OKOMU OIL PALM COMPANY PLC FY’23 EARNINGS – Mixed Bag – Topline thrives, margins wobble

Analyst: Abigail Alabi* Target price: ₦256.95 Rating: SELL OKOMUOIL released its unaudited FY’23 earnings results, reporting a strong PAT growth of 22% y/y, which was bolstered by the surge in sales. OKOMUOIL rides export surge Amid the stable global CPO prices and strong local demand, revenue for the Q4’23 period increased by 58% y/y to ₦14...

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FCMB GROUP PLC FY’23 EARNINGS – Strong growth amid economic headwinds

Analyst: Olumide Sole* Target price: ₦12.10 Rating: HOLD Following the release of its unaudited FY’23 results, FCMB reported an impressive growth in Gross Earnings in Q4’23, rising by 71% y/y to ₦165 billion. This was due to an expansion in both Interest Income (+70% y/y) and Non-Interest Revenue (+71% y/y). Particularly, Interest Income from loans...

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December 2023 Inflation review – Inflation rises to 27-year high

Analyst: Ibukun Omoyeni* Consumer price inflation ascended to 28.92% y/y, 20bps lower than our estimate (Vetiva: 29.12% y/y) and 72bps above the prior month (Nov23: 28.20% y/y). This represents the highest turnout since August 1996. We attribute the turnout to elevated transport prices, impediments in the agricultural sector, and year-end festivities. On a month-on-month basis,...

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10 High Conviction Stocks for 2024

In 2023, our high-conviction stocks demonstrated a notable weighted average return of 87%, surpassing the ASI’s year-on-year return of 46%… In 2024, our outlook is characterized by cautious optimism as we anticipate sustained growth within the telecoms sector, with MTNN poised to maintain its impressive trajectory… This year, we foresee a continuation of the investment...

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FY’24 SSA Consumer Goods Outlook – Macro headwinds limit growth.

The production of household brand products in the Sub-Saharan African (SSA) region faces a series of challenges within the fast-moving consumer goods (FMCG) sector… Recognizing the escalating macroeconomic challenges, the FMCG sector stands at a pivotal juncture as it approaches 2024. Persistent challenges from 2023, such as inflation and energy supply constraints, are anticipated to...

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FY’24 Macroeconomic Outlook – From tight ropes to turning points

From tight ropes to turning points The global economic landscape in 2024 is painted with mixed hues. While anxieties over inflation and recession linger, whispers of a slowdown in major economies offer some potential relief. However, simmering tensions in the Middle East, particularly between Israel and Hamas, cast a shadow over this fragile optimism… In...

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