FDC was reacting to the FirstBank’s recent financial report
in which it delivered outstanding results.
FirstBank delighted investors with a pleasant surprise when
it announced stellar results confirming that its turnaround strategy pinned on
the pillars of innovation, resilience and digging deep is working.
The Bank’s profit after tax spiked 108% to N32.4billion on
the back of massive loan recoveries and a sharply lower level of non-performing
loans (6.1%).
Its capital adequacy ratio (CAR) increased to 17.4%, giving
it the much-needed buffers required to withstand financial shocks and turbulent
headwinds in the coming quarters.
“FirstBank, one of a handful of banks that adopted the
holding company structure, has been proven right as almost all the other tier
one competitors have emulated the model.
“As far as competition is concerned, FirstBank is fighting
hard to recover lost grounds to the nimble fintechs, the highly capitalised and
efficient telcos and their payment savings bank subsidiaries.
“Indeed, FirstBank is well equipped to fight amongst the
sharks in this blood-soaked ocean.
“We expect to see FBN
stock rise in the months ahead due to its massive undervaluation and its
evident potential upside. We recommend the stock as a BUY,” says Financial
Derivative Company.