NAHCO shares surge 46% in February, driven by fundamentals

Nigeria Aviation Handling Company Plc (NAHCO) shares gained 46% in February 2026, bringing year-to-date gains to 62%. This follows a 135% return last year, making it one of NGX's top performers. The rally appears fundamentally driven, supported by consistent revenue growth (66% annual over five years), rising profits (155% annual EPS growth), and improving margins (4% to 28% net profit margin). Liquidity is strong with daily average trading volume of 5 million shares and ₦11.2 billion cash reserves. However, the stock now trades at a rich valuation (P/E 18.9 vs industry 13.5, EV/EBITDA 12.2x) with a PEG ratio of 0.12 suggesting growth expectations are priced in. The Nigerian Exchange's recent investor alert cautions against speculative trading, but NAHCO's fundamentals appear solid. Will the rally continue if earnings growth slows?

SOURCE: https://nairametrics.com/2026/02/24/nahco-jumps-46-in-february-2026-driven-by-fundamentals-or-hype/