Nigeria: First Holdco, Ecobank, Prestige Top Stock Pick This Week

This article is a stock investment guide, not a buy, sell, or hold recommendation. Please consult your financial advisor before making any investment decisions.

Nigerian stocks gained last week for the fourth consecutive week. Consumer goods stocks led this positive trend. The market reacted well to impressive first-quarter results. Sentiment may remain favorable if upcoming corporate results are strong.

This week’s outlook is cautious. Investors are watching the Central Bank of Nigeria's monetary policy. An interest rate decision will be announced on Tuesday.

PREMIUM TIMES has identified stocks with solid fundamentals. This analysis helps reduce the risk of random equity selection. The guide aims to assist in making strategic investments for potential price appreciation over time.

First Holdco tops this week's list for trading below its intrinsic and book value. Its price-to-earnings (PE) ratio is 1.5x, and the price-to-book (PB) ratio is 0.4x. The relative strength index (RSI) stands at 39.8.

Ecobank Transnational Incorporated also trades below its intrinsic and book value. Its PE ratio is 0.01x, while the RSI is 49.5.

Prestige Assurance appears on the list for trading below its underlying value as well. Its PE ratio is 4.6x, and the PB ratio is 0.3x, with an RSI of 50.5.

Japaul Gold makes the cut for trading significantly below its underlying value too. The company's PE ratio is 6.7x, while the PB ratio stands at 1.6x and its RSI is 51.3.

NGX Group also trades below its intrinsic value with a PE ratio of 6.9x and a PB ratio of 1.4x; its RSI is at 59.9.