Smart Money Watchlist: NEM, First HoldCo & Africa Prudential Lead This Week’s Stock Picks
Nigerian equities continued their strong start to 2026, recording a third consecutive week of gains, driven largely by oil & gas stocks. All sector indices closed in positive territory, pushing the year-to-date (YTD) return to 6.8%
Investor sentiment remains upbeat, supported by early-year portfolio repositioning and fresh market inflows across sectors.
Why the Market Is Staying Strong
According to analysts at Meristem Securities, demand is expected to remain firm as investors position ahead of full-year earnings releases.
Key drivers include:
• Strong buying interest across sectors
• Focus on fundamentally sound stocks
• Preference for companies with earnings strength and dividend potential
This Week’s Fundamentally Strong Stock Picks
(For guidance only — not buy, sell or hold advice)
PREMIUM TIMES curated these stocks using fundamental and technical indicators to reduce the risk of random stock selection.
️ NEM Insurance Plc
• Trades below intrinsic value
• Net Profit Ratio (NPR): 21.2%
• Price-to-Earnings (P/E): 4.6x
• RSI: 63
Why it stands out: Strong profitability and attractive valuation make NEM this week’s top pick.
First HoldCo Plc
• Also trading below intrinsic value
• NPR: 16.5%
• P/E: 3.5x
• RSI: 71.6
Why it stands out: Low valuation metrics and solid earnings profile within the financial services sector.
Africa Prudential Plc
• Selected for excellent fundamentals
• NPR: 36.5%
• P/E: 20.8x
• RSI: 58.6
Why it stands out: Strong profitability and stable operational performance, despite trading at a higher P/E.
NASCON Allied Industries Plc
• Fundamentally strong food sector player
• NPR: 19.6%
• P/E: 10x
• RSI: 59.4
Why it stands out: Balanced valuation with consistent earnings in a defensive consumer sector.
Fidson Healthcare Plc
• Trading below underlying value
• NPR: 8.8%
• P/E: 16x
• RSI: 84.3
Why it stands out: Growth potential, though the high RSI suggests strong recent buying momentum.
Key Takeaway for Investors
• The market remains fundamentally driven, not speculative
• Stocks with low valuation, solid earnings and dividend prospects are attracting attention
• Early positioning ahead of earnings season could be key
⚠️ Reminder: These are investment guides, not direct recommendations. Investors are advised to consult financial professionals before making decisions.
Nigerian equities continued their strong start to 2026, recording a third consecutive week of gains, driven largely by oil & gas stocks. All sector indices closed in positive territory, pushing the year-to-date (YTD) return to 6.8%
Investor sentiment remains upbeat, supported by early-year portfolio repositioning and fresh market inflows across sectors.
Why the Market Is Staying Strong
According to analysts at Meristem Securities, demand is expected to remain firm as investors position ahead of full-year earnings releases.
Key drivers include:
• Strong buying interest across sectors
• Focus on fundamentally sound stocks
• Preference for companies with earnings strength and dividend potential
This Week’s Fundamentally Strong Stock Picks
(For guidance only — not buy, sell or hold advice)
PREMIUM TIMES curated these stocks using fundamental and technical indicators to reduce the risk of random stock selection.
️ NEM Insurance Plc
• Trades below intrinsic value
• Net Profit Ratio (NPR): 21.2%
• Price-to-Earnings (P/E): 4.6x
• RSI: 63
Why it stands out: Strong profitability and attractive valuation make NEM this week’s top pick.
First HoldCo Plc
• Also trading below intrinsic value
• NPR: 16.5%
• P/E: 3.5x
• RSI: 71.6
Why it stands out: Low valuation metrics and solid earnings profile within the financial services sector.
Africa Prudential Plc
• Selected for excellent fundamentals
• NPR: 36.5%
• P/E: 20.8x
• RSI: 58.6
Why it stands out: Strong profitability and stable operational performance, despite trading at a higher P/E.
NASCON Allied Industries Plc
• Fundamentally strong food sector player
• NPR: 19.6%
• P/E: 10x
• RSI: 59.4
Why it stands out: Balanced valuation with consistent earnings in a defensive consumer sector.
Fidson Healthcare Plc
• Trading below underlying value
• NPR: 8.8%
• P/E: 16x
• RSI: 84.3
Why it stands out: Growth potential, though the high RSI suggests strong recent buying momentum.
Key Takeaway for Investors
• The market remains fundamentally driven, not speculative
• Stocks with low valuation, solid earnings and dividend prospects are attracting attention
• Early positioning ahead of earnings season could be key
⚠️ Reminder: These are investment guides, not direct recommendations. Investors are advised to consult financial professionals before making decisions.