reason - instincts

Since bk closer is in may, the sub 22 may not be possible coz we shall be having the Q1 results by then. I intend to sell KPLC just b4 bk closer later this month and probably add more of this LION! It will definately roar.

“The market has really responded positively to the new S&L Mortgages and especially the fact that we can now do much bigger deals of more than Kshs one billion per project. This has attracted alot of interest throughout the region”, explained Kariuki. Southern Sudan, she said, currently harboured huge mortgage business potential in the second quarter of 2011 given that Sudan was keen on a socio-economic reconstruction and recovery plan.

Kcb is a politically secure stock and can weather political turmoil unlike eb.thats my view side in the eve of an election so go full blast on it.

..might have been referring to the operating environment..

Very true. But I usually feel these fears have no basis. My opinion

And to think that the market values EB at approx 100B and KCB at approx 60B; yet they both reported around and about the same PAT. These valuations are a total joke!!!!!

U can say that again, buy, buy, buy KCB S&L!!

KIRTI, you are wrong on this. Using Friday's prices, KCB was trading at a PE of 8.4, while NIC was at 9.6. SCBK (using the just released results) is trading at a PE of 14.8. Using 2009 results, SCBK was at an even higher PE of 16.39. I just can't see how you have arrived at your figures.

KCB's dividend yield is also the highest of the 3 banks you have cited.

I also echo the sentiments that NIC is not a peer of KCB due to size, dividend yield, liquidity etc. As an illustration, a purchase/sale order for 200,000 shares of NIC is enough to prevent a price drop/gain while this is puny where KCB is concerned.

KCB is indeed the BUY amongst the three!

WRONG!

I trust that you are aware of the principle of weighting when calculating the EPS for a share where the number of shares has changed during the reporting period.

EPS of 2.43 is based on the entire number of shares as of Dec-31-2010 whereas the associated level of capital was only available for part of the year i.e. from the date of listing of the rights issue shares (August 2010). You need to take this into account to get the correct EPS.