sterlingD:
Meanwhile BUAFOODS is quietly and stealthy closing in on N200

onegentleguy:
A breakdown of the revenue of different coys and how their cost line impacted earnings delivery.

Pertinent questions;
1) What companies were (more) efficient at optimizing cost? (an offshoot of better CIR and improved AsY)
2) What companies were better at earnings delivery? (ref: higher NPM, ROIC/ROCE, CROIC, CCC, CGPM etc)

A focus on the banking sector and any Jack will clearly see the logicality in choosing GTB ahead of ZENITH and UBA ahead of ACCESS at present. (portfolio weighting in view)

ZENITH amassed over 87.9% more RM (revenue margin) than GTB, yet GT delivered over 1,020bps in NPM than it.
Similarly, ACCESS amassed near 78% more RM than UBA, yet UBA delivered about 1,132 bps in NPM than it.
...a clear indication of their efficiency at utilizing less capital to deliver more!

Notice the wide margin btw UBA & ACCESS. ...even more than that btw GTB & ZENITH.
Again, notice the slight difference in key VPDs (NPM, CGPM, JPBG, CBR/CRM, AsY/AsQ etc) btw ZENITH and UBA.
UBA is doing something right!

GTB has the highest NPM. ...a clear indication of her prudence, efficiency and moat-like position at delivering higher value among the key banking names.

There's something STANBIC is also doing right!
The lenders NPM is only battered by that of GTB despite having the least RM therein. (just approx 1/5 that of ACCESS)

It is not surprising that UBA, GTB and STANBIC currently has the best well diversified and effectively assigned loan & investment driven portfolios amongst DBMs.
The EM and EFIR weighting (a make-up of FL) of those 3 is yet another solid reason we prefer them ahead of their peers.

Inference: GTB, STANBIC & UBA in that order were miles more efficient amongst the top banking names.
Little wonder why they have a better AsY/AsQ in view of key VPDs and EDs in their financial print.
ZENITH and particularly ACCESS performed below par.

I love those 3 in bold but am especially fond of the last name (UBA) in view of its CMP.

A similar analysis on other (tier 2) DBMs and one can easily peg FIDELITY, STERLING BANK and FCMB as the 3 best placed coys on value accretive stance from LtR in that order.
But then again, I have a much higher preference for STERLING BANK in view of its CMP.

It's only but a matter of time before UBA and STERLING BANK reprises to reduce the wide margin of disconnect btw their CMP and intrinsic valuation. (RRM in view)
...just a matter of time!

We have said this much in the past.

CAVEAT: The need for due diligence should still take higher precedence ahead of this post. Due diligence still applies as always.

yMcy56:

And STANBIC........Wonder what's driving the stock!
Closed @75.50 yesterday.......
Sighted @83 today........though not yet moved officially......
Now @83.05!! Back to 74........insider dealings.....

Can GT and ZENITH ever close this gap?

lancee:
I wish !!..We keep wtching

yMcy56:

Oga lancee you just silent for all these UBA moves......hope you're not out of it sha.

Btw, FIDELITY in last minute move.......

onegentleguy:
Was told that CHAMS is now trading for N1.33.
Well, am not surprised at all after holding up against sell pressure at that strong support zone of btw 83-90k
Will still break it's YtD high of N1.39 and drive on periods of HH and HL to YE, 2023.

The GMD, Mrs Mayowa Olaniyan was recently quoted as saying that; CHAMS plans to deliver triple digit YoY growth in 2023 during the NGX presentation of the firm’s H1, 2023 report.

CHAMS will go places in the mid to long term!
I remember repeatedly highlighting the inherent potential in the coy at the time it was trading for just 20k.
...it has since delivered over 560% ROI!

Can it do more? Absolutely!

That coy has loads of potential yet 'untapped'.
I did highlight many of them in the past.
N1.8--N2 is possible in view of current happenings in the company.

Congratulations to those who bought then.
To the guy I advised to hold his stake after offering to sell it to me (even at a discount from 20k), you are yet to pay your tithe oo!
Pls do so, so the ministry can continue to move forward.

CAVEAT: NOT an investment advice. The need for due diligence should still take higher precedence ahead of this post.

essentialone:
Universal Insurance, kilode?

214,348,351 units bought and sold off already.

jideflash:
arrogant newbies looking for free stock-picks from gurus that have spent years learning the core of stock investment with several school fees paid. We spend long hours digging through financial results and studying market dynamics before coming here to share. But some disrespectful newbies think its easy to make money in the market, because its bull season. ok o.

