Price Target Changed • May 16
Price target increased by 7.1% to KSh37.74 Up from KSh35.24, the current price target is an average from 7 analysts. New target price is 26% above last closing price of KSh30.05. Stock is up 51% over the past year. The company is forecast to post earnings per share of KSh2.76 for next year compared to KSh2.40 last year. Declared Dividend • May 09
Final dividend of KSh1.15 announced Shareholders will receive a dividend of KSh1.15. Ex-date: 5th August 2026 Payment date: 4th September 2026 Dividend yield will be 6.2%, which is higher than the industry average of 3.6%. Sustainability & Growth Dividend is covered by both earnings (52% earnings payout ratio) and cash flows (35% cash payout ratio). The dividend has increased by an average of 8.9% per year over the past 10 years. However, payments have been volatile during that time. EPS is expected to grow by 28% over the next 2 years, which should provide support to the dividend and adequate earnings cover. Announcement • May 07
Safaricom PLC, Annual General Meeting, Jul 31, 2026 Safaricom PLC, Annual General Meeting, Jul 31, 2026. Upcoming Dividend • Feb 20
Upcoming dividend of KSh0.85 per share Eligible shareholders must have bought the stock before 26 February 2026. Payment date: 31 March 2026. Payout ratio is a comfortable 71% but the company is paying out more than the cash it is generating. Trailing yield: 4.7%. Lower than top quartile of Kenyan dividend payers (6.2%). Higher than average of industry peers (1.0%). Declared Dividend • Feb 06
First half dividend of KSh0.85 announced Shareholders will receive a dividend of KSh0.85. Ex-date: 26th February 2026 Payment date: 31st March 2026 Dividend yield will be 4.7%, which is higher than the industry average of 3.6%. Sustainability & Growth Dividend is covered by earnings (31% earnings payout ratio) but not covered by cash flows (150% cash payout ratio). The dividend has increased by an average of 6.5% per year over the past 10 years. However, payments have been volatile during that time. EPS is expected to grow by 52% over the next 3 years, which should provide support to the dividend and adequate earnings cover. Announcement • Jan 19
Safaricom Appoints Sylvia Anampiu as Director of Fixed Business, Effective January 5, 2026 Safaricom appointed Sylvia Anampiu as Director of Fixed Business, reinforcing its strategy to accelerate the evolution of Kenyas fixed broadband sector through more affordable and flexible fibre internet offerings for households and enterprises. Anampiu officially assumed the role on January 5 and will be responsible for shaping the overall direction, expansion, and financial performance of Safaricoms fixed broadband business. Her focus includes residential and corporate connectivity, alongside the rollout of innovative pricing models designed to make fibre internet accessible to a broader segment of the population, particularly in lower-income areas. Anampiu joins Safaricom from Bayobab Kenya, an MTN Group company, where she served as Managing Director and played a key role in fibre network growth and operational restructuring. Her professional background also includes senior roles at Airtel Africa, Orange Kenya, and Bayer East Africa, giving her broad experience across telecommunications and commercial leadership. Beyond consumer connectivity, her appointment supports Safaricoms wider ambition to deliver integrated digital solutions for small and medium-sized businesses, combining fixed internet with ICT, cloud, and IoT services. Through this approach, Safaricom aims to move beyond selling standalone products and instead provide flexible, future-ready connectivity solutions that meet the evolving needs of Kenyan customers. Through this approach, Safaricom aims to move beyond selling standalone products and instead provide flexible, future-ready connectivity. New Risk • Jan 03
New minor risk - Financial position The company has a high level of debt. Net debt to equity ratio: 40% This is considered a minor risk. Having a high level of debt increases the company's balance sheet risk. The company has a higher interest repayment burden, leading to the need to allocate a greater amount of its earnings towards servicing the debt, potentially limiting growth options or shareholder distributions. It can also increase the risk of bankruptcy if business conditions deteriorate enough that the company can no longer meet its debt obligations. Currently, the following risks have been identified for the company: Minor Risks High level of debt (40% net debt to equity). Dividend is not well covered by cash flows (150% cash payout ratio). Announcement • Nov 20
