Oasis Insurance

[Dragon123]

I asked my stockbroker to buy insurance shares or me and he bought Oasis. Is it a good buy? How come nobody had ever discussed it on this forum if it is. I had not discovered this great forum by then or else I would have gone for something else.

[edwardaigbokhan]

pls, i took part in the private placement of globe reinsurance and consolidated hallmark insurance but nothing has been coming from this companies.any information on this companies would be saving a worried mind. thank you all and God bless.

[Avocado]

Originally Posted by Dragon123

I asked my stockbroker to buy insurance shares or me and he bought Oasis. Is it a good buy? How come nobody had ever discussed it on this forum if it is. I had not discovered this great forum by then or else I would have gone for something else.

Are you having a change of mind about OASIS? Why??
.

[Dragon123]

I guess thats too late now. I am relatively new in this game. I really have not seen any information on OASIS and had hoped somebody who did would let me know if I had made a right move. I am into medium to long term investment and would appreciate if senior members like you and the number crunchers out there would comment on OASIS.

[pumping]

Originally Posted by Dragon123

I guess thats too late now. I am relatively new in this game. I really have not seen any information on OASIS and had hoped somebody who did would let me know if I had made a right move. I am into medium to long term investment and would appreciate if senior members like you and the number crunchers out there would comment on OASIS.

Oasis has weak fundamentals. Q-3 PAT was only 120M with 5B outstanding shares. Projected PE is around 65x compared to an average of around 25 for the insurance sector. This is the 2nd highest in the sector and makes it an expensive stock at it's current price. I hope you bought cheaper than the current price.

Oasis will need to grow at about 200% next year to justify it's current price. Good luck.

[MR. CEE]

Originally Posted by pumping

Oasis has weak fundamentals. Q-3 PAT was only 120M with 5B outstanding shares. Projected PE is around 65x compared to an average of around 25 for the insurance sector. This is the 2nd highest in the sector and makes it an expensive stock at it's current price. I hope you bought cheaper than the current price.

Oasis will need to grow at about 200% next year to justify it's current price. Good luck.

Pumping how do u get all the time to juggle between This site and the sister site and be offering assistant to people in need, Infact you are one of a kind Keep up the good work and don't give up. You never got angry with repetitive questions you might have provided answers previously. Happy Holiday.

[Dragon123]

Hmmmmm . Thanks pumping, I am learning fast. May be I should just stick to POs.

[newton]

Yeah... Kudos 2 all d men in da house. Merry xmas! Hopin 2 partake in more insightful discussions on insurance stocks

[aguata]

Please do give me the name of the sister website that you talked about..I am struggling to find info on top 10 insurance stocks to invest in Jan 2008...

[Babs_O]

Originally Posted by Dragon123

I asked my stockbroker to buy insurance shares or me and he bought Oasis. Is it a good buy? How come nobody had ever discussed it on this forum if it is. I had not discovered this great forum by then or else I would have gone for something else.

@Dragon123. I think Oasis should be a good buy for the medium to long term. You will most likely thank your stock broker at the end of 2008 by the time the money raised by Oasis during the consolidation starts showing in their profit after tax. I'll advice keep it as it is currently relatively cheap in terms of price appreciation when compared to other insurance stocks and may end up having more headroom to go relatively to most of the others. I am currently targeting it also.

[Survival2006]

Originally Posted by MR. CEE

Pumping how do u get all the time to juggle between This site and the sister site and be offering assistant to people in need, Infact you are one of a kind Keep up the good work and don't give up. You never got angry with repetitive questions you might have provided answers previously. Happy Holiday.

MR. CEE

I am a tough but silent fan of Pumping. You are soooooooooo right about him not getting tired nor angry. That guy has some rare qualities. May he keep them up as those that can reward somehow are there lurking. Pumping you a nice guy. Mr. Risky fro Nairaland

[Babs_O]

Oasis like most other stocks started climbing today to close above N 2.1
Looks like my target price has been missed. Another bull run starting ? Parhaps catch it for some short term gains as a minimum.

[Avocado]

Originally Posted by Dragon123

I asked my stockbroker to buy insurance shares or me and he bought Oasis. Is it a good buy? How come nobody had ever discussed it on this forum if it is. I had not discovered this great forum by then or else I would have gone for something else.

