Karachi Stock Market Future Predictions

Karachi Stock Exchange is showing good response since the begining of this week. Some shares became most wanted and are not letting investors to buy. You can look at PAKRI, Bestway Cement, Netsole, JSCL etc. these are going really good and also hope to be good in future too especially PAKRI and JSCL. PAKRI is expected to be near 70 and JSCL near 50. AHSL, Netsol, Bestway Cement, DG Khan Cement.

Keeping in view current market situations, one of my best friend has written his analysis about future market capitalziation. Its really intresting and is benificial. Please find the text below:

Friends,

I am closely watching Karachi Stock Exchange and thoroughly reviewing ups and downs of indexes since last month. It is a matter of pleasure, joy and happiness to know that our market has revived and started to cross the psychological limits. For instance in last week market seemed to be bullish and has crossed targets, speculations and psychological limits. By increasing 308.24 points market index has reached up to 7471.28 points. And investment has increased up to 84 Billion rupees. It is truly a great news and achievement especially in this time of recession and economical crisis. Few days back we have heard some regretful news about losing confidence of investors, local investors were transferring their investments to foreign countries e.g. Dubai, UK etc. some big companies have did a massive layoff, some companies were getting close and were trying to windup their Pakistan operations, our market was continuously loosing points, etc.

Some reasons for this instability, volatility and insecurity of market were:

· International Economic Crisis

· Banks were getting bankrupt and were failed to collect revenue, instalments on loans and investments

· Political turmoil in Pakistan

· Suspension of Chief Justice

· Swat Operation (recently), Lal Masjid Operation, Religious controversies, Terrorists activities, etc.

· Load shedding and Water supply problems

· Inflation, increase in Petrol, Diesel, Electricity, and prices of other common goods and implementation of some unfair taxes

· Traders and other social society members are doing strikes, and they have planned to continue in future

These are just a few common problems which I think were the major causes of a rapid flux in market, which may have caused to shoot your blood pressure, increased your heart beats or may have broken your hearts and ultimately some of you have totally lost your confidence in market.

But now I think there is no more need to get depressed, because our market has again getting revived. According to my point of view, the most common reasons for the market revival are:

· Chief justice issue has been resolved

· Swat operation is near to finish and after that peace is expected in our country

· Foreign Investors have showed their interest in our Banking, Oil & Gas companies and in Cement sector also

· CBR has collected more than 1150 billion rupees in form of taxes

· Pakistan Government has received a huge amount of money for the help of Swat refugees from US and others

· Next instalment of loan is expected in near future from IMF, Asian Development Bank etc. when this money will float, it will definitely causes some positive impact in our economy

· National Saving Schemes have decreased their interest rates, profit margins have also decreased in Real states etc. so investors are planning to transfer the investments in stock exchange

· Some good reports of earning, profit and revenue of KSE listed companies are expected In upcoming weeks

· And because of these factors, Investors especially small investors have gain confidence and showed their interests in different sectors e.g. Banking, Oil & Gas, Cement, Investment & Securities etc.

By considering these factors, and according to experts, there is a lot of potential exists in our market. And it is right time of buying. Some recommended sectors and the leading companies are as follows:

Investment Finance & Securities

· Jahangir Sidiqui Companies

· Arif Habib Securities

· Pak Ri

Banking Sector

· National Bank of Pakistan

· Muslim Commercial Bank

Oil & Gas Sector

· OGDCL

· Pakistan Oil Fields Pak Petroleum

Cement Sector

· DG Cement

· Lucky Cement

· Bestway Cement

Telecom & IT Sector

· PTCL

· Netsol

Last Week’s Top Companies

· DG Cement

· PTCL

· JS (Jahangir Sidiqui) Companies

So have ha close watch on these shares.

Cheers...

3 comments:

  1. Dear Irfan Bhai,

    Please let me know that from hwere you have got target price of PAKRI Rs 70/=. Some inside news or purely some fundamental reason. You also forgot to mention the time by which these target prices would be acheived

    ReplyDelete
  2. Brother, as you to PAKRI, JOVC and JSCL are purely working on SATA, so all of these three shares can go to any price any time but this may be July and August. Rest you knows better. :)

    ReplyDelete
  3. useful information on topics that plenty are interested on for this wonderful post.Admiring the time and effort you put into your b!.. Karachi news

    ReplyDelete