RabbiDoracle:


Trading gain = Tbills gain + derivatives gain

Since that fixed income space is 20% down currently. Potential decline in net income could be as much as 20% of 37.1% (7.4%)
They'll need to make up for this and yet push forth some growth for FY'18 numbers to sparkle.

Let's watch out for Q1.
Anything short of 200bn in gross earnings and 45bn in PAT would mean a FY'18 that'll likely be flat or worse.

RabbiDoracle:


Na wah for you ooo...

How can one buy Japaul from the lowest support?

People have held Japaul from 2012 till this rally and sold.

Na the same warning dem give you, you no hear until you entered Fidelity at 4.33.

So they talked down the stock abi?

Julius Berger to Construct 10 Key Roads in Kogi
https://www.businesspost.ng/2018/03/12/julius-berger-to-construct-10-key-roads-in-kogi/

wanaj0:


Is NASCON PE not like 10?

I know nawww. Oracle knows what am referring to......

onegentleguy:



The best amongst the best from the man of ZENITH !! ...a fantastic all-touching result.

For even if I have to discount everything with the aim of playing on the side of caution, My Fair Price is now slightly above a 38% premium from todays closing price of N31. ...which is approx N43.
...and so ZENITH remains a BUY from my end.

However the MARKET thru his agent Mr TIME might have other plans.
But we now have our eyes also glued on the man from ZENITH.

pls when is the closure date?

godlyguy:


The smart ones have bailed out... JAPAUL played the fast one with the MILOST... So pathetic that people didn't heed to my post on "manage your small gains and don't be greedy..."

THE BIG SMART GUY

it is normal for stocks to fall after several sessions of gap up. milost or no milost..

yom2:
pls when is the closure date?

Qualification date- April 3rd.
Closure of register- April 4-9th.
As an Investor, just concern urself with the qualification date. ...for that's basically all u need.

First Bank Board to Consider 2017 Accounts Next Friday
https://www.businesspost.ng/2018/03/13/first-bank-board-to-consider-2017-accounts-next-friday/

RabbiDoracle:
Zenith trading income is huge ooo.

Trading gains is 36.7% of total net income (i.e. net interest income + trading income +other incomes)

Net interest income is 37.1% of the total net income.

Hmmm....


While in 2016

Trading gain is 8.5% of total net income.(i.e. net interest income + trading income +other incomes)

Net interest income is 62.7% of total net income.

This means in 2016 there was lending to the real sector while in 2017 there was not much lending.

I believe all bank results will be like this.

Zenith took significant impairments on Etisalat and Arik Airline.

Other banks would need to toe this line

Intendy:
stocks with new 52 week lows

sovereign #0.32k

ftn cocoa #0.31k

Africa alliance #0.30k

Thomas wyatt #0.48k

capital oil #0.42k

regency alliance #0.33k

no new 52 week highs

Na waa o

mendes911:


I know nawww. Oracle knows what am referring to......

Some people dey para say you deey kill their stock ooo.

Dem go buy dead bone and they think it will rise forever based on news. They should ask those who held since 2012..

Nonsense.

awesomeJ:


Since that fixed income space is 20% down currently. Potential decline in net income could be as much as 20% of 37.1% (7.4%)
They'll need to make up for this and yet push forth some growth for FY'18 numbers to sparkle.

Let's watch out for Q1.
Anything short of 200bn in gross earnings and 45bn in PAT would mean a FY'18 that'll likely be flat or worse.

Will more impairments come?

RabbiDoracle:


Will more impairments come?

Normal
And the cycle continues
And we keep multiplying

Good luck to the eternal holders

Agbalowomeri:


Normal
And the cycle continues
And we keep multiplying

Good luck to the eternal holders

Hmmmm.... That means 2018 will be having the extraordinary loss line.

Did CBN mandate them to clear all NPLs?

[quote author=Mcy56 post=65781213][/quote]
At times its jealousssy that causes this...

valacious:

At times its jealousssy that causes this...

People should stop taking life seriously
Someone cannot play with you
Is that how you used to do?

Shu....p

What a result :
http://www.nse.com.ng/Financial_NewsDocs/21182_MCNICHOLS_PLC_FINANCIAL_STATEMENTS_MARCH_2018.pdf

Agbalowomeri:


Normal
And the cycle continues
And we keep multiplying

Good luck to the eternal holders

You mean die hard investors?

mendes911:


You mean die hard investors?

