Stocks on our Buy/Sell/Hold list are picked from the gainers and losers of the previous week, as well as various analyst reports.
Recent results: Results for the half year ended June 2019 show that revenue increased from N104 billion in 2018 to N108 billion in 2019. Profit before tax dipped slightly from N37 billion in 2018 to N36.9 billion in 2019. Profit after tax however rose from N14.8 billion in 2018 to N36.5 billion in 2019.
Current Share Price: N397.70
Price to Earnings Ratio: 2.85X
Price to Book Ratio:0.36
Year to date: -37.86%
One Year Return: -30%
Analysts at United Capital have a ‘Buy’ rating on the stock. They have a one year target price of N876.2 per share. This represents a potential upside of 120.3% from the stock’s price of N397.7 as at when the report was prepared.
Seplat is a HOLD in Nairametrics’ opinion. While the stock declined somewhat sharply last week (perhaps due to reports that AMCON had obtained a court order seizing its Chairman’s assets), the stock has not declined sufficiently to warrant entry.
The stock is also trading at 2.84 times earnings, far lower than 7.4 average PE ratio on the NSE.
Stanbic IBTC: HOLD
Recent results: Results for the half year ended June 2019 show that gross earnings increased from N114 billion in 2018 to N117 billion in 2019. Profit before tax however fell from N50.7 billion in 2018 to N44.6 billion in 2019. Profit after tax also declined from N43 billion in 2018 to N36.2 billion in 2019.
Current Share Price: N37
Price to Earnings Ratio: 5.83X
Price to Book Ratio: 1.45
Year to Date: -22.84%
One Year Return: -16.45%
Analysts at United Capital have a ‘Buy’ recommendation on the stock. They have a 12–month target price of N53.7. This represents a potential upside of 41.3%, from the stock’s price of N38 as at when the report was prepared.
Analysts at Afrinvest have a ‘Buy’ recommendation on the stock. They have a 12–month target price of N48.11. This represents a potential upside of 26.6%, from the stock’s price of N38.
Stanbic IBTC is a HOLD in Nairametrics opinion. While H1 2019 results show a decline year on year, the stock has not dipped sufficiently to warrant entry. It is also highly unlikely to do so anytime soon, as it is thinly traded.
Recent results: Results for the half year ended June 2019 show that revenue rose slightly from N1.2 billion in 2018 to N1.4 billion in 2019. Loss for the period however dipped slightly from N1.8 billion in 2018 to N1.2 billion in 2019.
Current Share Price: N0.99
Price to Earnings Ratio: NA
Price to Book Ratio: 0.15
Year to Date Return: -48.17%
One Year Return: -36.94%
UPDC is a HOLD in Nairametrics’ opinion. While the stock has had poor fundamentals, and ordinarily would not make our list, there have been several announcements made this week. Parent company, UAC of Nigeria, will divest its holding to shareholders. UPDC will in turn divest its stake in a REIT to shareholders.
Since the announcement was made, the stock has appreciated. An investor call scheduled for today should provide more details.
Recent results: Results for the half year ended June 2019, show that revenue increased from N12 billion in 2018 to N32 billion in 2019. Profit before tax increased from N3.6 billion in 2018 to N9.7 billion in 2019. Profit after tax also rose from N2.6 billion in 2018 to N7.2 billion in 2019.
Current Share Price: N17.40
Price Earnings Ratio: 6.91X
Price to Book Ratio: 0.67
Year to Date Return: -10.31%
One Year Return: -42.08%
CCNN is a HOLD in Nairametrics’ opinion, as the stock has not declined sufficiently to our entry price.
The stock is also trading within range of other stocks in the cement space. Dangote Cement is trading at a PE ratio of 6.63 times earnings.
Official: Imo State is unemployment capital of Nigeria
According to NBS, 75.1% of the total employable people in Imo State are either underemployed or unemployed.
Data from the National Bureau of Statistics reveal Imo State, located in the South-Eastern part of Nigeria has the highest unemployment rate in the country.
