Pakistan Stock Exchange (PSX) Weekly Analysis 23 Jan, 2016

BUY recommendations are PSMC, INDU, HCAR, DGKC, LUCK, MLCF, FCCL, KOHC, FFC, EFERT, FATIMA, ENGRO, EFOODS, OGDC, POL, PPL, PSO, APL, KEL, KAPCO, NML, PTC, ABL, NBP, UBL, HBL, BAFL and BAHL.

Top gainers of last week were: National Refinery, Kohinoor Textile, Sui North Gas Pipe., Pak Petroleum, Attock Refinery Ltd., Punjab Oil, Pak Int.Bulk Ter, Pak Oilfields, Soneri Bank and GlaxoSmithKline Pak.

Top losers of last week were: Archroma Pakistan, Ferozsons (Lab), Fatima Fert.Co., MCB Bank Ltd, Pak Elektron, EFU Life Assur Ltd., Engro Corp, Orix Leasing, Lucky Cement and Habib Bank Ltd.

Top ten volume leaders: TRG, KEL, SNGP, JSCL, MLCF, BOP, DGKC, PAEL, SSGC, PTC and, PPL.

The Karachi Stock Exchange (KSE) market rebounded in line with the global trend as the increase in international crude prices meant investors were more than happy to take positions ahead of the weekend. The benchmark Karachi Stock Exchange (KSE) 100-share Index lost -52 points, or -0.17 percent, to close the week at 30,949 points. KSE 30-share Index lost -117 points, or -0.65 percent, to end at 17,941 points.

According to experts of http://www.karachistockexchange.org, following news have played vital role in Karachi Stock Market index movement:

  • Honda Atlas (HCAR) gained as the company announced its results which were better than the market expectations
  • Trade volumes fell to 131 million shares compared with Thursday’s tally of 136 million shares
  • Nepra allowed KEL to increase tariff to 57.661 paisa/unit for November 2015 under fuel adjustment mechanism
  • KEL acquired land at Port Qasim for its 700MW coal fired project to be as a JV between the utility and the China Datang Group
  • NTCP imposed anti‐dumping duties in the range of 8.31% and 19.04% for 4 months on import of cold‐rolled coils and sheets from China and Ukraine
  • Government of Pakistan initiated its plan to install 4 new LNG terminals with handling capacity of ~2.3bcf/day to help mitigate the country's gas deficit
  • MOL completed exploration activities in Mardan Khel‐1 confirming a discovery of 3,440bpd oil and 40.56mmcfd gas
  • NA pushed through two major Acts approving Income Tax Amnesty and PIA's Privatization in the face of stiff opposition
  • MLCF kicked started the result season with a bang with earnings surpassing street estimates, supported by jump in gross margins, however, uncertainty in the broader market kept the scrip’s performance subdued
  • PSO drops planned Shell LNG deal, to buy from Qatar
  • OGDCL says confident on full‐year drilling target
  • Gloom continues as cotton output falls 33.5%
  • MOL makes major gas well discovery
  • Singer Pakistan parent sells its entire stake
  • Steel makers ignore steep fall in global prices
  • SBP delays monetary policy meeting as govt holds up board nominations   

Following are few BUY recommendations:

Allied Bank Limited (ABL) – BUY
Current Price: PKR 90.91
Target Price: PKR 135.00 

Attock Petroleum (APL) – BUY
Current Price: PKR 439.96
Target Price: PKR 626.37

Bank Al-Falah (BAFL) – BUY
Current Price: PKR 26.86
Target Price: PKR 32

Bank Al-Habib (BAHL) – BUY
Current Price: PKR 43.56
Target Price: PKR 68

Cherat Cement (CHCC) – BUY
Current Price: PKR 95.04
Target Price: PKR 120

ENGRO Fertilizer Limited (EFERT) – BUY
Current Price: PKR 77.69
Target Price: PKR 110

Engro Corporation (ENGRO) – BUY
Current Price: PKR 257.06
Target Price: PKR 362.00

