6 NSE Stocks Minting Money For Investors Amid Rising Cost Of Living

These 6 stocks have delivered the highest returns for investors since the beginning of the year

While the soaring cost of living in 2023 is squeezing many people’s wallets, the Nairobi Securities Exchange is abuzz with NSE stocks minting money for investors. The Nairobi Securities Exchange (NSE) is where investors buy and sell shares in Kenya. The exchange hosts several dozen stocks representing a broad range of industries.

It can be challenging to identify the best companies to invest in Kenya. But if you take your time to analyse the market and put your money in the right companies, the rewards can be exciting. Before we dive into the NSE stocks making investors rich this year despite the rising cost of living, it helps to know how investors actually make money in the stock market.

There are two main ways people make money with stocks: dividends and capital gain. When a company makes a profit, it can decide to share a portion of it with its shareholders. The money that the company distributes to its shareholders from its profit is called the dividend. Since not all companies are profitable, not all NSE companies pay dividends. But even profitable companies may not pay dividends for various reasons.

Capital gain, on the other hand, occurs when the stocks you own appreciate in price. Let’s say you bought a stock at Ksh10 and its price jumps to Ksh15 after some time. In that case, your capital gain on that stock would be Ksh5 or 50%. Capital gain is the primary way investors make money in the stock market.

With that in mind, let’s explore the 6 NSE stocks making the most money for investors this year on the basis of the capital gain.

6. Carbacid Investments (CARB) – 31%

Carbacid is a supplier of carbon dioxide gas, which it primarily sells to food industry customers. When you open a bottle of soda or beer, the gas you see coming out is carbon dioxide. The gas is used to preserve the drinks. Carbacid is the leading supplier of food-grade carbon dioxide across the East African region.

Moreover, Carbacid supplies carbon dioxide used in fire extinguishers and welding operations.

Carbacid stock price has climbed more than 31% since the beginning of the year. It means that if you invested Ksh20,000 in Carbacid shares at the start of January, you would have Ksh26,200 now. Investors who put Ksh100,000 in the stock have seen their investment grow to Ksh131,000.

The gas company’s stock trades under the “CARB” ticker symbol on the NSE. Carbacid share price was at Ksh15.80 at the close of business on 26th September.

5. Eaagads Limited (EGAD) – 33%

Eaagads is in the coffee business. It grows coffee and sells coffee products to domestic and international customers. The company is estimated to produce nearly 300 tonnes of coffee annually. 

Eaagads stock price has jumped 33% since the beginning of the year. It means that if you invested Ksh20,000 in the shares of the coffee company, your investment would be worth Ksh26,600 now. If you put Ksh100,000 in the coffee stock, you would have Ksh133,000.

On the NSE, Eaagads stock trades under the “EGAD” code. Eaagads share price was at Ksh13.45 at the close of business on September 26.

4. HF Group Limited (HFCK) – 40%

HF Group is a diversified financial services provider. It started off as a mortgage lender, but has diversified into other financial areas. While maintaining its roots in the housing market, HF Group also provides banking, asset financing, and insurance services.

HF Group stock has gained more than 40% year-to-date. It goes that if you invested Ksh20,000 in the financial provider at the beginning of the year, you would have Ksh28,000 now. Someone who invested Ksh100,000 in the stock has seen their money grow to Ksh140,000.

On the NSE, HF Group stock trades under the “HFCK” ticker symbol. HF Group share price was at Ksh4.70 at the close of business on September 26.

See >> Comprehensive Guide On Mastering Financial Wellbeing and Stability

3. Kapchorua Tea Company Limited (KAPC) – 73%

Kapchorua grows tea and sells tea products in Kenya and international markets. The company operates from the Rift Valley, where it has hundreds of hectares of farmland.

Kapchorua stock price has jumped 73% year-to-date. It means that Ksh20,000 invested in Kapchorua shares at the start of the year has grown to about Ksh34,6000. If you put Ksh100,000 put in the tea stock, you would have Ksh173,000.

Kapchorua stock trades on the NSE under the “KAPC” ticker symbol. Kapchorua shares price was at Ksh196 on September 26.

2. Umeme Limited (UMME) – 77%

Umeme is a Ugandan electricity distribution company. You can think of it as the Kenya Power of Uganda. The company supplies electricity to homes, businesses and factories.

Umeme stock price has climbed more than 77% year-to-date. As a result, you would have Ksh35,400 now if you invested Ksh20,000 in the stock at the beginning of the year. Someone who pumped Ksh100,000 into Umeme shares would have Ksh177,000 now.

The Ugandan electricity company’s stock is listed on the NSE under the “UMME” ticker symbol. Umeme share price was at Ksh13.45 on September 26. 

1. Eveready East Africa (EVRD) – 98%

Eveready manufactures batteries that power spotlights, cameras, cars, and other devices and systems. For example, Eveready batteries are used in solar and wind power systems for backup energy storage.

The company also makes light bulbs under the Turbo brand. Eveready sells its products across East African countries.

Eveready shares have gained more than 98% since the start of 2023. It means that if you put Ksh20,000 in Eveready stock in January, your investment would now be worth Ksh39,600. An investor who put Ksh100,000 in Eveready stock would have Ksh198,000 now.

The battery company’s stock trades on the NSE under the “EVRD” ticker symbol. Eveready share price was at Ksh1.35 on September 26.

See Also >> Probe By Senate On EABL Share Sale Raises Eyebrows

How to buy Eveready shares

Eveready stands out as the best-performing NSE stock year-to-date. While there is no guarantee that Eveready share price will keep rising, it may go up more if market forces continue to favour it.

