GTCO

Ten Nigerian banks recorded N900.92bn profit before tax in the nine months that ended September 30, 2022, despite an economic downturn in the nation.

According to the financial statements of these banks, this is a 21.40 percent increase from the N742.95bn profit before tax the banks recorded in the corresponding period of 2021.

The ten banks are Zenith Bank Plc, Access Holdings Plc, Guaranty Trust Holding Company Plc, First Bank of Nigeria Holdings Plc, and United Bank for Africa Plc. Others are Wema Bank Plc, Stanbic IBTC Holdings Plc, Union Bank of Nigeria Plc, Fidelity Bank Plc, and Unity Bank Plc.

In the period under review, Zenith Bank recorded the highest PBT, followed by GTCO. Zenith Bank grew its PBT to N202.55bn in the first nine months of 2022 from N179.81bn in the corresponding period of 2021. GTCO grew its PBT to N169.72bn in the period under review from N151.91bn.

Access Holdings grew its PBT to N147.29bn in the period under review from N135.2bn; UBA recorded PBT grew from N123.35bn to N138.49bn in the periods under review; FBN Holdings stated that its nine-month PBT grew by 99.29 percent from N52.93bn to N105.49bn. Commenting on this growth in its results, the Group Managing Director, FBN Holdings, Mr. Nnamdi Okonkwo, said, “FBN Holdings has again in Q3 2022 delivered a stellar performance, growing sustainable income from our core businesses.

“This is a testament to the success of our focus on carefully growing the business and driving profitability. Furthermore, during the period under review, in attestation of the progress made by the Group, Fitch upgraded the credit ratings of FBN Holdings and First Bank to ‘B’ with a Stable Outlook.

“Value creation remains our overarching objective as we continue to leverage the strengths of our unique brand and heritage to optimize our diverse business portfolio.”

He added, “We are confident of making further progress, with the capacity to generate sustainable performance that delivers superior returns to all our stakeholders.”

According to Stanbic IBTC, its nine-month PBT grew from N45.31bn to N68.95bn; Union bank’s PBT grew from N16.19bn to N18.96bn; Fidelity’s PBT grew from N28.05bn to N37.79bn; Wema’s PBT grew from N7.21 to N9.46bn, and Unity Bank’s PBT grew from N2.11bn to N2.21bn in the first nine months of 2021.

SOURCE: Punch news

Profit-taking was a pressure point for Nigerian stocks in the week that just went by although the scramble moderated substantially compared to the penultimate week, when equities generally fell by 2.7 per cent.

But moments of downturn like this when most stocks are experiencing price drop are often the best time to invest because equities become cheaper as the market slips into market correction, which strategic investors usually watch out to take entry positions.

For instance, the investment of pension fund administrators in shares last week had already surpassed the N 1 trillion mark as of last week.

That in all likelihood must have been informed by the urgency to take position in stocks that promise good yields and could pay attractive dividends as the beginning of the release of half-year earnings results hurries near.

PREMIUM TIMES has assembled a number of stocks with fundamentals and other potential, adopting key analytical approaches to save you the hassle of randomly picking equities for investment.

The selection, a product of analytical market watch, offers a guide to entering the market and taking strategic positions in hopes that equities will gain value with the passage of time, particularly in the short term.

This is not a buy, sell or hold recommendation but a stock investment guide. You may have to involve your financial advisor before taking investment decisions.

PZ CUSSONS

PZ Cussons tops this week’s pick on the strength of its full-year 2022 earnings report issued on Friday which saw after-tax profit jump almost four-fold to N6.4 billion even at a period when revenue only improved by 21 per cent.

The price-to-earning (PE) ratio of the fast moving consumer goods company at the end of the last trading session was 8.3x, while its earnings per share (EPS) was N1.52.

ALSO READ: Ecobank, Access Holdings, Cornerstone top stocks to watch this week

GUARANTY TRUST HOLDING COMPANY (GTCO)

GTCO’s share price fell on Friday to its lowest level in 52 weeks, making it a good entry point for investors seeking to leverage the promise of a stock that is cheap and fit for value investing at the same time.

The financial services group’s PE ratio at market close on Friday was 3.4x, while the EPS is N6.07.

AFRICA PRUDENTIAL

Africa Prudential features on the pick this week for trading at a 52-week low of N5.55 per share. The firm’s PE ratio as of Friday was 7.6x, while the EPS is N0.73.

LEARN AFRICA

Learn Africa makes this week’s selection for trading significantly below its intrinsic value

The company’s PE ratio at the last trading session was 3.8x, while its EPS is N0.59.

TRANSCORP

Transcorp appears on the week for trading well below its actual value at the moment, making it cheap for investment. The PE ratio as of Friday was 3.3x, while the EPS is N0.4.

UNITED BANK FOR AFRICA (UBA)

UBA features on the pick for trading significantly below its real value, brightening it chances of good price appreciation in future.

The lender’s PE ratio was 2.1x as of the end of the last trading session, while its EPS is N3.5.

Source: Premium Times

Zenith bank and nine others report N901bn profit in nine months

PZ Cussons, GTCO, Africa Prudential top stocks to watch this week