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Kenya airways Right Issue
VituVingiSana
#471 Posted : Monday, June 25, 2012 4:22:59 AM
Rank: Chief

Joined: 1/3/2007
Posts: 18,347
Location: Nairobi
KK > KQ ... any day!
Greedy when others are fearful. Very fearful when others are greedy - to paraphrase Warren Buffett
sparkly
#472 Posted : Monday, June 25, 2012 6:58:30 AM
Rank: Elder

Joined: 9/23/2009
Posts: 8,083
Location: Enk are Nyirobi
Ali Baba wrote:
He he he!! This is the stuff that separates champions from wimps.Wimps invest in loosing stocks under the pretext that they will bequeath them to their children.Be a winner,don't invest in dead stocks like NEVEREADY and others!!!


KQ is not another neveready, my friend. From my experience taking a longer term view in stocks helps. KQ is 3% of my portfolio, bought at 19 plus the rights at 14. At these levels KQ is a worthy investment IMO. Mr Market thinks otherwise and i expect the price to fall. When that happens i will be scooping more, in fact am waiting for sub 10.
Life is short. Live passionately.
sparkly
#473 Posted : Monday, June 25, 2012 7:04:18 AM
Rank: Elder

Joined: 9/23/2009
Posts: 8,083
Location: Enk are Nyirobi
VituVingiSana wrote:
KK > KQ ... any day!


Not anymore. If anyone didn't buy KK at 10 or below, they are just wasting time and money buying now (pure speculation on basis of strike price). For those who bought earlier, the gains are more or less locked. Time to move to the next investment.
Life is short. Live passionately.
QW25091985
#474 Posted : Monday, June 25, 2012 7:37:52 AM
Rank: User

Joined: 1/24/2012
Posts: 1,675
Location: In Da Hood
i think the rights issue was just too big to succeed !
VituVingiSana
#475 Posted : Monday, June 25, 2012 8:35:28 AM
Rank: Chief

Joined: 1/3/2007
Posts: 18,347
Location: Nairobi
sparkly wrote:
VituVingiSana wrote:
KK > KQ ... any day!


Not anymore. If anyone didn't buy KK at 10 or below, they are just wasting time and money buying now (pure speculation on basis of strike price). For those who bought earlier, the gains are more or less locked. Time to move to the next investment.
KK at 14.35 with expected takeover price between 17-21 (17 is what Kestrel had initially valued it at. 21 is what they had indicated in a later report) probably by the end of 2012.
KQ - The 1H results will be released in Nov 2012 (as they do every year in November) but the volatile currency & oil prices may hurt or benefit them. Current price 13.20

So when comparing the two TODAY, I am with KK.
Greedy when others are fearful. Very fearful when others are greedy - to paraphrase Warren Buffett
Kausha
#476 Posted : Monday, June 25, 2012 8:36:10 AM
Rank: Member

Joined: 2/8/2007
Posts: 808
KQ will eventually require a restructuring. They will soak in a lot of debt to buy dreamliners and embrears - the latter making good business sense but the former...... KQ should focus more on african routes and only retain 5-8 routes that complement the regional strategy. Sooner or latter we will see serious market wars for the african routes. KQ has a head start in having launched first but they may not have the best product and pricing. The other players only need to pitch better product and or pricing and suddenly customers start choosing. That market share war will happen within the next 5 years. End result will be margin squeeze suggesting KQ ought to be putting more eggs in the african basket and less on European and Asian routes.
Aguytrying
#477 Posted : Monday, June 25, 2012 10:56:45 AM
Rank: Elder

Joined: 7/11/2010
Posts: 5,040
"Afreximbank wins bid to arrange financing for Kenya Airways fleet upgrade. The African Export-Import Bank (Afreximbank) has won the mandate for arranging Kenya Airways aircraft financing for the purchase of 9 Boeing B-787-800s, 1 Boeing 777-300ER and 10 Embraer E-190 aircrafts for deliveries expected within the next three years. The financing package consists of pre-delivery payments and aircraft delivery finance. The 787’s replace 767’s while the E-190’s will increase capacity for regional routes within Africa. Kenya Airways raised KES 14.5bn through a rights issue which will go to financing pre-delivery payments for the nine Boeing B-787’s. The rest of the financing will be taken in loans. Afreximbank is a supranational trade finance focused development bank headquartered in Egypt with the aim of promoting trade between African countries and between Africa and the rest of the world. Kenya Airways plans to grow its fleet from 34 to 119 by 2021 and increase destinations from 57 to 115 over the same period."

Haven't we been expecting new aircraft for the last 2 years?

I just do not see them pulling this off personally.
The investor's chief problem - and even his worst enemy - is likely to be himself
Aguytrying
#478 Posted : Monday, June 25, 2012 1:38:04 PM
Rank: Elder

Joined: 7/11/2010
Posts: 5,040
http://af.reuters.com/ar...ws/idAFL5E8HP1EI20120625
The investor's chief problem - and even his worst enemy - is likely to be himself
ProverB
#479 Posted : Monday, June 25, 2012 2:16:47 PM
Rank: Veteran

Joined: 3/12/2010
Posts: 1,199
Location: Eastlander
Once in a while..in doing research..i try get everyone's opinion over a stock...put it together in one page..and read thro searching for consistency of thought as well as comparing to actual outcome.. It's my way of finding the "street credibility" of contributers in Wazua..

I've done so successfully with the likes of Stocksmaster, Guru, VVS,the Deal, Mwanahisa, Mwekezaji..and loads of others..

