C&I Leasing Pops by 22% on Stock Pickers Renew Interest
The support and logistic major player in the Nigerian market, C & I Leasing Plc recorded positive movement in its share price, up by 22% as investors began to take position ahead of the company’s fourth quarter 2023 earnings declaration.
At the close of the trading session on Friday, the C&I Leasing Plc share price inched higher to N4.12 from N3.38 at the beginning of the week. The company’s over 1.3 billion shares outstanding is now worth about N5.4 billion in the stock market.
In the first trading session, equities investors in the Nigerian Exchange priced down shares outstanding of C&I Leasing Plc by 40%. Weak sentiment drove selloffs that plunged the logistic player’s market valuation downward at such magnitude.
It made Ticker: CILeasing cheaper for interested investors to purchase the company at a rather cheaper price. Its market price slumped from N5.36 per share at the last trading session in 2023 to N3.38 on Friday, details from the Nigerian bourse website showed.
Management forecast revenue to settle at N5.966 billion in the fourth quarter of financial year 2023, according to its earnings forecast document submitted to the regulator. The company estimated that gross profit for the period would be N3.656 billion in the fourth quarter of the financial year 2023 on an expectation that costs of sales would be N2.31 billion.
Of this, its net profit is estimated to be N178 million as interest payable and similar charges eat into its top line apart from large spend on marketing and distribution. C&I Leasing estimated year-end cash position to settle at about N559 million and expects nothing as finance income in the period amidst working capital movement.
In December 2023, the company launched up to ₦5 billion Series 3 Commercial Paper Issuance under its ₦50 Billion Commercial Paper Issuance Programme. #C&I Leasing Pops by 22% on Stock Pickers Renew Interest Naira Rises by 19% as Forex Market Pressures Ease