5 Best Shares to Sell in Nigeria
The Best 5 Shares to Sell in Nigeria revealed. We tested and verified the best shares to sell to Nigerian Traders.
This is a complete list of the best shares to sell in Nigeria.
In this in-depth guide you’ll learn:
- What are shares?
- Which shares to keep an eye on in 2022 as a Nigerian Trader?
- Our recommended 5 shares to sell for Nigerian Traders
- How to compare shares against each other
- Which brokers can you use to trade on with shares in Nigeria?
- Which broker offers a low minimum deposit?
- Which brokers offer a signup bonus for first-time traders?
And lots more…
So if you’re ready to go “all in” with the best shares to sell for Nigerians…
Let’s dive right in…
What is shares trading?
👉 Stocks are traded in the hope of making money by purchasing and selling the company’s shares (or derivative products based on the stock).
👉 A public company’s market capitalization is derived in part from its shares which reflect a portion of a company’s ownership. Shares trading is one of the most prominent and well-known investment marketplaces.
1. Learn Africa Plc (LEARNAFRCA)
✔️ Status: Active
👉 Learn Africa Plc is a publishing and distribution company that produces educational tools for students at all stages of education, from pre-school to college.
👉 The corporation is a participant in the book-publishing business. It offers a diverse selection of reading resources, including academic, business, and recreational literature.
👉 Learn Africa is traded on the NGX under the ticker symbol “LEARNAFRCA”. The International Securities Identification Number (ISIN) of NGX: LEARNAFRCA is NGLONGMAN007.
👉 Learn Africa is currently the 118th most valuable stock on the NGX with a market capitalization of NGN 1.5 billion, which makes about 0.0056% of the Nigerian Stock Exchange equity market.
|🥇 Current Live Price||1.95 NGN|
|🔄 1 Year Change||+79.8%|
|🔁 YTD Change||+67.5%|
|💻 52-Week Range||₦0.92 to ₦2.66|
|💸 1-Year Liquidity||₦124.3 Million|
|💵 Market Capitalization||₦1.5 Billion|
|📲 # Shares Traded||39,000|
|💰 Gross Turnover||₦626,400|
2. Presco Plc (PRESCO)
✔️ Status: Active
👉 Presco Plc is a major player in Nigeria’s agro-industrial industry, and it is headquartered in Lagos. In addition to establishing oil palm plantations, the company engages in the milling and processing of palm oil as well as the refinement of vegetable oils, among other things.
👉 The company’s key areas of expertise include the extraction, refinement, and fractionation of crude palm oil into vegetable oil and palm stearic acid.
👉 Other areas of expertise include the production of palm stearic acid and palm stearic acid. Presco’s share price has risen by 51.5 percent since the beginning of the year, making it the ninth best performer on the NGX so far this year after starting the year at 87.80 NGN.
|🥇 Current Live Price||143.40 NGN|
|🔄 1 Year Change||+84.7%|
|🔁 YTD Change||+51.5%|
|💻 52-Week Range||₦68.00 to ₦133|
|💸 1-Year Liquidity||₦10.1 Billion|
|💵 Market Capitalization||₦133 Billion|
|📲 # Shares Traded||1.1 Million|
|💰 Gross Turnover||₦32.8 Million|
3. Courteville Business Solutions Plc (COURTVILLE)
✔️ Status: Active
👉 Courteville Business Solutions Plc is a Nigerian e-business solutions development company that was established in 2005. It provides financial management and counselling services, business solutions, e-commerce, and internet marketing services, amongst other things.
👉 Data capture, retail channel distribution, dedicated and cloud hosting, as well as tax administration consulting services, are just a few of the e-business solutions provided by Courteville Technologies Inc.
|🥇 Current Live Price||0.54 NGN|
|🔄 1 Year Change||+143.4%|
|🔁 YTD Change||+47.4%|
|💻 52-Week Range||₦0.20 to ₦0.61|
|💸 1-Year Liquidity||₦404.1 Million|
|💵 Market Capitalization||₦2 Billion|
|📲 # Shares Traded||813,100|
|💰 Gross Turnover||₦241,300|
4. NPF Microfinance Bank Plc (NPFMCRFBK)
✔️ Status: Active
👉 NPF Microfinance Bank Plc is a Nigerian community bank that was established in 2005. The major goal of the organization is to provide banking and other regulated financial services to low- and moderate-income individuals and small enterprises in Nigeria, with a special emphasis on police personnel.
