THIS WEEK’S TOP STOCKS TO WATCH INCLUDE UBA, ZENITH, AND ECOBANK.

Babatunji Wusu –

Due to profit-taking in equities that had risen over the previous weeks, Nigerian stocks dropped 1.1% last week.

Even if the value of many stocks has significantly increased due to the current market rally, a few fundamentally strong stocks are still readily available at modest prices.

The outstanding earnings reports of businesses like Access Holding will be watched closely by investors as they could influence the direction of trading this week.

In order to save you the trouble of picking stocks at random for investing,  a selection of stocks with strong fundamentals and other prospects.

The choice, which is the result of analytical market watch, provides advice on how to enter the market and take strategic positions in the expectation that stocks would appreciate over time, especially in the short run.

This is a stock investment guide rather than a buy, sell, or hold suggestion. Before making investment selections, you might need to consult your financial advisor.

United Bank For Africa (UBA)

UBA is the top selection this week due to its announcement of an interim dividend per share of N0.50, a 150% increase over what it gave shareholders last year. Following the publication of the lender’s financial results for the first half of 2023, which showed a net profit increase of more than five times to N378.2 billion, a cash incentive was recommended.

The payout date is October 6, while the qualification date is September 26.

The lender currently has a price-to-earnings ratio of 1.2x and an earnings per share (EPS) of N13.8.

Zenith Bank

For declaring an interim dividend of N0.50 per share compared to the N0.30 it did a year earlier, Zenith Bank tops the list. The lender’s bottom line increased by 162% for the six months ending in June, bringing after-tax profit to N291.7 billion.

The qualification date is September 22, and the payment date is September 29 for investors who wish to take advantage of the generosity.

The PE ratio of Zenith Bank is 2.6x, and its EPS is N12.9.

Axa Mansard
Axa Mansard qualifies since it is now trading for less than it is worth. The insurer now has a PE ratio of 2.5x and an EPS of N1.6.