Access Holdings Dips by 8%, Analysts Raise Target Price
With about 8% negative price movement in the just concluded week, the equities market value of Access Holdings Plc declined to N814 billion on Friday due to sell pressure from investors that sought to exit their positions.
Access Holdings Plc had advanced near N900 billion in market valuation before the financial services warehouse retreated from taking the momentum higher.
The banking group’s market value plunged by N69.313 billion as investors exited their positions in Nigeria’s top banking group with the largest total assets.
Details from the Nigerian Exchange showed Access Plc market price declined to N22.90 on Friday in the equities segment, which translates to 8% weekly drop when compared with its N24.75 opening price.
At the current quoted price, Access Holdings Plc is trading at more than a 25% discount to its 52-week high on the Nigerian Exchange. Its share had surged to its 12-month best price of N30.7 before it retreated.
The stock market on Friday valued Access Holdings Plc’s 35,545,225,622 shares outstanding for N813.985 billion.
Analysts Valuation
In its equity report, analysts at Cordros Securities Limited raised Access Holdings year-end target price by 13.7% to N31.38 and maintained the buy rating. Analysts said the target price upward review was driven by the firm’s expectation of sustained growth from the funded and non-funded income lines.
Analysts at Cordros Securities Limited estimated a final dividend of N2.00 per share in 2024, which translates to a dividend yield of 8.1%. Access Holdings Plc continues to leverage HoldCo’s robust asset base totaling N41.10 trillion to deliver sturdy income growth across contributory lines.
The group’s interest income surged by 128.7% year on year to N2.40 trillion, marking the largest print across the sector. The stellar growth in the group’s core income was supported by the prevailing interest rate environment and the rise in the group’s earning assets.
The financial services group’s capital adequacy ratio remained strong, with a capital adequacy ratio of 19.7% as of H1-24, indicating stability. #Access Holdings Dips by 8%, Analysts Raise Target Price Naira Plunges on Suboptimal FX Intervention
