The odds are in favour of PRESCO in 2024, as we see legroom for higher domestic CPO prices and improved RBDO production. Furthermore, the proposed acquisition of a 100.0% equity stake in Ghana Oil Palm Development Company Limited (GOPDC) bodes well for growth in the near term. We have a 12-month TP of N384.20 and a BUY rating on the ticker.
FLOURMILLS has proven resilient in the face of tough macroeconomic terrain by developing new products, expanding its market reach, and boosting export earnings.
In FY'23, ETI's earnings defied notable currency weaknesses in Zimbabwe (- 89.0%), Nigeria (-50.0%), and Ghana (-29.0%), expanding by 11.0% to $406.9 million.
STANBIC crossed an earnings milestone (above N100.0 billion) in FY'23, aided by strong revenues from both net interest income (NII) and non- interest revenue (NIR).
Following a challenging Q1’24 earnings performance, we have set a new 12-month target price (TP) of N74.02 (vs N93.13 previously) while maintaining a HOLD recommendation.
Following the company's Q1'24 performance, we raise our target price slightly to N42.24, maintaining a BUY rating on the ticker. Our revision stems from an increase in volumes due to the expected rebound in construction activities and elevated cement prices (higher than the industry average) which will drive a strong top-line performance. Nevertheless, we note the impact of FX losses from Letters of Credit (LCs) and the higher-than-average effective tax rate on the company's bottom line.