Romantic investors
Arsenal fans

rationalmind:


Fixed

why you de temper with high level confidential record like this?

Agbalowomeri:

Romantic investors Arsenal fans

What's the news about eterna oil?

soloniger:
why you de temper with high level confidential record like this?

As oga intendy no wan gree add my sugar, I say make I assist ..

The fair value for Fidelity bank is 3.38.
Fair value is arrived at by discounting EPS TTM (0.61) with 18% (10 years bond yield and 5% premium).

DD is advised.

https://invst.ly/6wvib

MSCI ADDITION FOR 12 MARCH 2018/GENERAL MARKET COMMENT

The selling continues. But the fund continue buying Unilever.

Market likely to continue in the dull mode. Looking at next week being a FOMC meeting week. If the meeting fails to hold, expect the general battering of the market.

I have observed that my market study activities has become very boring to some extent. Despite the fact that I now pick whatever I need to invest on with ease, the quality of the result is now better than what it used to be. An example is my buying FCMB just some few days after the fund step in, buying at NGN2.50 although look scary then, but the result is visible as the stock has escaped the sword of the bears.

Although not only following the fund has contributed to this, I have equally make better use of the information provided by the trading platforms in terms of orders not yet executed (pending orders). I was having the temptation to invest in some of these insurance companies that the share was falling rapidly. While doing my research in the morning before the market opened, I saw a very big sales order with no pending buying order (this told me that the price will continue falling) and alas the price fall continue for Regency Alliance Insurance.

The essence of my point is that if know how to use a simple tool very well and master it. We will perform better than somebody with a wide general knowledge.

As a parting gift for today, looking at the sensitivity of the market to the Naira/general market catching cold when the dollar sneezes investing in NAHCO may not be a bad idea. I will give a comment on the technical analysis of the chart tomorrow.


Caution: This is for information purpose only. Data used are assumed to be correct. However, you may want to verify the data from an appropriate source.

gloriousdawn:
The fair value for Fidelity bank is 3.38.
Fair value is arrived at by discounting EPS TTM (0.61) with 18% (10 years bond yield and 5% premium).

DD is advised.

https://invst.ly/6wvib

FIDELITY'S TTM's EPS 0.61? that's Q4'16 through 9M'17 right? I once extrapolated 9M'17 to get 0.89
Maybe Q4'16 was negative.

Dear Client/Reader,
 
Global Economy - Movements in global equities markets were broadly bullish, with performance influenced by monetary policy actions (European Central Bank and the Bank of Japan-both maintained status quo), easing trade war fears, U.S. payrolls data which showed strong job additions in February amid volatilities in currencies.
 
In the U.S., Trading activities largely reflected investors’ reaction to (1) Abating trade war fears between U.S. and its major trading partners (2) Payrolls data which showed strong job additions in February, recording its biggest increase in almost 2 years. Overall, the DJIA and S&P appreciated by 3.25% W-o-W and 3.54% W-o-W to close at 25,335.74 pts and 2,786.57 pts respectively.
 
Equities Market- The equities market closed positive for the second consecutive week, as investors’ appetite for stocks remained relatively strong. The NSE ASI appreciated by 0.68% w/w as it closed at 43,167.87 points, equating to MtD and YtD returns of -0.38% and 12.88% respectively.
 
The current low valuations of stocks still provide good buying opportunities in the market. Some of our recommended stocks are mentioned below;
 
FIDELITY- Fidelity 9M-2017 result showed that gross earnings improved by 18% y/y to N130 billion primarily driven by an increase  of 21% in interest income and a strong growth of 99% in non-interest income to N5.9 billion from N2.9 billion in 9M’2016. PBT also grew by 65% y/y from N9 billion in 9M’16 to N16 billion. EPS also grew to N0.67 from N0.40 in 9M’16. Fidelity bank has a CAR of 17.3% and NPL ratio of 5.90% which still enables the bank to declare dividend (within the band of 30-75% of earnings) based on CBN’s amended dividend policy. The dividend payout ratio for FY’16 dividend payout ratio stood at 41%: FY’16 DPS-N0.14, FY’16 EPS- N0.34. We forecast FY’2017 DPS of N0.25 and EPS of N0.60 which translates to a dividend yield of 8% based on its current price of N2.98 (09/03/2018). With a target price of N4.87, we place a “BUY” recommendation.
 