The reason is..so that i do not lie to myself to think myself wise in my own eyes.. and actually learn from smarter minds here on wazua

Recently..i did QW... His thoughts on KQ.. amazing stuff..How He takes the stock from "awesome" to "crap" within a page..

I mean no
disrespect..but trying help newcomers on Wazua have an easier why of sifting thro opinions..

January 29,2012
QW25091985 wrote:
Aiiish. This stock is to beaten down. There'll be no sell off.
Anything below 20 bob is a buy b'coz rights price will be at 20 bob.
..http://www.wazua.co.ke/forum.aspx?g=postmessage&t=7270&f=1&q=272890

March 12,2012
QW25091985 wrote:
okay you guys keep panicking am down there waiting for you sell orders !
.. http://www.wazua.co.ke/f...spx?g=posts&t=17873

March 23,2012
QW25091985 wrote:
its very important to know the market trend when approaching this right . remember britak ? the market was down and yet people were buying the ipo . me i would urge people to keep off this one and buy after the rights start trading .
i just donot see where a rally will come from given that KQ is mostly a foreign investors dominated and currently they arenot in this market !



April 3rd, 2012..
QW25091985 wrote:
Woi . mimi nina nunua tu !
.. http://www.wazua.co.ke/f...ts&t=17873&p=10

April 3rd, 2012..
QW25091985 wrote:
aiigh . now this is a monkey ? no this is a very good stock ad foreign interest is high . you think foreigners just buy things lik its a fis market ?
.. http://www.wazua.co.ke/f...ts&t=17873&p=10

April 3,2012..
QW25091985 wrote:
i'll just buy this thing coz the index is looking to be in an up move . so guys will be bullish. its just a matter of time
.. http://www.wazua.co.ke/f...70&f=1&q=272890


April 19,2012..
QW25091985 wrote:
oh my allot of small talk here ! even shareholders get paid when they have returns on their investments .airlines are collapsing and returning poor results left right and center but KQ is still profitable . i like this company. rights or no rights issue
... http://www.wazua.co.ke/f...ts&t=17873&p=13


April 26,2012
QW25091985 wrote:
why is the stock rallying as we near end of rights issue ?
that could be a sign the rights will be a success.
am off to the broker . hii mbus looks like its gonna go up !
.. http://www.wazua.co.ke/f...ts&t=17873&p=15

June 9,2012
QW25091985 wrote:
We need to break 14 bob before we say the rights was a failure !
.. http://www.wazua.co.ke/f...ts&t=17873&p=20

June 14,2012
QW25091985 wrote:
hisah wrote:
Aguytrying wrote:
GenghisCapitalLtd wrote:
KQ to announce their Full Year results on 14th June 2012. What numbers do you expect taking into account the profit warning issued!


2 billion shs net profit. A 42% drop.

Fuel bill, strong KES (reduced fx gains on euro and dollar), tourism slowdown especially from eurozone for obvious reasons; I think 42% profit dip is quite optimistic. Should be more than 50%.
.. http://www.wazua.co.ke/f...ts&t=17873&p=21



June 16,2012
QW25091985 wrote:
oops. Sorry about that all time low is 5.13
am saying 5 bob because there's no support between the 14 bob rights price and the stocks all-time low. Any way thats the way i plan to play it ! You risk massive losses if you buy inbetween those important price levels.
What am saying is that keep of this stock !
.. http://www.wazua.co.ke/f...ts&t=17873&p=22

June 21, 2012
QW25091985 wrote:
Aguytrying wrote:
youcan'tstopusnow wrote:
Turnover is now 45 million...


getting in or out? ill never understand investors



its quite evident its exit volume because the stock is going down !
i would wonder why anybody would enter now !
i am still seeing a 5 bob print one day !
... http://www.wazua.co.ke/f...ts&t=17873&p=23

June 21, 2012
QW25091985 wrote:
My 2 cents wrote:
QW25091985 wrote:
Aguytrying wrote:
youcan'tstopusnow wrote:
Turnover is now 45 million...


getting in or out? ill never understand investors



its quite evident its exit volume because the stock is going down !
i would wonder why anybody would enter now !
i am still seeing a 5 bob print one day !


Perhaps because they are buying fear.
Remember - sell greed and buy fear

Sell KK
Buy KQ



@2cents . would you buy yourself ?
this is where we are advised not to try and catch a falling knife .
anybody will a sober mind and had LOOKED AT THE CHARTS willnot touch it
.. http://www.wazua.co.ke/f...ts&t=17873&p=23

June 21, 2012
QW25091985 wrote:
guru267 wrote:
KQ may hold steady if the market P/E rises to 10-12..
KQ has historically always traded above the market P/E


do you want a bet this stock will trade 5 bob in the near future ? Okay the bet is on and see how charts DONOT lie !
..http://www.wazua.co.ke/forum.aspx?g=posts&t=17873&p=23

June 25,2012
QW25091985 wrote:
i think the rights issue was just too big to succeed !
..http://www.wazua.co.ke/forum.aspx?g=posts&t=17873&p=24

lol. we arenot in a recession !

..Let your light so shine before men, that they may see your good works, and glorify your Father which is in heaven...Matt5:16
- 1769 Oxford King James Bible 'Authorized Version
VituVingiSana
#480 Posted : Monday, June 25, 2012 2:33:43 PM
Rank: Chief

Joined: 1/3/2007
Posts: 18,347
Location: Nairobi
@proverB - LOL, empirical evidence...
Greedy when others are fearful. Very fearful when others are greedy - to paraphrase Warren Buffett
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