The stock market has been bearish for the first two weeks of May, indicating a possible continuation of last month’s trend. Here is a list of stocks on our radar this week.
Diamond Bank Plc
Diamond Bank was incorporated on December 20, 1990 but began operations on March 21, 1999. Ten years later, in February 2001, it became a universal bank. In January 2005, following a private placement, it became a public limited company.
Diamond Bank late last week released its financial statements for the year ended December 2017 and the first quarter ended March 2018.
Current Share Price : N1.90
Diamond bank is top on our watchlist because of the release of its results late Friday. Absence of a dividend payment, losses recorded in 2017, and poor Q1 2018 results mean that the stock could witness selling pressure.
Linkage Assurance Plc
Linkage Assurance last week released its full year 2017 financial statements, and Q1 2018 statements simultaneously.
Current Share Price: N0.95
PE Ratio: 2.6x
The company’s declaration of a dividend of N0.05 for the 2017 financial year means that it could be on full bid within the week. Investors tend to take positions after a stock has declared dividends for short term gains.
Cement Company of Northern Nigeria Plc
The principal activities of CCNN are the manufacturing and sales of cement. BUA International Limited holds a 50.72% stake in the company.
Current Share Price: N29.00
PE ratio: 9.6x
CCNN is on our stocks to watch list this week by virtue of being last week’s top gainer. Year to date, the stock is up over 200%, making it the best performing stock year to date. Investors at this stage would most likely begin to take their profits, if they haven’t.
Niger Insurance Plc
Niger Insurance closed on Friday’s session at N0.24 and is trading at 72.73 times earnings.
Current Share Price: N0.24
PE ratio: 72.73
Niger Insurance is on our watchlist by virtue of the stock being the biggest loser last week. The stock shed 14.29% and is down 52% year to date. For investors familiar with JIJO stocks, it could come into play.
Omoluabi Mortgage finance bank.
Omoluabi trades on the Alternative Securities Market (ASEM) and is majorly owned by the Osun State government.
Current Share Price: N0.72
PE Ratio: 24
Omoluabi Mortgage finance bank is on our watchlist by virtue of dividend qualification this week. The bank has been undergoing a transformation over the last two years and we hear they are looking to get a national mortgage banking license.
Okomu Oil Palm Company Plc
Okomu Oil Palm operates in the agricultural sector. The company is into the cultivation of oil palm, processing of fresh fruit bunches into crude palm oil for sale, rubber plantation, and processing of rubber lumps into cakes for export.
Okomu Oil closed Friday’s trading session at N90 and is trading at 8.9 times earnings.
Current Share Price: N90
Current PE Ratio: 8.9x
Okomu is on our radar this week by virtue of its closing its register, and qualification date this week. Qualification date for the company’s dividend for 2017 is on the 15th of May 2018. The company’s shareholders register will be closed from 15 –18 May, 2018.
AIICO Insurance Plc
Aiico insurance was established in 1963 as the American Life Insurance Company and began operations in 1970. It was converted to a public company in 1989 and quoted on the Nigerian Stock Exchange in December 1990.
Current share price: N0.69
Current PE ratio: 3.4x
AIICO insurance is on our watchlist this week, by virtue of its qualification date is on the 18th of May this week. Investors tend to hold a stock till after a qualification then sell depending on its fundamentals.