Wazua
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Rank: Chief Joined: 1/3/2007 Posts: 18,302 Location: Nairobi
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MaichBlack wrote:obiero wrote:MaichBlack wrote:And what matters most is EPS and DPS.
If Safaricom's DPS is 10/=, majority would not care about how many shares it has. Same if the DPS was 0.1/=
Ask most people here how many shares Equity, KCB, BAT, Stanchart etc. have. Some are shareholders and they neither know nor care. And those who do probably the original reason was for them to calculate EPS and DPS from scratch (assuming the information was not readily available or they wanted to do their own math!) True. Dividend yield is favored by most, followed closely by EPS True!!! I have also become like @vvs and many more here. I am not a trader. I don't want to have to sell to make money. I love dividend paying shares. That way if the Fundamentals are okay, I don't have to worry so much about price swings (unless I am buying or want to sell). All I need to know is that every year I expect dividends of Kshs. xyz which hopefully keep growing. And one of the most important things as you live your life is cashflow. I love passive cashflow/income. And the day you retire, this will 10 times as important!!!  I&M paid a sweet interim juzi. Always nice to get dividends throughout the year. Greedy when others are fearful. Very fearful when others are greedy - to paraphrase Warren Buffett
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Rank: Elder Joined: 6/23/2009 Posts: 14,095 Location: nairobi
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VituVingiSana wrote:MaichBlack wrote:obiero wrote:MaichBlack wrote:And what matters most is EPS and DPS.
If Safaricom's DPS is 10/=, majority would not care about how many shares it has. Same if the DPS was 0.1/=
Ask most people here how many shares Equity, KCB, BAT, Stanchart etc. have. Some are shareholders and they neither know nor care. And those who do probably the original reason was for them to calculate EPS and DPS from scratch (assuming the information was not readily available or they wanted to do their own math!) True. Dividend yield is favored by most, followed closely by EPS True!!! I have also become like @vvs and many more here. I am not a trader. I don't want to have to sell to make money. I love dividend paying shares. That way if the Fundamentals are okay, I don't have to worry so much about price swings (unless I am buying or want to sell). All I need to know is that every year I expect dividends of Kshs. xyz which hopefully keep growing. And one of the most important things as you live your life is cashflow. I love passive cashflow/income. And the day you retire, this will 10 times as important!!! I&M paid a sweet interim juzi. Always nice to get dividends throughout the year. I remain a trader, for now. But will definitely join @vvs strategy at some point, not now.
KQ ABP 4.26
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Rank: Elder Joined: 6/23/2009 Posts: 14,095 Location: nairobi
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Ebenyo wrote:MaichBlack wrote:Ebenyo wrote:obiero wrote:obiero wrote:ngapat wrote:Where is the prospectus of this ipo
It will be out by next week Time has come. Ruto announces January listing of Kenya pipeline shares the-star.co.ke/news/2026-01-05-ruto-announces-listing-of-kpc-shares-on-nse https://share.google/yrFwFosac5w0SpU28
Going by Ruto sentiments,the pricing will be attractive.However they should avoid a populist situation like 2008 safaricom IPO. How was the Safaricom IPO a populist situation. I remember Prof. Anyang' Nyongo displaying his ignorance to the entire country explaining how Safaricom was being sold at a "throw away price" of Kshs. 5/= totally ignoring the number of shares!! I was staring at the TV wondering "Is this guy this clueless or is he just pretending for some reason!!??" They issued so many shares(40 billion) at Kshs 5 each. That's why safaricom NAV is very poor. 
