BY BUSINESS DAILY
Safaricom’s rally to an all-time high of Sh. 31.75 has rewarded its shareholders with a capital gain of Sh90 billion in the past week, and boosted the NSE’s market capitalisation to a new all-time high of Sh2.83 trillion.
The telco opened trading at Sh29.50 last Monday, and by last Friday had gained 7.6 per cent or Sh2.25 after sustained demand from investors hoping for good results for the full year to March 2018.
At Sh31.75 per share, Safaricom’s market value now stands at Sh1.27 trillion, accounting for 45 per cent of the NSE’s total market cap of Sh2.83 trillion.
Analysts say apart from the prospects of higher earnings by the company (which would translate to higher dividends), investors are also looking ahead at possible future gains from new products the telco is introducing into the market.