NewStats: 3,262,004 , 8,175,854 topics. Date: Saturday, 31 May 2025 at 01:41 PM 591h59

Care to mention the first two? Must have missede them. Merci

megawealth01:
3rd PICK for the year...

CWG @$6+

DYOR

NettyNelly:


Well done
I believe it's a #80 - #90 stock as well.
I started looking at the stock at #49, but I didn't buy cause it's not the type of business I would like to hold for a long time.

They are really struggling with energy cost and I couldn't see a favourable runway ahead of the business, like most of my portfolio businesses.
If I was a trader I would have loaded up and hold it for a year for capital appreciation.

Does this mean it is a good pick?

DD on me..

How did I miss the first two 😫

megawealth01:
3rd PICK for the year...

CWG @$6+

DYOR

1. NB.
2. Deap

olig:
How did I miss the first two 😫

GeeKudi:
Care to mention the first two? Must have missede them. Merci

DAARCOMM
OMATEK

Ding

unite4real:


The current market price is not N49.

It is N64.90

I copied this from my Analysis I wrote last year when it was at #49/share

HONEYFLOR

Direction of the market is yet to be decided.
Probably after this week, we shall know where we are going.

thanks a lot

KarlTom:
1. NB.
2. Deap

Is there any regulation that non-withdrawal into a different even though it’s the same person because the is not ed with the broker?

In this case from a stockbroker to the the persons .

megawealth01:
3rd PICK for the year...

CWG @#6+

DYOR

You are on the right track this year.
More wins

handsomebolanle:
Is there any regulation that non-withdrawal into a different even though it’s the same person because the is not ed with the broker?

In this case from a stockbroker to the the persons .

Get the money into your and transfer to the other stockbroker

emmanuelewumi:




Well done


It is a capital intensive business, capex margin of 68% is on the highside coupled with low dividend payout.

I prefer businesses with capex margin of 20% and below although 10% and below is preferable.


What percentage of the net operating cash flow did they use for capex. 30% and below of net operating cash flow is better.

Capex is 5.7b while OFC is negative 7.7b, so total FCF is -#13.4b. To answer your question, 74% of OFC was used for capex in 9M
receivables of 58b is roughly 75% of 9M revenue which is we need to keep an eye on
Inventory of 25b is 3x of profit 8b which is worrisome

ositadima1:


Let me start by saying that I haven’t looked deeply into the details beyond glancing at the audited 2023 earnings and the unaudited third-quarter 2024 earnings. The rest of my analysis is based on basic technical analysis and statistics.

My estimated final EPS for 2024 is similar to yours at 16.9. If the dividend follows the very low payout from 2023, it should be around ₦1.8 per share. It looks like a solid company focused on growth, which explains why only 11% of earnings are being paid as dividends. This low dividend payout pattern may continue, as the chart doesn’t show any anomalies in volume—unless, of course, they’re exceptionally good at hiding information.

With the kind of EPS they’re generating, the stock should be trading between ₦92 and ₦177, but the low dividend payout is holding back share price growth. This is the type of company that could issue a bonus in the future, perhaps something like a 3-for-2 stock split.

I’ll be keeping an eye out for anomalies in trading volume. While I believe the stock price will rise, I also expect it to dip below the current price at some point during the year due to the low dividend payout, only to recover later.

You are right with the #177 upper band valuation using valuation by EPS method

unite4real:


if the exit price for the majority shareholders stood at N90, then i believe the MTO for the minority should be doing above N100

It still boils down to your average cost price and opportunity cost between now and May 2025.

My average cost price is less than N28 and I sold all my holdings last week.

I did similar thing with Flour Mills I sold all my holdings at N78 before it was delisted

emmaodet:


Capex is 5.7b while OFC is negative 7.7b, so total FCF is -#13.4b. To answer your question, 74% of OFC was used for capex in 9M
receivables of 58b is roughly 75% of 9M revenue which is we need to keep an eye on
Inventory of 25b is 3x of profit 8b which is worrisome

It is possible to have a negative net operating cash flow once in a while, but if it more than twice within 5 years this is worrisome.

Dividend paid should not be more than 80% of the free cash flow, unfortunately it is negative.

They will borrow to pay dividends or dip hands into reserves

Locotrader:


You are on the right track this year.
More wins

CWG is at 6.85 presently....

Is it a good buy too?

Is wema bank also a good one?


DD is on me

temi4fash:


CWG is at 6.85 presently....

Is it a good buy too?

Is wema bank also a good one?


DD is on me

All ICT stocks are going to be repriced.
For CWG,I am seeing a #20 stock.
Etranzact will also rise
Chams and omatek will deliver heavily.
As it happened to the insurance after a long shouting so shall it be to the ICT sector soon.

Locotrader:


All ICT stocks are going to be repriced.
For CWG,I am seeing #20.
As it happened to the insurance after a long shouting so shall it be to the ICT sector soon

Thank you...

Am kinda of a newbie though.. When you mean repriced..

I see it alot in the thread.. Am assuming it means that it is under priced and would soon go enter it real price.

₦20 is a long shot...

Locotrader:

All ICT stocks are going to be repriced.
For CWG,I am seeing #20.
As it happened to the insurance after a long shouting so shall it be to the ICT sector soon.

NettyNelly:


Well done
I believe it's a #80 - #90 stock as well.
I started looking at the stock at #49, but I didn't buy cause it's not the type of business I would like to hold for a long time.

They are really struggling with energy cost and I couldn't see a favourable runway ahead of the business, like most of my portfolio businesses.
If I was a trader I would have loaded up and hold it for a year for capital appreciation.

