Pakistan Stock Exchange (PSX) Weekly Analysis 10 Dec, 2016


Top gainers of last week were: National Foods, Bestway Cem, Lucky Cement, Mari Petroleum, ICI Pakistan, Pioneer Cement, Adamjee Ins, Bannu Woollen, EFU General Ins and D.G.K.Cement.

Top losers of last week were: Feroz 1888 Mills Ltd, Ibrahim Fibres, Indus Dyeing, B.O.Punjab, IGI Insurance, Hascol Petroleum Ltd, Pak Tobacco Co, National Refinery, J.D.W.Sugar and Pak Suzuki Motor.

Top Volume Leaders of last week: BOP, KEL, FCCL, SNGP, AKBL, EFERT, PIBTL, DGKC, SSGC, TRG, and OGDC.

The Pakistan Stock Exchange (PSX) market index marked another stellar week with 4.89%WoW return (close at 45,387pts all time high) on the back of sturdy oil prices, continued expansions in industrial sectors and announcements of corporate actions. KSE-100 index has reached on 45,387 by increasing 2116 points or 4.89 %.While KSE-30 index has reached on 24,447 by increasing 1280 points or 5.53 %.

According to experts of, following news have played vital role in Karachi Stock Market index movement:

  • LUCK announced plans for entry into automotive business through setting up manufacturing plant in partnership with Kia motors, furthering operations in Iraq while expressing intention to bid for DCL's assets, keeping sentiment strong
  • TREET and ICI’s plans to invest in the pharma sector (Renancon and WYETH respectively)
  • TREET’s declared intention to acquire Reacon Pharma failed to ignite further steam in the stock as the market anticipated a bigger name to be on its shopping list
  • Shanghai Electric sharing a US$9bn investment plan following KEL’s acquisition and BoD approval of MCB and NIB merger
  • Supreme Court adjourned Panamagate hearing till January
  • Continuation of SC hearings for the Panama‐gate case, with PM Sharif facing criticism from the court for failing to provide a money trail for asset purchases
  • Government of Pakistan raising PkR147bn through MTB auctions where cut‐off yields for 3mth/6mth remained stable at 5.9463%/5.9471%
  • Cotton arrivals increasing 13.8%YoY for the season
  • Delay in bid opening process for the 40% divestment of PSX
  • CCP imposing a penalty of PkR150mn on PSO for deceptive marketing
  • Cement sales up 15pc in Nov as construction activities boom
  • Cements stocks rallied by ~11.6% in the outgoing week on account of i) robust dispatch growth, and, ii) decline in international coal prices
  • The boards of directors of MCB Bank and NIB Bank in their separate meetings on Wednesday approved the amalgamation scheme through a share swap arrangement. The banks approved the swap ratio of one share of MCB Bank for every 140.043 shares of NIB Bank 
  • Foreign participants were persistent sellers during the week offloading large positions, but the market shrugged off any concerns
  • FCCL convened its BoD to approve a planned waste heat recovery project, which ignited another ascent in the stock
  • NCL also enjoyed a field week as its 660MW coal based power project got an approval from NEPRA
  • Rice output likely to fall 6pc in Punjab during 2016/17
  • Pakistan Petroleum Limited (PPL), a state-owned frontline player in energy sector, hit unprecedented oil and gas production level of one billion cubic feet equivalent per day (Bcfepd) 
  • Rupee recovers sharply on crackdown against smugglers

Following are few BUY recommendations:

Allied Bank Limited (ABL) – BUY 
Current Price: PKR 106
Target Price: PKR 120

Al Shaheer Corpporation Ltd. (ASC) – BUY 
Current Price: PKR 57
Target Price: PKR 82

Bank Al-Falah (BAFL) – BUY 
Current Price: PKR 35
Target Price: PKR 38

Bank Al-Habib (BAHL) – BUY 
Current Price: PKR 50.97
Target Price: PKR 60

DG Khan Cement (DGKC) – BUY 
Current Price: PKR 215
Target Price: PKR 221

ENGRO Fertilizer Limited (EFERT) – BUY 
Current Price: PKR 68
Target Price: PKR 83

Engro Corporation (ENGRO) – BUY
Current Price: PKR 319
Target Price: PKR 361

Fatima Fertilizer (FATIMA) – BUY 
Current Price: PKR 36.51
Target Price: PKR 39

Fauji Cement Company Limited (FCCL) – BUY 
Current Price: PKR 42.10
Target Price: PKR 47

Fauji Fert Bin Qasim (FFBL) – BUY 
Current Price: PKR 53
Target Price: PKR 60

Indus Motors (INDU) – BUY
Current Price: PKR 1591
Target Price: PKR 1735

Kot Addu Power Company (KAPCO) – BUY
Current Price: PKR 76
Target Price: PKR 116

K-Electric (KEL) – BUY
Current Price: PKR 9.5
Target Price: PKR 13

Kohat Cement (KOHC) – BUY
Current Price: PKR 274
Target Price: PKR 353

MCB Bank Limited (MCB) – BUY 
Current Price: PKR 233
Target Price: PKR 243

Maple Leaf Cement Factory (MLCF) – BUY 
Current Price: PKR 118
Target Price: PKR 125

National Bank of Pakistan (NBP) – BUY 
Current Price: PKR 73.47
Target Price: PKR 80

Nishat Mills Limited (NML) – BUY 
Current Price: PKR 148.20
Target Price: PKR 172

Oil & Gas Development Co. (OGDC) – BUY 
Current Price: PKR 156.38
Target Price: PKR 164

Pak Electron (PAEL) – BUY 
Current Price: PKR 68.9
Target Price: PKR 83

Pioneer Cement Limited (PIOC) – BUY 
Current Price: PKR 136.59
Target Price: PKR 153

Pakistan Petroleum (PPL) – BUY 
Current Price: PKR 167
Target Price: PKR 177

Pak Suzuki Motors (PSMC) – BUY 
Current Price: PKR 521.7
Target Price: PKR 661

Pakistan State Oil (PSO) – BUY 
Current Price: PKR 407
Target Price: PKR 490

Pakistan Telecommunications (PTC) – BUY 
Current Price: PKR 17.79
Target Price: PKR 21.9

Tariq Glass (TGL) – BUY 
Current Price: PKR 104
Target Price: PKR 120

United Bank Limited (UBL) – BUY 
Current Price: PKR 226
Target Price: PKR 235

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

1 comment:

  1. what is the target price of BAFL till March, 2017. (any idea)