👉 The company was founded in 1999 by two Nigerian entrepreneurs.
👉 Retail banking, loan and advance granting, as well as other associated services, are all included in the company’s offerings to its customers.
👉 The bank has a total of 28 locations across the country. NPF Microfinance started with a share price of 1.70 NGN and has since increased by 46.5 percent, putting it in tenth place on the NGX in terms of year-to-date earnings, according to the company.
|🥇 Current Live Price||1.98 NGN|
|🔄 1 Year Change||+27.6%|
|🔁 YTD Change||+46.5%|
|💻 52-Week Range||₦1.60 to ₦2.57|
|💸 1-Year Liquidity||₦214.7 Million|
|💵 Market Capitalization||₦5.7 Billion|
|📲 # Shares Traded||356,800|
|💰 Gross Turnover||₦413,500|
5. Meyer Plc (MEYER)
✔️ Status: Active
👉 As one of the leading companies in the manufacturing industry, Meyer PLC (previously DN Meyer Plc) is a well-known name.
👉 Painting is a major activity for Meyer Plc, which manufactures and sells paints locally as well as internationally. Paints, trading property, and corporate operations are all divisions of the corporation.
👉 As of today, Meyer’s stock has risen 43.5 percent from its initial public offering (IPO) price of 0.46 NGN, ranking it 11th on the Nigerian Stock Exchange in terms of year-to-date performance.
👉 Holders of MEYER stock have good cause to be optimistic, since the stock has gained 20 percent in the last four weeks, putting it in sixth place on the New York Stock Exchange.
|🥇 Current Live Price||3.00 NGN
|🔄 1 Year Change||+61%|
|🔁 YTD Change||+43.5%|
|💻 52-Week Range||₦0.20 to ₦0.66|
|💸 1-Year Liquidity||₦4.8 Million|
|💵 Market Capitalization||₦350.6 Million|
|📲 # Shares Traded||500,000|
|💰 Gross Turnover||₦510,200|
What should Nigerian investors consider before they sell shares?
👉 There are certain factors of which Nigerian investors should be aware before deciding to sell a stock. These include the following:
➡️ When selling a stock, intelligent investors set a price goal, or at the very least a price range within which they would contemplate selling the stock once it has been purchased. Each stock acquisition should be accompanied with an evaluation of the stock’s value, with the current price preferably representing a significant discount to the predicted value.
➡️ In addition to keeping track of a company’s stock price after creating a price target, it is crucial to keep track of the success of the underlying business as well. If the business’s fundamentals deteriorate, this is a significant cause to sell.
➡️ The gain that could have been obtained by choosing an alternative is referred to as the opportunity cost. Whenever possible, prior to purchasing a stock, compare it to the prospective gains that could be realized by purchasing another stock. Alternatively, if the other option is preferable, it makes sense to sell one’s present position and acquire the other.
The risks involved with buying/selling shares in Nigeria
➡️ Avoid relying too heavily on a single company, product category, or industry in your investment portfolio.
➡️ As a result, you’ll be responsible for managing your own portfolio and spending more time researching and comprehending the various factors that affect your investment.
➡️ You may get back less than you put in if the company doesn’t perform as expected or if the market swings against you.
The Advantages of Shares Trading
👉 When an investor purchases stock in a certain company, they become a shareholder in that company. As a result, investors will feel like they have a stake in the company after purchasing stock.
👉 Ownership entails becoming a shareholder and participating in the management of a corporation. Investors will be able to participate in the decision-making process by casting a vote.
👉 In addition, they receive annual learning reports, which provide them with more in-depth information about the business. Investing in the stock of a company is a great way to show your support for the firm’s future development.
👉 It’s important to remember that stocks, unlike other investments like bonds and real estate, fluctuate in value on their own.
👉 Investing in equities for a lengthy period of time will assist an investor better predict the losses of other investments.
👉 In addition to the increased risk, adding stocks to an investor’s portfolio can also result in substantial and quick gains, which can help investors steer clear of overly conservative investment plans altogether.
👉 Dividends are payments made by a firm to its shareholders. To put it another way, it is a recurring annual payment made by a firm to its investors as an extra source of income.
👉 Even if the stock’s value has dropped or it represents a profit from the shares, dividends will be paid out.
👉 An investor’s portfolio can expand over time with the support of dividend income, which can be used to fund a retirement or another investment.
The benefit of liquidity
👉 Stocks are sometimes described as a type of “liquid asset” because they’re easily exchangeable for cash that has multiple purchasers at any given time.
