Yayira:


Sweet the whole body

The guy FA analysis tight... If you mix am with fxuser TA e go sweet the whole body

currentprice:


Access bank earning yield actually rise by 37% in EPS btw July to Sept 2018 compare to that of 2017 same period.

every bank have trading income not only access, WEMA have about 40% trading income in their latest report

Reference to a slowness in earnings yield does NOT mean a lack of positive growth. ...growth can still be slow even when it is positive.
here is what I mean;
Look at the banks H1 2018 (Q2) and compare it to that of the proceeding yr (H1 2017)... and also do same for Q3, 2018 against that in 2017. Then CAREFULLY observe the QoQ trajectory in earnings growth in 2017 against that in 2018.
...slowness in this respect actually stated out in Q2, 2018.

My basis for prioritizing ACCESS below UBA and ZENITH (but above GTB and FIRSTBANK) was based on the premise of a slowness in driven yield and 2 other factors.
When this things play out, it makes some sense to add a bit of caution to one's level of optimism.
But then like I've stated here in the past, ACCESS is still a BUY. Overall, the result still describes a bank that's grossly underpriced based on the inherent VALUE therein.

Regards.

Mpeace:
To me, access did not do badly. Its a fair result. Given the current price of the stock, its clearly cheaper than UBA, Gtbank, and Zenith.

Nice one for a stingy bank like Access. I hope they use their common sense to increase dividend this time.

stcool:


The guy FA analysis tight... If you mix am with fxuser TA e go sweet the whole body

Bro, is this sugar rush?

longlife20:
http://www.nse.com.ng/Financial_NewsDocs/23977_STERLING_BANK_PLC._FINANCIAL_STATEMENTS_OCTOBER_2018.pdf

After sharing apples, I guess it is time for grapes.

onegentleguy:
Thanks for the compliment... I am humbled !!
But I don't think I know anything inside-out, 'cause am still a learner.

Expect more accolade from him in as much as you are still posting what he loves to hear.
Waiting for same when your analysis doesn't tally with the expectation.

Mpeace:
Make I hep u with picture.

Lol. As he no remember to attach pic ba.

swilo:


Nice one for a stingy bank like Access. I hope they use their common sense to increase dividend this time.

Thats why they may not get to their fair value. Sentiment matters alot. Dividends contribute to positive sentiments. They need to improve. If they can pay dividend of as much as percentage of eps as zenith and gtb does, their price would have been higher than 15 even in this bearish season.

DeRuggedProf:
Only you dey chop Forex, Gold, Silver, Copper etc etc....
Why are you scared of Aluminum
Our own Aluminum don knock engine after a quack mechanic serviced the nozzles and forgot the air filters....
Don't look for it at the car park, the mechanic took it for testing to Ajegunle and it got knocked there, 33KM away.
The towing van that was going to bring it back got knocked along the way...
The mechanics have since absconded...

longlife20:
http://www.nse.com.ng/Financial_NewsDocs/23977_STERLING_BANK_PLC._FINANCIAL_STATEMENTS_OCTOBER_2018.pdf

At 1st glance, its CLEAR that the management of STERLING BANK are doing things RIGHT.
The bank has managed to strike a relative balance between growing their earnings from core banking activities with that from their non-core line.
Though less of a loan driven bank and more of investment driven, I like the fact that there was a fine gap up in interest income as well as a relative increase in their L&A line even as they try to tap from the arbitrage opportunities in the fixed income space !!
Been one of the best fintech bank in the 2nd tier space (together with WEMA), its clear that STERLING, like WEMA has managed to effectively utilize this line to grow their earnings yield.
Overall, there was a noticeable growth accross their key revenue and earnings line.
I also like the spur in EPS, ROAE, ETERPRISE VALUE, EBITDA MARGIN, RE and EM.

Using a TTM EPS of 28k at an adjusted discount rate of 14% and assuming a 0% growth, Fair Value should compute as N2. ...which presents an approx 33% upside potential when compared to the current market price of N1.50.
But given the not-so-high MoS/gap behind the price, I'd prefer to assign a neutral view to the bank. ...STERLING is therefore a HOLD from my end. That said, its also possible that price can still adjust higher to reflect current reality and maybe catch up with its FV.

For those not yet in, it would make some sense to buy into any price dip when the OPPURTUNITY presents itself !!

DISCLOSURE: I do NOT hold a single unit in STERLING BANK. ...but will be looking to KEY IN once my strategy can fit in.
DISCLAIMER: This analysis is strictly opinion driven. ...and NOT a recommendation. Due diligence is still advised as always.

guys,how do you see FCMB @ N1.55 ? A good buy ? Holding period ...1year

swilo:
http://www.nse.com.ng/Financial_NewsDocs/23978_TRANSNATIONAL_CORPORATION_OF_NIGERIA_PLC_FINANCIAL_STATEMENTS_OCTOBER_2018.pdf

EPS 17.37K AGAINST 8.06K. Good one.

Hope we are safe Chibukingbear.

akinssan:
Hope we are safe Chibukingbear.

Please don’t wake him up

swilo:
http://www.nse.com.ng/Financial_NewsDocs/23978_TRANSNATIONAL_CORPORATION_OF_NIGERIA_PLC_FINANCIAL_STATEMENTS_OCTOBER_2018.pdf

Yet another fantastic performance from TRANSCORP !!
...and yet another reason to 'camp with this fellow'.