KQ ABP 4.26
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Rank: Elder Joined: 6/23/2009 Posts: 14,095 Location: nairobi
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stocksmaster wrote:littledove wrote:https://ntvkenya.co.ke/news/treasury-to-raise-sh100-billion-from-selling-kenya-pipeline/?utm_source=twitter&utm_medium=NTV+SocialsThe National Treasury expects to raise approximately Sh100 billion from the privatisation of the Kenya Pipeline Company (KPC) shares through an initial public offering at the Nairobi Securities Exchange. The Treasury says the proceeds from the KPC sale will be used to fund priority public services and infrastructure. A Sessional Paper on the Privatisation of Kenya Pipeline Company through an Initial Public Offering (IPO), tabled in the National Assembly, shows that the proceeds of the sale will enable the government to raise funds budgeted for in 2025/26, to implement economic and social objectives. ........................ “The company is wholly owned by the government of Kenya, with 99.9 percent shareholding held by the National Treasury and about 0.1 percent by the Ministry of Energy and Petroleum.” The KPC maintains an extensive pipeline network spanning 1,342 kilometres, and in the financial year 2023/24, reported Sh35.4 billion in revenue and a Profit After Tax of Sh6.9 billion, contributing dividends to the National Treasury. The maths is not adding up. Let's do some quick calculations: What we know is that the GoK will list 65% of KPC shares. The net profit for 2024 for KPC was Ksh 6.9bn. If we apportion 65% of this net profit to the public shares to be sold, that adds up to about 4.5bn. If the target is truly to raise 100bn from the 65% stake, that means the IPO share price will be at a P/E of over 22! (Price of 100bn/Attributable net profit of 4.5bn). KenGen for comparison is trading at a trailing P/E of below 7 making the potential KPC IPO offer share price three times more expensive. If the KPC offer is to be sold at same market metrics as Kengen (Price per earnings of about 7), then the realistic cash to be generated for a 65% sale of KPC based on an annual net profit of about Ksh 7Bn would be 1/3rd of that 100bn....about Ksh 30-33bn. Happy Hunting Par value of two cents is telling a tale
KQ ABP 4.26
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Rank: Chief Joined: 1/3/2007 Posts: 18,302 Location: Nairobi
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obiero wrote:stocksmaster wrote:littledove wrote:https://ntvkenya.co.ke/news/treasury-to-raise-sh100-billion-from-selling-kenya-pipeline/?utm_source=twitter&utm_medium=NTV+SocialsThe National Treasury expects to raise approximately Sh100 billion from the privatisation of the Kenya Pipeline Company (KPC) shares through an initial public offering at the Nairobi Securities Exchange. The Treasury says the proceeds from the KPC sale will be used to fund priority public services and infrastructure. A Sessional Paper on the Privatisation of Kenya Pipeline Company through an Initial Public Offering (IPO), tabled in the National Assembly, shows that the proceeds of the sale will enable the government to raise funds budgeted for in 2025/26, to implement economic and social objectives. ........................ “The company is wholly owned by the government of Kenya, with 99.9 percent shareholding held by the National Treasury and about 0.1 percent by the Ministry of Energy and Petroleum.” The KPC maintains an extensive pipeline network spanning 1,342 kilometres, and in the financial year 2023/24, reported Sh35.4 billion in revenue and a Profit After Tax of Sh6.9 billion, contributing dividends to the National Treasury. The maths is not adding up. Let's do some quick calculations: What we know is that the GoK will list 65% of KPC shares. The net profit for 2024 for KPC was Ksh 6.9bn. If we apportion 65% of this net profit to the public shares to be sold, that adds up to about 4.5bn. If the target is truly to raise 100bn from the 65% stake, that means the IPO share price will be at a P/E of over 22! (Price of 100bn/Attributable net profit of 4.5bn). KenGen for comparison is trading at a trailing P/E of below 7 making the potential KPC IPO offer share price three times more expensive. If the KPC offer is to be sold at same market metrics as Kengen (Price per earnings of about 7), then the realistic cash to be generated for a 65% sale of KPC based on an annual net profit of about Ksh 7Bn would be 1/3rd of that 100bn....about Ksh 30-33bn. Happy Hunting Par value of two cents is telling a tale Par Value is largely irrelevant. Look at the par value of Apple shares then compare to the par value of your beloved KQ shares. Then compare the price of each Apple share vs KQ share. And the EPS. And the DPS. Greedy when others are fearful. Very fearful when others are greedy - to paraphrase Warren Buffett