DO YOUR OWN RESEARCH. Nobody will be held responsible for any LOSS from stock-picks given (not even you broker's recommendation), as No-one benefits from your PROFIT.

princezino:
Wait first o... by definition, Guru is term for a "mentor, guide, expert or master" of certain knowledge or field. In pan-Indian traditions , a guru is more than a teacher: traditionally, the guru is a reverential figure to the disciple (or shisya in Sanskrit, literally seeker [of knowledge or truth]) or student, with the guru serving as a "counselor, who helps mold values, shares experiential knowledge.
The wisest gurus are often the most humble.
I come in peace 😎

Because u feel you are experience in a way of making money doesn't means you are in control of all means of making money, that is if I considered you to be experience. If you are angry at some people you don't generalize your angry response in order to avoid being disrespected, sometimes, not keeping quiet if you can't help will do you alot of good.
Mind, no newbies relied on your experience to get their capitals, let that sinks.
For the fact that we need your help today in this area doesn't mean you can't need our help in another area on another platform as nobody know it all. Mind you, investment is just one of the ways of building wealth and not the only one.
If you will referred to me as an arrogant person, no matter how much your experience is, kindly pocket it and never bring them out because I believed you have nothing serious to offer me, successful people I know are humble and always ready to help people that seek their help in terms of knowledge.

You are no different from Steven akintayo, that always wants to monetize everything.

Besides, is your name a guru? I know my gurus and others know who they regard as guru.

Thanks the gurus in the house for the valuable job you have been doing, we appreciate you all.

princezino:
Wait first o... by definition, Guru is term for a "mentor, guide, expert or master" of certain knowledge or field. In pan-Indian traditions , a guru is more than a teacher: traditionally, the guru is a reverential figure to the disciple (or shisya in Sanskrit, literally seeker [of knowledge or truth]) or student, with the guru serving as a "counselor, who helps mold values, shares experiential knowledge.
The wisest gurus are often the most humble.
I come in peace 😎

Because u feel you are experience in a way of making money doesn't means you are in control of all means of making money, that is if I considered you to be experience. If you are angry at some people you don't generalize your angry response in order to avoid being disrespected, sometimes, not keeping quiet if you can't help will do you alot of good.
Mind, no newbies relied on your experience to get their capitals, let that sinks.
For the fact that we need your help today in this area doesn't mean you can't need our help in another area on another platform as nobody know it all. Mind you, investment is just one of the ways of building wealth and not the only one.
If you will referred to me as an arrogant person, no matter how much your experience is, kindly pocket it and never bring them out because I believed you have nothing serious to offer me, successful people I know are humble and always ready to help people that seek their help in terms of knowledge.

You are no different from Steven akintayo, that always wants to monetize everything.

Besides, is your name a guru? I know my gurus and others know who they regard as guru.

Thanks the gurus in the house for the valuable job you have been doing, we appreciate you all.

princezino:
Wait first o... by definition, Guru is term for a "mentor, guide, expert or master" of certain knowledge or field. In pan-Indian traditions , a guru is more than a teacher: traditionally, the guru is a reverential figure to the disciple (or shisya in Sanskrit, literally seeker [of knowledge or truth]) or student, with the guru serving as a "counselor, who helps mold values, shares experiential knowledge.
[/b]The wisest gurus are often the most humble.[b]
I come in peace 😎

moneymanager:
Oya, you guyz should confess here. Which one of you is pushing UBA stocks like this.
There is heaven Ooooo

Hogwarthtrades:
note of caution Dear @onegentleguy do you care to bring clarity to the statement comparing the projection of OANDO and IMG considering their addressable market are like parallel lines. isn't that misleading *Read in Passive tone. The aim of the question is for educational purpose not interrogative * stay blessed.

Frangel:
OANDO Plc
Impressive 2021 financials. Not out of the woods yet.

The Notes to the accounts are important. Kindly review the Notes, especially Note 50 on Going Concern.

For the minority shareholders projecting to defeat the delisting plan, the court requires 3/4th votes to approve it. Significant shareholders already control 74% and will determine the outcome.

Just my observations.

Frangel:
OANDO Plc
Impressive 2021 financials. Not out of the woods yet.

The Notes to the accounts are important. Kindly review the Notes, especially Note 50 on Going Concern.

For the minority shareholders projecting to defeat the delisting plan, the court requires 3/4th votes to approve it. Significant shareholders already control 74% and will determine the outcome.

Just my observations.

Frangel:
OANDO Plc
Impressive 2021 financials. Not out of the woods yet.

The Notes to the accounts are important. Kindly review the Notes, especially Note 50 on Going Concern.

For the minority shareholders projecting to defeat the delisting plan, the court requires 3/4th votes to approve it. Significant shareholders already control 74% and will determine the outcome.

