MyPeace:

@ Walcom

Do you see it as a good buy as Roughcut sees it?

dont quote me but i will suggest you cautiously put in some money.

you might not get the spectacular returns you're presently dreaming about if they do what dunlop did (delayed release of certificates ). what that means is that you will not be able to take advantage of the initial price surge because ur shares are not in the CSCS yet

walcolm:

don't quote me but i will suggest you cautiously put in some money.

you might not get the spectacular returns you're presently dreaming about if they do what dunlop did (delayed release of certificates ). what that means is that you will not be able to take advantage of the initial price surge because your shares are not in the CSCS yet

As with any investment cautious is the word. We can conclude on a long-term basis Japaual Oil is a good stable and solid stock and very good potentials for the upside to buy into depending on your investment strategy and horizon if you are looking for something spectacular on a short-term basis then may be not that was not the intention of the analysis i did earlier.
I hope this has answered your questions and cleared up any doubts

Here are some numbers to digest for Costain (WA) Plc

Outstanding shares listed:                            159.9M
Current Market price        :                             N19.49
Trailing PE Ratio (YEnd Mar 2007)                  72.19
Trailing  EPS                                                   0.27

Forward PE Ratio (YEnd Mar 2008)                2.85
Forward EPS                                                  0.60

They are hoping to grow their EPS and by extension their PAT by a massive  122%. Already for the first three months of this year (YEnd Mar 2008) the PBT(Profit Before Tax) is N120M  and they grew their turnover from N1.1B  YEnd 2006 to N3B in 2007 a massive 174% leap.
As a minimum i'm expecting the share price to cross the N25 mark(considering the rate at EPS is projected to grow) by the time they report  in March next year.
Going forward this is a good one and deserves the award  for  one of the most improved stocks (share price was N1.46 as at January 2007)  and this was a company that was rapidly going into terminal decline until it was rescued by Shoreline Power company. They have also changed their business strategy by concentarting on contracts from the private sector a strategy which seems to have paid off. All their recently awarded contracts are from the private sector.
The contracts on their order books are in excess of N5.5B and in the last 24 months they have invested N1B in capital/equipment and in the next 12 months it is planned that a further N2.5B will be invested in operating assets and they hope to start paying dividends in the next 12 months
The parent company has also committed to recruiting 170 graduates every year in their quest to become the biggest engineering conglomerate in Africa. These are sentiments the market and investors alike  like to hear.

They are planning a PO(not sure but very soon)

This is a stock you might want to watch!

Wanaj0, Easimoni an all other gurus,

Please analyse Costain West africa? what information do you have on them? Anything in the news?

What on earth do they do sef?

I have known that company since I was in primary school.

If they are now into private contracts, that will bode well for them. Government hardly ever pays on time at least not without some form of egunje.

Find Below an article on Costain W.A when it was still N10



Costain West Africa pre-qualified for LNG projects
Posted Friday, April 27, 2007


Costain West Africa Plc said on Thursday that it had been pre-qualified for various liquefied natural gas projects in Nigeria.



The projects include civil engineering works for the foundation for Bonny Island Train 7, operated by the Nigeria LNG Limited; the housing estate and foundation plant for Brass LNG, as well as the housing estate for the relocation of communities around the Olokola LNG.



While the two projects at Brass were pre-qualified at the cost of $100m each, the costs for the LNG Train 7 and OK LNG could not be disclosed.



The Managing Director, Costain, Mr. Philip Wharton, who disclosed this at an interactive session with journalists in Lagos on Thursday, was optimistic that the construction company would win the contracts.



He noted that Costain had demonstrated a high level of local content in its projects execution, and was willing to work in the Niger Delta, where other companies were shying away because of the crisis in the region.



“Costain had already executed other projects in the area such as the construction of the Warri Stadium, the building of a block of flats for Shell Trustees, and the Governor’s Residence in Asaba, the construction of the Rivers State Secretariat, and the upgrading of the Port Harcourt Ports,” he said.



To raise its capital following the $37m acquisition deal of Costain West Africa by the Shoreline Group, he said Costain, had got approval to make a public offer to regain its leadership position in the construction industry.



He said that the shares would be widely accepted, especially as the unit price at the shares stock exchange had risen by over 700 per cent from pre-acquisition price of N1.60 to N10. 24 on Wednesday.



He said the company was the first construction company to be quoted on the Nigerian Stock Exchange, having being listed since 1974, which was rapidly expanding its portfolio from construction and engineering to include homes, furniture and customised project delivery. .



