₦airaland Forum

ghm:
Why are you so fixated on dividends?

First HoldCo is up approximately 185% year-to-date as of early August 2026 . The stock has nearly tripled this year alone.

You can simply sell a few units (any % you want) and use the cash to meet your needs. That's the point of holding liquid stocks—you don't have to wait for a dividend to access value.

ayobama1:
In my few years on the ngx, I could not remember even a single shares reconstruction that accrued value to shareholders.

mikeapollo:
Theoretically, you are correct.
EPS is very important, but the Dividend paid (eventually out of the EPS) and received by investors would have bigger impact on the price, because they will be comparing it amongst other bank stocks.

Some companies report high EPS, but the dividend paid may be very low, which affects the price.

ayobama1:
In my few years on the ngx, I could not remember even a single shares reconstruction that accrued value to shareholders.

presiade:
I know. I only asked the probing question to make you think about your post. The assumption should be that they’d maintain the payout ratio they’ve been maintaining prior the reconstruction. Your initial post that I quoted would be interpreted like the bank now has to pay 10x dividend with unchanged OS, whereas they now have 10x less shares to pay out the same amount to.

mikeapollo:
What about if he bought at a high price e.g. N150 or N160?

vibesdot001:
Share reconstruction is a way of stealing shareholders shares and money at the same time. If this was on NYSE, this will be the best time to short the stock.

naturalflow:
do you know if I bought at the 185th percentage gain?selling will then not make sense.

mikeapollo:
This has been considered (see my earlier post)

Sterling Bank highest dividend in the last 10 years (without reconstruction) is N0.18k (for FY2024, paid in 2026).
Multiplied by 10 gives N1.80 (or N2). Let's even assume it will be N3
Compare that to the dividends of other banks selling for N70-N77

mikeapollo:
Yeah,
The one I know that seems good is the share buy-back by Stanbic IBTC.

presiade:
Okay.

No be say I have STERLING shares. Make dem no pay well, the market will do justice to the share price post-reconstruction. LoL

presiade:
Okay.

No be say I have STERLING shares. Make dem no pay well, the market will do justice to the share price post-reconstruction. LoL

ayobama1:
Buyback is not the same as reconstruction

mikeapollo:
My own target na Access Bank. I want it around N25

Omayie:
God abeg o.
I don’t want to be a laughing stock

mikeapollo:
Yeah, I know. But what is common in this particular instance is that both led to a reduction in the OS of the companies concerned, which should improve the EPS and DPS

faoogoke:
It means we can wait for it at N7 in not too distant future?

megamart247:
OANDO is currently selling at 0.13 Rand in South Africa Stock Exchange which is equivalent to #10 naira.

So that buying OANDO above #10 have themselves to blame

ayobama1:
This is debatable

megamart247:
OANDO is currently selling at 0.13 Rand in South Africa Stock Exchange which is equivalent to #10 naira.

So that buying OANDO above #10 have themselves to blame

yMcy56:
MULTI-TREX
Congrats to MULTI-TREX shareholders....
Eventually, their funds were not flushed down the toilet.....
Resumed trading today after very long years....😳

** Suspension lifted today 7th October, 2026!

thebargainhunte:
The man should just delist his company. He is using every opportunity to punish shareholders. Imagine an upstream company trading below N40 where there is no downstream company trading below N40 on ngx.

Agbalowomeri:
The money don useless already unless multiply by 10

Agbalowomeri:
The money don useless already unless multiply by 10

edwardaigb:
Still better than my experience with Staco insurance.

mikeapollo:
It is very painful! Oando has no business selling under N200 if not for Wale.
But sometimes, these things create opportunity. In the past, First Bank was selling for like N4 for about a year or more when GT, ZB etc were at N15-N20. Same for Wema at 0.50k

Wale cannot have his way all the time. He go cast one day and shareholders will have their way.