MBENEFIT

Mutual Benefits Assurance trades at ₦3.10 — a 30% discount to our blended base fair value of ₦4.42 — while delivering a 22.7% ROE (FY2025) that materially exceeds our estimated cost of equity of ~18%, supporting a justified P/B of 1.34x against a market P/B of only 0.86x. EPS has compounded sharply from ₦0.05 (FY2022) to ₦0.82 (FY2025), reflecting genuine earnings recovery, and H1-2026 revenue of ₦42.3bn and PAT of ₦9.8bn indicate the earnings trajectory remains intact. The stock is cheap on both P/E (3.79x vs sector median 8.09x) and P/B (0.86x vs sector median 1.13x), and the quality/value combination warrants accumulation at current levels.

Verdict published 2026-09-05 · fundamentals through Q2-2026 · reviewed as the data changes