Five Stocks to Likely Consider This Week

By Modupe Gbadeyanka

It is a new week, which provides new opportunities for investors as we draw closer to the much-anticipated 2019 general elections in Nigeria.

For the past two weeks, the market has surpassed expectations of observers and analysts, closing in the green territory.

The sudden return of foreign portfolio investors into the local market has continued surprise many.

Business Post analysts observe that one key issue that may weigh in on the Nigerian Stock Exchange (NSE) this week might be the suspension of the Chief Justice of Nigeria (CJN), Mr Walter Onnoghen, by President Muhammadu Buhari.

The suspension of the nation’s chief law officer by the President has been generating mixed reactions because due process was allegedly not followed by Mr Buhari.

Investors always want the assurance that environment where they put their money is safe and rule of law followed, but with this development, they may start to think otherwise.

This week, analysts at Meristem Research have picked five stocks investors should monitor closely because they might make them richer in just five days.

These equities are Dangote Cement, which is being tipped to produce 19.64 percent return this week to hit N232.11k per unit.

Another stock is NASCON, which is operated by Dangote Group, which is expected to yield 15.61 percent profit to reach N20.81k per share; NEM Insurance, which is projected to return 26.36 percent to settle at N3.02k per unit.

Also, the investment research firm is tipping UBA to grow by 19.74 percent this week to hit N9.22k per share, while Zenith Bank is expected to appreciate by 19.48 percent to hit N27.48k per unit.

In conclusion, Meristem Research is expecting profit taking activities on selective stocks within the banking space, following significant gains in the sector last week.