Spotlight Stories
Forte Oil leads this week’s gainers on the Nigerian Stock Exchange
@forteoilng was the best performing stock on the @nsecontact for the trading week ended June 15, 2019
This week’s trading session on the Nigerian Stock Exchange (NSE) ended on a negative note as the All Share Index closed at 30,046.70 basis points, down 1.27%. Year to date, the index is down 4.40%.
19 equities appreciated in price during the week, higher than 15 in the previous week. 31 equities depreciated in price, lower than 44 equities of the previous week, while one 118 equities remained unchanged, higher than 109 equities recorded in the preceding week.
This week’s trading session was abridged due to the Democracy Day holidays on June 12.
Gainers
Forte Oil Plc
Forte Oil Plc was the best performing stock on the NSE this week. The stock gained 14.17% opening at N25.75 and closing at N29.40.
Year to date, the stock is up 2.44%.
GSK Consumer Nigeria Plc
GSK Consumer Nigeria appreciated by 11.11% this week. The stock opened at N7.65 and closed at N8,50, up N0.85.
Year to date, the stock is down 41.38%
Consolidated Hallmark Insurance Plc
Consolidated Hallmark Insurance began this week’s trading session at N0.20 and closed at N0.22, up N0.02 or 10%.
Year to date, the stock is down 42.11%.
Royal Exchange Plc
Royal Exchange gained 9.09% this week. The stock opened at N0.22 and closed at N0.24, up N0.02.
Year to date, the stock is up by the same margin.
ABC Transport Plc
ABC Transport opened the week at N0.28 and closed at N0.30, up N0.02 or 7.14%.
Year to date, the stock is up 3.45%
United Capital Plc
United Capital gained 5.91% this week. The stock opened at N2.20 and closed at N2.33, up N0.13.
Year to date, the stock is down 17.38%.
May and Baker Plc
May and Baker Plc gained 5.38% this week. The stock opened at N2.23, and closed at N2.35, up N0.12.
Year to date, the stock is down 4.08%
Wapic Insurance Plc
Wapic Insurance Plc opened the week at N0.39 and closed at N0.41, up N0.02 or 5.13%.
Year to date, the stock is down 2.38%.
Mutual Benefits Assurance Plc
Mutual Benefits Assurance appreciated by 5% this week. The stock opened at N0.20 and closed at N0.21, up N0.01.
Year to date, the stock is flat.
NEM Insurance Plc
NEM Insurance rounds up the top 10 gainers for the week. The stock opened at N2.05 and closed at N2.10, up N0.05 or 2.44%.
Year to date, the stock is down 22.22%.
Losers
Nigerian Aviation Handling Company (NAHCO) Plc
NAHCO Plc was the worst performing stock on the NSE this week. The stock declined by 11.80%, opening at N3.39 and closing at N2.99, down N0.40.
Year to date, the stock is down 18.08% and is trading at its lowest price point.
Cutix Plc
Cutix Plc opened the week at N1.60 and closed at N1.42, down N0.18 or 11.25%.
Year to date, the stock is down 13.41%, and trading at its lowest price point.
Cement Company of Northern Nigeria Plc
Cement Company of Northern Nigeria Plc (also known as Sokoto Cement) declined by 10% this week. The stock opened at N15 and closed at N13.50, down N1.50.
Year to date, the stock is (down/UP?) 30.41% and trading at its lowest price point this year.
C and I Leasing Plc
C and I Leasing opened the week at N6.99 and closed at N6.30, down N0.69 or 9.87%.
Year to date, the stock is up 253.93%.
NPF Microfinance Bank Plc
NPF Microfinance Bank fell by 9.72%. The stock opened at N1.44 and closed at N1.30, down N0.14.
Year to date, the stock is down 21.21%.
Thomas Wyatt Nigeria Plc
Thomas Wyatt Nigeria Plc shed 8.33% this week. The stock opened at N0.36 and closed at N0.33, down N0.03.
Year to date, the stock is up 43.48%.
Dangote Sugar Refinery Plc
Dangote Sugar Refinery opened the week at N11.50 and closed at N10.60, down N0.90 or 7.83%.
Year to date, the stock is down 30.49% and trading at its lowest price point this year.
International Breweries Plc
International Breweries declined by 7.25% this week. The stock opened at N20 and closed at N18.55, down N1.45.
Year to date, the stock is down 39.18%, and trading at its lowest price point this year.
LASACO Assurance Plc
LASACO Assurance opened the week at N0.32 and closed at N0.30, down N0.02.
Year to date, the stock is flat.
Presco Plc
Presco Plc declined by 5.17% this week. The stock opened at N58 and closed at N55, down N3.
Year to date, the stock is down 14.06%, and trading at its lowest price point so far this year.
Business
Lagos eases restrictions on social, event centres, sets new occupancy limit
The state government has pegged the occupancy limit for event centres in Lagos to 500 people while social events can now have 200 people at a time.
The Lagos state government has further eased restrictions on social and event centres in the state. This follows due consultations and deliberations between the Lagos State Governor, Babajide Sanow-Olu, and relevant stakeholders and MDAs.
The state government has pegged the occupancy limit for event centres in Lagos to 500 people while social events can now have 200 people at a time.
