Desireszn💎🦅

Analyst, #GlobalMacro @Maventrading | CFC 💙 | All Davids build God a House ♥

[Desireszn💎🦅 @Desireishim]

@Nairametrics It's more than 10!

[Desireszn💎🦅 @Desireishim]

@Tolu__Grey @Nairametrics Likee broo, I have been telling people its more than 10

[Desireszn💎🦅 @Desireishim]

@Rxbremen This is just the large-cap though.
Other coys made it to mid/small cap

[Habu Sadeik @HabuSadeik]

In 1958, Franco Modigliani and Merton Miller argued that the valuation of a company does not matter irrespective of using either debt or equity. They assumed no taxes.

But then, there are 2 things that are certain in this world, death and taxes😃

In 1963, they returned with a revised position and consider the impact of taxes on the capital structure of company and its valuation.

They argued, when a company borrows money from say a bank, it pays interest.

This interest payment are expenses that is deducted from your profit before paying tax. This means you pay lower taxes because of that interest payment.

For example, when u have no debt:

Income = N1,000
Expenses = (N200)
Interest payment = (N0)
Profit = N800✅️
Tax (30% of profit) = N240✅️

When you borrow money:

Income = N1,000
Expenses = (N200)
Interest payment = (N100)
Profit = N700✅️
Tax (30% of profit) = N210✅️

Tax payment without debt = N240
Tax payment with debt = N210

Difference = N30✅️

It means you're saving N30 that should have gone to @NigeriaRevenue

That N30 you saved, either stays with the company or goes to investors thereby making companies with debt worth more in value than an identical company without debt.

- More debt lead to reduction in capital cost (WACC)
- Reduction in capital cost lead high NPV amounts
- High NPV amounts lead higher valuation of a company

They have concluded that companies should use 99.9999% debt in their capital structure leaving only small space for equity😄😄

Of course, there are limitations to why this is very difficult to achieve but the overall point is:

Debt is cheaper.✅️

[Desireszn💎🦅 @Desireishim]

@sgoloetnuk God bless the womb that bore you

[Nairametrics @Nairametrics]

BREAKING: FTSE Russell to proceed with Nigeria’s reclassification to Frontier Market status https://t.co/dTlUVuwxYU

[Viktor Benson @itsviktorbenson]

The mistake is that you are looking for a woman to settle down with and that’s even a wrong motive to enter this dating world with

I always advise talking to more women especially when you are not ready to marry…

That’s how you find someone that is genuine and makes you want to settle down…

Na the woman suppose make you think of settling down not you deciding to settle down and then looking for a woman…

Reverse the mindset, talk to a lot of women, find a woman that makes you want to marry and settle down

Or else, keep talking to more women and enjoying your life

[Geekay @gkbalogs]

Let's just stop all this first name nonsense in corporate Nigeria, we are not wired that way and it's ok. Stop confusing people.

[Wolf of NGX @ngx_wolf]

When the free float hovers between 5-10% and the insiders control 90-95%, this is what you get.

They really need to revisit the free float requirements and make them percentages only, so that these large companies don't satisfy it using a small fraction of shares.

[Naza @nazzaokonkwo]

I want to see our market react to news in real time. That Aradel update is enough to send it upwards but it’s been on full offer all day 😭😂

[Desireszn💎🦅 @Desireishim]

@nazzaokonkwo The tiered pricing thing starting on Aug 17th will help. It was long overdue

[Imago Dei @eldivine]

God is my witness I used to talk about this ALL the time. At a point I realized people will make emotional decisions about money and there is nothing you can do about it.

There's a popular influencer I begged not to buy a N400M house in Lekki and to invest it. They bought the house and a N150m car too. Few years later, they then lived through what I had told them to avoid.

Yes you need a place to live but if you're earning $40,000 after tax annually on $450K you can pay rent and have change while capital keeps growing.

If you do it in naira tbills you can earn 100m+ annually and your investment pays your rent on a very solid place. You can even accumulate the interest and still buy a house after some years, while still keeping your principal.