Fatima Fertilizer (FATIMA) – BUY
Current Price: PKR 37.74
Target Price: PKR 49

Fauji Fertilizer Bin Qasim (FFBL) – BUY
Current Price: PKR 47.86
Target Price: PKR 62

Habib Bank Limited (HBL) – BUY
Current Price: PKR 177.84
Target Price: PKR 268

Honda Atlas Cars (HCAR) – BUY
Current Price: PKR 248.98
Target Price: PKR 330.00

Kot Addu Power Co (KAPCO) – BUY
Current Price: PKR 79.51
Target Price: PKR 94

Lucky Cement (LUCK) – BUY
Current Price: PKR 479.14
Target Price: PKR 652

MCB Bank Limited (MCB) – BUY
Current Price: PKR 190.20
Target Price: PKR 268

National Bank (NBP) – BUY
Current Price: PKR 52.92
Target Price: PKR 65

Nishat Chun Power (NCPL) – BUY
Current Price: PKR 53.47
Target Price: PKR 63

Nishat Power Ltd (NPL) – BUY
Current Price: PKR 50.50
Target Price: PKR 59

Oil & Gas Development Co. (OGDC) – BUY
Current Price: PKR 103.53
Target Price: PKR 172

Pioneer Cement (PIOC) – BUY
Current Price: PKR 87.64
Target Price: PKR 105

Pak Oilfields (POL) – BUY
Current Price: PKR 209.55
Target Price: PKR 348

Pakistan Petroleum (PPL) – BUY
Current Price: PKR 112.05
Target Price: PKR 168

United Bank Ltd (UBL) – BUY
Current Price: PKR 144.73
Target Price: PKR 212.00

Thank you very much for reading this article.

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

Written by: Rana Khurram

Pakistan Stock Exchange (PSX) Weekly Analysis 18 Jan, 2016

BUY recommendations are PSMC, HCAR, INDU, FFC, EFERT, FATIMA, ENGRO, OGDC, POL, PPL, PSO, APL, NML, ABL, NBP, UBL, HBL, BAFL, BAHL, DGKC, LUCK, MLCF, FCCL and KOHC

Top gainers of last week were: International Steels Ltd., Service Indus, Bata (Pak) Ltd., Colgat Palmolive, Cherat Cement, Archorma Pakistan, Lalpir Power Ltd, Hub Power, Maple Leaf Cement, National Bank of Pakistan.
   
Top losers of last week were: TRG Pakistan Ltd., Jahangir Siddique Co., Pak Oilfields, Mari Petroleum, Associated Services Limited, Sui North Gas Pipe., Pak Int. Bulk Terminal, Bannu Woolen, Sui Southern Gas, Dawood Hercules Chem.

Top ten volume leaders: TRG, KEL, PAEL, FCCL, JSCL, BOP, OGDC, PIBTL, DGKC, MLCF, and SSGC,.

The Pakistan Stock Exchange (PSX) market witnessed volatility during the week as the index traded in the range of 1300pts. The benchmark Pakistan Stock Exchange (PSX) 100-share Index lost -1318 points or 4.1 percent, to close the week at 31,001 points.

Average daily volume increased 10% to 131.4mn shares, while average daily value declined 5% to Rs7.3bn/US$69.2mn.

According to experts of http://www.karachistockexchange.org, following news have played vital role in Karachi Stock Market index movement:


