The riskiness of the stock market is been well documented, but a closer look often reveals stocks with incredible value for money.
Do bargain stocks really exist on any bourse in the world? To the untrained eye, that would be a no. But yes, they do.
Among the topics that garner much attention nowadays is that of investment. Every person would like to multiply the capital they possess to a much higher level than its standing. Hence many ideas have been tried as viable investment plans.
One of the areas as a potential investor that you can invest is on our own financial market, the Nairobi securities exchange. Stock exchange still has not received much attention as an investment plan because not many people know of it. However, it is a good sector where you can invest in stocks.
Like any other investment plan, you need a sound strategy to guarantee positive results. As such, let us look at the 5 best bargain stock on the Nairobi securities exchange for the year 2019.
- Express Kenya Limited Stocks
Express Kenya Limited is a logistics company that has been in the industry for a long time dating back to the early 20th century. When it comes to its stocks, it is one of the best performing when it comes to prices hence making it a good bargain. The 2018 financial year ended on a good note for Express Kenya’s stocks trading at KES 6 per share unit registering a 48% rise from its initial KES 4 per share unit.
2019 has also been very fair to the stocks of Express Kenya limited which are now traded at roughly KES 6.58 per share unit. With such appreciation in stock unit price, these are stocks that you can invest in this year with a guaranteed boost on your investment.
- Limuru Tea
Limuru tea is another company whose stocks you can purchase for an awesome bargain in the financial markets. Limuru tea is an agricultural company that owns over 600 acres of prime land that is under tea cultivation. It is an outgrower of Unilever tea Kenya limited which acts as its managing agent responsible for growth, manufacturing, and sales of the company’s produce. Limuru tea’s produce is mainly for export which is way stable and is responsible for its great performance in the financial markets.
Coming out of a low 2017 due to poor climatic conditions and the election period in Kenya, it has managed to remain stable at the market. 2018 was a good financial year with prices remaining stable and registering a 0.0% rise with the opening price of 500 per share unit remaining the same at the end of the year. At the moment, the price has dipped to KES 459 per unit due to the poor climatic conditions that have been prevailing at the start of the year.
This is, however, a passing cloud and the prices are likely to appreciate giving you a good deal on your investment.
- Unga Group Limited
Unga group is an agricultural company that deals in maize and wheat products. It has both human and animal health nutrition with other subsidiaries under its name such as Unga Limited, Unga Farm Care and Unga Millers. The company is spread all over East Africa with 90% of its revenue drawn from Kenya.
Unga group has one of the best bargains when it comes to stock prices as its stocks have been performing rather well in the financial market. In the 2018 financial year, the stocks registered a 36% increase in December compared to the prices in January from KES 29 per share unit to KES 39 per share. At the moment the price per unit share is at KES 34 per share unit which is a rise from its prices in April which was at KES 31 to KES 30 per share unit. The stable prices with a low fluctuation rate make Unga Group Limited’s stock one of the best that you can purchase for investment both long term and short term.
- Stanbic Holdings
Stanbic Holdings is a well-known name in the banking sector and is a subsidiary of Stanbic Africa Holdings Limited. Stanbic Holdings is a holding company with interests in the banking, insurance, and stock trading sectors.
It operates under two sectors, the corporate and investment banking and the personal and business banking sector. These two areas have enabled it to grow drastically and this can be clearly reflected by its stock performance in the NSE. The stock prices have been on a steady rise ever since the election period and ended the year 2018 with shares trading at KES 89 per unit from a price of KES 81 per unit in January of the same year.
The year 2019 has been good with prices rising steadily over the month of May in particular. At the moment the price per unit share is at KES 102 making it one of the best bargain stocks you can opt for in the Nairobi financial market.
- Kenol Kobil Group
Kenol Kobil Group is another company that provides a good bargain in case you want to invest in stocks. It is an oil and petroleum company that specializes in the importation and refinery of crude oil same as storage and distribution owning a lot of petrol stations countrywide.
It has some of the best-performing stocks in the Nairobi securities exchange registering a 40% increase in 2018. In January 2018 the stock price per unit was KES 14 and it closed at KES 20 in December the same year. In April to May, the price has been stable leveling up at KES 22.5 per share unit. The stability in the stock prices makes it a good savings plan.
Know of other bargain stocks?
Above are some of the best bargain stocks in the Nairobi securities exchange that you can invest in for a guaranteed smooth stint in the financial market. The stocks are relatively stable in price with minimal fluctuations that make them god for investment as your funds are secured.
One factor that has been put on emphasis when looking at the stocks is their performance in 2018 and also how they managed through the 2017 electioneering year. This paints a clear picture of the resiliency and stability of the stock prices.
Beforeyou start investing in stocks and other financial instruments, have a clear plan on how you want to go about it and look at the NSE portal for a clear insight into the performance of the company.