Vodacom Reportedly in Talks to Add Stake in ZAR 157 Billion Safaricom Vodacom Group (Vodacom Group Limited) (JSE:VOD) is in talks with Kenya about potentially acquiring part of the government’s stake in Safaricom Ltd. (NASE:SCOM), according to people familiar with the matter. The Johannesburg-based company already owns 39.93% of East Africa’s largest listed company, and is considering increasing its stake in the business, although no final decisions have been made, according to one of the people, who asked to remain anonymous as the information is still private. A second person confirmed shareholding talks between the two. Vodacom and Safaricom declined to comment. Kenyan National Treasury officials were not immediately available to comment. Safaricom Kenya’s biggest wireless carrier with close to two-thirds of the country’s subscribers is valued at ZAR 157 billion. For the Kenyan government, selling some of its stake in the profitable business will assist with its efforts to raise revenue as it pushes to address growing debt costs and budget deficits. Vodacom previously increased its stake in Safaricom through an all-share deal with its UK parent Vodafone in 2017. Vodacom and Safaricom want to further expand M-Pesa, already Africa’s largest and fastest-growing mobile money business. Price Target Changed • Oct 15
Price target increased by 10% to KSh32.36 Up from KSh29.38, the current price target is an average from 7 analysts. New target price is 24% above last closing price of KSh26.00. Stock is up 69% over the past year. The company is forecast to post earnings per share of KSh2.29 for next year compared to KSh1.74 last year. Price Target Changed • Aug 21
Price target increased by 11% to KSh28.32 Up from KSh25.44, the current price target is an average from 6 analysts. New target price is approximately in line with last closing price of KSh27.25. Stock is up 82% over the past year. The company is forecast to post earnings per share of KSh2.26 for next year compared to KSh1.74 last year. Upcoming Dividend • Jul 25
Upcoming dividend of KSh0.65 per share Eligible shareholders must have bought the stock before 01 August 2025. Payment date: 31 August 2025. Payout ratio is a comfortable 69% and the cash payout ratio is 76%. Trailing yield: 4.5%. Lower than top quartile of Kenyan dividend payers (9.0%). In line with average of industry peers (4.5%). Reported Earnings • Jul 09
Full year 2025 earnings: EPS exceeds analyst expectations Full year 2025 results: EPS: KSh1.74 (up from KSh1.57 in FY 2024). Revenue: KSh385.2b (up 11% from FY 2024). Net income: KSh69.8b (up 11% from FY 2024). Profit margin: 18% (in line with FY 2024). Revenue was in line with analyst estimates. Earnings per share (EPS) surpassed analyst estimates by 10%. Revenue is forecast to grow 10% p.a. on average during the next 3 years, compared to a 5.2% growth forecast for the Global Wireless Telecom industry. Over the last 3 years on average, earnings per share has fallen by 2% per year whereas the company’s share price has fallen by 4% per year. Valuation Update With 7 Day Price Move • Jun 12
Investor sentiment improves as stock rises 18% After last week's 18% share price gain to KSh24.90, the stock trades at a forward P/E ratio of 11x. Average forward P/E is 14x in the Wireless Telecom industry globally. Total returns to shareholders of 22% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at KSh15.03 per share. Declared Dividend • May 12
Final dividend of KSh0.65 announced Shareholders will receive a dividend of KSh0.65. Ex-date: 1st August 2025 Payment date: 31st August 2025 Dividend yield will be 6.5%, which is higher than the industry average of 3.6%. Sustainability & Growth Dividend is covered by both earnings (69% earnings payout ratio) and cash flows (76% cash payout ratio). The dividend has increased by an average of 6.5% per year over the past 10 years. However, payments have been volatile during that time. EPS is expected to grow by 44% over the next 2 years, which should provide support to the dividend and adequate earnings cover. Reported Earnings • May 11
Full year 2025 earnings: EPS exceeds analyst expectations Full year 2025 results: EPS: KSh1.74 (up from KSh1.57 in FY 2024). Revenue: KSh388.7b (up 12% from FY 2024). Net income: KSh69.8b (up 11% from FY 2024). Profit margin: 18% (in line with FY 2024). Revenue was in line with analyst estimates. Earnings per share (EPS) surpassed analyst estimates by 10%. Revenue is forecast to grow 6.6% p.a. on average during the next 3 years, compared to a 4.8% growth forecast for the Global Wireless Telecom industry. Over the last 3 years on average, earnings per share has fallen by 2% per year but the company’s share price has fallen by 15% per year, which means it is performing significantly worse than earnings. Announcement • May 09
Safaricom PLC, Annual General Meeting, Jul 25, 2025 Safaricom PLC, Annual General Meeting, Jul 25, 2025. Upcoming Dividend • Feb 25
Upcoming dividend of KSh0.55 per share Eligible shareholders must have bought the stock before 04 March 2025. Payment date: 31 March 2025. Payout ratio is a comfortable 46% and the cash payout ratio is 86%. Trailing yield: 6.5%. Lower than top quartile of Kenyan dividend payers (9.4%). Higher than average of industry peers (4.9%). Buy Or Sell Opportunity • Jan 06