In contrast, Anambra State is the state with the least unemployment in the country with 13.1% unemployment rate. The national average for the unemployment rate is 27.1%
Imo State has an unemployment rate of 48.7% as at the second quarter of 2020, by far the highest when compared to any other state in the country.
According to the data, 75.1% of the total employable people in the state are either underemployed or unemployed.
- Total number of employable people – 2.48 million
- Fully employed people – 618, 481
- Unemployed people in the state – 593. 347
- Underemployed – 656, 394
Imo State is largely a civil service town and has been unlucky with state governors over the last 20 years. Private sector jobs are hard to come by in the serene state with most industries setting up show in nearby cities like Aba, Port Harcourt, and Onitsha.
The city was once notorious for ritual motivated murders and kidnappings but has since overcome these challenges.
Akwa Ibom State is next on the list with an unemployment rate of 1.14 million people. The state’s underemployed population is about 551k people while the unemployment and underemployment rates combined is 66.9%.
The best: The state with the lowest unemployment rate in Nigeria is Anambra State with 13.1% out of the total working population of 2.25 million people. The state was 37 out of 37 states in the ranking of unemployment by state. About 1.9 million people in Anambra State are either fully employed (1.57 million) or under-employed (384k) in the state.
Lagos State, Nigeria’s commercial capital and where most graduates rush to for jobs currently has an unemployment rate of 19.5% and sits at 27 in the state by state unemployment ladder. The data shows about 6.8 million people make up the labour force population in Lagos State out of which 3.99 million people are fully employed and another 1.5 million people are underemployed. About 870k Lagosians who are employable did absolutely nothing.
Concentration: In terms of the concentration of unemployed people, Rivers State came first with a whopping 1.7 million people out of jobs in the state. The state as a working population of 3.9 million. Rivers State unemployment rate is 43.7 and ranks third as the worst. 21.7 million Nigerians are unemployed.
Lagos State had the most employed persona with about 3.99 million people out of a total of 35.5 million.
Julius Berger’s rebound contingent on full economic bounce back
Julius Berger’s construction portfolio includes infrastructure, industry, building, and facility services solutions.
Due to the COVID-19 pandemic as well as the economic impact of the measures put in place to slow the spread of it, many industries have experienced slower growth. The construction industry was not left out. According to reports by GlobalData, the construction output growth forecast for Sub-Saharan Africa (SSA) has been revised to 2.3%, down from the previous projection of 3.3% (as of mid-April) and 6.0% in the pre-COVID-19 case (Q4 2019 update).
The reason for the contraction was noted by GlobalData to be as a result of the global slowdown and the outbreak of COVID-19 in the region. Other factors responsible include economic headwinds such as inflation, spending cuts, widening fiscal slippages, suspension of certain projects and more that could disrupt the construction sector. This contraction is projected to be 4.3% in South and Southeast Asia while France is expected to shrink by 9.4% in 2020.
Leading Construction Company, Julius Berger, had foreseen the contraction in the industry and commenced efforts to mitigate its impact and cushion the blow. One of such efforts was the reduction in dividend pay-out. After initially announcing a dividend pay-out of N2.75K per 50K share for the financial year ended December 31, 2019 and a bonus of 1 (one) new share for every existing 5 (five) shares held, the company eventually recommended a final cash dividend pay-out of N2.00K per 50k share.
It noted that the Group had “carefully considered the emerging social, operational, financial and economic impact of the COVID 19 pandemic, the outlook for Nigeria for the financial year 2020, and the impact on the business and cash flows of the Group.”
The company’s fears have been confirmed by its recent financials which, among other negatives, showed huge foreign exchange losses of N3.102 billion in the first half of 2020.
Q2 was the hardest
Julius Berger’s construction portfolio includes infrastructure, industry, building, and facility services solutions. With companies and nations alike revising scheduled capital expenses as a result of the shrinkages in product demand (owing to global quarantine measures), uncertainties around supply logistics as well as supply of materials, the company had gotten hit. Q1 had its own issues, but Q2 birthed a new dimension of challenges for the company.
