Dec. 5 (Bloomberg) -- Kenya Commercial Bank Ltd., the country’s third-biggest lender by market value, climbed for a second day in three this month after Standard Investment Bank initiated coverage of the stock with a “buy” recommendation.
The shares closed up 0.3 percent at 15.05 shillings as of 3 p.m. in the capital, Nairobi, matching the gain of Dec. 1.
“Based on our three years-out earnings forecasts, at current market capitalisation there is 43.2 percent upside,” for all publicly traded Kenyan lenders, Nairobi-based Standard Investment said in an e-mailed note to clients on Dec. 2.
KCB, as the lender is known, has a fair value of 31.49 shillings over three years, giving it an upside of as much as 110 percent, according to the note.
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