Karachi Stock Exchange Weekly Analysis 26 Oct, 2013

The Karachi Stock Exchange (KSE) market was bullish, Foreign buying breaks markets bearish spell and Plethora of result announcements drove investor sentiment. KSE – 100 index closed at 2 2,445.59 points by gaining 845.81 points or 3.92 percent. While KSE – 30 index closed at 17,058.30 points by gaining 767.47 or 4.71 percent. Out of total points addition of 846 points nearly 90% of the total gains was contributed by OGDC, MCB, POL, PPL and PTCL.

Peaceful Eid holidays, better September results, improved global markets and the prime minister's US visit created positive atmosphere at the local bourse. Activity improved from last week’s abysmally low levels, with average daily turnover rising to 133mn shares, up 35% WoW, whereas US$ value traded rose by 58% WoW. The week saw significant FIPI net inflows of US$29 million.

Following news have played vital role in Karachi Stock Market index movement:


  • Experts attribute the positive momentum post Eid holidays to the release of US$322mn under the CSF from the US and resumption of Pak-US strategic dialogue with approval of a further US$1.6bn economic and military aid
  • World Bank and Asian Development Bank have agreed to provide US$1bn for the CASA-1000 power import project
  • The pharmaceutical industry is reportedly expecting a breakthrough in the pricing mechanism after 12 years following persistent lobbying
  • Warid International LLC, UAE has announced the buyback of WTCL at the rate of PkR4.5/share
  • Key results next week include ENGRO, PSO, LUCK, PPL, FATIMA, MLCF, BAFL, NML and FFC
  • US plans revival of aid, to release US$1.6bn
  • Forex Reserves rise to US$9.2 billion
  • PTCL reported 25% QoQ earnings decline
  • Although OGDC, UBL, and HBL results were ahead of expectations, EFOODS, NBP, and Hubco saw significant earning misses
  • Engro Fertilizer intends to issue 75mn shares out of which 56.25mn shares will be offered through book building process at a floor price of PKR20/share. The remaining 18.75mn shares will be offered to the general public at the strike price determined through the book building mechanism. on a first come‐first serve basis 
  • The telecom industry in is bracing itself for the auctioning of 3G licenses and the subsequent availability of content services and reliable internet access across Pakistan 
  • Government releases PKR63.476bn for development projects
  • ADB approves USD430mn loan for social safety net programmed
  • Cement prices likely to rise
  • Amongst E&P sector stocks, OGDC reported higher than consensus expected 1QFY14 EPS of Rs7.81, up 31%YoY and hence was able to outperform the market by 6%WoW
  • In the IPP space, HUBC and KAPCO both reported below expected results despite a better liquidity position due to circular debt resolution towards the end of June 2013
  • Government to issue US$650mn Pak International bonds
  • According to analysts, Karachi Stock Exchange benchmark 100-index witnessed buying momentum after a weeklong Eid holidays and jumped up by 846 points, or 3.1 percent, on better corporate results. The market is likely to continue upward momentum on the hopes of further good corporate results
  • The week saw significant foreign portfolio investment with the net inflows of $29 million
  • Inflation for October, IMF team's visit to Pakistan and the remaining result announcements will remain the key drivers for the market


Top ten gainers of last week were: Netsol Technologie, Fauji Cement Company, Hum Network Ltd, Oil and Gas Deve, Bank Al‐Falah, Jah.Sidd. Co., MCB Bank Ltd, Azgard Nine, Muree Brewery Co Ltd and Cherat Cement.

Top ten losers of last week were: Engro Foods Ltd, International Steels Ltd, Askari Bank Ltd., Allied Rental Mod, Attock Refinery Ltd., Packages Limited, Nishat Power Ltd, National Refinery, Colgate Palmolive and Pak Services.

Top ten volume leaders were: FCCL, PTC, NBP, LPCL, BAFL, BOP, JSCL, DGKC, EFOODS, and ENGRO.

Thank you very much for reading this article.

NOTE: The information posted in this blog (forum) is based on current affairs & investors point of view. There may be discrepancy in the ground realities.

Written by: Rana Khurram

Karachi Stock Exchange Weekly Analysis 13 Oct, 2013

The Karachi Stock Exchange (KSE) market remained volatile, bearish spell continues amid sharp decline in volumes. KSE – 100 index closed at 2 1,775.39 points by losing -310.57 points or -1.41 percent. While KSE – 30 index closed at 16,494.22 points by losing -282.89 or -1.69 percent.

The most noticeable aspect of this week was the sharp fall in activity, with average daily turnover falling to 99mn shares, down 34% WoW, whereas US$ value traded fell by 45% WoW. The week saw modest FIPI inflows, with a net inflow of US$1.8mn during the week. According to experts sentiment to remain subdued in the coming week particularly as it will coincide with the holiday season.