Beyond Eveready, there are many other promising NSE stocks you may also want to consider. Whether you choose to buy Eveready shares or other stocks, the process is the same.

The first thing you need to do is open a stock trading account called the CDS account. You can open the account through a stockbroker. Make sure to choose the right stockbroker, since broker fees and features can vary across the board.

Read >> Renault Trucks Make a Comeback To Kenya Through Caetano

Select a stockbroker with low fees and online trading features. That would enable you to keep your investing expenses low and allow you to buy and sell shares on your laptop or smartphone.

Once you open the CDS account, the next step is funding it. That means depositing money to buy the shares you want. Most stockbrokers accept bank and M-Pesa deposits.

How much you should deposit depends on the price and number of shares you want to purchase. Bear in mind that the minimum number of shares you can buy on the NSE is 100 shares.


Benard Adera is a freelance writer covering financial topics. 

Latest

Form 4 Leaver Who Makes Sh140,000 Monthly From Chapatis

Jepkoech, who started off with one packet of wheat flour a day, says she does a bundle per day, making Ksh4500 per day from chapatis alone. In addition, she sells tea and chips, which tops up her sales to Ksh5,500 per day, translating to about Ksh140,000 per month.

Perfectionism: Are You a Perfectionist?

Perfectionism can be defined as the propensity to think and believe that anything short of perfect is an abject failure while having concerns over mistakes and subjecting oneself to harsh and critical self-evaluations when the output fails to produce sought-after satisfaction and excellence. Am I a perfectionist?

Smart Doors: How You Can Control Access to Your House on Mobile

Many operators of Airbnb in Nairobi and other cities are using this technology to manage their clients access to accommodation and lodging facilities using smart doors and smart switches.

Fatal Accidents Report Reveals Most Dangerous Roads in Mombasa

The report, which spotlights roads with highest accident rates at the coast, offers chilling trends, including, among others, statistics that show significantly more men die in road accidents.

Follow Us

Newsletter

Don't miss

Lupita’s Little Brother Junior Nyong’o Charting His Own Path in Acting

Junior Nyongó, who is also a musician and a DJ and now a graduate of UC San Diego with an MFA in Acting, is crafting his own solid path in the world of acting with roles in major theatre productions.

Safaricom To Power Tusker OktobaFest Beer Festival

Safaricom’s involvement in OktobaFest as a technology and payments partner will focus on fostering seamless in-festival connectivity, empowering the youth and Gen Z community through Safaricom Hook, and powering digital payments through M-PESA.

Music Producers Launch Organization To Streamline Recording Industry

Recording Industry of Kenya (RIKE) was launched on 9th October 2023. Registered in 2022 as a not-for-profit organization, RIKE aims to promote the collective interests of producers of sound recordings in the country.

Nairobi’s Hero Bar Listed Among World’s 50 Best Bars

World Best Bars: Hero Bar in Nairobi continues to climb the list, moving up six places to No.62 and Johannesburg’s Sin + Tax comes in at No.94. Dubai new entry Ergo is at No.69 and Melbourne’s Byrdi has re-entered the list at No.61.

Kenyan DJs Face Off In Smirnoff Battle Of The Beats Season 3

The Smirnoff Battle of the Beats Season 3, a DJ competition, is poised to unleash an unprecedented musical frenzy countrywide.

The Highs And Lows Of Betty Kyallo, Sisters Show As Season 2 Ends

Kyallo Kulture has always been, above all, about sisterhood, and in Season 2 we have witnessed the charm of it - the ups that gave us wholesome moments as the sisters led by Betty Kyallo spent time together.

DStv Beats CNN, BBC To Become Most Admired Media Outlet In Africa

DStv, MultiChoice Group’s leading broadcast service, has been named...

MultiChoice Revises Subscription Fees For DStv, GOtv

MultiChoice has announced price adjustments on some of their...

Octopizzo: How I Make My Money

"I've been doing this for 12, 13 years. It reaches a point where you no longer need to prove that you can make a hit record," he stated.

New Spotify EQUAL Artist Qing Madi Talks Music and Dreams

Heavily influenced by her cultural background and the lyrical arrangements of Kendrick Lamar, the versatile Nigerian prodigy is shaping the future of music with her unique genre-bending fusion of Afrobeats, Pop, Soul and R&B.
BENARD ADERA
BENARD ADERAhttp://www.businesstoday.co.ke
Benard Adera is a freelance writer covering financial topics. Profile picture attached. email: [email protected]

Form 4 Leaver Who Makes Sh140,000 Monthly From Chapatis

Jepkoech, who started off with one packet of wheat flour a day, says she does a bundle per day, making Ksh4500 per day from chapatis alone. In addition, she sells tea and chips, which tops up her sales to Ksh5,500 per day, translating to about Ksh140,000 per month.

Perfectionism: Are You a Perfectionist?

Perfectionism can be defined as the propensity to think and believe that anything short of perfect is an abject failure while having concerns over mistakes and subjecting oneself to harsh and critical self-evaluations when the output fails to produce sought-after satisfaction and excellence. Am I a perfectionist?

Smart Doors: How You Can Control Access to Your House on Mobile

Many operators of Airbnb in Nairobi and other cities are using this technology to manage their clients access to accommodation and lodging facilities using smart doors and smart switches.

1 COMMENT

LEAVE A REPLY

Please enter your comment!
Please enter your name here