₦airaland Forum

ARM RESEARCH ANALYSIS (from nairametrics.com)

Every week Nairametrics brings you a list of stocks considered as Buy, sell or hold from some of the best Fund Managers in the country. This week, we take a look at 7 stocks considered by ARM Research, a leading Fund Manager in the country.

As usual, these are not a “buy or sell recommendation” for stocks. Always consult your financial advisor before making an investment decision.

1. United Bank for Africa Plc – STRONG BUY (FVE: N14.10). We expect meaningful improvement in UBA’s profitability over 2018 hinged on growth in its deposits, increased loan book, expansion in its trading book, healthier asset quality, lower loan-loss provision, and resilience in fee income.

2. Dangote Cement Plc – OVERWEIGHT (FVE: N256.85). We remain broadly positive on DANGCEM and expect the company to sustain earnings growth, albeit at a much slower pace than 2017. Specifically, we see volume induced revenue growth and lower energy cost as key drivers of earnings in FY 18, relative to the price-induced growth story in prior year.

3. Guinness Nigeria Plc – SELL (FVE: N88.21). Guinness is poised for further earnings recovery into 2019 underpinned by lower operating and finance expenses. However, from a valuation standpoint, we believe the stock is expensive due to the dilutive impact of the recently concluded rights issue.

4. Dangote Sugar Refinery Plc – NEUTRAL (FVE: N20.23). We are cautiously optimistic on Dangote Sugar due to the recent smuggling of cheaper refined sugar which impacted on the company’s market share and, by extension, revenue. Irrespective, we believe the moderation in input costs would provide some support to 2018 earnings.

5. PZ Cussons Plc – SELL (FVE: N16.57). Our sell rating on PZ is premised on expected slower recovery in volumes due to weak income levels. Additionally, the recent rise in Brent crude is expected to stoke pressures on petrochemical prices which would weigh on gross profit and earnings.

6. Seplat Petroleum Development Company Plc – STRONG BUY (FVE: N975.27). The case for Seplat remains higher crude oil prices and volumes, unrecognized capital allowance, reserve accretion, higher receipt from crude oil lifted in OML 55 as well as the company’s extended debt maturity profile which feeds into an improved cash position.

7. Okomu Oil Plc – NEUTRAL (FVE: N102.33). Okomu is our most preferred pick in the Palm oil sector, as 2018 presents opportunities for stronger growth in volumes, better operating efficiency, and lower finance cost which guides to improved earnings over FY 18.

Jejebabaa:
Pls learn from Oga Myjoy08 before you pay international tuitions fees as a local student in LAUTECH. Anyway, some people bought $ @ 500 NGN with the hope of selling when it gets to 1000 /$ as predicted by some analyst then.

Bros dollar can only go up in this country, the dollar i bought for #256 naira is still with me after 4 years, I have been praying it goes back to #199 so i can buy more, but its like wishes are horses in my case

My ogas at the top, please how can we buy dollars?

WHILE GAINSAYERS ARE BECOMING BISHOPS, MANY BISHOPS ARE NOW ...

www.nairaland.com/3560501/holineness-righteousness-revival-daily-messages/15#69300095

stcool:
MTN overvalued? Better than 80% stocks listed on the NSE both in terms of revenue and profit, presently or future projections.

Humnnn. MTN ke! With all the troubles with NCC and telecoms product prices dropping. U have started again, that was how some people over market SEPLAT, today money is stocked there. I beg do your analysis well. What happen if bribery of AGIP (any government in power) fails or we send them back to SA.

I can sense that this morning will be very bearish. See quietness.

Well Morning all..
Am waiting for FBNH at mile 10 junction today.

Wetin l know

akinssan:
I can sense that this morning will be very bearish. See quietness.

Well Morning all..
Am waiting for FBNH at mile 10 junction today.

Wetin l know

Me, I am waiting for FBNH @ N8k It simply means I will sell to you That is the game, afterall

currentprice:
look like oil is gona fall today. waiting for crude oil inventories news by 3.30

na u drag brent down ! massive volatility , was expecting price to test $70 but not in a dramatic fashion !

akinssan:
I can sense that this morning will be very bearish. See quietness.

Well Morning all..
Am waiting for FBNH at mile 10 junction today.

