Transcorp Plc offered just two Kobo dividends, does it meet expectations?
We notice that Transcorp Plc offered just 2 kobo dividend, does it meet expectations?
The information was released to the market very recently and indeed, the market knew before now because the board of Transcorp has been shifting its meeting front and back, and once the directors were not forthcoming, investors and traders treated its share price deservedly by selling down. This is a stock that had rallied to as high as N1.28 and N1.30 per share, before falling to as low as N1.14. But looking at this number, we are seeing… Even if truly, the dividend payout is 100 percent of the one kobo that was paid at the end of the previous financial year-end, it is too low considering the price it is selling in the market, considering its latest earnings per share. That notwithstanding, the good thing is that these audited full-year numbers we are seeing are indicators as to where the company is headed. Also, your chart will tell you when the market starts reacting to it. But, also, for those that use charts, it is not that there is a resistance level for this stock yet. It has not broken down that resistance. As such, if you are there at that N1.13 each, even if this result moves the price to N1.20 per share, you can come out and enter again, because you have seen where such stock is going already from the numbers. Also, the nature of the services the group is rendering should also guide you and because the stock has volume, you can trade it. Technical analysis will always tell you at what point or price you can enter a stock, and once you understand it, you are good to go.