This disclosure is contained in a statement by the Lagos State Commissioner for Tourism, Arts and Culture, Uzamat Yusuff, and the Director-General of the Lagos State Safety Commission, Mr Lanre Mojola, on Friday, April 9, 2021.
The statement noted that safety marshals will be deployed to any social event with over 200 people and event centre exceeding the 500 limits.
The statement partly reads, “All event centres must hold a valid license of The Lagos State Ministry of Tourism, Arts and Culture prior to operating as an event centre in the State.
“All event centres must be duly registered and verified on The Lagos State Safety Commission website www.lasgsafetyreg.com prior to holding any event.
An Event Safety Clearance must be obtained from the Lagos State Safety Commission through the website www.lasgsafetyreg.com for any proposed event or exhibition.
Safety Marshals shall be deployed by an accredited event safety consultant from Lagos State Safety Commission for every social event with attendance exceeding over 200 people.
Occupancy limit at any event must not exceed 50% of the maximum design capacity of the hall, wherein Occupancy Limit stickers provided by the Lagos State Safety Commission must be boldly posted at the entrance of the event hall.
Maximum allowable capacity for event centres irrespective of the occupancy limit is 500 people. Deep cleaning must be carried out before and after every event. Physical distancing shall be maintained between seated guests and a maximum number of seated guests should be 6 (six) people on a table of 10 persons.
Event duration should not exceed a maximum period of 6-hours. All guests and service providers at the facility must wear a nose mask and make use of hand sanitisers All guests and service providers must endeavour to wash their hands before entering the venue or in the alternative use hand sanitisers. Temperature checks must be taken at all entry points into a facility.
Guests and service providers with temperature (above 37.5) are to be politely turned back and referred to paramedics or the emergency response team on the ground. Hand sanitizers must be positioned at the entry points and different spots within the hall.
All event centres must endeavour to display standard COVID-19 safety signs. The signs must be bold and installed at conspicuous locations. Event centre owners/ planners/vendors would be responsible for any breach of protocols by their staff.”
In case you missed it
- It can be recalled that in July 2020, the Lagos State Government had issued fresh guidelines on the reopening of event and social centres following their shutdown as part of measures to contain the spread of the coronavirus pandemic.
- The state government insisted that the owners of such facilities must register with the government pending further directives.
FLASH: Lagos State Government has further eased restrictions on Social/Event centres in the State. This was disclosed today by the Commissioner for Tourism, Arts and Culture, Mrs. Uzamat Akinbile Yusuff and the DG, Lagos State Safety Commission, Mr. Lanre Mojola.@jidesanwoolu pic.twitter.com/Ai5KVOBfKC
— Jubril A. Gawat (@Mr_JAGs) April 9, 2021
Billionaire Watch
Reinvestment: The powerful strategy used by the 2 richest men in the world
Bezos and Musk increased the stock value of their companies by investing back into the company, the proceeds they made from it.
Jeff Bezos and Elon Musk are collectively worth $372bn. They are the two wealthiest individuals on earth. Their wealth has grown significantly over the years and it looks likely to remain so.
To give you a clear picture of the significant increase in the wealth of both men, read the points below.
- According to Business Insider and Bloomberg, Jeff Bezos’ net worth increased by 59.1% in 2020. The tech billionaire added a humongous $67.9bn to his fortunes in 2020 and is currently worth $197bn.
- According to CNBC Elon Musk started 2020 with a net worth of $28bn, he is currently worth $175bn.
Both men have employed some interesting strategies in growing their wealth to the point that it currently is, and this article will harp on one of these strategies.
Reinvestment
Reinvestment as an investment strategy is defined by Investopedia as the practice of using dividends, interest, or any other form of income distribution earned in investment to purchase additional shares or units, rather than receiving the distributions in cash.
In very simple terms, it means ploughing the income you make from an investment back into it, rather than receiving the income as cash. Jeff Bezos and Elon Musk both employed this strategy to grow their wealth in one year.
How the multi-billionaires did it
The Reinvestment strategy has been proven over time to increase the value of a stock or mutual fund. Buying a huge stake in your own company shares encourages more investors to also buy your company shares. Jeff Bezos and Elon Musk increased the stock value of their companies by reinvesting some of their profits and in so doing, they significantly got richer.
Jeff Bezos’ reinvestment strategy
Jeff Bezos retains part of his wealth in his company’s stocks. This means that instead of collecting all of his profits in cash, he retains some in his company by buying its shares. He currently owns about 11% of Amazon’s shares according to a November 2020 SEC filing.
The result
- Jeff Bezos added an extra $67.9bn to his net worth in 1 year.
- Amazon’s stock price rose by a staggering 70% in a calendar year.
- Jeff Bezos is currently the richest man in the world.
Elon Musk’s reinvestment strategy
Like Bezos, Elon Musk also retains part of his wealth in his company’s stocks. He owns over 20% of Tesla stocks. His reinvestment strategy played a major role in driving Tesla shares to a whopping 740% increase in 2020.
The result
- Elon Musk’s Tesla Stock price increased by 740% in just 1 year.
- His net worth increased by over 500% from 2020 to 2021.
- His company got into the S&P 500 index and he became the second richest man in the world.
What you should know
Jeff Bezos is the world’s richest person for the fourth year running, according to Forbes while Elon Musk moved from his 31st position to his current 2nd place on the Forbes billionaire ranking for 2021.
