Stocks to watch this week is selected from the gainers and losers of the previous week, as well as those having corporate actions. Corporate actions include dividend payments, closure of registers, and qualification dates.
Stocks with controversies surrounding them or results released after trading hours also make our stocks to watch list.
Unity Bank Plc
Unity Bank Plc was the biggest gainer last week, hence its place on our watchlist. The stock has traded in a volatile manner in the last few months. Rising upon the announcement of a proposed $1 billion investment by private equity firm, Milost Global, then falling after the agreement was aborted.
Unity Bank closed Friday at N0.97 and is trading at a PE ratio of 9.39 times earnings.
Japaul Oil and Maritime Plc
Japaul was the biggest loser last week shedding 23.40%. Japaul’s price has also traded in a zigzag manner, following an agreement with Milost Global to inject $350 million into the firm, and the termination of the said agreement.
Japaul closed at N0.36 on Friday’s trading session.
NEM Insurance Plc
NEM Insurance was in the news last week due to a proposed private placement. Shareholders gave the go-ahead for the company to raise N2.64 billion through a private placement. This will see the company issue about 1,056,000,000 ordinary shares of 50 kobo each, at N2.50
Some major shareholders have kicked against the private plac
ement and threatened legal action if the company goes ahead.
NEM closed Friday’s trading session on the Nigerian Stock Exchange (NSE) at N3.04 and a PE ratio of 6 times earnings.
Flour Mills of Nigeria Plc
Flour Mills makes our watch list by virtue of its releasing its full-year 2018 results after trading hours.
Revenue increased from N524 billion in 2017 to N542 billion in 2018. Profit before tax jumped from N10.4 billion in 2017 to N16.5 billion in 2018. Profit after tax also increased from N8.8 billion in 2017 to N13.6 billion in 2018.
The company has also declared a dividend of N1.00 per share, same as the prior year.
Flour Mills closed Friday’s trading session at N32, and at a PE ratio of 6.68 times earnings.
Northern Nigeria Flour Mills (NNFM)
NNFM was incorporated as a private limited liability company on October 29, 1971. The company was converted to a public limited liability company in 1978 and its shares are quoted on the Nigerian Stock Exchange. It is a subsidiary of Flour Mills of Nigeria Plc, which holds 53.06% of the company’s equity.
NNFM is into the milling of maize, sorghum, and wheat.
NNFM gets a spot on our watchlist by virtue of releasing its results after trading hours. The company closed at N6.65 on Friday’s trading session.
Learn Africa Plc
Learn Africa has picked Friday, 6 July 2018 as its qualification date. The company will be paying a dividend of N0.14 per share for the 2017 financial year. Investors tend to key into a stock in a bid to qualify for the dividend.
Learn Africa closed at N1.58 on Friday’s trading session and is trading at a PE ratio of 4.51 times earnings.
NAHCO Aviance
NAHCO Aviance will be closing its register from July 3 to July 5, 2018. The company will be paying a dividend of N0.25 per share for the 2017 financial year. The stock could witness a slight selloff after the closure date, as some investors tend to hold a stock in order to qualify for dividends.
NAHCO closed at N4.00 on Friday’s trading session and at a PE ratio of 7.67 times earnings.
LASACO Assurance Plc
LASACO Assurance will be paying a dividend of N0.03 on July 5, 2018. This is for the 2017 financial year.
LASACO closed at N0.36 on Friday’s trading session and is trading at a PE ratio of 3.99 times earnings.
11 Plc (formerly Mobil Oil Plc)
11 (pronounced double one) Plc will be paying a dividend of N8 per share for the 2017 financial year. The stock closed at N183 on Friday’s trading session and at a PE ratio of 6.57 times earnings.
Ekocorp Plc
Ekocorp Plc started off as Mercy Specialist Hospital in 1977 and was incorporated on February 9, 1982, as a private limited company by shares. It became a Public Liability Company (Plc) in 1991 and by 1994, the name changed to Ekocorp Plc.
The EKO represents the first letter of the surname of each of the 3 founders Eneli, Kuku, and Obiora.
The company will be holding an Extra Ordinary General Meeting (EGM) on July 5, 2018. The agenda will be to ratify the conversion of debt owed the company ’s founders and a special placement of shares to Geoff Ohen Limited.
The EGM brings to an end a decade-long squabble.
Beta Glass Plc
Beta Glass Plc began operations on June 26, 1974, and was listed on the NSE in 1986. The company is involved in the manufacturing and sales of hollow glassware. It operates two plants in Agbara, Ogun State and Ughelli, Delta State. In addition, it also exports its products to several African countries.
Beta Glass Plc will be holding its Annual General Meeting (AGM) on July 5, 2018. AGMs are an avenue for the board and management of a company to pass pertinent information which could have an effect on its share price.
Beta Glass closed at N86.30 on Friday’s trading session and is trading at 10.7 times earnings.