Apart from the LNG and construction projects, Wharton stated that Costain West Africa had also submitted a bid to the Bureau of Public Entreprises for the purchase of the 60-megawattt Ijora Power Plant, which was built by Costain.



The Group Managing Director, Shoreline, Mr. Kola Karim, stated that the plant was currently operating at six per cent of its total output, adding that Shoreline, upon the acquisition of the plant, intended to make it a double-fuel plant, powered by its high pour fuel oil as well as gas.



He stated that the group’s vision was to become “a leading provider of infrastructure, power and engineering services.”



According to him, “There is a huge potential and market for infrastructure development in Nigeria. We want to build the Nigerian dream with people known for excellence. We want to build a company not just out to maximize profit but a company that will survive over time.” - Punch

Peeps are taking intrest in Costain(WA) Plc and should i say i wont be surprised if the share price starts inching upwards i think its now N20.46 from N19.49 the lst time i checked. May be this is a BUY signal. Guys let's know what you think

If you know how I've been kicking myself for missing this one. Been so focused on banks over the last year that I've taken my eye off several gems. Quick math projects Costain to N40+ by mid 2008 (just look at the forward PE). There isn't much to go on but what there is sure looks promising.

easimoni:

If you know how I've been kicking myself for missing this one. Been so focused on banks over the last year that I've taken my eye off several gems. Quick math projects Costain to N40+ by mid 2008 (just look at the forward PE). There isn't much to go on but what there is sure looks promising.

Well well the oracle has spoken!If someone had given me Costain shares even for free in january this year i would probably have told them where to stuff it. I hope the horse has not bolted from the stable. So i think i have got the message NOW

Costain closed at 20.99 today, Its on the upward move, If it continues like this It may hit a new year high.

I think WindyWendy, said somewhere she bought into it and made huge returns. I wonder if she has a copy of their last financials?

yodiyokun:

Costain closed at 20.99 today, Its on the upward move, If it continues like this It may hit a new year high.

I think WindyWendy, said somewhere she bought into it and made huge returns. I wonder if she has a copy of their last financials?

That girl too much.

Right now, I think I am gradually swaying to @Wanaj0's theory that Banks are no longer the cash cows at least in the nearest future.

We should try to look for gems in other sectors, you never know.

Shoreline that bought the company struck a goldmine, especially as it seems the economy is improving gradually.

My concern however is, does the fundamentals support the market price. And is their change of fortune sustainable ?

@ yudiyokun, you are very right, there are gems out there. two other such gems could be university press limited and b.o.c gases. also very low pes with good projections

yodiyokun:

Right now, I think I am gradually swaying to @Wanaj0's theory that Banks are no longer the cash cows at least in the nearest future.

We should try to look for gems in other sectors, you never know.

Shoreline that bought the company struck a goldmine, especially as it seems the economy is improving gradually.

My concern however is, does the fundamentals support the market price. And is their change of fortune sustainable ?

I think that is expected when the banks are responsible for 90% of the IPO/PO on the capital market and mopping up the liquidity there is. That cannot be too healthy for the broader economy when there is a concetration of liquidity in a particular sector of the economy.
Anyway back to the issue at hand i will add Nigerian-German Chemicals and C+I Leasing. Looking at the numbers

The more i keep diging the more i like what i'm finding out about C and I Leasing. They enjoy a virtual monopoly in the leasing space they are the only leasing company listed on the NSE. They have just acquired a majority stake in the most profitable and second biggest leasing company in Ghana.
They have diversified their business operations to include leasing mini containers to Esso Nigeria Ltd and still looking for more clients.
They have also acquired their own vessels which they have leased to three multinational oil exploration companies (they have a more a diversified operational base compared with Japaul Oil still trying to work out the difference between these two)

Apparently they also own the Hertz car rental franchise and they had a massive capital injection of about N1.3B sometime last year so things are looking up for this company

C&I is a great company with solid earnings growth potential. Just note that there was a PO in June of 2006 and the total outstanding shares is now 1.60B

easimoni:

C&I is a great company with solid earnings growth potential. Just note that there was a PO in June of 2006 and the total outstanding shares is now 1.60B

cheers for the info

Nice one

Halo ma people,

The ever lukewarm market has propelled me to seek solace in the village for a while to avoid sighting ma stock portfolio in a consistently red zone. But since business has to go on I am temporarily back, The upward review of the MPR to 9% (up by 100 basis points) from 8%may further dampen the bear run on the floor of the NSE as interest rate (cost of funds) will surge in the money market making money market instruments much more profitable.