Revenue was down 33% from N68.9 billion in Q2 2019 to N46.1 billion in 2020. There was also a huge loss in profit after tax of around 200% from a profit of N2.3 billion in Q2 2019 to a loss of N2.3 billion and this can be attributed to lower revenue, and increased losses from the company’s many investments.
Exchange difference on translation of foreign operations for the quarter alone increased by 227% to N1.4 billion in Q2 2020 from N438.5 million in the comparative quarter.
Outlook for the company and for investors
The disruptions the construction industry is currently experiencing is expected to continue for the medium-long term. Reports by Beroe Inc., a procurement intelligence firm, reveal major concerns that companies in the industry will witness profits being hurt and may even incur losses on a number of projects.
Companies having worldwide supply chains could see tier 2 and tier 3 suppliers highly affected by disruptions related to the pandemic. Worse off, it explains that construction materials like “steel, wood, plaster, aluminum, glazed partition systems, cement and cementitious products, paints, HVAC equipment, electrical equipment, and light fixtures from China are expected to be delayed.”
For the company, cost-cutting has never been more important. While there are a series of strategies it could explore to augment the challenges, its growth right now depends largely on the speed of global economic recovery. This is because both the company’s input needs as well as its output in terms of the recommencement of projects, depends on the speed with which business as usual commences and the amount of time it takes for the industry to find a new balance for its operations.
For investors, however, this presents a long term opportunity. Julius Berger currently trades at N15.05, falling 44.26% just within the last 3 months. The share price is also on the downside of its 52-week range (N14.42 and 22.92) and its price-to-book ratio of 0.6331 shows that the stock is undervalued.
While the company’s EPS is currently low at N2.52, investors who are willing to wait the time could find a gem in the stock particularly with the increased infrastructural needs born out of the population expansion which is taking place in many parts of the world in the years to come.
List of Dividends announced so far in 2020 (August)
List of Dividends announced so far in 2020 (August)
As audited accounts start to trickle in, companies will propose dividend payments to their shareholders as recommended by their respective boards of directors. It is also important to track these announcements to know who is eligible to collect the dividend, when it will be approved and when it will be paid. Dividend payment also affects share prices.
This page will be updated from time to time.
Date Announced – The date the company announced dividends evidenced by a corporate action published on the website of the NSE.
Qualification date – Shareholders who own shares as of this date will receive dividends. If you buy shares and want to receive dividends make sure it is at least three days before this date. Shares get transferred to you on the basis of the T+3 rule (the date you bought plus 3 working days).
Payment date – This is when the dividend will be paid to you, either via post (dividend warrants) or direct credit to your bank accounts (e-dividend).
Closure of Register – Only shareholders who own shares listed in their register before this date will be paid dividends.
You can also scroll sideways to view the rest of the columns if using a mobile phone.
READ MORE: How to read stock market tables
