Ruth Ibikunle
The stock market last week closed on a positive note, returning 2.13% week on week. Year to date, the market has returned 7.22% with the All Share Index and Market Capitalization at 54,949.21 points and N29.934 trillion respectively.
In a stock market review with the MD/CEO of APT Securities and Funds Limited, Mallam Garba Kurfi, the following were discussed:
Excerpts:
The stock market last week closed on a positive note with 2.13% growth. What is the outlook for the coming week?
The stock market closed positively as a result of rising prices of big ticket stocks such as Dangote Cement, MTN and BUA Foods. The Outlook for this week looks positive in view of the peaceful election recorded in most part of the country. We are hopeful that the desired presidential candidate will win the election and this will boost the market thus the recent CBN.
Circular released on Friday about the Banks Directory may send many executive resigning unceremoniously and may force Banks such as Zenith, UBA, ACCESS, Fidelity to look else for replacement of their Chairman and MD/CEO.
Nigerian Breweries declared a final dividend of N1.03 for 2022 year end to shareholders. Is this fair enough?
Nigerian Breweries declaration of final dividend of #1.03 in addition to interim dividend already paid will raise the hope of investors and push the prices high. In view of its high Price Earnings Ratio, this is far less compared to its competing brand, Guinness who paid over N6.00 for 2022.
What is driving the price of MRS, Conoil and Geregu?
MRS & Conoil are driving their prices by their performance especially MRS with unaudited account result for the year ended December 2022 with more than N4 EPS, this is excellent . The selling of PMS above official price at times as much as N300 per litre mean additional profit to them that is why prices keep rising together with speculation trading.
Geregu is moved by demand of the stocks being the only Genco listed in the market.
Why is Vitafoam trending down? Is it a good BUY at N19.40?
Vitaform is trading low because of the mark down price Ex-dividend of N1.55.
It is a good buyer in view of its EPS of more than N3 with a double digit growth.
What are the stocks to watch?
The stocks to watch are Zenith, GTCO, MTNN, UBA, WAPCO, TRANSCORP, Vitafoam, FLOURMILL, among others.