Following news have played vital role in Karachi Stock Market index movement:


  • Government of Pakistan plans to initiate the privatization process for 31 SOEs within the next 12 -18 months with preference to offload OGDC in the international market and PPL in both local and international markets
  • Prime Minister Nawaz Sharif’s approval for the telecom spectrum auction which Is expected to be completed by Feb 2014
  • Government of Pakistan directives to TCP to import 500k tons urea within the next two months
  • On the economic front, the trade deficit for Sep 2013 contracted by 26%MoM to clock in at US$1,170 million countered by strong remittances which clocked in at US$ 1,283 million
  • Local cement sales slightly went up by 2.17% in 1QFY14 as compared to same period last year while exports plunged by 1.40% in the same period 
  • Pakistan economy is trapped in a low‐growth equilibrium, lower than other South Asian countries, because of macroeconomic instability, low investment and savings, a business‐unfriendly environment, and low productivity, said a World Bank 
  • Country’s indigenous tractor industry has almost closed, as one of the major manufacturers AGTL has stopped its production for the last 3‐months while MTL is presently operating at 20% of its total production capacity 
  • CMPak decided not to opt for the bidding for Warid in Pakistan after conducting business evaluation of the proposition
  • The country’s total oil and gas production during 1QFY14 stood at 796kboepd, down by 1.3% as compared to the same period last FY
  • Pakistan's energy sector circular debt has again peaked to PKR157bn 3‐months after PKR480bn was settled by the FM without audit of IPP
  • The KSE is excited over the proposed KESC ‘sukuk’ - the Islamic bond
  • The second initial public offering (IPO) of Engro Fertilisers, a major subsidiary of listed Engro Corp, is likely to hit the market in short time. The transaction would be 100 million shares, to be sold at a minimum price of Rs20
  • Foreign portfolio investment saw modest net inflows of $1.8 million against the inflows of $6.62 million last week


Top ten gainers of last week were: Hum Network Ltd, Pak Services, Rafhan Maize Prod., Nestle Pakistan, Century Paper, Grays Of Combridge, Lafarge Pakistan, Mari Petroleum, Sui South Gas and TPL Trakker Ltd.

Top ten losers of last week were: National Foods, Askari Bank Ltd., Hub Power, Colgate Palmolive, Pak Tobacco Co., Javedan Corporation, Pak Reinsurance, Int. Ind.Ltd, Soneri Bank and Pace (Pak) Ltd.

Top ten volume leaders were: BOP, TRG, HUBC, PTC, FCCL, BAFL, NIB, NBP, KESC, and NPL.

Thank you very much for reading this article.

NOTE: The information posted in this blog (forum) is based on current affairs & investors point of view. There may be discrepancy in the ground realities.

Written by: Rana Khurram

Companies Results - October 2013

HAYDARI CONSTRUCTION COMPANY LTD(HADC)
Profit/Loss (million): (9.728)
EPS: (1.52)
Bouns/Dividend: NIL

FLYING CEMENT LIMITED(FLYNG)
Profit/Loss (million): 96.800
EPS: 0.06
Bouns/Dividend: NIL

AL-QADIR TEX.(ALQT)
Profit/Loss (million): 10.660
EPS: 5.09
Bouns/Dividend: NIL

ASIM TEX.(ASTM)
Profit/Loss (million): 24.131
EPS: 6.68
Bouns/Dividend: NIL

J.A.TEX(JATM)
Profit/Loss (million): 17.768
EPS: 2.25
Bouns/Dividend: NIL

COLONY MILLS LTD(CML)
Profit/Loss (million): 80.578
EPS: 1.20
Bouns/Dividend: NIL

D.M.Textile(DMTX)
Profit/Loss (million): (12.576)
EPS: (11.04)
Bouns/Dividend: NIL

OLYMPIA TEX(OLTM)
Profit/Loss (million): (2.485)
EPS: (1.03)
Bouns/Dividend: NIL

QUETTA TEX(QUET)
Profit/Loss (million): 37.180
EPS: 12.25
Bouns/Dividend: 15%

NAZIR COTTON(NAZC)
Profit/Loss (million): (2.760)
EPS: (0.23)
Bouns/Dividend: NIL

THE RESOURCE GROUP OF PAKISTAN(TRG)
Profit/Loss (million): 2023.030
EPS: 5.21
Bouns/Dividend: NIL

PAK DATACOM LTD(PAKD)
Profit/Loss (million): 14.113
EPS: 9.80
Bouns/Dividend: 30%

HIRA TEXTILE LIMITED(HIRAT)
Profit/Loss (million): 85.862
EPS: 2.40
Bouns/Dividend: 10% B

SUHAIL JUTE(SUHJ)
Profit/Loss (million): (20.785)
EPS: (14.46)
Bouns/Dividend: NIL