BREIF MARKET OVERVIEW
The Nigerian Equities Market witnessed another upside, albeit on marginal grounds, as the All-Share Index closed higher (by 57 basis points) at 50,885.16 from a previous figure of 50,595.95. The Market Capitalisation, in like manner, closed higher by 0.57% at N8.16 trillion from the previous N8.11 trillion. Today’s top 5 trades emerged from the banking, insurance, agriculture and conglomerate sub-sectors with 2 banking stocks on the list. A surprising stock on the top of the activity chart today is Livestock with a traded volume of about 88 million units of shares worth N263 million exchanged hands in 97 deals. The agriculture stock opened today’s trade @ N3.00 from a previous price of N3.00 per share while trading within the price range of N3.14 (today’s high) and N2.98 (today’s low) before finally closing today’s trade @ N3.00 as it recorded no change in its value compared to the previous day’s price. Livestock Feeds Plc may be set to take on Nigerian agricultural world firmly with its recent repositioning strategies. Incorporated and listed on 20th March, 1963 and December 1978 respectively, the agric company came from a loss position of N238.17 million in March 2005 to an after tax profit of N748.42 in its audited accounts for 31st March 2006 yielding a trailing EPS of 1.32 (the highest in the industry) with an issued ordinary shares outstanding of 567 million units. Its nature of business ranges from manufacture and sales of animal feeds and concentrates with its head office located in Ikeja Lagos. An impressive full year result for March 2007 is long over due; the release of this result coupled with a dividend or bonus declaration by the directors may see the stock rise to new highs. The last dividend (N0.30) was paid in 2001.

Bull Points of Livestock Feeds:

· Excellent 2006 result with an after tax profit in excess of N748 million

· Very high EPS of N1.32 – highest in the industry

· Low share price (low PER) when compared to its peers.

· Rights Issue of 2006 which recently received SEC’s approval was 228% subscribed an indication of investors’ confidence in the agriculture stock.

Other stocks on today's top 5 trades were Transcorp, Intenegins, Intercontinental and Skye. Three stocks recorded their all-time high today, all in the banking sub-sector, they are; Access bank (N19.86), IBTC (N12.98) and Skye bank (N14.75).



On the foreign scene … U.S. stocks seen opening up; eyes on earnings, data: (Reuters) - U.S. stocks looked set to open a shade higher, reversing the previous session's losses, with investors on edge ahead of the week's key economic data release; the non-farm payrolls report on Friday. The Federal Reserve's 50 basis point cut in key interest rates in mid-September is widely seen by equity strategists as one of the main factors behind the stock market rally seen in the past three weeks. Economic data will be keenly watched for signals of any further monetary policy easing.

TECHNICAL SUSPENSION

Access Bank Plc: The technical suspension placed on shares of Access Bank Plc was lifted today following the completion of its public offering of 4.7 billion shares @ N14.90 per share. The price subsequently jumped by 4.97% to N19.86 from N18.92 gaining N0.94.

HAV A LUVLY DAY!

It is being speculated on the stockmarketnigeria forum that probably the reason the results for YEnd Mar 2007 for WEMA bank has not yet been released is because there is a beef between Lemo(former MD WEMA bank) who is now Dep Gov CBN(Banking Supervision) and Owoyeni who is now MD about some bad loans approved allegedly under Lemo when he was at WEMA and that probably explains why the YEnd Mar 2006 financial results have remained unaudited even in 2007!. Apparently the big 'oga' is throwing his weight around to surpress the results so by the time the results are audited a lot of shenanigans would have gone on as per the results

I mean is there not a statutory requirement for publicly quoted companies to report within a specified period of time? doesnt seem to apply to companies quoted on the NSE

na wa o!

@ RoughCut,
I followed that article as well and I had serious thoughts to dump my Wema. If true, it's a shame to let beef get in the way of millions of shareholders. Anyway, I'm holding to xmas, then if no results, I go comot hand.

I dont stomach non release of results at all oh. I just exitedmy position in First inland because of it. I dont see any integrity in releasing unaudited results when the audited ones are yet to see the light of the day. WEMA is no-no for me

frankiriri:

I don't stomach non release of results at all oh. I just exitedmy position in First inland because of it. I don't see any integrity in releasing unaudited results when the audited ones are yet to see the light of the day. WEMA is no-no for me

well first inland just released their result for 2007 today.
talk of the devil
poor result though

shigidi:

well first inland just released their result for 2007 today.
talk of the devil
poor result though

make I see am oooooo,

where you see am?

Make I call my people to find out wetin dey?

The first inland bank result was poor (PAT of 2.6billion) and there were issues with it.
It seems the shareholders funds fell short of the 25 billion minimal requirement by CBN
But it doesn't look like doom for the share price though.
the share price shouldn't take too much of a beating.

