The benchmark All-Share index of the Nigerian Stock Exchange (NSE) made a marginal recovery on Friday, notching 0.2% gain, after seven consecutive sessions of declines, which forced it down to its October 2016 levels.
Owing to the huge declines, many stocks on the bourse are now on offer at a significant discount, when their Book Values Per Share are considered against the closing price on Friday, July 19, 201, according to data by Investdata Ltd.
For example, companies like Nestle Nigeria, Seplat Petroleum Development Company, Okomu Oil Palm, Presco; Nahco, Ecobank Transnational Incorporated; and Eterna Plc, among others hit their one-year low price.
At these prices, many of the stock have intrinsic values waiting for investors to unlock.
They include Nahco, which closed at N2.35 per share on Friday, which incidentally is its 52-week low, at a time Book Value Per Share (BVPS) is N4.13 each. At its N9.00 per share year low, ETI is even offering juicier values at its BVPS of N35.07 each; while UBA Plc at N5.50 per share on Friday, July 19, 2019, is also waiting to be noticed by investors, given its BVPS of N14.70; just as Eterna has N9.87 BVPS, as against the market price of N3.35; while Oando’s N4.05, which is near its N3.50 year-low, also presents a juicy offering with its BVPS of N22.29 each.
Others include UACN Plc which closed at N5.40 at a time BVPS is N25.76; a direct opposite of its subsidiary- Chemical & Allied Product, which currently goes for N24.75 on the NSE, as against its BVPS of N4.01. At N6.40 per share, Access Bank with a BVPS of N17.27 has unlocked value; unlike Stanbic IBTC Holdings with a market price of N38.00, lower than its N23.40 per-share book value; while FBN Holdings N5.40 share price is far below its N14.78 BVPS; among others.