IDEAL SPINNING(IDSM)
Profit/Loss (million): 9.821
EPS: 3.10
Bouns/Dividend: NIL

OLYMPIA SPINNING(OLSM)
Profit/Loss (million): (47.400)
EPS: (8.97)
Bouns/Dividend: NIL

COLONY SARHAD TEX(COST)
Profit/Loss (million): (4.280)
EPS: (3.49)
Bouns/Dividend: NIL

GLAMOUR TEX(GLAT)
Profit/Loss (million): 45.821
EPS: 5.08
Bouns/Dividend: NIL

SS OIL MILLS LTD(SSOM)
Profit/Loss (million): (20.489)
EPS: 8.11
Bouns/Dividend: NIL

SAPPHIRE FIBRES LTD.(SFL)
Profit/Loss (million): 385.471
EPS: 60.41
Bouns/Dividend: 50%

SFL LIMITED(SFLL)
Profit/Loss (million): (0.402)
EPS: 0.77
Bouns/Dividend: 10.00%

KHALID SIRAJ TEX(KSTM)
Profit/Loss (million): (4.708)
EPS: (2.89)
Bouns/Dividend: NIL

BILAL FIBRE(BILF)
Profit/Loss (million): 38.352
EPS: 4.38
Bouns/Dividend: NIL

SAPPHIRE TEX(SAPT)
Profit/Loss (million): 816.177
EPS: 106.38
Bouns/Dividend: 90%

FIRST FIDELITY LEASING MODARABA(FFLM)
Profit/Loss (million): 0.528
EPS: 0.24
Bouns/Dividend: NIL

NATIONALS SILK & RAYON (OLD Symbol NASR)(NSRM)
Profit/Loss (million): 2.344
EPS: 7.05
Bouns/Dividend: 10%

RELIANCE COTTON(RCML)
Profit/Loss (million): 79.248
EPS: 30.01
Bouns/Dividend: 20%

APOLLO TEX(APOT)
Profit/Loss (million): 18.226
EPS: 4.20
Bouns/Dividend: NIL

AMTEX LTD(AMTEX)
Profit/Loss (million): (1694.078)
EPS: (8.95)
Bouns/Dividend: NIL

MAHMOOD TEX(MEHT)
Profit/Loss (million): 274.638
EPS: 44.65
Bouns/Dividend: 100%

MASOOD TEX(MSOT)
Profit/Loss (million): 340.800
EPS: 15.11
Bouns/Dividend: 17.50%

SARDAR CHEMICAL(SARD)
Profit/Loss (million): 1.080
EPS: 0.59
Bouns/Dividend: NIL

TARIQ GLASS IND.(TGL)
Profit/Loss (million): 205.821
EPS: 5.30
Bouns/Dividend: NIL

FIRST CAPITAL SECURITIES CORPORATION LTD.(FCSC)
Profit/Loss (million): 332.444
EPS: (8.11)
Bouns/Dividend: NIL

PACE PAKISTAN LIMITED(PACE)
Profit/Loss (million): (203.579)
EPS: (1.82)
Bouns/Dividend: NIL

TAHA SPINNING(THAS)
Profit/Loss (million): (34.142)
EPS: (7.44)
Bouns/Dividend: NIL

MIAN TEXTILE (New Symbol)(MTIL)
Profit/Loss (million): (24.316)
EPS: (2.15)
Bouns/Dividend: NIL

HAJI MOHAMMAD ISMAIL(HMIM)
Profit/Loss (million): (13.173)
EPS: (3.24)
Bouns/Dividend: NIL

D.S.INDUSTRIES LIMITED(DSIL)
Profit/Loss (million): 58.800
EPS: 2.37
Bouns/Dividend: NIL

NAMCO BALANCED FUND(NBF)
Profit/Loss (million): 134.083
EPS: 1.34
Bouns/Dividend: NIL

MUHAMMAD FAROOQ TEX(MFTM)
Profit/Loss (million): (5.095)
EPS: (0.87)
Bouns/Dividend: NIL

SUNRAYS TEX(SUTM)
Profit/Loss (million): 154.008
EPS: 77.00
Bouns/Dividend: NIL

REDCO TEXTILES LIMITED(REDT)
Profit/Loss (million): 3.716
EPS: 0.50
Bouns/Dividend: NIL

DEWAN SALMAN FIBER LTD.(DSFL)
Profit/Loss (million): 2110.010
EPS: 3.13
Bouns/Dividend: NIL

LEATHER UP LTD(LEUL)
Profit/Loss (million): 2.340
EPS: (0.35)
Bouns/Dividend: NIL

ARUJ GARMENTS(ARUJ)
Profit/Loss (million): 8.674
EPS: 3.49
Bouns/Dividend: NIL

AHMED HASSAN TEX(AHTM)
Profit/Loss (million): 37.173
EPS: 9.99
Bouns/Dividend: 15%

