BETWEEN WAPCO AND THE QUEST FOR REWARD...

Some folks will sell off their WAPCO and we shall proceed to march forward.
Unless u know not how to thoroughly interpret a coys financial statement, there are plenty of positives in the company's 2019 YE financial print.
Some key takeaways:

• The group witnessed a remarkable jump accross several key revenue and earnings line. ...with AGPR, AER, EV, ROAA ROAE and EM all showing appreciable improvement.
• The company is currently well hedged against Fx related risk... with a no less than 21% support cushion away from a devaluation.
...the interpretation of this is that unless there's a >21% run in Fx devaluation(on the Naira against the $ and other key currencies), WAPCO is immune to currency risk.
• The 3 yr PTR(pioneer tax relief) will likely add over 7B to the group's purse.
• The coy also currently enjoys a favourable grant from the FG via the CBN/BOI at below-market interest rate.
• The merger with one of its subsidiary(Larfage Readymix), a part of the in-house innovative drive by management is expected to save cost of near 2B and boost overall earnings by circa 10-13%.
...management also did well to supplement that with a cut down on admin expense and other opex line by circa 29.3% and 31.5% respectively.

However, I am curious to know more about the company's benefit from its JV asset with CBI(continental blue inv, Ghana) wherein it owns a 35% majority stake.
The group recently granted a $1.39M loan to CBI(a coy with interest in development, financing and operation of cement grinding plant in Ghana) @ an interest rate of LIBOR(1 yr) + 11% p/a, with due date to yr 2023.
CBI Ghana is not a quoted company.
LARFAGE reported the loan @ NAFEX rate in their result, and guided that it earns interest from it on a monthly basis.(NTS in view)

That said, the coys report card shows lots of potential for inherent REWARD and less downside for RISK.

In investing in this coy, the KEY things I was looking out to see, is that magt did infact learn from their misfortunes between 2016 to mid 2018, and is working to ensure a non-repetition on them.
If LARFAGE were to snap it off from their past woes and grow having made worthy moves(delaveraging efforts, key divestiture etc) to a great point of inflection, then there was need to set in motion a good mechanism to;

1) OPTIMIZE COST(both from their expense and interest bearing line)
2) BE INNOVATIVE so recent efforts on restructuring can yield the needed fruits.
3) GROW EARNINGS.

How have they(management) faired on all 3 lines?
Well, looking at their FY 2019 FP, I'd score them a 7 on a scale of 1 to 10.

More work needs to be done though.
The report highlights clear possibilities of a great REWARD for a mid to long term investor.

HOLD !!

DISCLAIMER: NOT an investment advise. ...due diligence still applies as always.

Selah

PharmAlfred:
The bull is not a strong one. Buy with caution There might be pull back tomorrow.

Rather, keep investing and stay invested. No one can rightly call the bottom. Timing of the market can lead to woundjurement...lol

seyisanya:
I doubt if anyone here can cause any significant price change in the NSE. The real market movers are not on NSEMPA!

Who told u.
...a few of of the heavy weights are here. Most of them are side line observers though.

Regards

leo1234:
What's up with currentprice

U really think he is not here?
...look well.

Regards

onegentleguy:
BETWEEN WAPCO AND THE QUEST FOR REWARD...

Some folks will sell off their WAPCO and we shall proceed to march forward.
Unless u know not how to thoroughly interpret a coys financial statement, there are plenty of positives in the company's 2019 YE financial print.
Some key takeaways:

• The group witnessed a remarkable jump accross several key revenue and earnings line. ...with AGPR, AER, EV, ROAA ROAE and EM all showing appreciable improvement.
• The company is currently well hedged against Fx related risk... with a no less than 21% support cushion away from a devaluation.
...the interpretation of this is that unless there's a >21% run in Fx devaluation(on the Naira against the $ and other key currencies), WAPCO is immune to currency risk.
• The 3 yr PTR(pioneer tax relief) will likely add over 11B to the group's purse.
• The coy also currently enjoys a favourable grant from the FG via the CBN/BOI at below-market interest rate.
• The merger with one of its subsidiary(Larfage Readymix), a part of the innovative drive by management is expected to save cost of near 2B and boost overall earnings by circa 10-13%.
...management also did well to supplement that with a cut down on admin expense and other opex line by circa 29.3% and 31.5% respectively.

I am however interested to know more about the benefits from its JV asset with CBI(continental blue inv, Ghana) wherein it owns a 35% majority stake.
The group recently granted a $1.39M loan to CBI(a coy with interest in development, financing and operation of cement grinding plant in Ghana) @ an interest rate of LIBOR(1 yr) + 11% p/a, with due date to yr 2023.
CBI Ghana is not a quoted company.
LARFAGE reported the loan @ NAFEX rate in their result, and guided that it earns interest from the loan on a monthly basis.(NTS in view)

That said, the coys report card shows lots of potential for inherent REWARD and less downside for RISK.

