Kenyan professionals are prioritizing investments, favoring real estate, land, and equities. In Q1 2025, investment services led NSE growth. Top stocks: Home Afrika Ltd, Trans-Century Plc, and Liberty Kenya Holdings Ltd, which shows strong profit and dividend growth.
Kenyan Stock Market Investment Trends and First Quarter Performance (January - March 2025)
Key Investment Trends Among Kenyan Professionals:
A recent Capital Business report indicates a growing emphasis on wealth building among Kenyan professionals. Investment allocation leads other financial priorities, with 30% of bonuses being directed towards this area. The most favored investment avenues include:
Real Estate: 45%, Land: 39%, Business Reinvestment: 43%, Equities: 35% and Cryptocurrency: 36%
Top Performing Stocks (First Quarter 2025): Trans-Century Plc and Home Afrika Ltd
The following table highlights the top-performing stocks on the Nairobi Securities Exchange (NSE) during the first quarter of 2025:
Company
Sector
Cumulative Change (%)
Trans-Century Plc
Investment
+114.02
Home Afrika Ltd
Investment
+79.10
E.A. Cables Ltd
Construction
+76.72
The Investment Services sector demonstrated the highest cumulative growth in the first quarter, primarily driven by the strong performance of the NSE.
April 2025 Performance:
In April, Home Afrika Ltd continued its positive trend, ranking as the fourth top-performing stock with a cumulative change of +11.74%. Trans-Century Plc also showed positive growth with a cumulative change of +5.91%.
Sector Performance (April 2025):
The following table ranks sector performance on the NSE in April:
Rank
Sector
Average Performance (%)
1
Exchange Traded Funds
+13.54
2
Investment Services
+4.9
3
Construction
+2.38
Company Highlights:
– Home Afrika Ltd: On May 2nd, 2025, reports indicated that Home Afrika Ltd achieved a significant turnaround by posting a gross profit of Ksh. 373.5 million and a net profit of Ksh. 133.5 million, ending a decade of losses.
– Trans-Century Plc: The NSE reported on January 21st, 2025, that Trans-Century Plc experienced a 12% increase in revenue and returned to profitability with a net profit of Ksh. 375.097 million.
– Liberty Kenya Holdings Ltd (NSE: LBTY): A Stock to Watch: Liberty Kenya Holdings Ltd demonstrated notable gains in the first four months of 2025. The cumulative share price changes in percentage were as follows:
Jan
Feb
Mar
Apr
Liberty Kenya Holdings Ltd
1.67
18.49
34.68
34.68
Further reports in April 11th, 2025, indicated a revenue of KShs 10.95 billion and a profit before tax of KShs 2.09 billion. Additionally, a Business Daily article on March 25th, 2025, highlighted a near tripling of dividends due to doubled net profit.
Outlook:
While data indicates a slight decrease in the first week of May for these top-performing stocks, the strong performance in the preceding four months suggests a potential for continued growth in the second quarter of 2025. Liberty Kenya Holdings Ltd, in particular, warrants close monitoring given its consistent upward trend.
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Sameer Africa and Home Afrika led gains, while Umeme and Kenya Airways declined sharply. Investment and Insurance sectors outperformed, but Banking and REITs lagged. Market gains were concentrated in few stocks, signaling volatility. Investors are advised to diversify, favor strong sectors and review fundamentals before entry.
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