stocksmaster wrote:murchr wrote:stocksmaster wrote:Metasploit wrote:Metasploit wrote:[quote=dunkang]I am thinking of picking KPLC (~13) or KenGen (~12), but am worried about the GoK anti-business inteference in the energy sector.
it worries alot.
Too political.
http://allafrica.com/stories/201401030404.html[/quote]
For trading,Kengen is good.It always swings and now it is really oversold.Rebound in the offing.Just like Safcom,it doesnt disappoint traders
With a forthcoming 1:1 rights issue within the next 3-6 months, it will be interesting to see if the government will take up its rights. If it doesn't, then its 70% shareholding should reduce to 35% and a reorganisation of the mainly politically appointed board of directors should follow. Kengen needs a serious anchor shareholder with expertise In energy sector (equivalent of Vodafone in Safaricom). Before the rights are done and dusted, the share should be available at the Ksh 10 price levels as the market waits to see the governments move as concerns the rights (hopefully it will sell its rights to an anchor shareholder) in addition to the rights pricing.
Happy hunting.
I believe so too about GOK and
KENGEN tho the Gov is keen on the sector so they will make sure they are the major shareholder tho diluted. I think there is a reason why GE is here...am watching
I suspect GE wants in. The investments projected do need the stewardship of such a player. However, i doubt GE would invest without Board control.
Happy hunting.
@Stockmaster,
Many thanks for your great analysis and this time in coming for along haul. Even though everyone seems to agree with you except on TPS, I do agree that TPS will deliver good results over the said period. Regional diversification is key and it is likely that tourism growth will be quite good in the region. Despite the terrorists events in Kenya, peace in Somalia will ultimately yield dividends. Already, Tanzania has overtaken Kenya in terms of tourist numbers. The potential in the region is huge.
Within the 3 year time horizon, me thinks, industrial stocks will play a key role. On this front, i pick KPLC and Kengen to lead the front. The government focus in increasing electricity generation by almost 400% within four years should surely spur growth in these sectors. Many players will be involved including GE as mentioned, but also traditional players who form the chain of geothermal developments.
On the banking sector, in auditioned to the aforementioned banks by Stockmaster, I front NBK to perform well. If government decides to divest, especially after the restructuring, NBK should yield fantastic capital appreciation. The other sleeping giant is COOP.
The LAPSSET project is now a reality and together with associated infrastructure should drive the construction industry. Beneficiaries should be cement companies mainly. If BOC repositions itself well, it's should be a major player in the railway construction industry by supplying oxygen for welding works.
Happy New Year and great investment results to Wazuans.