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OKOM

Okomu Oil PalmNGSE:OKOMUOIL Stock Report

Market Cap

₦119.2b

7D

8.2%

1Y

56.3%

Updated

15 Oct, 2021

Data

Company Financials +
OKOMUOIL fundamental analysis
Snowflake Score
Valuation2/6
Future Growth1/6
Past Performance6/6
Financial Health5/6
Dividends4/6

OKOMUOIL Overview

The Okomu Oil Palm Company Plc engages in the cultivation and plantation of oil palm and rubber in Nigeria.

Price History & Performance

Summary of all time highs, changes and price drops for Okomu Oil Palm
Historical stock prices
Current Share Price₦125.00
52 Week High₦85.00
52 Week Low₦125.00
Beta0.59
1 Month Change13.64%
3 Month Change13.64%
1 Year Change56.25%
3 Year Change56.64%
5 Year Change212.50%
Change since IPO5,002.11%

Recent News & Updates

Shareholder Returns

OKOMUOILNG FoodNG Market
7D8.2%1.0%1.6%
1Y56.3%30.3%40.1%

Return vs Industry: OKOMUOIL exceeded the NG Food industry which returned 31.1% over the past year.

Return vs Market: OKOMUOIL exceeded the NG Market which returned 40.6% over the past year.

Price Volatility

Is OKOMUOIL's price volatile compared to industry and market?
OKOMUOIL volatility
OKOMUOIL Beta0.59
Industry Beta0.84
Market Beta1

Stable Share Price: OKOMUOIL is not significantly more volatile than the rest of NG stocks over the past 3 months, typically moving +/- 3% a week.

Volatility Over Time: OKOMUOIL's weekly volatility (3%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
1976455Graham Heferhttps://www.okomunigeria.com

The Okomu Oil Palm Company Plc engages in the cultivation and plantation of oil palm and rubber in Nigeria. It processes fresh fruit bunches into crude palm oil for resale; and rubber lumps to rubber cake for export. The company offers crude palm oil, palm kernel oil, palm kernel cake, and banga oil, as well as rubber products.

Okomu Oil Palm Fundamentals Summary

How do Okomu Oil Palm's earnings and revenue compare to its market cap?
OKOMUOIL fundamental statistics
Market Cap₦119.24b
Earnings (TTM)₦13.31b
Revenue (TTM)₦35.57b

9.0x

P/E Ratio

3.4x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
OKOMUOIL income statement (TTM)
Revenue₦35.57b
Cost of Revenue₦6.03b
Gross Profit₦29.54b
Expenses₦16.23b
Earnings₦13.31b

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)13.95
Gross Margin83.04%
Net Profit Margin37.41%
Debt/Equity Ratio29.4%

How did OKOMUOIL perform over the long term?

See historical performance and comparison

Dividends

5.6%

Current Dividend Yield

50%

Payout Ratio

Valuation

Is Okomu Oil Palm undervalued compared to its fair value and its price relative to the market?

8.6%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: OKOMUOIL (NGN125) is trading below our estimate of fair value (NGN136.8)

Significantly Below Fair Value: OKOMUOIL is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: OKOMUOIL is good value based on its PE Ratio (9x) compared to the NG Food industry average (11.2x).

PE vs Market: OKOMUOIL is poor value based on its PE Ratio (9x) compared to the NG market (7.4x).


Price to Earnings Growth Ratio

PEG Ratio: OKOMUOIL is poor value based on its PEG Ratio (1.2x)


Price to Book Ratio

PB vs Industry: OKOMUOIL is overvalued based on its PB Ratio (3.2x) compared to the NG Food industry average (1.3x).


Future Growth

How is Okomu Oil Palm forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?

7.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: OKOMUOIL's forecast earnings growth (7.2% per year) is below the savings rate (13.2%).

Earnings vs Market: OKOMUOIL's earnings (7.2% per year) are forecast to grow slower than the NG market (15.2% per year).

High Growth Earnings: OKOMUOIL's earnings are forecast to grow, but not significantly.

Revenue vs Market: OKOMUOIL's revenue (6.1% per year) is forecast to grow slower than the NG market (10.7% per year).

High Growth Revenue: OKOMUOIL's revenue (6.1% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: OKOMUOIL's Return on Equity is forecast to be high in 3 years time (26.4%)


Past Performance

How has Okomu Oil Palm performed over the past 5 years?

8.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: OKOMUOIL has high quality earnings.

Growing Profit Margin: OKOMUOIL's current net profit margins (37.4%) are higher than last year (24.7%).


Past Earnings Growth Analysis

Earnings Trend: OKOMUOIL's earnings have grown by 8% per year over the past 5 years.

Accelerating Growth: OKOMUOIL's earnings growth over the past year (103.9%) exceeds its 5-year average (8% per year).

Earnings vs Industry: OKOMUOIL earnings growth over the past year (103.9%) exceeded the Food industry 34.1%.


Return on Equity

High ROE: OKOMUOIL's Return on Equity (35.2%) is considered high.


Financial Health

How is Okomu Oil Palm's financial position?


Financial Position Analysis

Short Term Liabilities: OKOMUOIL's short term assets (NGN19.4B) exceed its short term liabilities (NGN8.4B).

Long Term Liabilities: OKOMUOIL's short term assets (NGN19.4B) exceed its long term liabilities (NGN14.0B).


Debt to Equity History and Analysis

Debt Level: OKOMUOIL's debt to equity ratio (29.4%) is considered satisfactory.

Reducing Debt: OKOMUOIL's debt to equity ratio has increased from 18.9% to 29.4% over the past 5 years.

Debt Coverage: OKOMUOIL's debt is well covered by operating cash flow (168.5%).

Interest Coverage: OKOMUOIL earns more interest than it pays, so coverage of interest payments is not a concern.


Balance Sheet


Dividend

What is Okomu Oil Palm current dividend yield, its reliability and sustainability?

5.60%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: OKOMUOIL's dividend (5.6%) is higher than the bottom 25% of dividend payers in the NG market (3.16%).

High Dividend: OKOMUOIL's dividend (5.6%) is low compared to the top 25% of dividend payers in the NG market (7.38%).


Stability and Growth of Payments

Stable Dividend: OKOMUOIL's dividend payments have been volatile in the past 10 years.

Growing Dividend: OKOMUOIL's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (50.2%), OKOMUOIL's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: OKOMUOIL's dividends in 3 years are forecast to be covered by earnings (66.8% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

10.3yrs

Average board tenure


CEO

Graham Hefer

no data

Tenure

Dr. Graham D. Hefer serves as the Managing Director of The Okomu Oil Palm Company Plc and has been its Executive Director since December 2007. Dr. Hefer serves as an Agricultural director of Tongaat Cotton...


Board Members

Experienced Board: OKOMUOIL's board of directors are seasoned and experienced ( 10.3 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

The Okomu Oil Palm Company Plc's employee growth, exchange listings and data sources


Key Information

  • Name: The Okomu Oil Palm Company Plc
  • Ticker: OKOMUOIL
  • Exchange: NGSE
  • Founded: 1976
  • Industry: Agricultural Products
  • Sector: Food, Beverage & Tobacco
  • Market Cap: ₦119.239b
  • Shares outstanding: 953.91m
  • Website: https://www.okomunigeria.com

Number of Employees


Location

  • The Okomu Oil Palm Company Plc
  • Okomu Oil Palm Estate
  • Okomu-Udo
  • Benin City
  • Nigeria

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/10/15 22:42
End of Day Share Price2021/10/15 00:00
Earnings2021/06/30
Annual Earnings2020/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.