Now 21% overvalued after recent price rise Over the last 90 days, the stock has risen 18% to KSh17.60. The fair value is estimated to be KSh14.53, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has grown by 8.4% over the last 3 years. Earnings per share has declined by 6.4%. New Risk • Jan 03
New major risk - Revenue and earnings growth Earnings have declined by 3.8% per year over the past 5 years. This is considered a major risk. Ultimately, shareholders want to see a good return on their investment and that generally comes from sharing in the company's profits. If profits are declining over an extended period, then in most cases the share price will decline over time unless the company can turn around its fortunes. A trend of falling earnings can be very difficult to turn around. If the company is well already established it may also be a sign the company has matured and is in decline. In addition, if the company pays dividends it will also likely need to reduce or cut them, striking a dual blow to total shareholder returns. Currently, the following risks have been identified for the company: Major Risk Earnings have declined by 3.8% per year over the past 5 years. Minor Risks Unstable dividend paying track record with dividend experiencing an annual drop of over 20% in the past. Large one-off items impacting financial results. Valuation Update With 7 Day Price Move • Dec 10
Investor sentiment improves as stock rises 15% After last week's 15% share price gain to KSh17.60, the stock trades at a forward P/E ratio of 10x. Average forward P/E is 13x in the Wireless Telecom industry globally. Total loss to shareholders of 43% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at KSh9.20 per share. Major Estimate Revision • Nov 29
Consensus EPS estimates fall by 11% The consensus outlook for fiscal year 2025 has been updated. 2025 EPS estimate fell from KSh1.85 to KSh1.64 per share. Revenue forecast steady at KSh384.4b. Net income forecast to grow 25% next year vs 13% growth forecast for Wireless Telecom industry in Africa. Consensus price target broadly unchanged at KSh22.80. Share price was steady at KSh15.00 over the past week. Price Target Changed • Nov 16
Price target decreased by 7.6% to KSh22.43 Down from KSh24.26, the current price target is an average from 8 analysts. New target price is 48% above last closing price of KSh15.15. Stock is up 13% over the past year. The company is forecast to post earnings per share of KSh1.85 for next year compared to KSh1.57 last year. Reported Earnings • Nov 12
First half 2025 earnings released: EPS: KSh0.70 (vs KSh0.85 in 1H 2024) First half 2025 results: EPS: KSh0.70 (down from KSh0.85 in 1H 2024). Revenue: KSh187.7b (up 15% from 1H 2024). Net income: KSh28.1b (down 18% from 1H 2024). Profit margin: 15% (down from 21% in 1H 2024). Revenue is forecast to grow 8.0% p.a. on average during the next 3 years, compared to a 3.8% growth forecast for the Global Wireless Telecom industry. Over the last 3 years on average, earnings per share has fallen by 6% per year but the company’s share price has fallen by 27% per year, which means it is performing significantly worse than earnings. Buy Or Sell Opportunity • Oct 29
Now 23% overvalued after recent price rise Over the last 90 days, the stock has risen 9.4% to KSh17.40. The fair value is estimated to be KSh14.20, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has grown by 7.6% over the last 3 years. Earnings per share has declined by 4.2%. For the next 3 years, revenue is forecast to grow by 8.8% per annum. Earnings are also forecast to grow by 7.8% per annum over the same time period. Buy Or Sell Opportunity • Aug 01
Now 21% undervalued after recent price drop Over the last 90 days, the stock has fallen 3.8% to KSh15.35. The fair value is estimated to be KSh19.48, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 7.6% over the last 3 years. Earnings per share has declined by 4.2%. For the next 3 years, revenue is forecast to grow by 11% per annum. Earnings are also forecast to grow by 7.5% per annum over the same time period. Upcoming Dividend • Jul 25
Upcoming dividend of KSh0.65 per share Eligible shareholders must have bought the stock before 01 August 2024. Payment date: 31 August 2024. Payout ratio is on the higher end at 76%, and the cash payout ratio is above 100%. Trailing yield: 7.7%. Lower than top quartile of Kenyan dividend payers (12%). Higher than average of industry peers (6.2%). Reported Earnings • Jul 07