  • Crisis like situation in the global markets, especially China and plummeting global commodity prices (oil, fertilizers etc.), incited across the board panic selling in the market
  • Foreigners were net buyers of US$1.2mn over the week
  • Cement and Banking sector witnessed net buying of US$1.5mn each
  • Net selling was seen in Electricity, Chemicals and Oil & Gas sectors in the range of US$1.1-1.3 million over the week
  • According to latest numbers by State Bank of Pakistan (SBP), Foreign Direct Investment (FDI) in Pakistan for 1HFY16 has increased 2.2% YoY to US$624.1mn
  • Economic Coordination Committee (ECC) has approved the LNG deal with Qatar at a price of ~US$5.5/mmbtu
  • E&P sector remained under stress as the benchmark Arab Lite tested an intra-day low of USD24.3/bbl, a 12 -year low
  • On regional front, China provided upward drive by reporting surprise growth in export number for December
  • Steel manufacturing stocks showed relative resistance to the downfall as GoP imposed anti-dumping duty in the range of 8% to 19% on some steel products from China and Ukraine
  • With oil prices nose-diving by 10% during the week, Oil & gas sector also receded by 10.23%
  • Honda launches sporty, elegant HR-V in Pakistan
  • OGDCL discovers gas in Sukkur
  • Potential cut in development budget by Rs402bn or 27% to keep fiscal deficit at 4.3% during FY16E
  • Increase in auto sales by 64% YoY in Dec-2015
  • Pak Suzuki (PSMC) introducing Cultus Limited Edition


Following are few BUY recommendations:

Allied Bank Limited (ABL) – BUY 
Current Price: PKR 89.87
Target Price: PKR 135.00

Attock Petroleum (APL) – BUY 
Current Price: PKR 433.90
Target Price: PKR 626.37

Bank Al-Falah (BAFL) – BUY 
Current Price: PKR 27.50
Target Price: PKR 32

Bank Al-Habib (BAHL) – BUY 
Current Price: PKR 42.65
Target Price: PKR 68

Cherat Cement (CHCC) – BUY 
Current Price: PKR 94.00
Target Price: PKR 120

ENGRO Fertilizer Limited (EFERT) – BUY 
Current Price: PKR 80.50
Target Price: PKR 110

Engro Corporation (ENGRO) – BUY
Current Price: PKR 268.66
Target Price: PKR 362.00

Fatima Fertilizer (FATIMA) – BUY 
Current Price: PKR 40.60
Target Price: PKR 49

Fauji Fertilizer Bin Qasim (FFBL) – BUY 
Current Price: PKR 47.91
Target Price: PKR 62

Habib Bank Limited (HBL) – BUY 
Current Price: PKR 184.52
Target Price: PKR 268

Honda Atlas Cars (HCAR) – BUY 
Current Price: PKR 241.72
Target Price: PKR 330.00

Kot Addu Power Co (KAPCO) – BUY 
Current Price: PKR 76.99
Target Price: PKR 94

Lucky Cement (LUCK) – BUY
Current Price: PKR 500.10
Target Price: PKR 652

MCB Bank Limited (MCB) – BUY 
Current Price: PKR 200.44
Target Price: PKR 268

National Bank (NBP) – BUY 
Current Price: PKR 53.27
Target Price: PKR 65

Nishat Chun Power (NCPL) – BUY 
Current Price: PKR 54.00
Target Price: PKR 63

Nishat Power Ltd (NPL) – BUY 
Current Price: PKR 50.54
Target Price: PKR 59

Oil & Gas Development Co. (OGDC) – BUY 
Current Price: PKR 98.41
Target Price: PKR 201.00

Pioneer Cement (PIOC) – BUY 
Current Price: PKR 89.00
Target Price: PKR 105

Pak Oilfields (POL) – BUY 
Current Price: PKR 198.57
Target Price: PKR 471

Pakistan Petroleum (PPL) – BUY 
Current Price: PKR 103.60
Target Price: PKR 193.8

United Bank Ltd (UBL) – BUY 
Current Price: PKR 144.53
Target Price: PKR 212.00

Thank you very much for reading this article.

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

Written by: Rana Khurram

Pakistan Stock Exchange (PSX) Weekly Analysis 12 Jan, 2016

BUY recommendations are PSMC, HCAR, INDU, FFC, EFERT, FATIMA, ENGRO, OGDC, POL, PPL, PSO, APL, NML, ABL, NBP, UBL, HBL, BAFL, BAHL, DGKC, LUCK, MLCF, FCCL and KOHC

Top gainers of last week were: Ferozsons (Lab), The Searle Pak, Pak Elektron, Pak Tobacco Co, Honda Atlas Cars, Gul Ahmed, Pak Int.Bulk Ter, Ghani Glass Ltd, Shell Pakistan and Service Indus.
   
