Pakistan Stock Exchange (PSX) Weekly Analysis 29 Aug, 2016

BUY recommendations are ABL, APL, BAHL, EFERT, ENGRO, FATIMA, FCCL, FFBL, HBL, KEL, KOHC, MCB, OGDC, PAEL, PKGP, PSMC, PSO, PTC, and TGL.

Top gainers of last week were: Muree Brewery Co Ltd, International Steels Ltd, Service Indus, Allied Rental Mod, Sui North Gas Pipe., Arif Habib Corp, ICI Pakistan, B.O.Punjab, Punjab Oil and Pak Suzuki Motor.

Top losers of last week were: Habib Metro Bank, Ibrahim Fibres, Shell Pakistan, Shifa International Hospitals, IGI Insurance, Jubilee Gen Ins, Pakgen Power Ltd., EFU Life Assur Ltd., Fatima Fert.Co. and Pak Petroleum.

Top ten volume leaders: KEL, SNGP, TRG, SSGC, BOP, PAEL, NBP, PIBTL, EFERT, JSCL and DGKC.

The Pakistan Stock Exchange (PSX) market index resumed their solid bullish momentum this
week after some profit taking in the previous week amid political uncertainty, pushing the benchmark Index to close at 39,927pts (up 1.08%WoW). KSE-100 index has reached on 39,927 by increasing 428 points or 1.08 %.While KSE-30 index has reached on 22,771 by increasing 205 points or 0.91 %.

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

  • Gains to the index were led by the financials with HBL, MCB, NBP cumulatively adding 140pts with MCB & HBL bouncing back after a slight correction over bland quarterly reading in the previous week, while NBP posted an outstanding quarterly reading significantly outperforming street consensus
  • Other notable index movers were MUREB which rallied on the back of a huge (i.e. 1500% bonus) along with the full year
  • Foreigners remained net buyers mopping up shares worth USD1.9mn during the outgoing week
  • Chinese clean-energy group Golden Concord Holdings Ltd is competing with Shanghai Electric Power Co for control of K-Electric Ltd, the $2.3 billion Pakistani utility, reports China Daily
  • ADB approves $810 million for power transmission system
  • Agreement inked on construction of 870 megawatts hydro power project
  • Violence in the country’s major urban metropolis and the consequential arrests of leaders belonging to a key political party made headlines throughout the week
  • International markets continued the see‐saw ride in crude as local E&P names opened gap down at the start of the week amid dying hopes of any conclusive agreement of an output freeze at the upcoming OPEC meeting
  • Cement sector stocks were in for profit taking in the earlier part of the week followed by an ascent upon release of provisional offtake data that reflected a strong trend in sales
  • The results canvas witnessed steady earnings on part of index heavy OGDC and HUBC as they slightly surpassed estimates, alongside stellar payouts
  • The stateowned companies Oil and Gas Development Company Limited (OGDCL) and Pakistan Petroleum Limited (PPL) are finalizing a joint pilot project to drill shale gas and oil wells in various parts of the country, especially Balochistan, sources said on Monday
  • OGDC has found significant reserves of oil and gas at its Nashpa well 6 and development well 7 in Karak district of Khyber‐Pakhtunkhwa, a statement said on Wednesday
  • Al Baraka Bank has finished due diligence for the proposed merger of Burj Bank thereby paving way for the strengthening of capital bases of both the banks, a central bank official said on Saturday
  • FBR sets Aug 31 deadline for salaried tax return
  • Government finalizes subsidies on urea and DAP
  • SSGC in its plan submitted to the OGDC, said the company will spend PkR118.5bn on several of its ongoing and new projects for improving and upgrading its transmission and distribu􀆟on network, including RLNG transmission projects over the next 5yr
  • Meeting of the Drug Pricing Committee (DPC) summoned on Aug 30’16, where Pharmaceu􀆟cal companies have appealed to the government to increase the prices of various medicines by 2x‐8x
Following are few BUY recommendations:

Allied Bank Limited (ABL) – BUY
Current Price: PKR 96.3
Target Price: PKR 120.00 

Attock Petroleum (APL) – BUY
Current Price: PKR 513.15
Target Price: PKR 580


Amreli Steels Limited (ASTL) – BUY
Current Price: PKR 51.5
Target Price: PKR 83.0

Bank Al-Habib (BAHL) – BUY
Current Price: PKR 43.49
Target Price: PKR 68

ENGRO Fertilizer Limited (EFERT) – BUY
Current Price: PKR 67.5
Target Price: PKR 95

Engro Corporation (ENGRO) – BUY
Current Price: PKR 307.9
Target Price: PKR 362

Fatima Fertilizer (FATIMA) – BUY
Current Price: PKR 33.00
Target Price: PKR 48.68

Fauji Cement Company Limited (FCCL) – BUY
Current Price: PKR 38.3
Target Price: PKR 47

Fauji Fert Bin Qasim (FFBL) – BUY
Current Price: PKR 52.91
Target Price: PKR 60.48

Habib Bank Limited (HBL) – BUY
Current Price: PKR 220
Target Price: PKR 255

K-Electric (KEL) – BUY
Current Price: PKR 8.9
Target Price: PKR 13

Kohat Cement (KOHC) – BUY
Current Price: PKR 278.3
Target Price: PKR 353

MCB Bank Limited (MCB) – BUY
Current Price: PKR 213.69
Target Price: PKR 240

Oil & Gas Development Co. (OGDC) – BUY
Current Price: PKR 142.18
Target Price: PKR 172.00

Pak Electron (PAEL) – BUY
Current Price: PKR 73.0
Target Price: PKR 83

Pak Gen Power (PKGP) – BUY
Current Price: PKR 25.3
Target Price: PKR 41

Pak Suzuki Motors (PSMC) – BUY
Current Price: PKR 468.89
Target Price: PKR 532

Pakistan State Oil (PSO) – BUY
Current Price: PKR 402
Target Price: PKR 456

Pakistan Telecommunications (PTC) – BUY
Current Price: PKR 16.1
Target Price: PKR 21.9

Tariq Glass (TGL) – BUY
Current Price: PKR 92.6
Target Price: PKR 120

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

5 comments:

  1. AOA Sir,
    The assessment of the buy Recommendations of Current price and Target Price is for Weekly Basis?

    ReplyDelete
  2. and will KEL will jump-up more?

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