The Nigerian stock market last week closed on a positive note with 0.79% growth, week on week. Year to date, the market has returned 16.36% with All Share Index and Market Capitalisation at 49,706.09 points and N27.074 trillion respectively.
In the past few weeks, prices of stocks have started looking up, although most stocks are still trading far below their fair value.
We have always advised investors to take position in fundamentally sound stocks because they stand the test of time. Just to mention a few, the following stocks can be considered for strategic entry:
NIGERIAN BREWERIES
The share price of Nigerian is currently trading at N37.6 with a 52 weeks high of N62.8 and a low of N28.8.
It is trading 40.13% away from its 52 weeks high of N62.8, suggesting an uptrend potential of about 40% for Nigerian Breweries.
PRESCO
Currently trading at N120.5, the share price of Presco has a year high of N200 and year low of N87.8.
There is an uptrend potential of 39.75% in the share price of Presco, relative to its 52 weeks high of N200.
GUINNESS
Currently trading at N69.3, the share price of Guinness has touched a high of N110 and a low of N39.9 in the past 52 weeks.
Guinness has an uptrend potential of 37%, relative to its 52 weeks high of N110.
FLOUR MILLS
Flour Mills is currently trading at N27.6 with a 52 weeks high of N41.45 and a low of N27.
It is trading 33.41% away from its 52 weeks high of N41.45, implying an uptrend potential of about 33% for Flour Mills.
Considering its Book Value of N47.82, relative to its share price of N27.6, Flour Mills of Nigeria is considered cheap and has uptrend potential.
OKOMU
Currently trading at N165, the share price of Okomu has a year high of N216.9 and year low of N127.8.
There is an uptrend potential of 23.93% in the share price of Okomu Oil, relative to its 52 weeks high of N216.9.
GTCO
The share price of GTCO is currently trading at N22.45 and it has touched a high of N28.05 and a low of N16.80 in the last 52 weeks.
It is trading 19.96% away from its year high of N28.05, which implies an uptrend potential of about 25% for GTCO.
The Book Value of N29.66, relative to the current price of N22.45 implies that GTCO is underpriced.
ACCESS HOLDINGS
Access Holdings is currently trading at the share price of N8.65. In the past 52 weeks, the stock has touched a high of N10.60 and a low of N7.50.
It is trading 18.4% away from its 52 weeks high of N10.60, which implies an uptrend potential of 19% for Access Holdings.
With the Book Value of N29.11, Access Holdings is considered very cheap, relative to its current share price of N8.65.
UBA
UBA is currently trading at N7.5 with a 52 weeks high of N8.85 and a low of N6.55.
It is trading 15.25% away from its 52 weeks high of N8.85, implying an uptrend potential of about 16% for UBA.
Considering its Book Value of N23.64, relative to its share price of N7.5, UBA is underpriced. A position in UBA has uptrend potentials.
ZENITH BANK
Zenith Bank is currently trading at N24.55 and has touched a high of N27.5 and a low of N18.90 in the past 52 weeks.
It is trading 10.73% away from its 52 weeks high of N27.50, which implies an uptrend potential of about 20% for the share price of the bank.
Going by its Book Value of N41.68, relative to its current price of N24.55, Zenith Bank is very cheap and embedded with growth potentials.