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Rank: Elder Joined: 6/23/2009 Posts: 14,095 Location: nairobi
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VituVingiSana wrote:obiero wrote:stocksmaster wrote:littledove wrote:https://ntvkenya.co.ke/news/treasury-to-raise-sh100-billion-from-selling-kenya-pipeline/?utm_source=twitter&utm_medium=NTV+SocialsThe National Treasury expects to raise approximately Sh100 billion from the privatisation of the Kenya Pipeline Company (KPC) shares through an initial public offering at the Nairobi Securities Exchange. The Treasury says the proceeds from the KPC sale will be used to fund priority public services and infrastructure. A Sessional Paper on the Privatisation of Kenya Pipeline Company through an Initial Public Offering (IPO), tabled in the National Assembly, shows that the proceeds of the sale will enable the government to raise funds budgeted for in 2025/26, to implement economic and social objectives. ........................ “The company is wholly owned by the government of Kenya, with 99.9 percent shareholding held by the National Treasury and about 0.1 percent by the Ministry of Energy and Petroleum.” The KPC maintains an extensive pipeline network spanning 1,342 kilometres, and in the financial year 2023/24, reported Sh35.4 billion in revenue and a Profit After Tax of Sh6.9 billion, contributing dividends to the National Treasury. The maths is not adding up. Let's do some quick calculations: What we know is that the GoK will list 65% of KPC shares. The net profit for 2024 for KPC was Ksh 6.9bn. If we apportion 65% of this net profit to the public shares to be sold, that adds up to about 4.5bn. If the target is truly to raise 100bn from the 65% stake, that means the IPO share price will be at a P/E of over 22! (Price of 100bn/Attributable net profit of 4.5bn). KenGen for comparison is trading at a trailing P/E of below 7 making the potential KPC IPO offer share price three times more expensive. If the KPC offer is to be sold at same market metrics as Kengen (Price per earnings of about 7), then the realistic cash to be generated for a 65% sale of KPC based on an annual net profit of about Ksh 7Bn would be 1/3rd of that 100bn....about Ksh 30-33bn. Happy Hunting Par value of two cents is telling a tale Par Value is largely irrelevant. Look at the par value of Apple shares then compare to the par value of your beloved KQ shares. Then compare the price of each Apple share vs KQ share. And the EPS. And the DPS. On a forced sale, it will definitely not be irrelevant as you claim, for Apple and any other listed stock. The par value is the stated value per share, representing the floor price share value below which future shares cannot be issued. Existing and prospective investors could be assured that the issuer cannot legally sell shares at a price lower than the par value. Also, your claim that I love KQ shares is frivolous. If they hit KES 8 or more, I sell. Plain and simple
KQ ABP 4.26
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Rank: Member Joined: 9/26/2006 Posts: 456 Location: CENTRAL PROVINCE
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stocksmaster wrote:littledove wrote:https://ntvkenya.co.ke/news/treasury-to-raise-sh100-billion-from-selling-kenya-pipeline/?utm_source=twitter&utm_medium=NTV+SocialsThe National Treasury expects to raise approximately Sh100 billion from the privatisation of the Kenya Pipeline Company (KPC) shares through an initial public offering at the Nairobi Securities Exchange. The Treasury says the proceeds from the KPC sale will be used to fund priority public services and infrastructure. A Sessional Paper on the Privatisation of Kenya Pipeline Company through an Initial Public Offering (IPO), tabled in the National Assembly, shows that the proceeds of the sale will enable the government to raise funds budgeted for in 2025/26, to implement economic and social objectives. ........................ “The company is wholly owned by the government of Kenya, with 99.9 percent shareholding held by the National Treasury and about 0.1 percent by the Ministry of Energy and Petroleum.” The KPC maintains an extensive pipeline network spanning 1,342 kilometres, and in the financial year 2023/24, reported Sh35.4 billion in revenue and a Profit After Tax of Sh6.9 billion, contributing dividends to the National Treasury. The maths is not adding up. Let's do some quick calculations: What we know is that the GoK will list 65% of KPC shares. The net profit for 2024 for KPC was Ksh 6.9bn. If we apportion 65% of this net profit to the public shares to be sold, that adds up to about 4.5bn. If the target is truly to raise 100bn from the 65% stake, that means the IPO share price will be at a P/E of over 22! (Price of 100bn/Attributable net profit of 4.5bn). KenGen for comparison is trading at a trailing P/E of below 7 making the potential KPC IPO offer share price three times more expensive. If the KPC offer is to be sold at same market metrics as Kengen (Price per earnings of about 7), then the realistic cash to be generated for a 65% sale of KPC based on an annual net profit of about Ksh 7Bn would be 1/3rd of that 100bn....about Ksh 30-33bn. Happy Hunting With KPC IPO details now out, it seems my calculations were spot on. The IPO is being offered at a P/E of almost 22 {Ksh 9÷0.4122} so as to generate Ksh 100bn. Thats a crazy valuation when compared to Kengen (P/E of 6) and KPLC (P/E of 1) being the other GoK energy stocks they will share an NSE category. I wonder whether the transaction advisors are oblivious of the market? Wanjiku will buy based on hype but am curious about institutional and high net worth investors. An interesting IPO but will seat out of this one as I wait it post market at my target price of Ksh 2.50. Happy Hunting
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Rank: Elder Joined: 6/23/2009 Posts: 14,095 Location: nairobi
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obiero wrote:obiero wrote:VituVingiSana wrote:VituVingiSana wrote:obiero wrote:Ericsson wrote:obiero wrote:VituVingiSana wrote:My 2 cents wrote:xtina wrote:My 2 cents wrote:It is the mwanainchi's fault if they sell out of their allocations. I suspect many Kenyans bought Safaricom at IPO and sold out later when it went sub 5. We have a second opportunity to load up now that international investors are dumping, but how many Kenyans are taking advantage of this rare opportunity? Very few are taking advantage but honestly speaking, NSE is just not a priority for a majority of Kenyans. In the past two years, I have tried to bring up story ya shares and everyone looks at me funny  I realized I sound very out-of-touch and elitist because everyone else is more concerned with fuel and unga ya 200 bob. Majority Kenyans prefer to invest in land and sacco shares. Several Kenyans also got burned with the shenanigans of brokers years past. Those folks will never return to the NSE. It will take a new generation with no hang ups about the NSE to revive interest in the bourse. Meanwhile anyone with the balls of steel needed to buy and hold this market over a long period will eventually make out like a bandit. Valuations are ridiculously cheap. Some firms' have DYs that are similar to bonds! Let's say you get (net) 9% DY (for a good firm) vs (net) 12% (Interest for a 5-year T-Bond) then the difference is only 3% which is 17% (compounded) over 5 years. There is a good chance that the firm to grow its EPS and DPS which does not happen with Bonds. The valuations (PER) could also increase giving an investor a much better Total Return by 2027. KPC to list on the NSE in next 111 days Uwongo Stop embarrassing yourself https://youtu.be/C5owVRFx2UM?si=FwLVXTRVvV8u3eLI
110 days left. Let's look at it on 1 August then 1 September then 1 October and so on High court says KPC should pay River Thange victims 3.8bn @obiero How many days left? Hehe. Don't jinx it mzee @vvs. You might remind the courts of the KES 25B claim around the Mukuru-Sinai tragedy Court halts the KPC IPO Judiciary has been "spoken" to.. IPO is well and truly in progress with funds already being received by the leading commercial entities. I view it as overpriced as computed by @stocksmaster in post above. I will therefore sit it out, for now. The only time when the Exchange Bar is wrong, is when it is right. I speak in code
KQ ABP 4.26
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