Tag Archives: NSE

NSE inducts 20 new authorised dealing clerks

 

 

The Nigerian Stock Exchange has announced the induction of 20 authorised dealing clerks.

The Chief Executive Officer, NSE, Mr Oscar Onyema, said the successful dealing clerks had passed through the Exchange’s Automated Trading System training faculty, made up of seasoned capital market regulators and operators.

Onyema, at the 2018 Batch A induction ceremony for recently qualified Dealing Clerks of the Exchange, said, “The ATS training is a pre-requisite for participating in an oral examination, a rigorous exercise to ensure only suitable candidates secure the required regulatory approval to practice as authorised dealing clerks of the Nigerian Stock Exchange.

“It is important to note that out of 23 candidates who had already passed the Chartered Institute of Stockbrokers examination, as well as the 15 days mandatory practical ATS training at the NSE, 20 candidates were successful at the oral examination of the Exchange.”

Congratulating the new clerks, the NSE CEO said, “Your induction today is a testament to your years of dedication and hard work. It also marks the beginning of your journey as authorised dealing clerks of the Nigerian Stock Exchange.

“With the extremely thorough and strict process leading to your qualification, I make bold to say that you are worthy to be practicing stockbrokers enabled to trade on any floor of the Nigerian Stock Exchange in Nigeria. I therefore welcome you all to a new relationship which faces inward – for professionalism, integrity, transparency and reliability; and outward — for excellent service to our investor and issuer communities.”

 

Why Cutix Plc popped to a 5 year high

 

 

Cutix Plc hit a 5 year high of N3.99 in yesterday’s trading session on the Nigerian Stock Exchange (NSE). The stock has also consistently gained in the last three trading sessions this week. The stock went up by 10% on Monday, another 10% on Tuesday, and appreciated by 9.9% in Wednesday’s session.

Year to date, the stock is up 98.5% and is one of the best performing on the NSE year.

The rally in the company’s share price may be related to its declaration of a divivdend of No. 20 per share and abonus of one new share for every ordinary share held. The company disclosed this in a notice containing boardroom resolutions sent to the NSE

Cutix last gave a bonus issue of two shares for every three held in 2012.

Results for the 12 months ended April 2017 show that revenue increased from N3.6 billion in 2017, to N5 billion in 2018. Profit before tax increased from N420 million in 2017 to N688 million in 2018. Profit after tax also surged from N273 million in 2017 to N447 million in 2018.

Steady performer

Cutix has maintained a consistent increase in revenue and profitability over the past 5 years. Revenue increased from N1.9 billion in 2013 to N5.0 billion in 2018. Profit after tax has also increased from N151 million in 2013 to N447 million in 2018. Asides the 2017 financial year, the company has paid dividends consistently for 25 years between 1989 and 2016.

Implications of the bonus issue

A positive fall out from the bonus issue is that it would enhance the liquidity of the stock as more shares will be available to trade.

On the flip side, earnings per share could take a momentary dive as the shares outstanding will double from 880 million to 1.6 billion. EPS for the financial year ended April 2018 was N0.51. Except the company is able to sharply increase its earnings, EPS for the next financial year could be in the range of N0.25 to N0.30.

This would leave the stock trading at a PE ratio of 16 times earnings at current prices, more than the twice the average PE ratio on the NSE. Cutix is currently trading at a price to earnings ratio of 7.8 times earnings, slightly higher than the average PE on the exchange.

Price Earnings is a ratio used to measure how expensive a stock is.

About the company

Cutix Plc was incorporated on November 4, 1982 as a private limited liability company. The company was initially quoted in the Alternative Securities Exchange Market (ASEM) of the NSE on August 12, 1987. On February 18, 2008, it migrated to the main tier

Cutix is into the manufacturing and marketing of electrical, automobile and telecommunication wires, cables and related products.

CBN monetary policy meeting, inflation report and other things to know in finance this week

 

…The Central Bank of Nigeria monetary policy committee meets in Abuja to discuss key policy rates in the country…

 

Nigeria's central bank to lend directly to companies through commercial papers                         CBN Governor Godwin Emiefele

 

Nigeria’s annual inflation rate slowed 11.23% in June 2018 from 11.61% in the prior month, the seventeen consecutive decline and lowest in more than 2 years.

The Nigerian Bureau of Statistics made this known in Abuja on Monday, July 23, 2018. The NBS report will also serve as a reference point as the Central Bank of Nigeria kicks of its monetary policy meeting in Abuja.

 Sub-Saharan Africa looks at other financial and business news for the week:

1. The Central Bank of Nigeria monetary policy committee will be meeting July 23 and July 24 to discuss key policy rates in the country.  The committee will foreign capital flows into the economy, inflation and interest rate and make key decisions as 2019 elections approach.

2. The Nigerian Stock Exchange (NSE) to start implementation of a regulatory framework for the listing of non-interest debt securities on the stock market.

3. Auditor-General 2016 annual report: The report queried 308 Ministries, Department and Agencies of government over the extra-budgetary spending of N149.5 billion in 2016.

4. The Senate and House of Representatives’ Committees on Capital Market and Institutions, Securities and Exchange Commission and other Regulatory Agencies hold the second bi-annual Stakeholders’ Forum on the Capital Market on Monday, July 23 while Nigerian Stock Exchange Bi-annual Nigerian Capital Market Information Security Forum (NCMISF) is slated for  Wednesday, July 25, 2018.

5. Nigerian examination body, Joint Admission and Matriculation Board, has remitted N7.8 billion as surplus to the Federal Government.

6. Stears’ financial technology summit holds on Tuesday, July 24, 2018, at the Oriental Hotel, Lagos with the theme, ‘Banking on FinTech: The Future of Money, Markets and Marketplace.’

7. Nigerian Medview airline took delivery of its newly acquired B777-200ER to boost its fleet with a facility from FirstBank of Nigeria Limited.

8. A.B.C Transport appoints two new directors

9. Dangote Cement, UACN, Seplat Petroleum, Unilever Nigeria Plc, Ecobank Transnational, United Capital Plc, others filed their half-year financial report with Nigerian Stock Exchange. Others companies and public listed companies to follow suit this week.

10. AFRICA CEO FORUM picks Rwanda as host country for its 2019 event

The seventh edition of the AFRICA CEO FORUM, the largest international gathering of CEOs  and investors from the African private sector, will be held between March 25 and 26, 2019, in Kigali, Rwanda.