MODARABA AL-MALI(MODAM)
Profit/Loss (million): 10.772
EPS: 0.17
Bouns/Dividend: 25%

NISHAT CHUNIAN(NCL)
Profit/Loss (million): 553.231
EPS: 12.51
Bouns/Dividend: 20% , 10% B

HAFIZ TEX(HAFT)
Profit/Loss (million): (0.024)
EPS: 4.07
Bouns/Dividend: 20%

INDUS DYEING(IDYM)
Profit/Loss (million): 847.868
EPS: 140.22
Bouns/Dividend: NIL

PERVEZ AHMED
  SECURITIES(PASL)
Profit/Loss (million): 44.204
EPS: 0.65
Bouns/Dividend: NIL

ISHTIAQ TEX(ISHT)
Profit/Loss (million): 6.418
EPS: 9.01
Bouns/Dividend: NIL

MAQBOOL TEXTILE(MQTM)
Profit/Loss (million): 69.888
EPS: 10.33
Bouns/Dividend: 27.5%

MEDIA TIMES LTD.(MDTL)
Profit/Loss (million): (51.862)
EPS: (1.06)
Bouns/Dividend: 14% R

WAH NOBAL CHEMICALS(WAHN)
Profit/Loss (million): 36.090
EPS: 12.80
Bouns/Dividend: 55%

KHYBER TOBACCO(KHTC)
Profit/Loss (million): 21.727
EPS: 18.08
Bouns/Dividend: 50.00%

SIND FINE TEX(SFTM)
Profit/Loss (million): 0.034
EPS: 0.01
Bouns/Dividend: NIL

DIN TEXTILE MILLS LTD.(DINT)
Profit/Loss (million): 250.303
EPS: 35.99
Bouns/Dividend: 50% , 10% B

Karachi Stock Exchange Weekly Analysis 6 Oct, 2013

The Karachi Stock Exchange (KSE) market trend was bearish, Banking stocks continue to keep KSE under pressure and weak sentiment weighs KSE down. KSE – 100 index closed at 22,085.96 points by losing -301.35 points or -1.35 percent. While KSE – 30 index closed at 16,777.11 points by losing -270.97 or -1.59 percent.

Activity in the market saw a steep decline, with average daily turnover falling to 149mn shares, down 19% WoW, whereas US$ value traded fell by 2% WoW. The week saw some FIPI inflows, with a net inflow of US$6.62mn during the week.

Following news have played vital role in Karachi Stock Market index movement:

  • SBP decision to enhance the minimum deposit rate by 50bps to 6.5% which may push the banking spread towards the pre‐discount rate change level
  • Government of Pakistan decided to go ahead with privatization of SOEs in compliance with IMF conditions, where five SOEs including PIAA, Pakistan Steel Mills, PPL and National Insurance Company Limited will be privatized in the first phase 
  • NSS rates were raised by 120bps-180bps for most products
  • Government of Pakistan took back the decision to increase consumer power tariffs after a suo moto action taken by the Supreme Court
  • Ex-factory cement prices were raised by PkR15-PkR20/bag
  • Inflation numbers for the month stood at around 7.39%Y/Y which reduce the year to date inflation to around 8.06%
  • Government of Pakistan enhanced the return on National Saving Schemes (NSS) by nearly 1.25% 2.1%, which can be considered as a negative for alternative investment like stocks
  • Pakistan’s largest independent power producer Hubco is planning to convert its RFO power plant to coal
  • PTCL, a unit of UAE's Etisalat, has submitted a take‐over bid for rival mobile operator Warid Telecom, according to a filing with the KSE
  • The prices of petroleum products increased up to PRs5.57/ltr from Oct‐01, 2013
  • In its meeting held yesterday, ECC has decided to import 0.5mn tons of urea to meet the shortfall in the upcoming Rabi season


Top ten gainers of last week were: Hum Network Ltd, Century Paper, National Foods, Pak Tobacco Co., Clariant Pakistan Ltd, Agritech, Fauji Fert Bin, Pak Services, Pak Petroleum and Colgate Palmolive.

Top ten losers of last week were: EFU Life Assur Ltd., United Bank, Pak Suzuki Motor, Kohinoor Energy, Habib Bank Ltd, MCB Bank Ltd, Netsol Technologies, Kohinoor Textile, TPL Trakker Ltd and Soneri Bank.

Top ten volume leaders were: BOP, TRG, PTC, FCCL, BAFL, DGKC, FFBL, NBP, NCL, and MLCF.

Thank you very much for reading this article.

NOTE: The information posted in this blog (forum) is based on current affairs & investors point of view. There may be discrepancy in the ground realities.

Written by: Rana Khurram