In investing in this coy, the KEY things I was looking out to see, is that magt did infact learn from their misfortunes between 2016 to mid 2018, and is working to ensure a non-repetition on them.
If LARFAGE were to snap it off from their past woes and grow having made worthy moves(delaveraging efforts, key divestiture etc) to a great point of inflection, then there was need to set in motion a good mechanism to;

1) OPTIMIZE COST(both from their expense and interest bearing line)
2) BE INNOVATIVE so recent efforts on restructuring can yield the needed fruits.
3) GROW EARNINGS.

How have they(management) faired on all 3 lines?
Well, looking at their FY 2019 FP, I'd score them a 7 on a scale of 1 to 10.

More work needs to be done though.
The report highlights clear possibilities of a great REWARD for a mid to long term investor.

HOLD !!

DISCLAIMER: NOT an investment advise. ...due diligence still applies as always.

Selah

Nice

onegentleguy:


U really think he is not here?
...look well.

Regards

I didn't see him o.
Did he change moniker?

Fbnh will still enter full bid, all those queuing can continue to queue, they'll bid it up tomorrow, God willing.

Zenith..moving up gradually.....

PharmAlfred:
The bull is not a strong one. Buy with caution. There might be pull back tomorrow.

coys like Fidelity and Access will likely continue with green this week due to their significant increase in their dividends. FCMB will tag along. FBN will experience some pullback.

...and chief WAPCO is on full bid with near 19M units and NO offer.
With over 11M unit of those bid priced at the highest daily peg(@ near 10% premium to yesterdays closing price) and current 2 day vol near previous weekly average vol and signalling a buy 'obsession', then, well, ur guess is already as good as mine.

Again, HOLD !!

Enough said.

nna777:
coys like Fidelity and Access will likely continue with green this week due to their significant increase in their dividends. FCMB will tag along. FBN will experience some pullback.

Bros, FBN don't ride on dividends as such o. We are observing....

FCMB touched 1.60 now....

seyisanya:
I doubt if anyone here can cause any significant price change in the NSE. The real market movers are not on NSEMPA!

Most people still underrate this forum.
Some of the market movers are here (100% sure)

Wapco: Money bags don enter market

onegentleguy:


Who told u.
...a few of of the heavy weights are here. Most of them are side line observers though.

Regards

Lol

@dinyelutochukwu
Why not ask before selling half of your wapco?
We have waited long for this time and thank God the waiting is worth it. I'm happy you didn't sell all anyway.

nna777:


coys like Fidelity and Access will likely continue with green this week due to their significant increase in their dividends. FCMB will tag along. FBN will experience some pullback.

Just like that? Any reason?

IHelp:


Most people still underrate this forum.
Some of the market movers are here (100% sure)

The people who determine the market are the ones who brought out unlimited quantities of Zenith @ N10.60 and GTB @ N16.50 while the ogbonge NSEMPA investors were waiting at N5 and N10 respectively.

IHelp:


Most people still underrate this forum.
Some of the market movers are here (100% sure)

Some are informants to inform you what is happening or about to happen.

And use the medium to make money.

Nsempa is a blessed forum

FBHN FULL BID

leo1234:
What's up with currentprice

Justcul is currentprice. If you you know you know.

locodemy:


Some are informants to inform you what is happening or about to happen.

And use the medium to make money.

Nsempa is a blessed forum

I don't doubt this, the list too long sef. I was referring to people that can cause 10% downward price movement even in the most fundamentally sound stock/10% upward movement in a heavy loss-making coy like INTBREW. Lol. Well, I hail all the silent billionaires here ooo.

schoolboi:




Justcul is currentprice. If you you know you know.

Not at all, trust me. He is our boss

seyisanya:
Just like that? Any reason?

Qualification date is still far. Just like Access and fidelity saw their highs before pullbacks so will the likes of FBN, WAPCO etc. they are high on adrenaline dividend rush

Bomboclad:
Seems to me that your announcement is meant to cajole others to join you in exiting and bring down that price at 20%; however, the market is controlled by market movers who most likely have other plans.

So if you wan exit, enjoy!

Is this even necessary?
Aren’t people free to say what they plan to do with their portfolio without being accused of having an underlying motive?

Let’s learn to keep our biases in check. Please!

Justcul:
FBHN FULL BID

Everyone sitting on a solid stock will be carried along.

But have it in mind this is not market recovery.
Not even a v- shape recovery.Market recovery will be slow and for a longer period.

Just to prepare you for a greater inflation/hardship.
When you see enough green,book profit and keep cash for sustenance.

Mcy56:

Bros, FBN don't ride on dividends as such o. We are observing....

FCMB touched 1.60 now....

This is called dividend adrenaline rush. it will soon subside besides qualification date is still far so jijoist will do 2 trips before 20th (qualification date)

Mcy56:
Wapco: Money bags don enter market

Watching those ladies with Oga's money

The land is green.....it’s green....

IYGEAL:


Watching those ladies with Oga's money

Them no dey price market.
Them go buy leave change for you

Zee don reach 13 naira

IYGEAL:
Watching those ladies with Oga's money

You say what?

schoolboi:




Justcul is currentprice. If you you know you know.

How did you know?

nna777:


This is called dividend adrenaline rush. it will soon subside besides qualification date is still far so jijoist will do 2 trips before 20th (qualification date)

What of 14th April?