Wetin l know

wetin we all know

fxuser:
Oando
- BB squeeze / contraction
- after contraction comes expansion but to wh way #um

cooking .. but cud be sweet or bitter

fxuser:
cooking .. but cud be sweet or bitter

If they are going to raise money, I expect the cooking to be done properly well.....

For sometime now i noticed Dangflour is been mopped up @ N10.

Please Is it a good BUY?.
What is the chart saying cc. Fxuser. Bullbear and at all
Thanks.

fxuser:
wetin we all know

megamart247:
For sometime now i noticed Dangflour is been mopped up @ N10.

Please Is it a good BUY?.
What is the chart saying cc. Fxuser. Bullbear and at all
Thanks.

No buy wall at 10

lostinHeaven:
No buy wall at 10

From my observation it's an invisible wall. The buyers normally wait for the offers to pile @#10 then they suddenly pick all at once.

It has been going on for over a week.

That's why I'm calling on the chartist to nterpret the TA. cc. Fxuser, BBM

megamart247:
For sometime now i noticed Dangflour is been mopped up @ N10.

Please Is it a good BUY?.
What is the chart saying cc. Fxuser. Bullbear and at all
Thanks.

still trading below last week close (or prev 3 wk close)
if u look at the weekly , dat n10 is behaving like resistance rather dan support
if it wants to form a higher low, needs to close above here properly
my concern is , if u buy here and it goes to test prev low .. u hv to be comfortable with a -12% drawdown
dat downside risk is too high for me compared to d reward
bear that in mind

#justobserving

fxuser:
still trading below last week close (or prev 3 wk close)
if u look at the weekly , dat n10 is behaving like resistance rather dan support
if it wants to form a higher low, needs to close above here properly
my concern is , if u buy here and it goes to test prev low .. u hv to be comfortable with a -12% drawdown
dat downside risk is too high for me compared to d reward
bear that in mind

#justobserving

FBNH that will still be on offer at N6
Argue with your portfolio

Agbalowomeri:
FBNH that will still be on offer at N6
Argue with your portfolio

This village shekpe dey dirty your eyes wella.

That discussion is about DangFlour and not FBNH.

No go finish your capital on drinks oooo

mendes911:
This village shekpe dey dirty your eyes wella.

That discussion is about DangFlour and not FBNH.

No go finish your capital on drinks oooo

The way I understand him.He values FBN than Dang. flour.
So if fbn will trade at #6 in the nearest future,it means Dangote flour will go below #6.

ANYTHING OUTSIDE THIS MEANS THE BOBO DON OVERDRINK THIS MORNING.

Agbalowomeri:
FBNH that will still be on offer at N6
Argue with your portfolio

hehehe .. its struggling to break above last week close
ko easy

mendes911:
This village shekpe dey dirty your eyes wella.

That discussion is about DangFlour and not FBNH.

No go finish your capital on drinks oooo

pls leave AGBA ohh .. its thurs for some , and fri for others

Abeg who knows the closing date for UPL 15kobo dividend.I still have close to 500k units not sold.
Need to activate the e-dividend in case i no see buyer till the closing date.

mendes911:
This village shekpe dey dirty your eyes wella. That discussion is about DangFlour and not FBNH. No go finish your capital on drinks oooo

Zenith
- looking break N24 . .

oh my God, i don sell stock wey i wan buy more today by mistake oh.

fxuser:
Zenith - looking break N24 . .

If zenith is looking break 24 at 24, Dangote flour is also looking break 10 at 10. PLS I NO LIKE CHEATING O.

jideflash:
oh my God, i don sell stock wey i wan buy more today by mistake oh.

Be happy because what you did is of the holy spirit.

mendes911:
ChibuKing will feed fat on us today, LOL.

Chibuking81:

@chibuking81,pls talk to this your bears to pave way for me.The only cash I have at hand now is the proceeds from UPL yet I am not done selling.Almost 100% of my investment trapped in zenith.Pls help with small bull so I can be on cash like you.

lol. baba e pain me oh cos i sold at a 15% loss

locodemy:
Be happy because what you did is of the holy spirit.

jideflash:
lol. baba e pain me oh cos i sold at a 15% loss

15% loss now is better than 55% loss later in the year.
Again 150k units you will have later in the year is better than 90k units you have now.
Dont panic bro.