Archive for the ‘Market Analysis’ Category

Below is Afrinvest’s bi-weekly market report for the period ended Feb 27th.

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Also below is FSDH’s analysis of Guiness’ Q2 2008 results.

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While I have been supportive of the CBN’s “interventions” in the stock exchange, I think at the end of the day, they might have to relax the regulations on the FOREX tradings.

The Naira has lost clost to 50% of its value in the last 4 months.

My main reason for the need for relaxing of the regulations is its effects on the banks. Banks make up a huge chunk of the Nigerian Stock Exchange and are a major employer of labour. When you think of it, banks as a whole, will be the second largest employer of labor after the government (federal and state).

Although this document is somewhat old and outdated, I think it will help in giving a good picture of which banks are in relatively good shape based on the report from PWC posted earlier:

Earlier in the month, CBN Governor, Prof. Soludo gave a speech on the impact of the Global Financial Crisis on Nigeria. He detailed the threats and opportunities of Nigeria and the steps so far taken to limit the negative effects on the Nigerian economy.

You view the presentation HERE.

Here are the monthly reports and stock market analysis from Zenith Securities and Afrinvest.

Meristem Securities has also prepared an analysis of the banking and insurance stocks.

Here is the weekly report for the week ended January 30th, 2009

Here are the weekly reports from FSDH, Investor Delight, Forte Assets and Meristem Securities.

Weekly report for the week ended January 23rd, 2009.

You can download Afrinvest’s 2009 economic outlook below. Some of the main points are:
- Major reduction in the pace of growth
- Banking sector appears heading towards a major decline in 2009
- Money market instruments, government securities, and sovereign bonds will receive heavier weightings in investor portfolios
- Greater degrees of diversification into non-Naira based assets as a result of devaluation of the Naira
- Their investment strategy will be to focus on strong companies with fundamentatlly sound competitive positions and revenue profiles, with a high degree of cash revenues, low debt dependence and strong management teams.
- Focus on the consumer market segment, particularly the food and drink businesses
- Accelerated sovereign bond issuance by the FG
- Federal deficit will be greater than current government estimates

Scary, the NSE lost over N5trillion between March and December 2008. While this is worrying, I think this was something that had to happen. A lot of the stocks had become irrationally priced and a market correction was necessary. Read the report from Vanguard Newspapers below:

Courtesy of Meristem Securities, here is the stock report for the week of December 26th:

Top performing stocks for the year


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This blog is dedicated to informing users on the latest business and economic news news from the CBN and Nigerian Stock Exchange. Happy reading!

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