Telkom shares soar on more demanding investor expectations
The rally could be explained by a mooted property deal or EOH’s woes, an analyst says
Shares in Telkom, the partially state-owned network operator, have climbed to their best level since June 2017 thanks to loftier expectations from investors about the group’s outlook. The stock was 1% up at R79.29 on Monday afternoon, giving it a market capitalisation of R40.4bn. The government’s 40.5% stake was worth R16.3bn. Since the start of trade on April 8, Telkom’s shares have rallied 8.5%.
The other major telecoms players also saw positive sentiment in trading on Monday. Vodacom was up 0.2% for the day with MTN’s shares reaching its best level since the mobile operator ran into regulatory troubles in Nigeria in August 2018, rising 1% on Monday morning. This is after its e-commerce associate - Jumia - soared in its first trading day in New York on Friday. Mergence Investment Managers portfolio manager Peter Takaendesa said the share price movement “remains a surprise for now”.“There has been some market talk of a potential transaction on their property portfolio, but Te...
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Subscribe now to unlock this article.
Support BusinessLIVE’s award-winning journalism for R129 per month (digital access only).
There’s never been a more important time to support independent journalism in SA. Our subscription packages now offer an ad-free experience for readers.
Cancel anytime.
Questions? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now.