If You Invested N1m In GTCO Stock 5-years Ago, Here’s How Much You’d Have Now - Investment - Nairaland
Nairaland Forum › Nairaland General › Investment › If You Invested N1m In GTCO Stock 5-years Ago, Here’s How Much You’d Have Now (2387 Views)
| If You Invested N1m In GTCO Stock 5-years Ago, Here’s How Much You’d Have Now by MCentral(op): 12:17pm On Jul 15, 2025 |
Guaranty Trust Holding Company’s (GTCO) stock has rallied unbelievably over the past five years, creating enormous wealth for its shareholders. The company has grown into Nigeria’s largest financial Holding Company/ Bank by market capitalisation. GTCO is valued at around N3.41 trillion as of July 2025 with the stock up 135% in the past year. Early this month, Guaranty Trust Holding Company (GTCO) made history by becoming the first West African financial institution to have its shares listed on the London Stock Exchange (LSE). The development has made GTCO to be dual-listed on the LSE and the Nigerian Exchange Limited (NGX). Speaking at the official listing ceremony, the Group Chief Executive Officer of GTCO, Segun Agbaje, noted that investors can now benefit from the best of both worlds with the listing. He said, “We have created another backroom for you to raise capital. That is why we call it the best of both worlds; you have the Nigerian Exchange Limited, and we have the LSE. We want to unlock Nigeria and Africa.” How much money you’d have if you invested N1 million in GTCO Every investor wishes they could go back in time and invest in the best stock market performers. Five years ago in July 2020, GTCO was trading at N21.50 per share. In its 2020 fiscal year, Guaranty Trust Holding Company (GTCO), formerly Guaranty Trust Bank (GTBank), reported a Profit Before Tax (PBT) of N238.1 billion. Fast forward to its 2024 fiscal year, the GTCO Group reported profit before tax of N1.266 trillion, representing an increase of 107.8% over N609.3 billion recorded in the corresponding year ended December 2023, and 431% increase compared to 2020. With that kind of growth and profitability, it’s easy to see why GTCO has been one of the best long-term investments on the NGX. Here’s how much a N1 million investment in GTCO is worth today if you’d made it five years ago in July 2020, according to MoneyCentral calculations. (The calculation is based on the July 17, 2020 closing price of N21.50 with historical data from Meristem.) 5 years: A N1 million investment in GTCO five years ago (in 2020) has grown by 338 percent and would be worth N4.36 million as of today. The investor would own 46,512 shares of GTCO, which are now worth N4.36 million as GTCO closed trading at N93.85 per share on Monday (July 14, 2025). In addition GTCO has paid the following dividends since a hypothetical N1 million investment was made in 2020: N3 per share dividend in 2020 N3 per share dividend in 2021 N3.10 per share dividend in 2022 N3.20 per share dividend in 2023 N8.03 per share in 2024 This will translate to total dividend income of N945,588: 2020: N139,536 2021: N139,536 2022: N144,187 2023: N148,838 2024: N373,491 The above assumes an investor bought N1 million worth of shares in 2020 @ N21.50 per share to own 46,512 shares and didn’t sell. Note that if you sum up the dividends gotten since initial investment you would have made N945,588 already back on your initial N1 million investment. Meanwhile that initial investment value has increased to N4.36 million as of today. Total returns which in finance is (capital gains plus dividends) will be N5.3 million If you hold on to your shares you will continue to earn dividends that will continue to increase as the bank surely expands and makes money. The value of your 46,512 shares will also continue to go up. Impact of FX/ Dollar devaluation People however also look at the impact of dollar devaluation on their portfolio. In 2020 the average Dollar to Naira exchange rate was $1 to N380.2556. That means N1 million in 2020 was worth $2,629 Today your total returns of N5.3 million would be worth $3,419 @ an exchange rate of $1 to N1,550. This means that an investment in GTCO made in 2020 also has a positive rate of return in dollars. https://moneycentral.com.ng//wp-content/uploads/2025/02/GTCO.png https://moneycentral.com.ng/companies/article/if-you-invested-n1m-in-gtco-stock-5-years-ago-heres-how-much-youd-have-now/ 2 Likes |
| Re: If You Invested N1m In GTCO Stock 5-years Ago, Here’s How Much You’d Have Now by MrTuthakhamun(m): 12:41pm On Jul 15, 2025 |
 Now add inflation rate and see how those meager earnings are eroded away 10 Likes |
| Re: If You Invested N1m In GTCO Stock 5-years Ago, Here’s How Much You’d Have Now by MCentral(op): 8:05pm On Jul 15, 2025 |
MrTuthakhamun:Ah yes. Inflation the perennial boogeyman for all portfolio or asset returns. The thing is you earn Naira so what is the best hedge against inflation. Some say Real Estate, others say buy stocks. All have a role to play. Problem with Real Estate in Nigeria is you sometimes get scammed. Or houses get demolished by an unfeeling Government after people have invested millions of Naira. For the example cited above of GTCO stock. It would be similar to someone buying a house for N10million in 2020. The house is now worth N43 million and earned rental income (dividends) of N3.7 million last year. However stocks are more liquid than houses so if you want to raise N4m you can easily sell some of your shares (about 10%). My Ideal portfolio would have 50% stocks, 35 bonds or Treasury Bills, 5% Real Estate 5% alternative like crypto and 5% cash. Of course the older you get the more conservative your portfolio should be. So that means more bonds, Real Estate and Cash One can also do 25% stocks, 25% bonds, 25% Real Estate, 15% Crypto, 10% cash. 3 Likes |
| Re: If You Invested N1m In GTCO Stock 5-years Ago, Here’s How Much You’d Have Now by CruzJoe(m): 9:12pm On Jul 15, 2025 |
Nice one....I believe you re into stocks. I have a question. which platform/app would you recommend for buying of shares, both Nigeria and Foreign shares, considering: 1: licenced ones 2: cheaper fees/charges/commissions 3: Auto reinvestment feature. Thanks 1 Like |
| Re: If You Invested N1m In GTCO Stock 5-years Ago, Here’s How Much You’d Have Now by JOACHINpedro: 9:33pm On Jul 15, 2025 |
It's not worth it man. Inflation swallowed everything. The investor is at loss. |
| Re: If You Invested N1m In GTCO Stock 5-years Ago, Here’s How Much You’d Have Now by Sucre6: 5:13am On Jul 16, 2025 |
MCentral:Now add time value for money and see what u got? 😂 |
| Re: If You Invested N1m In GTCO Stock 5-years Ago, Here’s How Much You’d Have Now by MCentral(op): 11:11am On Jul 16, 2025 |
CruzJoe:I would recommend meristem Securities. https://www.meristemng.com/ You can trade online with their app. They are in Ikoyi Lagos but call their office for quick set up |
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