Capital is hard to build. When you're young it's critical not to waste it. Invest, and Leverage time and compounding in your favor.

Then let your assets pay for your lifestyle. Not your principal.

[Rufybaba @Rufyb]

A consortium of private equity firms is putting together a deal to lend Nvidia as much as $500 billion.

Apollo, Blackstone, BlackRock, Brookfield, Goldman Sachs and KKR are reportedly involved in what could become one of the largest financing deals in Wall Street history.

[Desireszn💎🦅 @Desireishim]

The estimated wacc of a typical business in Nigeria is ~30%, because of the elevated yield environment. When risk free rate is ~18%, you'd be climbing a mountain to generate a premium that would justify remaining in business.
These are the issues, country hard.

[schmosby @schmosby_xbt]

theyr called memory stocks because you'll never forget the liquidations

[Desireszn💎🦅 @Desireishim]

@Harri_obi You can raise global citizens without disconnecting them from their identity >>

[Desireszn💎🦅 @Desireishim]

@ngnstx Their result is yet to reflect on the NGX website. How did you come about this?

[The Kobeissi Letter @KobeissiLetter]

Key Events This Week:

1. Markets React to US/Iran Pausing Strikes - Today, 6 PM ET

2. July Consumer Confidence data - Tuesday

3. July Fed Interest Rate Decision - Wednesday

4. Microsoft, $MSFT, Meta, $META, Report Earnings - Wednesday

5. July PCE Inflation data - Thursday

6. Apple, $AAPL, Amazon, $AMZN, Report Earnings - Thursday

7. July MI Consumer Sentiment data - Friday

8. July MI Inflation Expectations data - Friday

We have a huge week ahead.

[James E. Thorne @DrJStrategy]

Food for thought.

Wall Street is missing the larger AI investment implication.

AI CAPEX Growth decelerates before capex peaks.

Investing is about the second derivative.

Markets don’t just care if spending is rising—they care if it’s rising faster or slower than before.

Hyperscaler capex growth decelerating 76% → 25% → 6% means earnings growth for the semiconductor, networking, cooling & power names priced for persistent upside will decelerate too, even if absolute revenue and profits keep rising.

The real question now: after the initial buildout, what level of capex is needed to maintain the AI platform?
Still a very large number.

The implications are earnings growth for those that benefit from AI Capex will begin to slow.

That change in slope matters as much as the level in earnings itself.​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​

Investors live in the world of the 2nd derivative. AI CapEx growth is decelerating. That’s the real story.

Have a nice day.

[Rufybaba @Rufyb]

First HoldCo. Q2 2026

The good news is that:

✑ The numbers were strong, profit doubled, and the Q1 2026 trend sustained

✑ Based on run-rate, full-year profit might close at ₦1trn, and that would translate to a near 30% ROE - a very strong one

✑ There was cost discipline in Q2 2026, and that supported the bottom line.

✑ With the right discipline, First HoldCo is now living up to its balance sheet size. They are now dropping the figures expected of their balance sheet size. This is what happens when you operate a business on a clean book

The not so good news is that:

✑ Net interest income was down in Q2, despite a 7% y/y growth in interest-earning assets

✑ Earnings quality is still not so great. Recoveries and fair value gains are not sustainable income lines (by the way, I like that the bank is clawing back some of the money it wrote off previously)

At ₦105 per share, First HoldCo's market cap is ₦4.80trn. That looks like a 4.8x P/E and a 1.3x P/B, on a potential 30% ROE. Fairs.

Market Cap of Tier-1 Banks
- First HoldCo: ₦4.80trn (total assets: ₦30.6trn, net assets: ₦3.6trn)

- Zenith: ₦4.76trn (total assets: ₦32.0trn, net assets: ₦5.2trn)

- GTCO: ₦4.73trn (total assets: ₦18.7trn, net assets: ₦3.6trn)

- UBA: ₦2.09trn (total asset: ₦33.1trn, net assets: ₦4.3trn)

- Access Holdings: ₦1.37trn (total assets: ₦53.4trn, net assets: ₦4.4trn)

First HoldCo is now the most capitalised bank on the NGX.