👉 However, finding a buyer for some assets, such as property, is more difficult than finding a buyer for other assets.
👉 Stocks, on the other hand, are significantly simpler to trade due to the enormous amount of transactions on the NSE and BSE on a daily average. As a result, many buyers and sellers are keeping tabs on a certain stock.
You can take advantage of economic growth
👉 Corporate profits rise in tandem with the expansion of the economy. This is due to the fact that economic expansion generates jobs, which in turn generates revenue, which in turn generates sales.
👉 The larger the pay check, the bigger the boost to consumer demand, which results in increased revenues flowing into the cash registers of businesses. It can assist with comprehending the four phases of the business cycle: expansion, peak, contraction, and trough (or bottom).
👉 Purchasing and selling stock in a company is simple thanks to the stock market. You can obtain them from a broker or a financial broker, or you can purchase them online.
👉 Once you’ve created an account, you’ll be able to purchase stocks within minutes. A small business owner may even have the option to invest in stocks through the company that employs him or her.
Profit can be earned by both buying and selling
👉 The majority of investors plan to buy low and sell high. They make investments in rapidly expanding businesses that are expected to grow in value. This is appealing to both day traders and investors who prefer to acquire and hold stocks.
👉 A small number of investors are hoping to profit from short-term trends, whilst a larger number are hoping to see the company’s earnings and stock price increase over time. They both feel that their stock-picking abilities will enable them to outperform the market in the long run.
👉 Other investors desire to receive a consistent inflow of cash. They invest in dividend-paying firms by purchasing their stock. Those businesses are expanding at a moderate rate.
The Disadvantages of Shares Trading
Increased risk of losses
👉 It is possible that you will lose your entire investment. When a company performs poorly, investors will sell their shares, causing the stock price to collapse.
👉 When you sell, you will receive nothing back from your initial investment. If you can’t bear the thought of losing your initial investment, you should consider purchasing bonds.
Common stockholders are usually paid last
👉 If a firm goes bankrupt, preferred investors, bondholders, and creditors are the first to get payment. However, this occurs only in the event of a company’s bankruptcy. If a company goes bankrupt, you should be protected by having a well-diversified portfolio.
It’s a time-consuming endeavour
👉 Before selling stock in a company on your own, you must conduct thorough research on the company to evaluate how profitable you believe it will be in the future before making a decision to sell its shares.
👉 You’ll need to learn how to interpret financial statements and annual reports, as well as keep up with the latest news about your organization.
👉 You must also keep an eye on the stock market as a whole, because even the most successful company’s stock price will fall during a market correction, a market crash, or a bear market.
High market unpredictability
👉 When it comes to trading, markets are not always easy to read, and even the most experienced traders can make grave mistakes.
👉 Due to their very nature, markets are unpredictable, and they have the ability to entirely change on a dime in a second – otherwise, every single trader would be a multi-millionaire overnight.
How to choose a shares broker
👉 Nigerian traders must evaluate the following components of a forex broker to decide whether the broker is suited to their unique trading objectives and/or needs.
Regulations and Licenses
👉 This is the first important component that traders must thoroughly evaluate. Reputable brokers are regulated by market regulators such as FCA, ASIC, CySEC, FSCA, and others. Nigerians must beware when dealing with brokers that only have offshore regulations such as FSA, SVG BVI, FSC, and others.
👉 Account Features include leverage trading and margin requirement, commissions and spreads, initial deposit, additional features on retail investor accounts, and so on.
Deposits and Withdrawals
👉 Nigerians must evaluate the payment options available, the processing times on withdrawal requests, deposit currencies offered, the withdrawal fee, deposit fees, and minimum withdrawal limits among other trading and non-trading fees.
Range of Markets
👉 The range of markets offered refers to the number and range of tradable instruments that the broker offers. Nigerians must consider what they wish to trade and what is available.
👉 Customer Support is another crucial factor and Nigerians must check the availability of support (trading hours), the quality of support, and the promptness with which the customer support team responds to queries.
👉 A trading platform is the Nigerian trader’s portal to the financial markets. Traders must ensure that the trading platform has the necessary technical indicators, fundamental analysis, technical analysis, economic calendar, charting, newsfeed, and other tools they may need.
