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Safaricom Excites Stock Market as NSE Turnover Jumps to Sh1.2 Billion

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A Safaricom retail shop. Safaricom has joined the push to scale up private sector investment for sustainable development. www.businesstoday.co.ke
A Safaricom retail shop. Safaricom has joined the push to scale up private sector investment for sustainable development.
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Safaricom moved huge volumes of shares at the Nairobi Securities Exchange (NSE) on September 25, resulting in a turnover jump of over 300%.

The mobile phone operator managed to arrest the low volumes experienced at the NSE over the course of this week, as the bourse saw turnover jump to Ksh1.2 billion. Trading had started slowly on Monday with a slump to Ksh172 million before inching upwards slightly to Ksh384 million yesterday.

With a total of 30.5 million shares transacted during the day’s trading at the Nairobi bourse, Safaricom’s stocks were valued at Ksh842 million. Its share price moved between Ksh27.40 and Ksh28, to eventually settle at Ksh27.55 at closing bell.

Safaricom’s turnover on Wednesday was higher than that of all the listed firm’s at the NSE combined for the previous two trading sessions.

The giant telco’s activity on Wednesday contributed to 69% of the day’s traded value. During the previous session, Safaricom had posted a value of Ksh117 million on the back of 4.2 million shares moved.

Safaricom also moved ten futures contracts, expiring on December 19, worth Ksh272,00 and concluding at a share price of Ksh27.29.

Market indicators meanwhile all registered declines as follows;

  • All Share Index (NASI) shed 0.02 points to settle at 145.70.
  • NSE 20 share Index was down 7.86 points to stand at 2447.56.
  • NSE 25 Share index dropped 0.66 points to settle at 3487.63.

The bonds market meanwhile had bonds worth Ksh2.5 billion transacted, gaining slightly from the Ksh2 billion posted yesterday.

NSE Sectors

The Banking Sector had shares worth Ksh148M transacted which accounted for 12.17% of the day’s traded value.

KCB Group actively moved 2.7 million shares valued at Ksh111 million at between Ksh40.55 and Ksh41.60. Equity Group Holdings meanwhile was up 10cents to Ksh38.35 and moved 664,000 shares worth Ksh25.5 million.

The Investment sector had shares worth Ksh31.7 million traded which accounted for 2.60% of the day’s traded value. Centum moved 1 million shares valued at Ksh31.5 million at between Ksh31 and Ksh31.70.

Ksh4 million worth of shares were traded in the Insurance sector, accounting for 0.33% of the day’s traded value. Kenya-Re was down 1.02% to Ksh2.90, moving 1.2 million shares valued at Ksh3.6 million.

In the Manufacturing & Allied sector, shares worth Ksh191 million were traded and accounted for 15.70% of the
day’s traded value. BAT Kenya closed the day at a share price of Ksh485, moving 328,000 shares valued at
Ksh159 million. E.A Breweries was down 75cents to Ksh197 and moved 160,000 shares worth Ksh31.6 million.

Written by
Mike Njoroge -

Mike Njoroge is the founder of Daystar Oracle and FootballTriangle. He is passionate about news, religion and sports. He can be reached at: [email protected]

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