Narratives are currently in beta
Since March 2024, KenGen’s stock has surged by 130% moving from a low of KES 2 to a high of KES 4.60. Despite this impressive rally, we anticipate a price correction that has already began as earlier investors begin to take profits since the stock currently appears overextended. We believe that this stock remains a great company to buy/hold from the current price since the correction is already taking place. KenGen presents strong fundamental opportunities due to its leadership in geothermal energy and its strategic partnerships within the East African region. These partnerships, particularly with Ethiopia and Djibouti, provide potential for growth and a foothold in the renewable energy sector across Africa. Our long-term target for this counter is KES 7.48 per share. An important factor to consider is that shareholders on record as of the book closure date, November 28, 2024, will qualify for a dividend of KES 0.65 per share, payable on or around February 13, 2025. This translates to a dividend yield of 16.37% at the current price of KES 3.97 per share.
How well do narratives help inform your perspective?