Full year 2024 earnings: Revenues exceed analysts expectations while EPS lags behind Full year 2024 results: EPS: KSh1.57 (up from KSh1.55 in FY 2023). Revenue: KSh346.0b (up 12% from FY 2023). Net income: KSh63.0b (up 1.2% from FY 2023). Profit margin: 18% (down from 20% in FY 2023). Revenue exceeded analyst estimates by 3.9%. Earnings per share (EPS) missed analyst estimates by 4.9%. Revenue is forecast to grow 10% p.a. on average during the next 3 years, compared to a 6.3% growth forecast for the Wireless Telecom industry in Africa. Over the last 3 years on average, earnings per share has fallen by 4% per year but the company’s share price has fallen by 25% per year, which means it is performing significantly worse than earnings. Announcement • Jul 01
Safaricom PLC to Report First Half, 2025 Results on Nov 07, 2024 Safaricom PLC announced that they will report first half, 2025 results on Nov 07, 2024 Price Target Changed • May 22
Price target increased by 7.7% to KSh23.09 Up from KSh21.43, the current price target is an average from 10 analysts. New target price is 26% above last closing price of KSh18.30. Stock is up 20% over the past year. The company is forecast to post earnings per share of KSh2.03 for next year compared to KSh1.57 last year. New Risk • May 15
New minor risk - Earnings quality The company has large one-off items impacting its financial results. One-off items were 36% of the size of the rest of the company's trailing 12-month earnings before tax. This is considered a minor risk. One-off items are incomes or expenses that the company does not expect to repeat in future periods. Examples include profits from the sale of a business or expenses from a restructuring or legal settlements. If the company's reported statutory earnings include a large proportion of one-off items it means they may be an unreliable indicator of its true business performance as the earnings were skewed by these incomes or expenses. Currently, the following risks have been identified for the company: Minor Risks Dividend is not well covered by cash flows (455% cash payout ratio). Large one-off items impacting financial results. Declared Dividend • May 11
Final dividend of KSh0.65 announced Shareholders will receive a dividend of KSh0.65. Ex-date: 1st August 2024 Payment date: 31st August 2024 Dividend yield will be 7.3%, which is higher than the industry average of 3.6%. Sustainability & Growth Dividend is covered by earnings (53% earnings payout ratio) but not covered by cash flows (455% cash payout ratio). The dividend has increased by an average of 14% per year over the past 10 years. However, payments have been volatile during that time. EPS is expected to grow by 51% over the next 3 years, which should provide support to the dividend and adequate earnings cover. Announcement • May 11
Safaricom PLC, Annual General Meeting, Jul 25, 2024 Safaricom PLC, Annual General Meeting, Jul 25, 2024. Buy Or Sell Opportunity • May 09
Now 20% overvalued after recent price rise Over the last 90 days, the stock has risen 26% to KSh16.50. The fair value is estimated to be KSh13.71, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has grown by 7.4% over the last 3 years. Earnings per share has declined by 4.2%. Revenue is forecast to grow by 25% in 2 years. Earnings are forecast to decline by 24% in the next 2 years. Announcement • Apr 26
Safaricom PLC to Report Fiscal Year 2024 Results on May 09, 2024 Safaricom PLC announced that they will report fiscal year 2024 results at 7:30 AM, E. Africa Standard Time on May 09, 2024 New Risk • Apr 17
New major risk - Revenue and earnings growth Earnings are forecast to decline by an average of 6.4% per year for the foreseeable future. This is considered a major risk. Ultimately, shareholders want to see a good return on their investment and that generally comes from sharing in the company's profits. If profits are expected to decline, then in most cases the share price will decline over time as well. In addition, if the company pays dividends it will also likely need to reduce or cut them, striking a dual blow to total shareholder returns. Currently, the following risks have been identified for the company: Major Risk Earnings are forecast to decline by an average of 6.4% per year for the foreseeable future. Minor Risks Dividend is not well covered by cash flows (349% cash payout ratio). Large one-off items impacting financial results. Valuation Update With 7 Day Price Move • Mar 25
Investor sentiment improves as stock rises 21% After last week's 21% share price gain to KSh17.60, the stock trades at a forward P/E ratio of 11x. Average forward P/E is 10x in the Wireless Telecom industry in Africa. Total loss to shareholders of 44% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at KSh18.15 per share. Declared Dividend • Mar 15
First half dividend reduced to KSh0.55 Dividend of KSh0.55 is 5.2% lower than last year. Ex-date: 18th March 2024 Payment date: 31st March 2024 Dividend yield will be 7.7%, which is higher than the industry average of 3.6%. Sustainability & Growth Dividend is covered by earnings (71% earnings payout ratio) but not covered by cash flows (349% cash payout ratio). The dividend has increased by an average of 14% per year over the past 10 years. However, payments have been volatile during that time. EPS is expected to grow by 34% over the next 3 years, which should provide support to the dividend and adequate earnings cover. Declared Dividend • Mar 15
