NIC Bank 1Q 2011 Earnings Analysis

2011 vs 2010 (KSh Billions)




Total Interest Income 1.3 vs 1.1
Total Non Interest Income 0.47 vs 0.48
Total Operating Income 1.4 vs 1.1
Total Operating Expenses 0.62 vs 0.58
Profit Before Tax 0.80 vs 0.52
Profit After Tax 0.55 vs 0.35
EPS 1.4 vs 0.87

Commentary

Strong results once again from the local banks, i really cant find flaws in their perfomance apart from the increase in staff costs which surged a little bit this quater otherwise its a good job done by NIC Bank and i believe the mid tier banks in Kenya still have a lot of room for growth. On a straight line barring any hiccups Year end EPS will be Ksh 5.6 that will give a forward PE of 8.2 at the closing price of Ksh 46 which is quiet CHEAP and to me NIC Bank is a BUY at this levels.

Courtesy of http://contrarianinvesti...1-earnings-analysis.html

@deal, it's a buy for me once i saw the results just told my brokers buy more apart from the increase in staff costs the rest of the figures look quite solid and sustainable. It may not have the x-factor but at least it's a cheap stock for now

I also bought @ 60 but i have no reason to complain...look @ it this way...if you bought it 3 yrs ago & you have been receiving bonuses e.g 1000 shares thats 100 bonus. 100*current price46=4600. Your current loss 1000*14=14000-4600=9400 (figures excluding broker fee) and if you have been buying it @ a lower price hata 42 you would have reduced the loss or maybe even covered the losses and you would not be complaining...just my thought....