Education and Research
👉 Education and Research come in handy to both novice traders and experienced investors. Education includes some of the following:
➡️ Trading guides
➡️ Trading knowledge on leveraged products
➡️ A risk warning on complex instruments
➡️ Educational videos
👉 Research can include some of the following:
➡️ Trading tools
➡️ Status of International Markets
➡️ Price movements
➡️ Market sentiments
➡️ Whether there is a volatile market
➡️ Exchange Rates
➡️ Expert opinions and several other resources can help experienced traders make informed trading decisions.
The Best Nigerian Shares Brokers 2022
👉 In this article we have discussed the 5 best shares to sell in Nigeria. Shares trading in Nigeria should be conducted through a reputable online brokerage, and we have listed the best shares brokers for Nigerian traders below which also offer other significant advantages.
Best MetaTrader CFD and Forex Broker for Nigerian Retail Traders
Best Stock and CFD Broker for beginners in Nigeria
👉 Pepperstone is the best stock and CFD broker for beginners in Nigeria. Pepperstone is considered a low-risk broker and can be summarised as a trustworthy and reliable agency-execution broker. Pepperstone guarantees fast trading speeds from a few milliseconds. Pepperstone has over 8000 registered clients in the UK.
Best Nigerian-based Stock and CFD Broker for Nigerian traders.
👉 FXTM is the best Nigerian-based stock and CFD broker for Nigerian traders. FXTM is considered a low-risk broker and can be summarised as a trustworthy and reliable ECN broker. FXTM guarantees fast trading speeds from a few milliseconds. FXTM has over 4 million registered clients around the world.
Best Proprietary Trading Platforms for Nigerians
👉 AvaTrade offers the best proprietary trading platform for Nigerians through its AvaTradeGO app. AvaTrade is considered a low-risk broker and can be summarised as a trustworthy and reliable market making broker. AvaTrade guarantees fast trading speeds from a few milliseconds. AvaTrade has over 300 000 registered clients around the world.
Best Islamic Account Broker for Nigerian investors
👉 OctaFX offers the best Islamic trading account for Nigerian investors. OctaFX is considered a low-risk broker and can be summarised as a trustworthy and reliable ECN broker. OctaFX guarantees fast trading speeds from a few milliseconds. OctaFX has over 800 000 registered clients around the world.
What is a stock?
A stock (also known as equity) is a security that reflects the ownership of a fraction of a firm. This entitles the owner of the stock to a part of the corporation’s assets and profits proportional to how much stock they possess. Units of stock are called “shares.”
What is the Nigerian Exchange Group?
The Nigerian Exchange Group (NGX) is the continent’s top integrated market infrastructure, serving the continent’s largest economy as a market infrastructure provider. NGX also offers a wide range of regulated securities to its pool of local, regional, and worldwide investors to meet its investment goals.
What is a Stock Exchange?
Brokers and traders can purchase and sell securities such as shares of stock, bonds, and other financial instruments on a stock market, sometimes referred to as a bourse or a securities exchange.
Other capital events, such as the payment of dividends or income, may also be handled by stock exchanges in this capacity. Stock issued by publicly traded firms, unit trusts, derivatives, pooled investment products, and bonds are all exchanged on a stock exchange.
What is the share price?
Share prices are the price of a single share of a company’s equity shares that are available for sale on the market. Putting it another way, the stock price is the maximum amount someone is prepared to pay for a share of stock, or the lowest amount for which it can be purchased.
What are P/E Ratios and EPS?
The most basic definition of a P/E ratio is the difference between the stock price and earnings per share (EPS). Net income divided by the number of outstanding shares is how earnings per share (EPS) is calculated to determine a company’s profitability on a bottom-line basis. Earnings yield (E/P) is defined as earnings per share divided by the stock price.
The 5 Best Nigerian Shares to Sell in 2022
👉 The Nigerian Exchange Group (NGX) is the continent’s top integrated market infrastructure, serving the continent’s largest economy as a market infrastructure provider. NGX also offers a wide range of regulated securities to its pool of local, regional, and worldwide investors to meet its investment goals.
👉 The best shares to sell in 2022 based on their Year to Date (YTD) performance are as follows:
➡️ Learn Africa Plc (LEARNAFRCA)
➡️ Presco Plc (PRESCO)
➡️ Courteville Business Solutions Plc (COURTVILLE)
➡️ NPF Microfinance Bank Plc (NPFMCRFBK)
➡️ Meyer Plc (MEYER)
👉 Overall, shares trading in Nigeria is a potentially lucrative endeavour that involves carefully monitoring when to hold and when to sell shares. As such, shares trading should always be conducted through a regulated Forex broker in Nigeria.