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Kenyan (NSE) Telecom Sector Analysis

UpdatedMar 29, 2024
DataAggregated Company Financials
Companies6
  • 7D9.8%
  • 3M27.4%
  • 1Y-1.3%
  • YTD28.8%

Over the last 7 days, the Telecom industry has risen 9.8%, driven by gains from Safaricom of 9.9%. Meanwhile, Longhorn Publishers actually underperformed within the industry, shrinking 7.3% in the last week. Overall in the last year, the industry is flat. Earnings are forecast to grow by 4.5% annually.

Sector Valuation and Performance

Has the Kenyan Telecom Sector valuation changed over the past few years?

DateMarket CapRevenueEarningsPEAbsolute PEPS
Fri, 29 Mar 2024KSh779.3bKSh330.0bKSh61.8b40.6x12.6x2.4x
Sun, 25 Feb 2024KSh542.8bKSh330.2bKSh62.1b10.3x8.7x1.6x
Tue, 23 Jan 2024KSh563.1bKSh330.7bKSh62.6b10.5x9x1.7x
Thu, 21 Dec 2023KSh546.7bKSh338.2bKSh62.4b10.3x8.8x1.6x
Sat, 18 Nov 2023KSh544.8bKSh338.2bKSh62.4b10.3x8.7x1.6x
Mon, 16 Oct 2023KSh565.2bKSh327.0bKSh61.8b10.6x9.2x1.7x
Wed, 13 Sep 2023KSh621.3bKSh327.0bKSh61.8b11x10.1x1.9x
Fri, 11 Aug 2023KSh661.5bKSh327.1bKSh61.6b11.2x10.7x2x
Sun, 09 Jul 2023KSh763.7bKSh327.1bKSh61.6b12.1x12.4x2.3x
Tue, 06 Jun 2023KSh685.7bKSh330.1bKSh61.8b9.3x11.1x2.1x
Thu, 04 May 2023KSh648.8bKSh324.4bKSh66.0b8.1x9.8x2x
Sat, 01 Apr 2023KSh730.9bKSh324.4bKSh66.0b8.6x11.1x2.3x
Mon, 27 Feb 2023KSh941.2bKSh324.4bKSh66.0b9.9x14.3x2.9x
Wed, 25 Jan 2023KSh929.5bKSh324.9bKSh66.1b14x14.1x2.9x
Fri, 23 Dec 2022KSh995.7bKSh323.7bKSh65.1b15x15.3x3.1x
Sun, 20 Nov 2022KSh1.0tKSh323.2bKSh65.0b15.3x15.6x3.1x
Tue, 18 Oct 2022KSh1.0tKSh316.1bKSh68.7b14.7x15x3.3x
Thu, 15 Sep 2022KSh1.1tKSh316.1bKSh68.7b16.2x16.5x3.6x
Sat, 13 Aug 2022KSh1.3tKSh316.4bKSh69.0b17.9x18.2x4x
Mon, 11 Jul 2022KSh1.1tKSh316.4bKSh69.0b16.2x16.5x3.6x
Wed, 08 Jun 2022KSh1.1tKSh316.1bKSh69.2b15.2x15.4x3.4x
Fri, 06 May 2022KSh1.3tKSh303.8bKSh72.1b18.2x18.4x4.4x
Sun, 03 Apr 2022KSh1.4tKSh303.8bKSh72.1b19x19.3x4.6x
Tue, 01 Mar 2022KSh1.4tKSh303.8bKSh72.1b19.8x20.1x4.8x
Thu, 27 Jan 2022KSh1.4tKSh303.8bKSh72.1b19.8x20.1x4.8x
Sat, 25 Dec 2021KSh1.6tKSh303.8bKSh72.1b22.1x22.3x5.3x
Mon, 22 Nov 2021KSh1.6tKSh303.6bKSh72.0b13.7x21.9x5.2x
Wed, 20 Oct 2021KSh1.7tKSh281.8bKSh67.9b15.4x25.4x6.1x
Fri, 17 Sep 2021KSh1.7tKSh281.8bKSh67.4b16.1x25.4x6.1x
Sun, 15 Aug 2021KSh1.7tKSh281.8bKSh67.4b16.2x25.7x6.1x
Thu, 10 Jun 2021KSh1.6tKSh281.4bKSh67.0b17x24.6x5.8x
Price to Earnings Ratio

21.8x


Total Market Cap: KSh1.5tTotal Earnings: KSh67.0bTotal Revenue: KSh281.4bTotal Market Cap vs Earnings and Revenue0%0%0%
Kenyan Telecom Sector Price to Earnings3Y Average 16.2x202220232024
Current Industry PE
  • Investors are pessimistic on the Kenyan Communication Services industry, indicating that they anticipate long term growth rates will be lower than they have historically.
  • The industry is trading at a PE ratio of 12.6x which is lower than its 3-year average PE of 16.2x.
  • The 3-year average PS ratio of 3.6x is higher than the industry's current PS ratio of 2.4x.
Past Earnings Growth
  • The earnings for companies in the Communication Services industry have declined 2.6% per year over the last three years.
  • Meanwhile revenues for these companies have grown 5.5% per year.
  • This means that although more sales are being generated, either the cost of doing business or the level of investment back into businesses has increased, which has decreased profits.

Industry Trends

Which industries have driven the changes within the Kenyan Telecom sector?

KE Market7.50%
Telecom9.83%
Wireless Telecom9.91%
Media1.09%
Entertainment0%
Interactive Media and Services0%
Telecom Services and Carriers0%
Industry PE
  • Investors are most optimistic about the Wireless Telecom industry even though it's trading below its 3-year average PE ratio of 15.9x.
    • Analysts are expecting annual earnings growth of 4.5%, which is higher than its past year's earnings decline of 4.5% per year.
Forecasted Growth
  • Analysts are most optimistic on the Wireless Telecom industry, expecting annual earnings growth of 4.5% over the next 5 years.
  • This is better than its past earnings decline of 4.5% per year.
  • In contrast, the Wireless Telecom industry is expected to see its earnings grow by 4.5% per year over the next few years.

Top Stock Gainers and Losers

Which companies have driven the market over the last 7 days?

CompanyLast Price7D1YValuation
SCOM SafaricomKSh17.759.9%
+KSh64.1b
-1.4%PE11.3x
SCAN WPP ScangroupKSh2.357.8%
+KSh73.5m
-21.1%n/a
SGL Standard GroupKSh6.509.8%
+KSh47.4m
-23.7%PS0.2x
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Latest News

SCOM

KSh17.75

Safaricom

7D

9.9%

1Y

-1.4%

SGL

KSh6.50

Standard Group

7D

9.8%

1Y

-23.7%

LKL

KSh2.30

Longhorn Publishers

7D

-7.3%

1Y

-11.5%

SCAN

KSh2.35

WPP Scangroup

7D

7.8%

1Y

-21.1%