At 1st glance, the result CLEARLY speaks for itself !!
I have since said that TRANSCORP is a strong BUY !! ...the stock was among the list of coys we mentioned here in the past.
With an over 115% increment in EPS, a spike accross all KEY revenue and earnings line, a gap up in ROAE, ROAA, GROSS MARGIN, NET MARGIN, EBITDA MARGIN, ETERPRISE VALUE, BVPS and EM, u do NOT need a soothsayer to TELL U WHAT U NEED TO DO !!
...those who know and understand, know what they NEED to continue to do.

But due diligence should still remain ur 1st priority.

talktokenny:
guys,how do you see FCMB @ N1.55 ? A good buy ? Holding period ...1year

Sir,

No one will give you the answer you want to hear. My take is that if you want to hold FCMB for 1 year, then wait for the Q3 result which will come anytime next month. Also, then everyone will start talking about it so you can make a more accurate 6 months decision.

Cutix Imports 95% of Raw Materials—Management
https://www.businesspost.ng/2018/10/23/cutix-imports-95-of-raw-materials-management/

Oil Marketers Seek Quick Payment of N130.7b Subsidy Debt
https://www.businesspost.ng/2018/10/23/oil-marketers-seek-quick-payment-of-n130-7b-subsidy-debt/

GTBank Targets Expansion of Services to Boost Q4 Earnings
https://www.businesspost.ng/2018/10/23/gtbank-targets-expansion-of-services-to-boost-q4-earnings/

[quote author=lancee post=72330427][/quote]they will have to let it go at a point.

So far, majority of companies on the NSE have turned in good Q3 report. It only shows that the macro-economic space may not be as bad as painted. Ruling out global sell off and sentiment, NSE is supposed to be on a upward ride.


Transcorp seems to be finding it footing. This a growth stock that should be watched closely. Massive jump in earnings and all.

onegentleguy:


Yet another fantastic performance from TRANSCORP !!
...and yet another reason to 'camp with this fellow'.

At 1st glance, the result CLEARLY speaks for itself !!
I have since said that TRANSCORP is a strong BUY !! ...the stock was among the list of coys we mentioned here in the past.
With an over 115% increment in EPS, a spike accross all KEY revenue and earnings line, a gap up in ROAE, ROAA, GROSS MARGIN, NET MARGIN, EBITDA MARGIN, ETERPRISE VALUE, BVPS and EM, u do NOT need a soothsayer to TELL U WHAT U NEED TO DO !!
...those who know and understand, know what they NEED to continue to do.

But due diligence should still remain ur 1st priority.

Thanks for the insight, just that I don't buy Transcorp unless the market is generally bullish. The stock has punished me previously.

Any info about the Teragro and the OPL 281 sections?

Has Teragro been spun off completely and is the OPL thing stagnant?

swilo:


Thanks for the insight, just that I don't buy Transcorp unless the market is generally bullish. The stock has punished me previously.

Any info about the Teragro and the OPL 281 sections?

Has Teragro been spun off completely and is the OPL thing stagnant?

Exactly my thoughts.. I’ve never traded that stock but I’m taking other people’s experience as a lesson.. the stock na for strong players.

Ogg what’s its fair price judging by this result ?

This market self.
Transcorpse, oh sorry, transcorp that was said to have released good result is being dumped at the moment.
Is it that some people are seeing what others are not? Or they read the report upside down? Or a strategy to crash the price so that smarter ones can hop in?
Anyway, we continue to observe.....

Mcy56:
This market self.
Transcorpse, oh sorry, transcorp that was said to have released good result is being dumped at the moment.
Is it that some people are seeing what others are not? Or they read the report upside down? Or a strategy to crash the price so that smarter ones can hop in?
Anyway, we continue to observe.....

So many better results out there than this transcorp q3.

Sovereign Trust finally reached the car park.
Seems the driver too has absconded. Na to resurface after q4 audit report or after election be that o. Chai!

Mpeace:
So many better results out there than this transcorp q3.

Even with that, I dont think we will witness major bull this year the way things are going.
My opinion anyway.

swilo:


Thanks for the insight, just that I don't buy Transcorp unless the market is generally bullish. The stock has punished me previously.

Any info about the Teragro and the OPL 281 sections?

Has Teragro been spun off completely and is the OPL thing stagnant?

Yayira:


Exactly my thoughts.. I’ve never traded that stock but I’m taking other people’s experience as a lesson.. the stock na for strong players.

Ogg what’s its fair price judging by this result ?

Of course the fruit business arm TERAGRO has since been spun off.
...management did give guidance to this in their 2017 YE report, and also confirmed it at the coys last AGM.
On OPL 281, management only said they will looking to explore that line with a view to expanding their earnings line. ...I do not know anything else on that. Perhaps further insight to it shall be given in their 2018 AFS.

On Fair Price, using a mix of valuation model, I have a FV estimate of N3.15 as at Q3. ...this is discounting for any and all possible risk/worries. ...and which prints of an approx 154% discount to the current trading price of N1.24 !!

But then again, this should NOT be interpreted to mean any sought of recommendation. Due diligence is still a necessary requisite.

CBN Announces New Capital Base for Microfinance Banks
https://www.businesspost.ng/2018/10/23/cbn-announces-new-capital-base-for-microfinance-banks/

swilo:


Thanks for the insight, just that I don't buy Transcorp unless the market is generally bullish. The stock has punished me previously.

Any info about the Teragro and the OPL 281 sections?

Has Teragro been spun off completely and is the OPL thing stagnant?

Them say that one fit start q2 2019.