Just my observations.

essentialone:
INDEPENDENT AUDITOR RAISES CONCERN AS OANDO SINKS FURTHER INTO DEBTS

BDO Professional Services Chartered Accountants, the independent auditor of Oando Plc, has expressed worries over the company’s ability to continue as a going concern.
The company’s liabilities have again exceeded its assets, the auditor said.
The auditor raised its red flag in Oando’s audited annual reports and consolidated financial statements for the year ended December 31, 2021, released on Monday, September 18. It disclosed that the company’s current liabilities exceeded its assets by N237.8 billion, as it reported net current liabilities of N202.4 billion in 2020.
The company also reported net liabilities of N202.2 billion from N174.1 billion in 2020 and a total comprehensive loss of N28.12 billion from N45.31 billion in 2020.
According to financial analysts, when current liabilities exceed current assets, the current ratio will be less than one. In that situation, the company might have problems meeting its short-term obligations. A further look at the audited report showed that the group delivered a sign of recovery, posting a total comprehensive income of N30.6 billion in 2021 from a N132.8 billion loss in 2020.
However, the group’s current liabilities exceeded current assets by N674.8 billion from net current liabilities of N578.2 billion in 2020. The company also reported net liabilities of N129 billion from N67.7 billion in 2020...

mikeapollo:


Please do not spread wrong information here!
The minority shareholders are NOT projecting to defeat any delisting!
Rather, they are the ones that went to court and requested for a buyout, and Oando is mandated to make an offer based on SEC rules and regulations, and Oando offered N7.07 per share .
The Court then ordered that a special AGM must be held for all individual shareholders to either accept or reject the buyout offer! That is where we are now.

Don't use your own sentiments to spread lies and create mischief here.
Recently you said the buyout had been approved and I challenged you to tell us where and when the AGM was held to approve the buyout.... and you disappeared for more than a week.
Now you are back with another misinformation.!

mikeapollo:


Please do not spread wrong information here!
The minority shareholders are NOT projecting to defeat any delisting!
Rather, they are the ones that went to court and requested for a buyout, and Oando is mandated to make an offer based on SEC rules and regulations, and Oando offered N7.07 per share .
The Court then ordered that a special AGM must be held for all individual shareholders to either accept or reject the buyout offer! That is where we are now.

Don't use your own sentiments to spread lies and create mischief here.
Recently you said the buyout had been approved and I challenged you to tell us where and when the AGM was held to approve the buyout.... and you disappeared for more than a week.
Now you are back with another misinformation.!

Ades1:




Oga mi, most people invested in Oando are not invested because of of Fundamental Analysis(FA), Or Sentimental Analysis(SA) for that matter. Most people are in because of Commonsense Analysis(CA).

I got in N4.40 when the N7 buyout was announced, at that time, N2 gain was my target, as soon as Jagaban was announced as the president elect, I bought a ton more at N4.80 because we all know how things work in this country! Anyways, today, I sold about 30% of my holdings to recoup my investment! You see that 70% left? It is on AutoPilot until something drastic happens. Yes, there is massive risk in Oando, but as long as Jagaban family dey in control, I am in this bus till we get accident!

essentialone:
Request for permission to post long write-up:

