Nigeria Content Online

Update for September

NSE ASI opened the
month of September on a rather poor note; the bear had 16 of the 20
trading days in the month. The market experienced four black weeks of
the five trading weeks within the month. Month to date the market is
down by 1,217.65 points or 5.02% from 24,268.24 to 23,050.29.

Meanwhile, month to
date is up by 2,223.46 points or 10.68%. Recall that it opened the year
at 20,827.13. Market capitalization ends the week at N5.648 trillion.

The market traded a
total of 5.951 trillion shares within the month and the performance was
top by the banking subsector that moved 3.359 trillion shares. Only 22
equities closed above their month-opening prices and they accounted to
1.086 trillion shares or 18.26% of market volume for September.

85 stocks that lost
moved 4.051 trillion units of share; same as 68% of market volume. 94
stocks wrapped up the month activities on a flat note and they traded
813.03 million shares or 13.66% of market volume.

Afromedia led the
percentage gainers with 37.25%, as it closed at N0.70 from N0.51. Vono
Products gained 34.92% and First Alluminum, Nigerian Wire and Cable,
and Berger Paints followed. AIICO top the percentage losers with 37.74%
drop. Spring Bank shed 34.52% and Unity Bank, Custodian Alliance, and
Academy Press followed with 33.96, 33.73, and 30.83 respectively.

Market report for the week ended 30th September, 2010

The market recorded
a turnover of 1.1 billion shares, valued at N10.50 billion in 21,572
transactions within the week. Meanwhile, the stock market operated for
four trading days within the week, as Friday was declared public
holiday to commemorate the Independence Day.

The banking
subsector was the most active as it moved 673.50 million shares in
12,225 transactions. Performance was boosted by volume on the shares of
Stanbic IBTC, Guaranty Trust Bank, Zenith Bank, and First Bank of
Nigeria Plc. The insurance subsector was enhanced by volumes on the
shares of Guaranty Assurance Plc and Intercontinental Wapic, and it
followed on performance chart with 100.30 million shares in 923 deals.

Skye Bank top the
price percentage gainers with 21.61% gain, from N6.20 to N7.54. Afro
Media gained 18.64%, Diamond Bank was third with 17.78%, while
Starcomms Plc, Costain, and Access Bank followed in that order.
Meanwhile, Custodian & Allied tops percentage losers’ chart with
drop of 26.97%, RT.Briscoe lost 24.79%, and Ashaka Cement, UTC,
Guaranty Trust Ass. and AIICO followed in that order.

Ikeja Hotels

The Q4 scorecard
for the year ended December-2009 of Ikeja Hotels was released to the
market on the first trading day of the week. The company reported a
turnover of N7,169 billion, which was 11.08% over the N6,454 billion
reported in 2008. PBT was up by 30.97%, while PAT and Net Asset were up
by 34.32% and 21.16% respectively.

Earnings/ratios/proposed dividend

Estimates from the
released figures show that the EPS improved by 33.33% from 0.42 of the
previous year to 0.56. The said earnings yielded 42.27%. ROE stood at
0.176% while the profit margin was 16.35%. The management has proposed
a dividend of 10k, which will be paid on the 6th of December, 2010,
after the company would have closed its book between 15th-19th
November, 2010. The AGM has been scheduled to hold on 25th November,
2010, while the venue is yet to be announced.

CHAMS Plc, audited year end – December, 2009

The company reveals
its Q4 2009 results to the market yesterday. The figures revealed
dropped on its top and bottom lines, as the TO dropped by 58.81% and
both PBT and PAT closed low at 394.98% and 1,588.43% respectively. The
company could not reward its investors and all its performance indexes
are negative.

Observations

The company needs
to improve; there is need to strategically position and come in with
profitable investments decisions. The result will not attract traders
in both short and medium term.

Adswitch Plc, year ended 30th April, 2010

The audited report
for the above mentioned year was released to the market today. The
released figures revealed an almost double growth in both top and
bottom line. The turnover was up by 75.37% when put side by side with
the comparable period of 2009. PAT gallop by 84.81% to N10.181 million,
from N5.509 million. And it marginally grows its net asset by 12.21%.

The management has
proposed 2k dividend, which when approved, shall be due for payment on
the 29th November, 2010, to investors in the company’s book by 18th
-22nd October, 2010. Other details on the AGM date and venue are as
stated in the table below.

Ratio analysis

EPS doubled from 4k
of the previous year end to 8k this year and it yielded 4.29%, when
compared to the current market price. It currently controls a good
PE/Ratio within the market average. Comparing the TO and PAT, its
profit margin was fair at 6.85%.

Observations

The result is good
and very impressive, despite the current economic situation. We expect
the company to sustain its current market price.

Custodian & Allied Insurance Plc

Payment of Interim
Dividend – The company notified The Exchange that its board of
directors has approved an interim dividend of N0.06 per share. The
closure of register is October 14, 2010, while the payment date is 20th
October, 2010.

Report on the over-the-counter market for FGN bonds

A turnover of 332.8
million units bonds valued at N317,950.53 million in 2,864 deals was
recorded this week, in contrast to a total of 209.3 million units worth
N195,013 million exchanged in 1,875 deals during the week ended
Thursday, September 23, 2010.

Measured by
turnover/volume, the most active bond was the 10.00% FGN July 2030
series, with a traded volume of 97.12 million units valued at N82.7
billion in 799 deals. This was followed by 5.5% FGN February 2013
series with a traded volume of 54.85 million units, worth N51.98
billion in 443 deals.

Eleven (11) of the
available thirty-seven (37) FGN bonds were traded during the week,
compared with fourteen (14) recorded in the preceding week.

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