DANGSUGAR- Dangsugar consolidated on its strong performance as recorded revenue of N163 bn in 9M’17, representing a growth of 41% y/y when compared to the N115 billion recorded in 9M-2016. Gross profit also grew by 118% y/y from N19bn in 9M’16 to N41bn as the strong sales growth completely offset the increase in cost of sales which grew by 26% y/y. PBT also improved by 156% y/y, while profit after tax grew remarkably by 162% y/y from N10 bn in 9M’16 to N26 bn.  EPS also increased significantly by 163% y/y from N0.84 in 9M’16 to N2.21 in 9M’17. In 2018, we expect the company to benefit from improved domestic demand while the greater growth strategy implemented by the management is expected further improve its cash flows. With a target price of N27.54, we place a “BUY”.
 
Please find attached our Stock Recommendation for this week, ending 16th March, 2018.
 
Thank you.


MBC Research

Dear Client/Reader,
 
Global Economy - Movements in global equities markets were broadly bullish, with performance influenced by monetary policy actions (European Central Bank and the Bank of Japan-both maintained status quo), easing trade war fears, U.S. payrolls data which showed strong job additions in February amid volatilities in currencies.
 
In the U.S., Trading activities largely reflected investors’ reaction to (1) Abating trade war fears between U.S. and its major trading partners (2) Payrolls data which showed strong job additions in February, recording its biggest increase in almost 2 years. Overall, the DJIA and S&P appreciated by 3.25% W-o-W and 3.54% W-o-W to close at 25,335.74 pts and 2,786.57 pts respectively.
 
Equities Market- The equities market closed positive for the second consecutive week, as investors’ appetite for stocks remained relatively strong. The NSE ASI appreciated by 0.68% w/w as it closed at 43,167.87 points, equating to MtD and YtD returns of -0.38% and 12.88% respectively.
 
The current low valuations of stocks still provide good buying opportunities in the market. Some of our recommended stocks are mentioned below;
 
FIDELITY - Fidelity 9M-2017 result showed that gross earnings improved by 18% y/y to N130 billion primarily driven by an increase  of 21% in interest income and a strong growth of 99% in non-interest income to N5.9 billion from N2.9 billion in 9M’2016. PBT also grew by 65% y/y from N9 billion in 9M’16 to N16 billion. EPS also grew to N0.67 from N0.40 in 9M’16. Fidelity bank has a CAR of 17.3% and NPL ratio of 5.90% which still enables the bank to declare dividend (within the band of 30-75% of earnings) based on CBN’s amended dividend policy. The dividend payout ratio for FY’16 dividend payout ratio stood at 41%: FY’16 DPS-N0.14, FY’16 EPS- N0.34. We forecast FY’2017 DPS of N0.25 and EPS of N0.60 which translates to a dividend yield of 8% based on its current price of N2.98 (09/03/2018). With a target price of N4.87, we place a “BUY” recommendation.
 
DANGSUGAR- Dangsugar consolidated on its strong performance as recorded revenue of N163 bn in 9M’17, representing a growth of 41% y/y when compared to the N115 billion recorded in 9M-2016. Gross profit also grew by 118% y/y from N19bn in 9M’16 to N41bn as the strong sales growth completely offset the increase in cost of sales which grew by 26% y/y. PBT also improved by 156% y/y, while profit after tax grew remarkably by 162% y/y from N10 bn in 9M’16 to N26 bn.  EPS also increased significantly by 163% y/y from N0.84 in 9M’16 to N2.21 in 9M’17. In 2018, we expect the company to benefit from improved domestic demand while the greater growth strategy implemented by the management is expected further improve its cash flows. With a target price of N27.54, we place a “BUY”.
 
Please find attached our Stock Recommendation for this week, ending 16th March, 2018.
 
Thank you.


MBC Research

So it appears Q4 losses remain in FIDELITY's blood. Rabbi, why's that peculiar?

Is anyone seeing what JAPAUL is doing this morning?

Is the MSCI guys trying to pump and dump fcmb on those seeing it as a bullish sign?