INDEPENDENT AUDITOR RAISES CONCERN AS OANDO SINKS FURTHER INTO DEBTS

BDO Professional Services Chartered Accountants, the independent auditor of Oando Plc, has expressed worries over the company’s ability to continue as a going concern.
The company’s liabilities have again exceeded its assets, the auditor said.
The auditor raised its red flag in Oando’s audited annual reports and consolidated financial statements for the year ended December 31, 2021, released on Monday, September 18. It disclosed that the company’s current liabilities exceeded its assets by N237.8 billion, as it reported net current liabilities of N202.4 billion in 2020.
The company also reported net liabilities of N202.2 billion from N174.1 billion in 2020 and a total comprehensive loss of N28.12 billion from N45.31 billion in 2020.
According to financial analysts, when current liabilities exceed current assets, the current ratio will be less than one. In that situation, the company might have problems meeting its short-term obligations. A further look at the audited report showed that the group delivered a sign of recovery, posting a total comprehensive income of N30.6 billion in 2021 from a N132.8 billion loss in 2020.
However, the group’s current liabilities exceeded current assets by N674.8 billion from net current liabilities of N578.2 billion in 2020. The company also reported net liabilities of N129 billion from N67.7 billion in 2020.
Oando Group comprises Oando Trading, Oando Clean Energy, and Oando Energy Resources.
A Nigerian multinational energy company operating in the upstream, midstream and downstream, Oando had suffered a two-year run of losses that began in 2019 when it reported loss after tax of N207.1 billion in 2019 and N140.7 billion in 2020.
The ICIR reported on June 30, 2022, that Oando was on the verge of voluntarily delisting from the capital market due to the enormous losses.
The company had been entangled in a messy shareholder dispute that involved an indirect shareholder, Ansbury Investment Inc., which prompted the Securities and Exchange Commission (SEC) to bar the firm from holding its annual general meetings, making it impossible to release its financials for three years.
At the heart of the conflict were loans granted to the shareholder, which forced Oando to make a colossal impairment allowance that pushed the company into a loss after tax of N207.1 billion in 2019 and N140.7 billion in 2020.
Background to the conflict
In 2017, the SEC received petitions from two shareholders who accused Oando of regulatory infractions, including corporate governance lapses and mismanagement.
Investigating the claim, the SEC sanctioned the group by suspending its AGM in 2018. It even attempted to get the company’s Group Chief Executive, Wale Tinubu, and other affected board members to resign in 2019.
The ICIR reported that Oando could not produce its results for over three years due to the SEC’s suspension of its AGM in 2018.
Negative operating cash flow
Although the group recorded a N30.6 billion profit during the year due to the net reversal of assets impaired in previous years, the company continued to incur losses with negative operating cash flows.
The independent auditor, in its notes, stated that the reversal of this trend was dependent on a successful outcome of its planned actions to refinance its debts to manage the funding gap of N768.1 billion and the attainment of revenues in the group forecast for the year ending December 31, 2023. “As stated in the notes, these conditions, together with other matters, indicate the existence of a material uncertainty that may cast significant doubt on the company’s and the group’s ability to continue as a going concern and, therefore, may be unable to realise its assets and settle its liabilities in the ordinary course of business. “Our opinion is not modified in respect of this matter,” the independent auditor stated in its report signed by Henry Omodigbo for the BDO.
The audited report also revealed that the firm recorded negative operating cash flows of N14.4 billion while the group recorded N38.8 billion, up from N36.2 billion in 2020.
As of the balance sheet date, the group could not achieve payment of the outstanding principal on the medium-term loan of N92.2 billion and the corporate facility of N97.4 billion.
It could not pay its total accrued interest of N65.6 billion and settlement of other net current liabilities (excluding current borrowings and accrued interest) of N315.7 billion.
After the reporting date, the firm has continued to incur significant borrowings, including funding of operations and partial repayment of borrowings.
The group recorded unaudited positive revenue variance in 2022 due to increases in oil prices and higher trading volumes.
However, the independent auditor stated that the increase in revenue did not translate to a corresponding increase in gross margin and positive cash flows from operations.
Consequently, the firm needed help to achieve the planned repayment of outstanding borrowings during the year.
Furthermore, the auditor hinted that the company and group recorded unaudited total comprehensive loss, net current liabilities and net liabilities at the end of 2022.
The group’s outstanding borrowings amounted to N506.7 billion (unaudited), excluding interest as of December 31, 2022, with N402.4 billion out of the N506.7 billion being due within twelve months.
The independent auditor stressed that Oando’s forecast to return to profitability by 2024 highly depended on the stability of crude oil prices within the current range.
It also depends on the Oando’s ability to engage in activities that will increase production volume and intensify security surveillance to arrest crude oil theft.
Production declined by 40% in one year
During Oando’s operations in 2021, its oil production dropped by 40 per cent.
Average production was 26,775 barrels of oil equivalent per day (boe/day) in 2021 compared to 44,550 boe/day in 2020.
Production consisted of 8,849 barrels per day (bbls/day) of crude oil, 1,699 boe/day of natural gas liquids (NGLs) and 97,363 million cubic feet per day (mcf/day) or 16,227 boe/day of natural gas.
Oando blamed the production decreases on shut-ins for repairs, maintenance, and sabotage incidents at the facilities. “Although a surge in militancy and sabotage activities across the Niger Delta negatively affected our operations during the reporting period, we have since seen progress in security initiatives and are consistently seeking innovative solutions to stabilise our oil and gas production. “Moving forward, we remain committed to driving growth within our upstream and trading businesses whilst simultaneously diversifying our portfolio by investing in non-fossil and climate-friendly energy solutions through Oando Clean Energy Limited,” Tinubu said.

Ades1:




Oga mi, most people invested in Oando are not invested because of of Fundamental Analysis(FA), Or Sentimental Analysis(SA) for that matter. Most people are in because of Commonsense Analysis(CA).

I got in N4.40 when the N7 buyout was announced, at that time, N2 gain was my target, as soon as Jagaban was announced as the president elect, I bought a ton more at N4.80 because we all know how things work in this country! Anyways, today, I sold about 30% of my holdings to recoup my investment! You see that 70% left? It is on AutoPilot until something drastic happens. Yes, there is massive risk in Oando, but as long as Jagaban family dey in control, I am in this bus till we get accident!