Category Archives: Oil and gas
Jan
Analyst: Victoria Ejugwu* Target price: ₦359.71 Rating: SELL Amidst higher fuel prices, Total reported a 32% y/y growth in revenue to ₦636 billion. Per segment, fuel turnover came in 40% higher y/y to ₦509 billion, a reflection of higher fuel prices. Meanwhile, the lubricants segment posted a modest 6% y/y increase in revenue to ₦127...
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Dec
A mired journey ahead The global demand for oil is holding strong, especially in key markets like China and the U.S. This sets the stage for positive outcomes in the upstream part of the sector, where we could see more revenue and better profits. However, challenges such as weak infrastructure suggest that Nigeria may not...
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Dec
Policy Reforms to drive strong performance. With the over-due policies to drive reforms in the Oil & Gas sector now being implemented, our expectations for our coverage companies are now more optimistic. For the downstream segment, we note that much of the struggles our coverage companies faced was the effect of price controls on margins....
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Dec
Our conviction stocks closed higher in November, gaining 1.8% m/m, underperforming the ASI by 1.2ppts. Our picks have yielded a return of 71.2% YTD, outperforming the ASI by 32.0ppts. Starting with the Consumer Goods sector, it was a mixed month as DANGSUGAR eased 7.94% m/m, while NESTLE (+9.5% m/m) closed in the green. All in,...
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Analyst: Victoria Ejugwu* Target price: ₦378.63 Rating: SELL Revenue performance largely comes in line with expectations.In its recently released 9M earnings results, TOTAL reported revenue growth of 20% y/y to ₦422.6 billion, coming in slightly above our estimate (Vetiva estimate: ₦403.3 billion). The company’s fuel business remained the primary driver for this growth, with fuel...
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