budget has gone up, income for the population needs to go up, then assets will go up. Note that while some assets adjusted quickly others will take time, especially those that are used by the "masses" (non luxury real estate etc).

I believe we are witnessing rent going up.

With regards Geregu deal the buyers are betting that power sector issues will be solved. It is a bet I am willing to take not at these exchange prices though. Let gravity do a lot of work first. I can buy at market multiples though

emmanuelewumi:
Sold to a Money Miss Road, he is good at marketing his stocks to next extremely rich newbies

I don't think so oh. Nigerian assets are going to be witnessing significant upward repricing for some time

PoultryStuffx:
Anyone ready to acquire a newly developed stock and investment app? Kindly let me know to provide more information.

Please give more details

otokx:
Seconded so what can we buy?

My order for ETI just got filled. I bought some yesterday and bought more today. Average price is N42.47 so I'm in the red right now

otokx:
Thanks for the heads up.

I hold Zenith bank and I am not selling anytime soon. I am very bullish on it

Raider76:
Chai! Imagine holding Geregu now and you really want to sell.

I had to go check the order book. SEE OFFERS!!!

Raider76:
Looks like GTCO is firing it's engines.

Zenith bank just dey do anyhow

Streetinvestor2:
I guess it answers the question u asked me..lol.Dearis God oh

This is what I don't get, it took me months developing and tweaking the spreadsheet I am using right now to guide my moves in the market. That's not to mention the countless books, articles and news programs I watch just to catch the next opportunity. After all that work (and I know people who do a lot more work) you now expect that just by calling guru in the house you will get free advise?

Lets be honest we are all taking educated guesses here, you win some and you lose some. Just yesterday I chop cool 8% loss on PZ wey I enter just before result. On the flip side what I rotated into seems to be doing the lord's work.

My point is that the real "Dearis God oh" behavior is from people who just think that by coming to a free forum you can actually get good reliable investment advise.

I can give advise oh, but only advise that I believe will benefit me first or at the very least wont hurt me by adding to demand or supply of what I am interested in.

pluto09:
You mean a newbie should buy Transcorp hotel with a p.e of over 100

If newbie no buy who veteran go sell to?

Streetinvestor2:
Nice idea so that the people here or the thread can help your ministry. Ok now,una done hear.All should get ready to buy it..lol

Who do you think is my number constituent?

handsomebolanle:
The next bagger has started moving.
No one here will tell you but it moved in the last 2 trading sessions.
I will just get it at whatever price today. Tired of my bid failing. Naming it could be misrepresented as MH.
Shalom

I agree but I don't think we are looking at the same name. I'll post after I finish buying today

hallysonia:
oga nosa, I left a message for you on your blog, ngxforum.com

Responded

leo1234:
Lol @sexy



I need to develop this type of mindset.

Zero emotion towards any stock, not minding the public reactions to the financial report.
I am sure some people already bought at the highest price today.

With time you will learn that there are no gurus in this game and the majority view is often wrong. Then you need to develop your own metrics for valuing stocks and stick to it no matter what.

For me it is a relationship between price to earning ratio relative to the market, price to book value, profit margin (relative to industry peers) and return on equity. I stick to these and I do not budge; and it has served me well so far

Raider76:
I de salute Oga Nosa. Vitafoam hasn't even moved up before it starts coming down. Probably their March 2026 payment date is the problem.

I wasn't impressed by the result. For me the stock will be sexy at N40 pre bonus.

Will it get there? Probably not anytime soon

NSEstudent:
I stubbornly placed a bid at 87, then 88 and didn't get.

I won't be bidding for it if it starts from full bid. I will wait for it to come down. If not, I won't be buying it anymore.

Be patient. Gravity is coming for this stock

hopeful95:
I share in your sentiments too. Barring any black swan events, 2026 will likely be one of the best years for our economy in recent years.

This is not a political statement as some tend to construe such. Well, there is near unanimity amongst analysts, home & abroad, about this. Those that cover SSA & EM are all saying they'd long Nigeria. PZ just told you so too.

One hopes that the FGN stays the course & improves its fiscal performance especially since CBN's stellar performance is largely fuelling this renewed confidence.

I don't know about the 2026 prediction but I totally agree with you.

chimex38:
Of course. You're right. Not comparing ours to theirs(USA).

But ours to ours.
Exciting industries to boring industries.
it's not advisable to buy any Nigerian stock for long term over 3-10yrs and look away without looking at AFS from time to time..
I think at the very least twice a year is ideal.

That said,
But looks like the exciting companies necessary for development don't sustain growth for long as govt policies and volatility seem to always happen to them.

But the less dependent, mundane or boring ones seem to find a way to sustain and compound growth for 4-5 years at least before being affected.

In my opinion buy and hold is what will pay now in Nigeria oh. The removal of subsidy, building of refinery and liberalization of the FX market is going to do wonders for our economy over the next 30 years. Forget the short term pains, Nigerian economy is going to the MOON.

I AM ULTRA BULLISH ON EVERYTHING NIGERIAN IN THE LONG TERM

chimex38:
Exciting industry works for traders and Jijoist in Nigeria.
ride on the euphoria and the time-frame of such euphoria.

exciting industry riding on CNG mantra that later turned to one-off performances.
NIPCO(though still doing well).
RT-Briscoe

Advent of DR in 2023 made these secure licence and create one-off euphoria that never got sustained.
Eternal
Con-oil
Total

I don't think Exciting industry pays in Nigeria for long term investments cuz the fundamentals to support them are still lacking.
Power, Gas production, steel prodction, security, food security, inadequate funds to scale massively, policy and implementations, etc.
Ironically, each of these fundamentals depend on each other.


Most Companies who engage in these boring fundamentals without dependants tend to create the consistency and compounding effect required.

I suspect what I am about to type will not apply going forward but if for the last 40 years of your life you have applied a buy and hold strategy for the Nigerian index you would be a lot poorer today.

The Nigerian currency and economy has been on a downward spiral for the past few decades. This i suspect is changing. You want to compare buy and hold for the best company in Nigeria to buy and hold for an apple or an Nvidia or Costco or Walmart. Dey play

emmaodet:
I am voting for TIP, Ellah Lakes (if they put their house in order)

I agree with TIP

emmanuelewumi:
Stock price of Vitafoam in 2012 and 2013. The stock also gave bonus shares on 2 occasions before the current bonus shares

Can you see that the return beat inflation and currency devaluation

I have not said it is a bad company but given current market clime it is a bad stock to buy

Streetinvestor2:
Which stocks will deliver like vitafoam or Nahco by 2030 is the big question on my mind
The search has begun

The top 5 Nigerian banks would.

Vitafoam returns are not that special given what our market has done in that period

emmanuelewumi:
Money spinning stocks are also into boring businesses

For a country like Nigeria. When dealing with a well diversified economy/market exciting industry dey pay oh

Itzlinda:
One of my mentors said investing should be boring not fun.

The act of buying and waiting for your thesis to play out is BORING

Researching and finding a new opportunity which few people are seeing is one of the most exciting thing you can do.