Dragon, sure you're smiling now, aren't you?

Now's the time to ask your stockbroker why he recommended and bought OASIS. Already sold 30% of OASIS today; the climb is becoming steep; but price climbed some still.
.

[Dragon123]

Thanks Avocado. I guess the man knew what he was doing. I am raelly a medium to long term person and not comtemplating selling so soon. Wants to buy more and I guess I should leave it to him to decide again. Or do you have any good picks?

[pumping]

Originally Posted by Dragon123

Thanks Avocado. I guess the man knew what he was doing. I am raelly a medium to long term person and not comtemplating selling so soon. Wants to buy more and I guess I should leave it to him to decide again. Or do you have any good picks?

Hmm. I hope you will not complain when he/she buys you stocks that destroy your portfolio. If a broker bought a stock on your behalf, ask him the reason for the choice.

I cannot think of any good reason of buying Oasis like I commented in December. I know it has now gained in price but this is the anomaly on the NSE. If it hits you in the opposite direction, you won't be very pleased.

The broker may have gambled and made a good choice. You don't want to gamble with your portfolio.

[hispy99]

Originally Posted by pumping

Hmm. I hope you will not complain when he/she buys you stocks that destroy your portfolio. If a broker bought a stock on your behalf, ask him the reason for the choice.

I cannot think of any good reason of buying Oasis like I commented in December. I know it has now gained in price but this is the anomaly on the NSE. If it hits you in the opposite direction, you won't be very pleased.

The broker may have gambled and made a good choice. You don't want to gamble with your portfolio.

na true talk....if the broker buys another stock for you and it does very badly (ala Transcorp from N9 to N3), will you be able to ask him to reverse the transaction, after all when he made a right bet you did not complain.

If you decide to handover stock picking for your account to your broker, then let him know that clearly. If you do not expressly tell them to and they go ahead to buy stocks for your account without your authorization, it might just come back to bite you later on.

Anyway, congrats on Oasis

[Babs_O]

Originally Posted by Babs_O

@Dragon123. I think Oasis should be a good buy for the medium to long term. You will most likely thank your stock broker at the end of 2008 by the time the money raised by Oasis during the consolidation starts showing in their profit after tax. I'll advice keep it as it is currently relatively cheap in terms of price appreciation when compared to other insurance stocks and may end up having more headroom to go relatively to most of the others. I am currently targeting it also.

Dragon. I told you. But it is playing faster than I forecasted. I have other data that supported this my comment.

[pumping]

Originally Posted by Babs_O

Dragon. I told you. But it is playing faster than I forecasted. I have other data that supported this my comment.

Why don't you share this data with us? We all like to make money you know.

Though I will honestly be surprised at any data that will support Oasis as a good investment at the current price except insider information. I beg, share sha just in case.

Did you say relatively cheap?? I don't agree with that at all. It is competing with Equity Assurance as the most expensive stock in the insurance industry.

[juliusdudu]

I am joining pumping to beg u pls share ur info with us. Definitely it must be insider info and this will greatly help my portfolio as I consider the stock too expensive for its fundamental.
Pls share us the info.

[Avocado]

Dragon123: as I'd asked, the meat of the matter is asking your stockbroker why OASIS was a good buy then; the answer will determine if broker's good on OASIS. And, remember, it's a double-edged strategy that may draw you some blood to give your stockbroker the sort of control you've hinted. Plus, you could learn more from the broker if attention is paid to the reason behind trades. I had a reason or two for buying OASIS; I won't claim they were the soundest of reasons, but I was well braced for a loss; that's why locking in profits is the next move.

Now, there's some danger in a simplistic interpretation of the meaning of a metric like the PE ratio. A low PE (for a stock within its industry), say, could have at least two interpretations: stock is relatively cheap and is a steal at current price, or, outlook/growth for stock isn't bright; same for a high PE. It is important to be able to figure what's happening. A single metric, plus (even) valid extrapolations of current PAT, say, may not capture all there is to make a sound decision.

Babs_O: your book-value-based system is good; but you didn't answer a question earlier asked (perhaps you missed it?): how do you estimate the "goodwill" component? Do you set it to zero?

Cheers.