Friday 27 October 2017

Is UAC OF NIGERIA PLC fairly priced?

UACN is a diversified business whose operation in Nigeria dates back to 1879.  The company is an active player in the food and beverages, real estate, paints and logistics sectors of Nigeria's economy.

UACN is a leading player in the food and beverages industry with its brands of Mr. Bigg's, Gala, Supreme Ice Cream and SWAN Natural Spring Water.

Food remains its core business and revenue from this segment has been increasing over the years. UACN should benefit from the Quick Service Restaurant business owing to the large branch network of its franchised restaurant, Mr.Bigg's.Gala Sausage Roll remains a leading brand in the country. 

Operating profit covers interest obligations and current assets cover short-term debts. In a nutshell, we believe that UACN is liquid and solvent.

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