If someone offered you a business that earns about KSh20 for every KSh100 shareholders have invested, you would probably ask one question next: how much does the business cost?*
Now imagine the answer is roughly KSh100 for every KSh100 of net assets sitting in that business, zero markup.
That, in very simple terms, is the puzzle sitting inside Kenya’s listed banking sector.
At the end of H1 2026, the median return on equity (ROE) across the banks in our coverage was 20.8%. Yet the median bank traded at just 1.00x book value and 6.01x earnings.