Top losers of last week were: Allied Rental Mod, Pak Oilfields, Oil and Gas Deve, Muree Brewery Co Ltd, Pak Petroleum, Sui North Gas Pipe., Larpir Power Ltd, Hum Network Ltd, Fauji Fert Bin and Attock Refinery Ltd.

Top ten volume leaders: PAEL, TRG, JSCL, MLCF, PIBTL, DGKC, FCCL, BOP, KEL, PPL, and SNGP,.

The Karachi Stock Exchange (KSE) market witnessed volatility during the week as the index traded in the range of 600pts. Therefore, the benchmark index lost 1.46% points during the week to close at 32,534pts (-475pts). The benchmark Karachi Stock Exchange (KSE) 100-share Index lost 694 points or 2.1 percent, to close the week at 32,534.85 points.

Average daily volume increased 5% to 119.8mn shares and average daily value increased 16% to Rs7.6bn/US$72.6mn.

According to experts of http://www.karachistockexchange.org, following news have played vital role in Karachi Stock Market index movement:


  • The international front remained edgy with heightened concerns of an economic slowdown leading to Chinese equities hitting the lower circuit for two days in the outgoing week
  • Regional markets sentiment remained weak owing to tension between Saudi Arabia & Iran, weak manufacturing data from China & the subsequent devaluation of Yuan, and depressing oil prices. Resultantly, the benchmark KSE-100 index also remained under pressure and declined 2.1% to close at the 32,535 index level
  • Slowing demand and persistently higher inventories truncated the global crude markets that witnessed a fresh round of price compression as Arab Light Crude fell below USD28/barrel
  • Government of Pakistan has estimated a PKR100bn collection from the voluntary tax compliance scheme
  • Repatriation of profits on foreign investments rose to USD802mn during the 5MFY16, indicating that the half‐year repayment will easily cross USD1bn, as per SBP. What is more concerning for Pakistan is the inflow of net FDI, which stood at USD640mn during the period 
  • During current tenure of the GoP record 227 wells have been drilled, which resulted in 65 new oil and gas discoveries
  • 10th IMF Review to begin on January 26
  • Dr Asim admits to ‘role’ in KSE crash, court told
  • FIA raided two offices of AKD Securities here and arrested the firm's CEO and 2‐directors over fraud charges that caused a loss of PKR290mn to EOBI in 2010
  • Fertiliser firms await PKR5bn worth of subsidy payments. SBP has not been able to pay even the first instalment of subsidy worth over PKR5bn to fertiliser companies importing DAP due to delay in clearance from the finance division
  • PAEL to raise PKR995mn from right shares issuance
  • Cotton production dips 33.5% in 7 months
  • Senate body sets deadline to settle PTCL sale agreement
  • WB projects Pakistan’s GDP to achieve 4.5% in FY17
  • Foreigners were net sellers of US$11.2mn worth of shares during the week


Following are few BUY recommendations:

Allied Bank Limited (ABL) – BUY 
Current Price: PKR 92.60
Target Price: PKR 135.00

Attock Petroleum (APL) – BUY 
Current Price: PKR 480.01
Target Price: PKR 626.37

Bank Al-Habib (BAHL) – BUY 
Current Price: PKR 43.48
Target Price: PKR 68

Cherat Cement (CHCC) – BUY 
Current Price: PKR 91.38
Target Price: PKR 120

ENGRO Fertilizer Limited (EFERT) – BUY 
Current Price: PKR 84.81
Target Price: PKR 110

Engro Corporation (ENGRO) – BUY
Current Price: PKR 277.86
Target Price: PKR 362.00

Fatima Fertilizer (FATIMA) – BUY 
Current Price: PKR 42.24
Target Price: PKR 49

Fauji Fertilizer Bin Qasim (FFBL) – BUY 
Current Price: PKR 50.31
Target Price: PKR 62