Yodiyokun,

First inland result dey [url=http://www.nsepro.com/nigeria%20stock%20market/financial%20news.asp?NewsId=284]here[/url]

Temmie, where you dey! I've been posting overtime here!

@easimoni
Had a week that was as busy as it could be.
But i have been dropping in at anytime i can to learn from u guys.

Btw what you can lose with wema is nothing compared to what you can gain o. HOLD.

Temmie10 iasked this earlier could you please help me out, good you dropped by


To All Gurus,
Please could you all advise me on this, amongst all the stocks i have the only one that has appreciated is NGC i bought for 13.50, why i am saying this is that i need to buy Japaul and don't have cash at hand, is it advisable to sell part of my NGC to purchase Japaul

Secondly i have about 5000 units of Fidelity do i sell and purchase the PO that is now on?
I think you should do that so that you can take the profit on it.



thanks in advance

Temmie10 iasked this earlier could you please help me out, good you dropped by


To All Gurus,
Please could you all advise me on this, amongst all the stocks i have the only one that has appreciated is NGC i bought for 13.50, why i am saying this is that i need to buy Japaul and don't have cash at hand, is it advisable to sell part of my NGC to purchase Japaul

Secondly i have about 5000 units of Fidelity do i sell and purchase the PO that is now on?
I think you should do that so that you can take the profit on it.



thanks in advance

stanchuks:

Temmie10 iasked this earlier could you please help me out, good you dropped by
To All Gurus,
Please could you all advise me on this, amongst all the stocks i have the only one that has appreciated is NGC i bought for 13.50, why i am saying this is that i need to buy Japaul and don't have cash at hand, is it advisable to sell part of my NGC to purchase Japaul

Secondly i have about 5000 units of Fidelity do i sell and purchase the PO that is now on?
I think you should do that so that you can take the profit on it.

thanks in advance

Don't sell NGC and don't buy Japaul. NGC has fundamentals FAR superior to Japaul's forecast. Don't do it.

Sell your Fidelity though I suspect you won't be able to since it's on net offer on the floor. If you can, do it. But don't buy the PO with the proceeds. The PO is one of the worst I've seen since I started investing. Get some Crusader Ins or more NGC.

easimoni:

Yodiyokun,

First inland result dey [url=http://www.nsepro.com/nigeria%20stock%20market/financial%20news.asp?NewsId=284]here[/url]

Temmie, where you dey! I've been posting overtime here!

Are my eyes deceiving me? 10B loss in 2006.

I will talk to my croonies !

Smart guys they used merger to cover thier asses and drop the bomb on unsuspecting public. Bad debt in excess of 4B in one persons name--- and others.

At at the time of merger , First Atlantic was almost in -ve shareholders funds. There was an analyst report after their public offer during that period saying there is something fishy about their F.S

But I am proud of them, that they have come clean.

I hope it means a change in direction and focused vision.

@ Temmie,

If the market does not react negatively, they are definitely irrational. I expect those that bought it at N6 should immediately take profit.

But I trust my guys, they will mop up shares as usual . That is their tactic.

@stanchuks
Selling part of your ngc to buy japaul makes sense because u'll lock in on the profits you've already made on ngc and also cash in on another good opportunity via japaul.
Fidelity? Hmmm, thats not a bad idea too because i assume you've made profit on fidelity at the current price. cashing in on another 33% gain via the public offer makes sense too.
2 good moves,
cheers

@yodiyokun
there's a lot of information in the market. at any point in time, we only know very little.
First inland is shopping for a way to shore up their funds (possible merger, foreign investor or public offer, all these is good news for the market).
The bank was ranked among the 5 biggest banks in nigeria and among the 1000 biggest banks in the world by the same london based magazine that made intercontinental look good.
So i don't see the share price taking too much of a beating, and yes, the markets are irrational, extremely irrational and markets can remain irrational longer than one would expect.
Case in point: First Aluminium's loss after tax increased by more than 100% and the share price is still selling at a huge premium.

easimoni:

Don't sell NGC and don't buy Japaul. NGC has fundamentals FAR superior to Japaul's forecast. Don't do it.

Sell your Fidelity though I suspect you won't be able to since it's on net offer on the floor. If you can, do it. But don't buy the PO with the proceeds. The PO is one of the worst I've seen since I started investing. Get some Crusader Ins or more NGC.

i actually bought NGC based on your analysis of it on this trend, if i may ask, whats the problem with japaul, you are the first that has complained of it, please why is it a no buy?

please why is Fidelity bad?