Thursday, March 10, 2011

U JUST MISSED TZS 5 MILLION OUT OF CRDB SHARES!

Working hard perse was the way of the past whereas to-date working hard, information and shrewdness are key to our way towards successful life and financial freedom.Just between January and today for a medium investor/speculator you would have gained 45% on you investment in CRDB Shares or 11% on DCB shares.Would you have invested TZS 11 million in Dec 2010/Jan2011, today your shares would be valued at TZS 16 million. Despite the astonishing performance of the shares still foreign investors appetite has been pushing the price of the shares upward!
Below I have analyzed current prices versus year 2010 performance of major and listed banks in Dar es Salaam stock exchange. Current prices seem to value CRDB Bank 44% above its book value and NMB 41% above its book value and amazingly DCB is valued 32% below its book value.Strategically, one could balance his or her portfolio between CRDB and DCB or a mix between NMB & DCB!DCB bank is well known for its consistent dividend payout culture!
P/E for DCB is 3 years, while for CRDB is 7 years, NMB is 6 years! P/E ratio indicates shareholders believe in the bank and appetite for the bank shares.Higher P/E ratio implies long payback period and lower returns on your investment in most cases.
CRDB Staff Seem to be more productive than other banks with Average earning capacity of TZS 35Mln, followed by DCB 24Mln, NMB 21Mln and lastly NBC staff average of 2mln. However in 2010 NBC was affected by the group synchronization initiative which saw huge amounts written off the books as impairments and bad debts.
You can learn more things concerning markets and stock business through perusing this site and through direct communication with the publishers of this blog.


SUMMARY CRDB PLC, NMB, DCB , NBC
Market Cap.(In Bill.) 348.24 : 325 : 10.04 : N/A
Net Assets(Bill.) 242.28 : 230.51 : 14.87 : 153.08
Market value/Book value 144% : 141% : 68% : N/A
Market price 160 : 650 : 310 : N/A
Earnings per Share 22.86 : 107.96 : 99.21 : 2,289.00
Expected Dividend 10 : 40 : : 49.00
Earnings yield 14% : 17% : 32% : N/A
Dividend yield 6% : 6% : 16% : N/A
P/E ratio 7 : 6 : 3 : N/A
Productivity
Av. Earnings/branch(Mil.) 815 : 388 : 803 : 43
Av. Earnings/employee(Mil.) 35 : 21 : 24 : 2

Epak Capital Ltd, is looking forward to mobilize resources from potential investors who will pay a minimum fee of five percent on their investment and 20% of the profits generated! We are looking forward to offering several packages to our clients. Education on investment in stocks can be offered personally or through group arrangements! My eye these time was on bank in future we shall have a look on other caterogies available in the market!

Emmanuel Akyoo,
Managing Director,
Epak Capital Ltd.
0712-459035, 0784-146756

1 comment:

  1. Honestly, your analyses are moving even to a layman like me, I feel like getting your financial advice before attempting investment.

    Keep it up shrewd investor and take us in your boat. We kep learning being smart and geting information that can ease our toil in today's bussines arena.

    ReplyDelete