2020 Dividends from companies quoted on the Nigerian Stock Exchange
|Company||DPS||Date Announced||Bonus||Closure of Register||AGM Date||Payment Date||Qualification date|
|Northern Nigeria Flour Milss PLC||N0.15k||13th August 2020||Nil||25th - 28th August 2020||8th September 2020||10th September 2020||24th August 2020|
|Honeywell Flour mills||N0.04k||5th August 2020||Nil||17th - 23rd September 2020||30th September 2020||30th September 2020||16th September 2020|
|Presco Plc (Updated)||N2.00k||3rd June 2020||Nil||20th - 22nd July 2020||2nd September 2020||4th September 2020||17th July 2020|
|Cornerstone Insurance||Nil||4th August 2020||7 new shares for every 30 existing shares||13th -17th August 2020||NA||NA||12th August 2020|
|Flour Mills of Nigeria||N1.4||29th July 2020||Nil||17th August - 21st August 2020||10th September||14th September 2020||14th August 2020|
|MTN Nigeria Plc||N3.50k||29th July 2020||Nil||17th August 2020||NA||24tb August 2020||14th August 2020|
|Cutix PLC||N0.12K||29th July 2020||Nil||16th - 20th November 2020||27th November 2020||30th November 2020||13th November 2020|
|C & I Leasing PLC||N0.20k||30th June 2020||Nil||14th - 16th July 2020||23rd July 2020||31st July 2020||13th July 2020|
|McNichols Consolidated Plc (Revised)||N0.03k||1st April 2020||Nil||2nd - 6th July 2020||30th July 2020||7th August 2020||1st July 2020|
|Dangote Sugar Refinery Plc||N1.10k||8th June 2020||Nil||22nd June 2020||9th July 2020||within 48hrs after AGM||19th June 2020|
|Jaiz bank||N0.03k||9th June 2020||Nil||29th June - 3rd July 2020||16th July 2020||16th July 2020||26th June 2020|
|UAC of Nigeria Plc (UPDATED)||N0.10k||20th April 2020||Nil||19th - 22nd May 2020||15th July 2020||16th July 2020||18th May 2020|
|Prestige Assurance Plc||Nil||4th June 2020||2 New shares for every 11 existing shares||22nd - 26th June 2020||30th June 2020||N/A||19th June 2020|
|Trans-Nationwide Express Plc||N0.03k||1st June 2020||Nil||6th - 10th July 2020||16th July 2020||20th July 2020||3rd July 2020|
|Nigeria Aviation Handling Company PLC||N0.30k||28th May 2020||Nil||1st - 3rd July 2020||16th July 2020||16th July 2020||30th June 2020|
|Skyway Aviation Handling Co. Plc||N0.16k||1st June 2020||Nil||17th - 23rd June 2020||30th June 2020||30th June 2020||16th June 2020|
|11 Plc||N8.25||28th May 2020||Nil||30th Sept - 5th Oct 2020||to be announced||to be announced||29th Sept 2020|
|Glaxo SmithKilne Consumer Nig. Plc||N0.55k||22nd May 2020||Nil||23rd June - 2nd July 2020||23rd July 2020||24th July 2020||22nd June 2020|
|Airtel Africa||0.03||13th May 2020||Nil||6th July 2020||Not applicable||24th July 2020||NA|
|Caverton Offshore Support Group Plc||N0.20k||22nd May 2020||Nil||16th June 2020||25th June 2020||25th June 2020||15th June 2020|
|Nigerian Breweries Plc (Revised)||N1.51k||20th May 2020||Nil||5th-11th March 2020||23rd June 2020||24th June 2020||4th March 2020|
|BUA Cement||N1.75k||19th May 2020||Nil||28th Sept - 2nd Oct 2020||22nd October 2020||23rd October 2020||25th September 2020|
|NASCON Allied Industries Plc||N0.40k||13th May 2020||Nil||15th - 16th July 2020||27th July 2020||29th July 2020||14th July 2020|
|Total Nigeria Plc||N6.71||13th May 2020||Nil||5th - 11th June 2020||to be announced||24hrs after meeting||4th June 2020|
|Cadbury Nigeria Plc||N0.49k||13th May 2020||Nil||25th - 29th May 2020||24th June 2020||25th June 2020||22nd May 2020|
|May and Baker Plc||N0.25k||13th May 2020||Nil||27th - 29th May 2020||4th June 2020||8th June 2020||26th May 2020|
|NPF Microfinance Bank Plc||N0.20k||11th May 2020||Nil||17th - 22nd June 2020||30th June 2020||30th June 2020||16th June 2020|