You are right with the valuation of 80-90 though i don't see them struggling with energy cost because operating expenses only rose by 3.8% between 9M/2024 and 9M/2023 while revenue grew by 76% during those periods.

my concern is their receivable rising alot which means buyers are owing them more and inventory rising alot too - Both of these means product is struggling to move in the market thereby having more in store and buyers struggling to sell the ones they have so as to pay back their debts.
We can confirm this looking at their - Cash Conversion Cycle (CCC) which is the number o days it takes the company to convert inventory to cashflow.
CCC = DIO (time to sell your products) + DSO ( time to collect money from customers) - DPO (time to pay your bills)
CCC = 91 +124 - 67 = 148 days ( we want less than 30 days, though we will compare with their peers in the same sector)
It takes 91 days for betaglass to sell their products, 124 days to collect the money and 67 days to pay contractors/suppliers of of raw materials.
With this, we can see betaglass is under pressure to pay their own bills (67 days) compared to the days it takes them to produce and get back their money (215 days)
Let's look back at betaglass CCC 5 years history to see if they are improving or not -

DIO ( 2020 - 2024 LTM) = 130 - 109 - 78 - 96 -91 -So as we can see, this number is improving. Taking betaglass 3 months to sell their products compared to previous 4 months plus. We want less than 30 days though.
DSO (2020 - 2024 LTM) = 85 - 68 - 75 - 74 - 124 - It takes 4 months to get back their money from buyers compare to 3 months previous. This number is getting bad. We want less than 30 days
DPO (2020 - 2024 LTM) - 98 - 83 - 67 - 74 - 67 - This number is reducing from 3 months to 2 months for betaglass to pay back contractors. It is not good. We want 90+

emmaodet:


You are right with the valuation of 80-90 though i don't see them struggling with energy cost because operating expenses only rose by 3.8% between 9M/2024 and 9M/2023 while revenue grew by 76% during those periods.

my concern is their receivable rising alot which means buyers are owing them more and inventory rising alot too - Both of these means product is struggling to move in the market thereby having more in store and buyers struggling to sell the ones they have so as to pay back their debts.
We can confirm this looking at their - Cash Conversion Cycle (CCC) which is the number o days it takes the company to convert inventory to cashflow.
CCC = DIO (time to sell your products) + DSO ( time to collect money from customers) - DPO (time to pay your bills)
CCC = 91 +124 - 67 = 148 days ( we want less than 30 days, though we will compare with their peers in the same sector)
It takes 91 days for betaglass to sell their products, 124 days to collect the money and 67 days to pay contractors/suppliers of of raw materials.
With this, we can see betaglass is under pressure to pay their own bills (67 days) compared to the days it takes them to produce and get back their money (215 days)
Let's look back at betaglass CCC 5 years history to see if they are improving or not -

DIO ( 2020 - 2024 LTM) = 130 - 109 - 78 - 96 -91 -So as we can see, this number is improving. Taking betaglass 3 months to sell their products compared to previous 4 months plus. We want less than 30 days though.
DSO (2020 - 2024 LTM) = 85 - 68 - 75 - 74 - 124 - It takes 4 months to get back their money from buyers compare to 3 months previous. This number is getting bad. We want less than 30 days
DPO (2020 - 2024 LTM) - 98 - 83 - 67 - 74 - 67 - This number is reducing from 3 months to 2 months for betaglass to pay back contractors. It is not good. We want 90+

Good job you are doing.
Well done!

KarlTom:
₦20 is a long shot...

It's good that way my brother.Anyone who wants to eat frog should eat a big one

emmanuelewumi:



What is your average cost price?

If it less than N40 you can book profit.

With the appreciation of Naira, I don't think investors will be paid more than N90 per share and this should be paid by second quarter of 2025

My BE is #20.23

Locotrader:


All ICT stocks are going to be repriced.
For CWG,I am seeing a #20 stock.
Etranzact will also rise
Chams and omatek will deliver heavily.
As it happened to the insurance after a long shouting so shall it be to the ICT sector soon.

This is sounding highly prophetic.. is loco also among the prophets?

Locotrader:


All ICT stocks are going to be repriced.
For CWG,I am seeing a #20 stock.
Etranzact will also rise
Chams and omatek will deliver heavily.
As it happened to the insurance after a long shouting so shall it be to the ICT sector soon.

LOCO better go appease the gods so by the time your portfolio hit 100m, You will quit MONKEY BUSINESS and start REAL INVESTMENTS. I rest my case.

PETERiCHY:


LOCO better go appease the gods so by the time your portfolio hit 100m, You will quit MONKEY BUSINESS and start REAL INVESTMENTS. I rest my case.

Let me quickly check the price of Cadbury.
My friend is back and wishing me the best.
I am not hitting 100m but 200m.
Take note of this.

PETERiCHY:


LOCO better go appease the gods so by the time your portfolio hit 100m, You will quit MONKEY BUSINESS and start REAL INVESTMENTS. I rest my case.

Anyone who wants to eat frog should eat the one s/he can swallow...

Locotrader:


It's good that way my brother.Anyone who wants to eat frog should eat a big one

That is leaving potential 30% on the table

emmanuelewumi:



What is your average cost price?

If it less than N40 you can book profit.

With the appreciation of Naira, I don't think investors will be paid more than N90 per share and this should be paid by second quarter of 2025

Omooloriredade:
There's been an appreciable influx of FDI into agriculture particularly livestock farming and meat processing. Good for the industry and Nigerians at large.

https://www.reuters.com/markets/commodities/brazilian-meatpacker-jbs-agrees-invest-25-bln-nigeria-build-six-factories-2024-11-22/

https://punchng.com/chi-farms-plans-2-5bn-livestock-investment/

https://punchng.com/saudis-1-2bn-investment-to-create-more-jobs-for-nigerians-fg/

Follow the money, they say.

Disclaimer - I do not hold and I'm not recommending a trade. Just observing.