Pakistan Stock Exchange (PSX) Weekly Analysis 23 January, 2017


Top gainers of last week were: Millat Tractors, National Refinery, Abbott Lab., Sui North Gas, Honda Atlas Cars, Soneri Bank Ltd, IGI Insurance, J.D.W.Sugar, Inter.Steel Ltd and Pak Tobacco.

Top losers of last week were: Oil & Gas Dev., St.Chart.Bank, Service Ind.Ltd, Habib Bank, United Bank, Ghani Glass LtdXD, P.S.O., Allied Bank Ltd., Ferozsons (Lab) and MCB Bank Ltd.

Top Volume Leaders of last week: KEL, BOP, FABL, TRG, SSGC, PAEL, EFERT, SNGP, NCL, OGDC, and FFC.

The Pakistan Stock Exchange (PSX) market index Index remained volatile during the week owing to political developments related to Panama‐gate case. KSE-100 index has reached on 49,365 by increasing 154 points or 0.31 %.While KSE-30 index has reached on 26,437 by decreasing -302 points or -1.13 %.

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

  • The sole salvaging factor for the benchmark in the earlier half of the week was a rally in fertilizer names as the prime minister announced restoration of subsidy on the commodity, to be funded by the federal exchequer
  • MLCF announced its brown-field expansion taking its installed capacity to 18,000 TPD and POWER chipped in with its intention to triple its production capacity putting to rest any rumors regarding its merger/acquisition
  • PPL declare its long awaited results whereby it booked an impairment of more than PKR6bn on its Europe subsidiary (MND exploration)
  • The announcement of 5% divestment of the E&P giant OGDC by the government through the equity markets suppressed the stock into red as investors foresee a large infusion into an already bloated float of the stock
  • The levy of anti-dumping duty on imported steel products from China and Ukraine cheered steel stocks as they scored multiple upper circuits
  • PAEL re-embarked on an upwards journey led by anticipation of growing earnings as the company introduced a slew of new products in its consumer division and a strong order book in the transformers segment
  • Shanghai Electric Power (SEP) said on Friday it has received approval from the Chinese Ministry of Commerce to acquire stakes in K-Electric. One of Abraaj Group’s companies. The deal, when closed, will be worth $1.77 billion
  • Federal Minister for Planning, Development and Reforms Ahsan Iqbal Monday said that Diamer-Bhasha Dam would also be part of the China-Pakistan Economic Corridor (CPEC) 
  • Chairman Alibaba Group Jack Ma Wednesday evinced keen interest in investing in Pakistan and to build an e-Commerce platform to further promote online business ventures 
  • Arif Habib Group, one of the largest private-sector conglomerates in Pakistan, has said that it is going to invest Rs25 billion (or $235 million) in a new cement plant that will be completed in the next two years
  • Refinery remained best performing sector mainly led by National Refinery (NRL). The stock rallied 16% during the week in anticipation of better earnings after its plant up-gradation
  • In line with past many weeks trend, foreigners remained net sellers of US$46.6mn during the week. Main selling by foreigners was seen in Banks, followed by Textile and Electricity
  • Ghani Gases (GGL) notified long term equity investments of Rs450mn in Ghani Global Glass (GGGL/ an associated listed company) through purchase of 25,000,000 ordinary shares (equal to 25% of total paid up capital of GGGL) at Rs18 per share in accordance with the special resolution passed by shareholders of the Company
  • Proposal by the Ministry to allow export of 0.3mn tons of urea
  • SECP proposed setting requirement all equity funds and funds of funds would have to maintain at least 5% of net assets in cash and cash equivalents

Following are few BUY recommendations:

Allied Bank Limited (ABL) – BUY 
Current Price: PKR 116.22
Target Price: PKR 132

Adamjee Insurance (AICL) – BUY 
Current Price: PKR 74.18
Target Price: PKR 92

Attock Petroleum (APL) – BUY 
Current Price: PKR 704.10
Target Price: PKR 796

Al Shaheer Corpporation Ltd. (ASC) – BUY 
Current Price: PKR 59.89
Target Price: PKR 82

Bank Al-Habib Limited (BAHL) – BUY 
Current Price: PKR 58.57
Target Price: PKR 64

Dera Ghazi Khan Cement (DGKC) – BUY 
Current Price: PKR 224.92
Target Price: PKR 270

Current Price: PKR 202.17
Target Price: PKR 220

ENGRO Fertilizer Limited (EFERT) – BUY 
Current Price: PKR 70.38
Target Price: PKR 83

Engro Corporation (ENGRO) – BUY
Current Price: PKR 333.82
Target Price: PKR 391

Fauji Cement Company Limited (FCCL) – BUY 
Current Price: PKR 46.41
Target Price: PKR 54

Fauji Fert Bin Qasim (FFBL) – BUY 
Current Price: PKR 54.83
Target Price: PKR 67

Hascol Petroleum (HASCOL) – BUY 
Current Price: PKR 347.07
Target Price: PKR 428

Habib Bank Limited (HBL) – BUY 
Current Price: PKR 260.58
Target Price: PKR 304

Indus Motors (INDU) – BUY
Current Price: PKR 1,787.24
Target Price: PKR 1,974

Kot Adu Power (KAPCO) – BUY
Current Price: PKR 83.09
Target Price: PKR 107

K-Electric (KEL) – BUY
Current Price: PKR 9.56
Target Price: PKR 13

Kohat Cement (KOHC) – BUY
Current Price: PKR 297.76
Target Price: PKR 353

Lalpir Power (LPL) – BUY 
Current Price: PKR 23.89
Target Price: PKR 46

Lucky Cement (LUCK) – BUY 
Current Price: PKR 872.51
Target Price: PKR 1,046

Maple Leaf Cement (MLCF) – BUY 
Current Price: PKR 133.61
Target Price: PKR 165

Muslim Commercial Bank (MCB) – BUY 
Current Price: PKR 243.52
Target Price: PKR 280

Meezan Bank (MEBL) – BUY 
Current Price: PKR 64.50
Target Price: PKR 72

National Foods (NATF) – BUY 
Current Price: PKR 379.95
Target Price: PKR 473

Nishat Power (NPL) – BUY 
Current Price: PKR 67.50
Target Price: PKR 81

Oil & Gas Development Co. (OGDC) – BUY 
Current Price: PKR 155.30
Target Price: PKR 200

Pioneer Cement Limited (PIOC) – BUY 
Current Price: PKR 146.20
Target Price: PKR 161

Pakgen Power (PKGP) – BUY 
Current Price: PKR 26.42
Target Price: PKR 47

Pakistan Petroleum Limited (PPL) – BUY 
Current Price: PKR 177.05
Target Price: PKR 218

Pakistan State Oil (PSO) – BUY 
Current Price: PKR 435.70
Target Price: PKR 490

Pakistan Telecommunications (PTC) – BUY 
Current Price: PKR 19.36
Target Price: PKR 21.9

Tariq Glass (TGL) – BUY 
Current Price: PKR 108.2
Target Price: PKR 120

United Bank Limited (UBL) – BUY 
Current Price: PKR 238.41
Target Price: PKR 294

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

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