|Okomu Oil Palm Plc||N2.00||23rd April2020||Nil||19th - 22nd May 2020||28th May 2020||29th May 2020||18th May 2020|
|Lafarge Africa Plc||N1||27th April 2020||Nil||4th - 8th May 2020||3rd June 2020||3rd June 2020||30th April 2020|
|Wema Bank Plc||N0.04k||23rd April 2020||Nil||7th - 12th May 2020||18th May 2020||18th May 2020||6th May 2020|
|Union bank of Nigeria||N0.25k||13th April 2020||Nil||27th - 30th April 2020||6th May 2020||6th May 2020||24th April 2020|
|FBN Holdings||N0.38k||6th April 2020||Nil||21st - 22nd April 2020||27th April 2020||28th April 2020||20th April 2020|
|Lafarge Africa Plc||N1.00k||6th April 2020||Nil||4th - 8th May 2020||26th May 2020||26th May 2020||30th April 2020|
|Ikeja Hotel Plc||N0.02||3rd April 2020||Nil||2nd - 8th July 2020||30th July 2020||7th August 2020||1st July 2020|
|NEM Insurance||N0.15k||1st April 2020||Nil||4th - 8th May 2020||to be announced||to be announced||30th April 2020|
|FCMB Group Plc||N0.14k||31st March 2020||Nil||15th - 17th April 2020||28th April 2020||28th April 2020||14th April 2020|
|Beta Glass Nigeria Plc||N1.67k||30th March 2020||Nil||15th - 19th June 2020||2nd July 2020||3rd July 2020||11th June 2020|
|Capital Hotel Plc||N0.05k||26th March 2020||Nil||20th - 24th April 2020||27th May 2020||3rd June 2020||17th April 2020|
|Sterling bank Plc||N0.03k||26th March 2020||Nil||5th - 8th May 2020||20th May 2020||20th May 2020||4th May 2020|
|Boc Gases||N0.30k||26th March 2020||Nil||8th - 10th June 2020||25th June 2020||26th June 2020||5th June 2020|
|Fidelity Bank Plc||N0.20k||23rd March 2020||Nil||20th - 24th April 2020||30th April 2020||30th April 2020||17th April 2020|
|Seplat Petroleum Dev. Company Plc||0.05||23rd March 2020||Nil||13th May 2020||28th May 2020||4th June 2020||12th May 2020|
|Julius Berger Nig. Plc||N2.75k||13th March 2020||0.002||1st to 3rd June 2020||18th June 2020||19th June 2020||29th May 2020|
|Nigeria Energy Sector Fund (NESF)||N75.00||10th March 2020||Nil||20th March 2020||6th April 2020||19th March 2020|
|Access Bank Plc||N0.40k||6th March 2020||Nil||15th April 2020||30th April 2020||30th April 2020||14th April 2020|
|Nestle Nig Plc||N45.00k||28th February 2020||Nil||18th - 22nd May 2020||2nd June 2020||2nd July 2020||15th May 2020|
|Stanbic IBTC Holdings Plc||N2.00||5th March 2020||Nil||19th - 26th March 2020||30th June 2020||18th June 2020||18th March 2020|
|Guaranty Trust Bank Plc||N2.50k||2nd March 2020||Nil||19th March 2020||30th March 2020||30th March 2020||18th March 2020|
|United Bank of Africa||N0.80k||2nd March 2020||Nil||16th - 20th March 2020||27th March 2020||27th March 2020||13th March 2020|
|Transcorp Plc||N0.01k||28th February 2020||Nil||18th - 23rd March 2020||25th March 2020||27th March 2020||17th March 2020|
|MTN Nigeria Plc||N4.97k||28th February 2020||Nil||February 16, 1900||8th May 2020||19th May 2020||17th april 2020|
|Transcorp Hotels Plc||N0.07k||28th February 2020||Nil||13th-17th March 2020||24th March 2020||26th March 2020||12th March 2020|
|United Capital PLC||N0.50k||18th February 2020||Nil||9th-13th March 2020||24th March 2020||26th March 2020||6th March 2020|
|Infinity Trust Mortgage Bank PLC||N0.035K||30th January 2020||Nil||9th-13th March 2020||7th May 2020||14th May 2020||6th March 2020|
|Zenith bank Plc||N2.50k||21st February 2020||Nil||10th March 2020||16th March 2020||16th March 2020||9th March 2020|
|Africa Prudential Plc||N0.70k||25th february 2020||Nil||9th-13th March 2020||23rd March 2020||23rd March 2020||6th March 2020|
|Dangote Cement Plc||N16.00||25th february 2020||Nil||26th May 2020||15th June 2020||16th June 2020||25th May 2020|
|January 1, 1970|