Ever since the Nairobi Securities Exchange crossed the 4000 mark, the bourse has been on a sharp upward spiral that saw it close at 4132.91 points for the 20-share index and 91.18 points for the All-share index.

Last Friday: The day saw the Standard Chartered Rights issue come to a close and the bank’s stock increase in value to KES 224, up from KES 221 on Thursday. A summary of the day’s trading can be found here.

COUNTER WATCH

• KCB – A company announcement of the financial results saw shareholders take to speculation. Notable from their statements was the net increase in cash flow from operating activities at KES 17.9 Billion, from a loss of KES 2.2 Billion last year. Their listed stock increased in price to KES 30 with a volume of 1.63 Million shares changing hands. We shall monitor the stock’s price movement through the day.
• British American Tobacco – The stock closed at KES 459 last week Friday, the same price as the previous day. There has been a suggestion by World Health Organization to charge a minimum excise duty of 70% which BAT has strongly opposed. Effects of its implementation will trickle down to decreased profit margin or increased price for the consumer. In the worst case scenario, both will occur. We shall be looking to see if local investors will make any material reaction to the ongoing feud.
• Equity Bank – The bank has persistently featured amongst the top traded counters by volume. Last Friday, the counter saw a whooping 7.5 million shares change ownership at an average price of KES 23.50. The current price is an indication that over the past year, shareholders have almost doubled their portfolio value having hit a high of KES 24.25 and a low of KES 15.50. We shall be monitoring the volumes traded and see if it will maintain Friday’s volume.