Habib Bank Limited (HBL) – BUY 
Current Price: PKR 193.36
Target Price: PKR 268

Honda Atlas Cars (HCAR) – BUY 
Current Price: PKR 251.90
Target Price: PKR 330.00

Kot Addu Power Co (KAPCO) – BUY 
Current Price: PKR 80.56
Target Price: PKR 94

Lucky Cement (LUCK) – BUY
Current Price: PKR 501.98
Target Price: PKR 652

MCB Bank Limited (MCB) – BUY 
Current Price: PKR 211.06
Target Price: PKR 268

National Bank (NBP) – BUY 
Current Price: PKR 53.16
Target Price: PKR 65

Nishat Power Ltd (NPL) – BUY 
Current Price: PKR 51.00
Target Price: PKR 59

Oil & Gas Development Co. (OGDC) – BUY 
Current Price: PKR 108.73
Target Price: PKR 201.00

Pioneer Cement (PIOC) – BUY 
Current Price: PKR 90.18
Target Price: PKR 105

Pak Oilfields (POL) – BUY 
Current Price: PKR 243.89
Target Price: PKR 471

Pakistan Petroleum (PPL) – BUY 
Current Price: PKR 115.06
Target Price: PKR 193.8

United Bank Ltd (UBL) – BUY 
Current Price: PKR 152.96
Target Price: PKR 212.00

Thank you very much for reading this article.

NOTE: The information posted in this blog /forum (http://www.karachistockexchange.org/) 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 4 Jan, 2016

BUY recommendations are PSMC, HCAR, INDU, FFC, EFERT, FATIMA, ENGRO, OGDC, POL, PPL, PSO, APL, NML, ABL, NBP, UBL, HBL, BAFL, BAHL, DGKC, LUCK, MLCF, FCCL and KOHC

Top gainers of last week were: Pak Tobacco Co., Nishat Chunian, Gul Ahmed, Maple Leaf Cem., Kohinoor Textile, Fauji Fertilizer Co., Ferozsons (Lab), D.G.K.Cement, Attock Cement Ltd and Nishat Mills Limited.
   
Top losers of last week were: Associated Services Limited, Shifa International Hospitals, Ibrahim Fibres, Indus Dyeing, Pak Elektron, Larpir Power Ltd, Bata (Pak) Ltd., International Steels Ltd, Ghani Glass Ltd and J.D.W.Sugar.

Top ten volume leaders: TRG, PAEL, FCCL, JSCL, BOP, DGKC, KEL, SNGP, PPL, PTC, and SSGC.

The Karachi Stock Exchange (KSE) market Range bound activity was seen at local bourse during the week, but advent of the New Year resulted in the benchmark KSE-100 index closing up 2.2% during the week. The benchmark Karachi Stock Exchange (KSE) 100-share Index gain 2.2 percent, to close the week at 33,228.95 points.

Average daily volumes increased 24% to 113.7mn shares, while average daily value remained flat at Rs6.6bn/US$62.5mn.

According to experts of http://www.karachistockexchange.org, following news have played vital role in Karachi Stock Market index movement:


  • FBR managed to surpass its quarterly target by PKR20bn taking the FY16TD collection to PKR1.37tn
  • Bloodshed in China’s stock market and oil (Arab Light CY15: ↓43% Y/Y) going into a freefall in the second half of the year elicited exodus of foreign funds from July’15 onwards (CY15 FIPI outflow: USD315mn), wiping out all the gains of the market as the index closed shy of 33k, gaining 2.13% Y/Y 
  • CY16 is set to subdued year for international markets as oil prices are anticipated to linger on USD30‐40/barrel
  • Power tariff cut by PM by PKR3/unit for industrial units along with robust provisional sales numbers kept interest alive in cements
  • Sui gas field re‐pricing by government brought excitement in PPL (100% owned field) whereas, KEL was in the lime light following expression of interest in FESCO bidding
  • Government banks’ borrowing surges 30% till November‐end
  • Government collected PKR 6.7bn from bank transaction tax in July‐Oct
  • SSGC plans expansion projects in Karachi
  • Federal Minister for Industries and Production Ghulam Murtaza said that under the new industrial policy small car prices would be brought down to makes them affordable for common people 
  • Construction work on the Diamer‐Bhasha Dam would start next year
  • Government raises gas price by 50% for Sui field
  • Government decided to keep the prices of petrol and HOBC unchanged for January. However, it reduced the rates of all other petroleum products, including diesel
  • Tobacco led the gains on a sector level by increasing 16.6% over the week
  • Construction & Materials (Cement) and Food Producers followed, which rose 5.7% and 3.5%, respectively
  • Technology Hardware & Equipment and Household Goods declined 2.7% and 2.4%, respectively
  • Foreigners were net sellers of US$3.2mn during the week. Major selling was seen in Banks and Oil & Gas (net selling of US$7.3mn and US$2.7mn, respectively) while net buying of US$3.2mn in Cement sector provided some support to overall outflow
  • CPI inflation for the month of Dec 2015 clocked in at 3.19% YoY, which was lower than expectations. Inflation on MoM declined by 0.57%
  • Inflation remained soft during December ’15 with numbers sitting in at 3.2%


Following are few BUY recommendations:

Pak Suzuki Motors (PSMC) – BUY 
Current Price: PKR 500.80
Target Price: PKR 542

Honda Atlas Cars (HCAR) – BUY 
Current Price: PKR 240.61
Target Price: PKR 324.00

Indus Motor (INDU) – BUY 
Current Price: PKR 1025.68
Target Price: PKR 1293.99

Fauji Fertilizer Company (FFC) – BUY 
Current Price: PKR 118.75
Target Price: PKR 163.5

ENGRO Fertilizer Limited (EFERT) – BUY 
Current Price: PKR 85.83
Target Price: PKR 118.7

Fatima Fertilizer (FATIMA) – BUY 
Current Price: PKR 44.07
Target Price: PKR 58.9

Engro Corporation (ENGRO) – BUY
Current Price: PKR 284.85
Target Price: PKR 362.00

Oil & Gas Development Co. (OGDC) – BUY 
Current Price: PKR 117.86
Target Price: PKR 212.00

Pak Oilfields (POL) – BUY 
Current Price: PKR 269.19
Target Price: PKR 423.0

Pakistan Petroleum (PPL) – BUY 
Current Price: PKR 123.08
Target Price: PKR 193.8

Pakistan State Oil (PSO) – BUY 
Current Price: PKR 332
Target Price: PKR 493

Attock Petroleum (APL) – BUY 
Current Price: PKR 498.51
Target Price: PKR 626.37

Nishat Mills (NML) – BUY 
Current Price: PKR 100
Target Price: PKR 168.5

Allied Bank Limited (ABL) – BUY 
Current Price: PKR 95.41
Target Price: PKR 135.00

National Bank (NBP) – BUY 
Current Price: PKR 54.33
Target Price: PKR 69.0

United Bank Ltd (UBL) – BUY 
Current Price: PKR 155.86
Target Price: PKR 194.00

Habib Bank Limited (HBL) – BUY 
Current Price: PKR 201.07
Target Price: PKR 270

Bank Al-Falah (BAFL) – BUY 
Current Price: PKR 29.29
Target Price: PKR 34

Bank Al-Habib (BAHL) – BUY 
Current Price: PKR 42.00
Target Price: PKR 68

Dera Ghazi Khan Cement (DGKC) – BUY
Current Price: PKR 154.67
Target Price: PKR 176

Lucky Cement (LUCK) – BUY
Current Price: PKR 517.83
Target Price: PKR 665

Maple Leaf Cement (MLCF) – BUY
Current Price: PKR 78.30
Target Price: PKR 79.05

Fauji Cement (FCCL) – BUY
Current Price: PKR 38.18
Target Price: PKR 39.50

Kohat Cement (KOHC) – BUY
Current Price: PKR 243.07
Target Price: PKR 268

Thank you very much for reading this article.

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

Written by: Rana Khurram