Stocks to buy: Our own SMN user analysis!

[Taipan]

I believe twill be a good idea if we the users of this site create a catalogue of good and bad stocks and why (from our own personal analysis). This could help members get frank, unbiased, and straight-to-the-point information on which they can base their decisions. This could save some of us from making wrong bets for lack of information and advice and also help us reap good dividends by listening to each other.
What d'you all think? I'l start with mine.

[Taipan]

I believe Oando is a lovely buy. FS lists it among its most undervalued stocks and truly, just comparing it to its public offer price of about a yr ago (~N100) reflects this. But that apart, Oando has so much (probably the greatest among oil stocks) intrinsic value- aggressive expansion and diversification into exploration and refining- that isnt reflected yet. I believe that towards their end of year later this year, they're really going to shoot-up. Now when the price is dropping is obviously the best time to buy. I'v bot n I plan to do more when I have more cash.
Cheers

[ghm]

While I quite agree with you (Taipan) about Oando, I am also skeptical about the share because of it's dual listing. (i.e. It's shares are also listed on the J'burg Stock Exchange).

I have not been able to figure out where the line is and thus cannot really say much about it without further information. We are not so sure whether the fantastic projects we heard the company embarked on are from JSE realizations or the growth from within.


Can you shed more light?

[Taipan]

Originally Posted by ghm

While I quite agree with you (Taipan) about Oando, I am also skeptical about the share because of it's dual listing. (i.e. It's shares are also listed on the J'burg Stock Exchange).

I have not been able to figure out where the line is and thus cannot really say much about it without further information. We are not so sure whether the fantastic projects we heard the company embarked on are from JSE realizations or the growth from within.


Can you shed more light?

The point is this: The Oando listing in the JSE isnt that of a subsidiary company but the same one. What happened is that the company went elsewhere to raise additional funds, which it could have done by bringing another offer to our own NSE. All it means is that you have some fellow shareholders there in SA which is actually a plus as it shows the confidence the international community has in this company. Any project carried out affects both you and our JSE colleagues equally, depending on the number of shares you have. Hope u'r ok.

[Stockbear]

Taipan started this thread which is worthy of our attention and contributions! Threads like this help all of us.

For those not so sure about sharing what they have or know, you have much to gain and nothing to lose. In sharing what you know, someone else might very well add to your "treasure" without them knowing so and likewise we all gain from each other.

By sharing we enrich each other! Many a time I have info that could enrich me if I had the money to utilise the said information, but since I do not have said funds, I see no reason why someone else should not benefit from something that I cannot presently benefit from.

More so, just like I do not and might not have the funds to benefit from info someone else has shared with me, the same applies to many others.

The very fact that you have something precious to share does not mean anyone or everyone will benefit from such sharing.

Let's all share for the benefit of each other. As we have chosen to be a part of this "community" our worthwhile contributions to it make it worthwhile to us and a joy/pleasure to be a part of.

[c kenneths]

I was under the impression that the JSE listing was done with the same shares we own in NSE?

If I am correct, why then is Taipan saying they raised additional money from JSE. How many shares were offered and what is the level of its subscription, how much was raised and for what purpose?

The company will have to explain to its current shareholders what the full implications of the dual listing will be.

Full disclosure please.

[Taipan]

c kenneths, please check out http://africanfinancialmarkets.com/f...T&NewsID=17299
But since you might need to register first, I'll just quote it:
Oando to issue $500m shares in South Africa
23rd August 2006

Oil company OANDO has started talks with three top South African investors. Old Mutual, Investec, and Sanlam to take up its new shares in a bid to raise about $500-million in the country by next year. This will increase the amount of shares in non-Nigerian hands to about 25 percent of its total shares.

"We listed on the JSE last year only by way of introducing OANDO to South Africa, but now we are meeting with institutional shareholders from whom we will look to raise more in due course," OANDO CEO Wale Tinubu told journalists in Johannesburg, South A frica. Tinubu said three of the institutions he had met were optimistic about the venture. "Everybody is positive because we are at the right industry at the moment."

He said the half-a-billion-dollar fund would be used for various projects including the expansion of its gas pipelines. OANDO is also expected to embark on another $500-million capital-raising exercise in 2009 when it hopes to obtain its own refining operation licence and produce a minimum of 200,000 barrels of refined product a day..

Johannesburg-based asset manager, Nothando Ndebele, said OANDO had been largely anonymous in South Africa for a number of reasons. "The low liquidity hasn't help. Only R9-million (about US$1.3-million) has been traded since it listed last year, averaging less than R1-million a month," said the asset manager.

Ndebele said OANDO is " also seen as more expensive "because its share price is sitting at a high price-earnings ratio of more than 20, nearly double that of SA petrochemical giant, SASOL's 11.

Source: Business Day Nigeria

[Taipan]

Originally Posted by Stockbear

Taipan started this thread which is worthy of our attention and contributions! Threads like this help all of us.

For those not so sure about sharing what they have or know, you have much to gain and nothing to lose. In sharing what you know, someone else might very well add to your "treasure" without them knowing so and likewise we all gain from each other.

By sharing we enrich each other! Many a time I have info that could enrich me if I had the money to utilise the said information, but since I do not have said funds, I see no reason why someone else should not benefit from something that I cannot presently benefit from.

More so, just like I do not and might not have the funds to benefit from info someone else has shared with me, the same applies to many others.

The very fact that you have something precious to share does not mean anyone or everyone will benefit from such sharing.

Let's all share for the benefit of each other. As we have chosen to be a part of this "community" our worthwhile contributions to it make it worthwhile to us and a joy/pleasure to be a part of.

Stockbear, thanks so much for the encouragement, although I wonder why u choose to be a stockbear instead of a stockbull!
Been watching the market and I must say that I'm a little confused. It's difficult to find a reasonable stock to invest in (or maybe I haven't done my fundamentals well) as quite a number of them have unreasonably high prices. Even Afroil which just recorded a loss is still moving up slike a shooting-star! Please does anyone have any explanations and suggestions?
Personally, I've been following the Financial Standard Monday Review (FS back page) and I've discovered that once a stock gets listed among the top three (or so) underpriced stocks,the price starts to shoot up! For those looking to make a quick kill, you might just want to try it. Right now, the most underpriced stock (according to FS) is University Press and you can check out what's happening to their price at http://www.firstglobalselect.com/scr...retype-id=6360
I do hope others would share whatever little info they have. Thanks.