Safaricom Stock Touches All Time High Despite NASA Boycott Call
Safaricom’s stock at the Nairobi Stock Exchange on Tuesday’s trading hit a new all time high of Sh 27 amid calls by Raila Odinga’s party NASA to boycott the telco’s products.
The new high now puts Safaricom’s market valuation at Sh 1.08 trillion which is nearly half the market valuation of the 63 listed companies on the exchange. Since the beginning of the year, the stock is up by approximately 45%.
The telco released its half year 2018 results about two weeks ago posting an increase of 9.6% in profit before tax to Ksh 37.8 Billion. This growth was abit slower than what investors expected given that the company has always posted margins of between 20-30 percent over the last five years.
Safaricom also maintained its full year guidance for earnings before interest and tax to lie between KES 71 and 75 billion.