Author: Gilbert Ayoola

PZ Cussons: Profit Turnaround Masks Structural Weakness PZ Cussons Nigeria has delivered a headline-grabbing reversal, swinging from a N76 billion loss in FY2024 to a N21.4 billion profit in H1 FY2026. Unsurprisingly, the equity market has reacted aggressively, with the stock rallying 94% from N24.30 to N47.10. However, beneath the surface, this recovery is largely optical. The rally is being driven by temporary, non-operational gains rather than a sustainable improvement in core fundamentals. On closer inspection, nearly 60% of reported profits are derived from non-recurring items, foreign exchange revaluations, exceptional income, and accounting adjustments that are unlikely to repeat into…

Investing: How to Unlock Nigerian Stock Market’s Full Potential There is no place for a big ego in the stock market. This truth is universal, but it is especially relevant in the Nigerian equity market, where cycles are sharp, information is uneven, and sentiment can turn faster than fundamentals. The market rewards discipline, patience, and humility and punishes arrogance without apology. The Nigerian stock market will break all egotistical, arrogant investors; not because they lack intelligence, but because ego clouds judgment. When investors begin to believe they are bigger than the market, they stop listening to data, to price signals,…

Fidelity Bank’s N259bn Capital Raise Signals Tier-1 Ambition and Valuation Re-rating Fidelity Bank Plc has successfully opened and closed a N259 billion private placement of ordinary shares, lifting its eligible capital base from N305.5 billion to N564.5 billion, subject to regulatory approvals. The transaction is one of the most decisive balance-sheet actions in the current banking sector recapitalisation cycle and positions the bank firmly above the N500 billion minimum capital threshold for internationally licensed banks. With this move, Fidelity joins the growing cohort of banks proactively aligning with the Central Bank of Nigeria’s new capital regime, effectively enlisting among the…

Elumelu’s $500m Deal to Recast Seplat Energy’s Gas Story in 2026 If consummated and deployed as signaled, Tony Elumelu’s mooted $500 million investment would mark a strategic inflection point for Seplat Energy less about boardroom symbolism and more about balance-sheet leverage, gas-led growth optionality, and market re-rating into 2026. Seplat’s long-term thesis already tilts toward domestic gas with resilient demand, dollar-linked pricing windows, and policy tailwinds tied to power, industrialisation, and LNG backfill. A $500 million capital injection whether structured as equity, quasi-equity, or project-level financing would materially accelerate this pivot. The immediate effect would be capacity unlock: faster development…

Pharma Stocks: Hard Look at Fidson, May&Baker, Neimeth and Mecure in 2026 In Nigeria, healthcare, especially pharmaceuticals, remains one of the few non-negotiable sectors. Pharmaceuticals are not discretionary purchases that rise and fall with consumer sentiment; they are consumed across economic cycles. Antimalarials, antibiotics, and chronic-care medications are bought in booms and recessions alike. This reality creates a structural demand advantage for listed pharmaceutical companies and positions the sector as a defensive yet growth-oriented play on the Nigerian Exchange (NGX) heading into 2026. Against this backdrop, investors are increasingly paying attention to Fidson, May & Baker, Neimeth, and MeCure. These…

The Irony of Control: Boardroom Deal That Moved the Market At first glance, nothing appeared to happen on the Nigerian Exchange. Geregu Power’s public share register was untouched. No block trades crossed the tape. No dramatic price action followed. Yet, beneath the surface, one of the most consequential power-sector transactions in recent years had already been concluded. The deal was not a market transaction; it was a boardroom one. Geregu Power’s controlling entity is Amperion Power Distribution Company Limited. Femi Otedola, through his interests, held a dominant 95 percent stake in Amperion Power. That stake has now been sold to…

FPI Pullback from Nigerian Exchange Signals Tactical Caution Foreign Portfolio Investment (FPI) activity on the Nigerian Exchange (NGX) moderated further in November 2025, declining by 13.1% month-on-month to N162.04 billion (US$112 million) from N186.62 billion (US$131.27 million) in October. This marked the second consecutive monthly contraction, reinforcing a short-term risk-off posture among offshore investors amid global yield repricing, FX considerations, and profit-taking following the NGX’s strong run earlier in the year. While the headline FPI decline appears negative, its impact on overall market performance has been notably cushioned by resilient domestic participation. November trading patterns showed that reduced foreign inflows…

Eunisell Extends Bullish Run, Reinforces High-Conviction Status Eunisell sustained its strong bullish momentum at the December 30, 2025 trading session, further consolidating its position as a high-conviction equity within growth-oriented portfolios. The stock’s continued advance reflects deepening investor confidence, underpinned by its perceived market potential, resilient fundamentals, and a relatively tight free float, despite an outstanding share base of 236.7 million units. During the session, Eunisell recorded a decisive upside breakout, rallying to a fresh all-time and 52-week high of N105.90 per share. This represented a robust single-day gain of N9.20 from an intraday low of N96.70, highlighting strong demand…

Oando Defies Recent Weakness with Santa Claus Rally Oando Plc delivered a notable turnaround in trading performance on Tuesday, December 30, breaking a streak of subdued sessions with a surprise Santa Claus rally that caught market watchers’ attention. After several days of downward movement and muted trading activity, the stock rebounded strongly, reflecting a renewed wave of investor interest. During the session, Oando gained N1.95, advancing from its opening price of N38.05 to close at N40.00. This performance represents a solid recovery and positioned the stock firmly in positive territory for the day. Although the closing price remained marginally below…

Otedola Exits Geregu Power in $750 Million Deal Billionaire investor Femi Otedola has executed a decisive exit from Geregu Power Plc in a landmark transaction valued at approximately $750 million, marking one of the largest private divestments in Nigeria’s power sector and a pivotal shift in the company’s ultimate ownership structure. According to disclosures filed on the Nigerian Exchange (NGX), the transaction was completed through the sale of Otedola’s 95 percent stake in Amperion Power Distribution Company Limited to MA’AM Energy Limited. Amperion is Geregu Power’s majority shareholder, and the deal effectively transfers the ultimate beneficial ownership of 77 percent…