First half dividend reduced to KSh0.55 Dividend of KSh0.55 is 5.2% lower than last year. Ex-date: 18th March 2024 Payment date: 31st March 2024 Dividend yield will be 7.7%, which is higher than the industry average of 3.6%. Sustainability & Growth Dividend is covered by earnings (71% earnings payout ratio) but not covered by cash flows (349% cash payout ratio). The dividend has increased by an average of 14% per year over the past 10 years. However, payments have been volatile during that time. EPS is expected to grow by 34% over the next 3 years, which should provide support to the dividend and adequate earnings cover. Buy Or Sell Opportunity • Feb 07
Now 22% undervalued after recent price drop Over the last 90 days, the stock has fallen 1.1% to KSh13.15. The fair value is estimated to be KSh16.79, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 7.4% over the last 3 years. Earnings per share has declined by 4.2%. Revenue is forecast to grow by 22% in 2 years. Earnings are forecast to decline by 3.2% in the next 2 years. New Risk • Jan 31
New minor risk - Earnings quality The company has large one-off items impacting its financial results. One-off items were 37% of the size of the rest of the company's trailing 12-month earnings before tax. This is considered a minor risk. One-off items are incomes or expenses that the company does not expect to repeat in future periods. Examples include profits from the sale of a business or expenses from a restructuring or legal settlements. If the company's reported statutory earnings include a large proportion of one-off items it means they may be an unreliable indicator of its true business performance as the earnings were skewed by these incomes or expenses. Currently, the following risks have been identified for the company: Minor Risks Dividend is not well covered by cash flows (358% cash payout ratio). Large one-off items impacting financial results. Price Target Changed • Dec 21
Price target decreased by 8.6% to KSh21.87 Down from KSh23.92, the current price target is an average from 10 analysts. New target price is 61% above last closing price of KSh13.55. Stock is down 45% over the past year. The company is forecast to post earnings per share of KSh1.52 for next year compared to KSh1.55 last year. Reported Earnings • Nov 13
First half 2024 earnings released: EPS: KSh0.90 (vs KSh0.84 in 1H 2023) First half 2024 results: EPS: KSh0.90 (up from KSh0.84 in 1H 2023). Revenue: KSh164.6b (up 7.3% from 1H 2023). Net income: KSh34.2b (up 2.1% from 1H 2023). Profit margin: 21% (down from 22% in 1H 2023). The decrease in margin was driven by higher expenses. Revenue is forecast to grow 10% p.a. on average during the next 3 years, compared to a 9.8% growth forecast for the Wireless Telecom industry in Africa. Over the last 3 years on average, earnings per share has fallen by 4% per year but the company’s share price has fallen by 25% per year, which means it is performing significantly worse than earnings. Valuation Update With 7 Day Price Move • Nov 10
Investor sentiment improves as stock rises 16% After last week's 16% share price gain to KSh13.50, the stock trades at a forward P/E ratio of 9x. Average forward P/E is 9x in the Wireless Telecom industry in Africa. Total loss to shareholders of 51% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at KSh7.22 per share. Announcement • Oct 19
Safaricom PLC to Report First Half, 2024 Results on Nov 09, 2023 Safaricom PLC announced that they will report first half, 2024 results on Nov 09, 2023 Upcoming Dividend • Jul 24
Upcoming dividend of KSh0.62 per share at 6.7% yield Eligible shareholders must have bought the stock before 31 July 2023. Payment date: 31 August 2023. Payout ratio is on the higher end at 77%, and the cash payout ratio is above 100%. Trailing yield: 6.7%. Lower than top quartile of Kenyan dividend payers (11%). Higher than average of industry peers (5.1%). Reported Earnings • Jul 08
Full year 2023 earnings: EPS and revenues miss analyst expectations Full year 2023 results: EPS: KSh1.55 (down from KSh1.74 in FY 2022). Revenue: KSh308.3b (up 4.2% from FY 2022). Net income: KSh62.3b (down 11% from FY 2022). Profit margin: 20% (down from 24% in FY 2022). The decrease in margin was driven by higher expenses. Revenue missed analyst estimates by 1.4%. Earnings per share (EPS) also missed analyst estimates by 1.7%. Revenue is forecast to grow 9.6% p.a. on average during the next 3 years, compared to a 10% growth forecast for the Wireless Telecom industry in Africa. Over the last 3 years on average, earnings per share has fallen by 4% per year but the company’s share price has fallen by 12% per year, which means it is performing significantly worse than earnings. Valuation Update With 7 Day Price Move • Jun 22
