NNFM
Investo's verdict, shared with you
No fair value published
The derivation ran and was refused by our own plausibility checks. We publish no number rather than a plausible-looking one.
Why · 3 checks
Our valuation methods disagree
The earnings-based and book-based readings of this company differ by more than 2.5×. That spread is real information, but averaging it would manufacture a number no method actually produced.
Implied earnings multiple is far from the peer group
At the computed value this company would trade at a P/E a long way from its sector median. Either the earnings input or the peer anchor is unreliable.
Implied book multiple is far from the peer group
At the computed value this company would trade at a P/B a long way from its sector median. Either the book-value input or the peer anchor is unreliable.
What we would need
- Earnings and book value drawn from the same set of accounts, so the two legs can be reconciled.
- A verified earnings figure, or a peer group with enough clean constituents to anchor against.
- A verified book value per share, or a peer group with enough clean constituents.
Show what the engine computed
Method spread · 139.98× between the highest and lowest valuation leg.
Methods disagree · The valuation legs disagree by 139.98x (Blended P/E band ₦2.26 vs Blended P/B band ₦316.36). No point estimate is defensible until the inputs are reconciled.
Implied P/E off peers · Implied P/E at base 671.56x is 42.61x the sector median 15.76x.
Implied P/B off peers · Implied P/B at base 1.54x is 0.30x the sector median 5.05x.
NNFM is in acute fundamental distress: Q1-FY2027 revenue collapsed 73% year-on-year to ₦1.83bn, gross profit turned deeply negative (₦409m loss), and the company reported a net loss of ₦924m against a prior-year profit, implying a dramatic and rapid deterioration in its core milling economics. The stock trades at ₦79.4 (market cap ₦14.15bn) against a book value of ₦62.63/share (1.27x P/B) while generating no current earnings, meaning the market is pricing in either a recovery or significant intangible franchise value that the latest filing does not support. With a committee score net score of -3 and negative ratings across quality, momentum, income, and risk, the risk-reward profile is unfavourable until there is tangible evidence of operational stabilisation.
Verdict published 2026-08-18 · fundamentals through Q1-2027 · reviewed as the data changes
Verdict moderated to Watch — Avoid was refused
Committee scores Value POSITIVE (overall weak); an "avoid" against our own committee is not publishable without a re-derivation.
Source: NGX live market data · Investo intelligence. Educational only — not financial advice.