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University Press Audited FY 2026 · Green Ticker Tales

• 0:00
  Okay, let's look at university press numbers. So what do we have? 3.89 billion Naira in revenue, up 14.4% compared to last year, and then 213.6 million Naira in profit after tax, down 52.5%. Now, if you strip away the other income that occurred in FY2025, then you probably would have a slightly better performance. So I think for me, on face value, yes, you had a sharp drop in profit,
• 0:30
  If you take off the one-off income, that's what you should probably do anyway. Then you'd say the performance is just flat. It's okay. It's slightly better than last year, right? Earnings per share came in at 49 kubo. The firm will be paying a dividend of 18 kubo. Dividends grew year-on-year up 20%. Payout ratio is about 36.3%. Now, I think for me, there are two ways to view this stock. At its current price of 4.7,
• 0:58
  you have a market cap of 2.02 billion. Total equity is 3.5 billion. So the stock is trading below its market cap. Now, if you go by that perspective, there's no reason why the stock should be trading below its equity. I mean, common sense, right? So you argue that there should be further upside to this stock. But return on equity is 6.01%.
• 1:26
  For every $100,000 in equity invested in this business, you get a return on $6,900. That's poor. In fact, if you compare your return on equity to your cost of equity, if your return on equity is lower than your cost of equity, you're actually destroying value. If you use a bear line cost of equity at 20%, 22%, you are negative, right? So from that angle, I'd argue this stock trade is lower. But from the angle of...
• 1:51
  I don't get why this market cap should be lower than the equity of a business. I mean, if you wanted to buy this business today, there's no way you'll be buying it at less than its equity. And if your total equity is 3.5 billion, there's no way anybody would buy it at this price point. So in my view, you could argue that, well, this stock should probably be trading at maybe half its current price. If you're looking at it from an equity to market cap perspective, you can argue that maybe you have maybe,
• 2:21
  some upside in my view and i said this in the last uh podcast which was on land africa these are dividend plays so really don't expect massive growths in this stock strip away the one-off incomes you don't really have huge growth maybe 10 15 so in my view um if you can catch the stock at three nine or below then it should make sense especially from the a
• 2:53
  earnings and dividend perspective, right? Earnings yield, if you get this stock at 3.9, your earnings yield will probably be what? Earnings per share, 0.49 divided by 3. We can have probably 10% or so earnings yield or more. Now let's see what technical analysis tells us about this stock. A lot of these stocks have broadly been
• 3:23
  moving due to the first wave we saw in the beginning part of the year where you had a rally in the stock market. What is the 52-week low for this stock? Let's see. 52-week low is $4.99. So the stock is trading close to the 52-week low. It's just $7.99 above the 52-week low. The 52-week high is $7.43. There's no justification for a $7.99 price for this stock. Yeah, $7 will be excessive.
• 3:50
  On a daily, do we have liquidity? I don't think we have liquidity on a daily. So let's look at weekly for this stock. Let's see, do we even have liquidity? We don't have liquidity on a weekly. So let's look at a monthly basis for this stock. These stocks are not very liquid, concentrated ownership. On a weekly basis, S3 support is 3.2. S1 is 4.4. Pivot point is 5.3.
• 4:20
  Where are we now? At 4.7, we are on a monthly basis above the first support zone. So I think 4 Naira will be a good place to start to accumulate this stock. If you can get it at 3 Naira, amazing. These are dividend plays in my view. The challenge really is not even a company perspective. It's an industry-wide perspective. We simply aren't paying.
• 4:47
  spending enough money on education as we should spend as a developing nation. So if you don't have huge spend on education, who's buying the books? The biggest clients for a lot of these firms are governments, right? Federal government, which is more like certain state governments. So our spend on education, cost spending, is really quite low. So to that moves, you can kind of see these stocks just delivering bare minimum growth.
• 5:14
  So I hope you found this useful. Have yourselves a lovely rest of the day and catch you in the next episode where we're going to be looking at academic press.