Investor sentiment improves as stock rises 18% After last week's 18% share price gain to KSh17.45, the stock trades at a forward P/E ratio of 11x. Average forward P/E is 13x in the Wireless Telecom industry globally. Total loss to shareholders of 28% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at KSh14.95 per share. Valuation Update With 7 Day Price Move • May 22
Investor sentiment improves as stock rises 15% After last week's 15% share price gain to KSh15.00, the stock trades at a forward P/E ratio of 10x. Average forward P/E is 10x in the Wireless Telecom industry in Africa. Total loss to shareholders of 40% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at KSh18.09 per share. Announcement • May 18
Safaricom PLC (NASE:SCOM) entered into an agreement to acquire M-Pesa Holding Company Limited from Vodafone Group Public Limited Company (LSE:VOD) for $1. Safaricom PLC (NASE:SCOM) entered into an agreement to acquire M-Pesa Holding Company Limited from Vodafone Group Public Limited Company (LSE:VOD) for $1 on April 17, 2023. Completion of this transaction is subject to various approvals and regulatory approvals which are expected to be obtained before or during July 2023. Price Target Changed • May 17
Price target decreased by 10% to KSh24.30 Down from KSh27.06, the current price target is provided by 1 analyst. New target price is 57% above last closing price of KSh15.50. Stock is down 47% over the past year. The company posted earnings per share of KSh1.55 last year. Buying Opportunity • May 15
Now 21% undervalued after recent price drop Over the last 90 days, the stock is down 45%. The fair value is estimated to be KSh16.39, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 7.2% over the last 3 years. Earnings per share has declined by 4.3%. Revenue is forecast to grow by 24% in 2 years. Earnings is forecast to decline by 7.2% in the next 2 years. Reported Earnings • May 12
Full year 2023 earnings released: EPS: KSh1.55 (vs KSh1.74 in FY 2022) Full year 2023 results: EPS: KSh1.55 (down from KSh1.74 in FY 2022). Revenue: KSh310.9b (up 4.3% from FY 2022). Net income: KSh62.3b (down 11% from FY 2022). Profit margin: 20% (down from 23% in FY 2022). The decrease in margin was driven by higher expenses. Revenue is forecast to grow 9.7% p.a. on average during the next 3 years, compared to a 12% growth forecast for the Wireless Telecom industry in Africa. Over the last 3 years on average, earnings per share has fallen by 4% per year but the company’s share price has fallen by 22% per year, which means it is performing significantly worse than earnings. Price Target Changed • Mar 17
Price target decreased by 13% to KSh28.36 Down from KSh32.56, the current price target is an average from 6 analysts. New target price is 73% above last closing price of KSh16.35. Stock is down 53% over the past year. The company is forecast to post earnings per share of KSh1.59 for next year compared to KSh1.74 last year. Valuation Update With 7 Day Price Move • Mar 14
Investor sentiment deteriorates as stock falls 15% After last week's 15% share price decline to KSh19.10, the stock trades at a forward P/E ratio of 12x. Average forward P/E is 11x in the Wireless Telecom industry in Africa. Total loss to shareholders of 13% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at KSh8.42 per share. Upcoming Dividend • Mar 09
Upcoming dividend of KSh0.58 per share at 6.3% yield Eligible shareholders must have bought the stock before 16 March 2023. Payment date: 31 March 2023. Payout ratio is on the higher end at 80%, and the cash payout ratio is above 100%. Trailing yield: 6.3%. Lower than top quartile of Kenyan dividend payers (11%). Higher than average of industry peers (5.3%). Reported Earnings • Nov 16
First half 2023 earnings released: EPS: KSh0.84 (vs KSh0.92 in 1H 2022) First half 2023 results: EPS: KSh0.84 (down from KSh0.92 in 1H 2022). Revenue: KSh153.4b (up 4.8% from 1H 2022). Net income: KSh33.5b (down 10.0% from 1H 2022). Profit margin: 22% (down from 25% in 1H 2022). The decrease in margin was driven by higher expenses. Revenue is forecast to grow 12% p.a. on average during the next 3 years, compared to a 11% growth forecast for the Wireless Telecom industry in Africa. Over the last 3 years on average, earnings per share has fallen by 1% per year whereas the company’s share price has fallen by 4% per year. Board Change • Nov 16
Less than half of directors are independent There are 7 new directors who have joined the board in the last 3 years. Of these new board members, 1 was an independent director. The company's board is composed of: 3 independent directors. 7 non-independent directors. Independent Non-Executive Director Winnie Ouko was the last independent director to join the board, commencing their role in 2021. The following issues are considered to be risks according to the Simply Wall St Risk Model: Minority of independent directors. Lack of board continuity. Reported Earnings • Nov 13
