Lafarge Africa Hits 52-Week High, Analysts Adjust Target Price
Lafarge Africa Plc has 48% upside at the current market price of N106 per share in the equities market. In its stock recommendation, Cowry Asset Limited sets N156.90 as the new target price for Lafarge after it broke out of the previous estimate.
The cement company’s share price surged by 14.59% week on week, from the opening price of N92.50, according to data from the Nigerian Exchange. Investors are showing confidence as they anticipate Lafarge Africa will maintain earnings growth and boost market share amidst heightened competition in the cement industry.
The company’s performance in the first quarter of the year was supported by market-wide price adjustments and volume growth, and analysts are projecting that its capital spending will strengthen its competitive capability in the market.
Trading details revealed that as a result of the upswings, Lafarge Africa, with ticker WAPCO, hit a 52-week high, supported by improved volume transacted on Wednesday, Thursday, and Friday.
The sharp and significant rally prompted equities analysts at Cowry Asset Management Limited to upgrade their price target for the cement company ahead of second-quarter earnings. A slew of analysts have projected better returns for the members of cement oligarchs following improved macro indicators and their tight control in Nigerian markets.
Rising confidence propelled strong bargain hunting that lifted the market value of Lafarge Africa Plc.’s 16.107 billion shares outstanding to N1.707 trillion at the close of the trading session on Friday.
With the buy recommendation, investors are more likely to lose money if they sell their shares in Lafarge Africa if the cement company’s market price eventually goes higher.
Buying at the current market value means that investors are targeting 48% upside if WAPCO eventually reaches the target price of N156.90 per share in the equities market. #Lafarge Africa Hits 52-Week High, Analysts Adjust Target Price NEM Insurance Hits 52-Week on Rising Investors Confidence