First half 2023 earnings released: EPS: KSh0.84 (vs KSh0.92 in 1H 2022) First half 2023 results: EPS: KSh0.84 (down from KSh0.92 in 1H 2022). Revenue: KSh153.4b (up 4.8% from 1H 2022). Net income: KSh33.5b (down 9.7% from 1H 2022). Profit margin: 22% (down from 25% in 1H 2022). The decrease in margin was driven by higher expenses. Revenue is forecast to grow 12% p.a. on average during the next 3 years, compared to a 11% growth forecast for the Wireless Telecom industry in Africa. Over the last 3 years on average, earnings per share has fallen by 1% per year whereas the company’s share price has fallen by 4% per year. Announcement • Oct 26
Safaricom PLC to Report First Half, 2023 Results on Nov 11, 2022 Safaricom PLC announced that they will report first half, 2023 results on Nov 11, 2022 Upcoming Dividend • Jul 25
Upcoming dividend of KSh0.75 per share Eligible shareholders must have bought the stock before 01 August 2022. Payment date: 31 August 2022. Payout ratio is on the higher end at 80% but the company is not cash flow positive. Trailing yield: 4.7%. Lower than top quartile of Kenyan dividend payers (10%). In line with average of industry peers (4.8%). Reported Earnings • Jul 10
Full year 2022 earnings: EPS misses analyst expectations Full year 2022 results: EPS: KSh1.74 (up from KSh1.71 in FY 2021). Revenue: KSh298.0b (up 13% from FY 2021). Net income: KSh69.6b (up 1.4% from FY 2021). Profit margin: 23% (down from 26% in FY 2021). The decrease in margin was driven by higher expenses. Revenue was in line with analyst estimates. Earnings per share (EPS) missed analyst estimates by 4.3%. Over the next year, revenue is forecast to grow 9.2%, compared to a 16% growth forecast for the industry in Kenya. Over the last 3 years on average, earnings per share has increased by 3% per year whereas the company’s share price has increased by 1% per year. Valuation Update With 7 Day Price Move • Jul 05
Investor sentiment improved over the past week After last week's 18% share price gain to KSh27.60, the stock trades at a forward P/E ratio of 15x. Average forward P/E is 12x in the Wireless Telecom industry in Africa. Total returns to shareholders of 22% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at KSh23.55 per share. Reported Earnings • May 14
Full year 2022 earnings: EPS misses analyst expectations Full year 2022 results: EPS: KSh1.74 (up from KSh1.71 in FY 2021). Revenue: KSh298.1b (up 13% from FY 2021). Net income: KSh69.6b (up 1.4% from FY 2021). Profit margin: 23% (down from 26% in FY 2021). The decrease in margin was driven by higher expenses. Revenue was in line with analyst estimates. Earnings per share (EPS) missed analyst estimates by 4.3%. Over the next year, revenue is forecast to grow 9.3%, compared to a 14% growth forecast for the industry in Kenya. Over the last 3 years on average, earnings per share has increased by 3% per year whereas the company’s share price has increased by 5% per year. Board Change • Apr 27
Less than half of directors are independent There are 6 new directors who have joined the board in the last 3 years. Of these new board members, 1 was an independent director. The company's board is composed of: 3 independent directors. 8 non-independent directors. Independent Non-Executive Director Winnie Ouko was the last independent director to join the board, commencing their role in 2021. The following issues are considered to be risks according to the Simply Wall St Risk Model: Minority of independent directors. Lack of board continuity. Announcement • Apr 21
Safaricom PLC to Report Fiscal Year 2022 Results on May 12, 2022 Safaricom PLC announced that they will report fiscal year 2022 results at 7:45 AM, E. Africa Standard Time on May 12, 2022 Upcoming Dividend • Mar 11
Upcoming dividend of KSh0.64 per share Eligible shareholders must have bought the stock before 18 March 2022. Payment date: 31 March 2022. Payout ratio is on the higher end at 76% but the company is not cash flow positive. Trailing yield: 5.2%. Lower than top quartile of Kenyan dividend payers (8.0%). In line with average of industry peers (5.7%). Reported Earnings • Nov 14
First half 2022 earnings released: EPS KSh0.92 (vs KSh0.83 in 1H 2021) The company reported a solid first half result with improved earnings and revenues, although profit margins were weaker. First half 2022 results: Revenue: KSh146.4b (up 18% from 1H 2021). Net income: KSh37.2b (up 12% from 1H 2021). Profit margin: 25% (down from 27% in 1H 2021). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has increased by 5% per year but the company’s share price has increased by 19% per year, which means it is tracking significantly ahead of earnings growth. Upcoming Dividend • Jul 26
Upcoming dividend of KSh0.92 per share Eligible shareholders must have bought the stock before 02 August 2021. Payment date: 31 August 2021. Trailing yield: 4.3%. Lower than top quartile of Kenyan dividend payers (7.7%). Lower than average of industry peers (5.4%). Reported Earnings • Jul 08
Full year 2021 earnings released: EPS KSh1.71 (vs KSh1.84 in FY 2020) The company reported a poor full year result with weaker earnings and profit margins, although revenues were flat. Full year 2021 results: Revenue: KSh264.0b (flat on FY 2020). Net income: KSh68.7b (down 6.8% from FY 2020). Profit margin: 26% (down from 28% in FY 2020). Over the last 3 years on average, earnings per share has increased by 8% per year whereas the company’s share price has increased by 13% per year. Reported Earnings • May 16
Full year 2021 earnings released: EPS KSh1.71 (vs KSh1.84 in FY 2020) The company reported a poor full year result with weaker earnings and profit margins, although revenues were flat. Full year 2021 results: Revenue: KSh264.0b (flat on FY 2020). Net income: KSh68.7b (down 6.8% from FY 2020). Profit margin: 26% (down from 28% in FY 2020). Over the last 3 years on average, earnings per share has increased by 8% per year whereas the company’s share price has increased by 10% per year. Upcoming Dividend • Mar 01
Upcoming Dividend of KSh0.45 Per Share Will be paid on the 31st of March to those who are registered shareholders by the 8th of March. The trailing yield of 3.6% is below the top quartile of Kenyan dividend payers (7.7%), and is lower than industry peers (5.2%). Is New 90 Day High Low • Feb 06
New 90-day high: KSh36.85 The company is up 18% from its price of KSh31.30 on 06 November 2020. The Kenyan market is up 11% over the last 90 days, indicating the company outperformed over that time. It also outperformed the Wireless Telecom industry, which is up 13% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is KSh15.48 per share. Is New 90 Day High Low • Jan 06
New 90-day high: KSh34.40 The company is up 14% from its price of KSh30.05 on 08 October 2020. The Kenyan market is up 8.0% over the last 90 days, indicating the company outperformed over that time. It also outperformed the Wireless Telecom industry, which is up 9.0% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is KSh15.52 per share. Is New 90 Day High Low • Dec 18
New 90-day high: KSh33.55 The company is up 12% from its price of KSh30.00 on 18 September 2020. The Kenyan market is up 4.0% over the last 90 days, indicating the company outperformed over that time. It also outperformed the Wireless Telecom industry, which is up 8.0% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is KSh15.45 per share. Is New 90 Day High Low • Dec 01
New 90-day high: KSh32.70 The company is up 9.0% from its price of KSh30.00 on 02 September 2020. The Kenyan market is up 2.0% over the last 90 days, indicating the company outperformed over that time. It also outperformed the Wireless Telecom industry, which is up 8.0% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is KSh12.74 per share. Announcement • Nov 17
Safaricom PLC (NASE:SCOM) acquired 18.96% stake in Circle Gas Limited for KES 385 million. Safaricom PLC (NASE:SCOM) acquired 18.96% stake in Circle Gas Limited for KES 385 million in December, 2019.
Safaricom PLC (NASE:SCOM) completed the acquisition of 18.96% stake in Circle Gas Limited in December, 2019. Reported Earnings • Nov 12
First half 2021 earnings released: EPS KSh0.83 The company reported a poor first half result with weaker earnings and revenues, although profit margins were flat. First half 2021 results: Revenue: KSh124.5b (down 4.1% from 1H 2020). Net income: KSh33.1b (down 6.0% from 1H 2020). Profit margin: 27% (in line with 1H 2020). Over the last 3 years on average, earnings per share has increased by 12% per year whereas the company’s share price has increased by 8% per year. Announcement • Nov 08
Safaricom PLC to Report First Half, 2021 Results on Nov 09, 2020 Safaricom PLC announced that they will report first half, 2021 results on Nov 09, 2020 Announcement • Nov 05
Safaricom PLC Announces Appointment of Dilip Pal as Chief Finance Officer Safaricom PLC announced the appointment of Dilip Pal to the role of Chief Finance Officer effective 1st November 2020. Dilip has more than 29 years of experience in Finance. He joins from DTAC Thailand. Is New 90 Day High Low • Nov 03
New 90-day high: KSh31.25 The company is up 20% from its price of KSh26.15 on 05 August 2020. The Kenyan market is up 10.0% over the last 90 days, indicating the company outperformed over that time. It also outperformed the Wireless Telecom industry, which is up 7.0% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is KSh12.70 per share. Is New 90 Day High Low • Oct 08
New 90-day high: KSh30.50 The company is up 11% from its price of KSh27.50 on 10 July 2020. The Kenyan market is up 6.0% over the last 90 days, indicating the company outperformed over that time. It also outperformed the Wireless Telecom industry, which is up 6.0% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is KSh12.50 per share. 
