Pakistan Stock Exchange (PSX) Weekly Analysis 14 July, 2019

BUY recommendations are:  ACPL, AKBL, APL, ASTL, BAHL, BAFL, BOP, CHCC, DGKC, EFERT, EFOODS, ENGRO, EPCL, FATIMA, FFBL, FCCL, FFBL, FFC, GWLC, HASCOL, HBL, HCAR, HUBCO, INDU, KAPCO, KOHC, LOTCHEM, LUCK, MARI, MCB, MEBL, MLCF, MTL, NBP, NCL, NCPL, NML, NPL, OGDC, PAEL, PIOC, POL, PPL, PSMC, PSO, SNGP, and UBL.

Top gainers of last week were:  FFC, DAWH, and EFERT.

Top losers of last week were: HUBC, PSO, BAHL, DGKC, and INDU.

Top Volume Leaders of last week:  MLCF, KEL, LOTCHEM, TRG.

The Pakistan Stock Exchange (PSX) market index remained under selling pressure during the outgoing week. The benchmark KSE-100 Index closed at 33,672 levels by losing 518 points or 1.5%.

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


  • Trading activity in KSE-100 index remained immensely dull as average volumes during the week clocked around 51mn shares. It is pertinent to note that the volumes in the outgoing week were lowest in the last 7 years (last witnessed ~28mn in Jan-2012)
  • Activity slowed down with volumes dipping 41% week-on-week to 51 million shares, while value traded declined 36% to $13 million
  • Investors remained sidelined primarily due to uncertainty amongst participants on the market support fund after ceiling imposed by IMF on government guarantees coupled with a possible hike in the policy rate in the upcoming Monetary Policy meeting on 16th July 2019
  • According to experts, it is expected the policy rates to increase in the range of 50-100bps which will further dampen the earnings of debt laden companies, while the market is expected to remain listless and shoddy in near-term
  • It has also been forecasted that the index might trim further on early announcement of the monetary policy with the general perception that the central bank would likely increase the rate
  • Automobile assembler sector witnessed an attrition of 6% during the week. This was primarily attributable to the news flow by a local magazine highlighting that HCAR & INDU have decided to cut down their production by 20-25% owing to lesser demand
  • According to the latest published automobile sales, passenger car sales depicted the highest decline in the last 6 years, which also added to the investor’s concerns
  • Based on NCCPL data, foreigners remained net buyers amounting to US$5.9mn. On the local’s side, Mutual Funds remained net seller of US$5.3mn respectively
  • Commercial banks eroded highest 81 points from the index followed by E&P companies which contributed 77 points negatively. However, fertilizer sector added 37 points positively to index
  • Trade Deficit for Jun-19 clocked around US$2.6bn, down 30% YoY (-10% MoM)
  • The release of Rs200-billion Sukuk for oil and gas marketing companies and the power sector also added to anxieties, and pushed the market lower. Resultantly, heavy selling was witnessed in related stocks
  • Government, industry agreed on increase in urea prices by Rs110 per bag
  • RLNG prices increased up to 4% for July
  • Bank deposits hit all-time high of Rs14.46 trillion mainly due to amnesty scheme and seasonal targets


Following are few BUY recommendations:

Attock Cement Ltd. (ACPL) – BUY 
Current Price: PKR 73.00
Target Price: PKR 142.6

Askari Bank (AKBL) – BUY 
Current Price: PKR 19.00
Target Price: PKR 28.4

Attock Petroleum (APL) – BUY 
Current Price: PKR 301.53
Target Price: PKR 479.57

Amreli Steels Limited (ASTL) – BUY 
Current Price: PKR 22.69
Target Price: PKR 58.0

Bank Al-Habib (BAHL) – BUY 
Current Price: PKR 77.02
Target Price: PKR  97.64

Bank Al-Falah (BAFL) – BUY 
Current Price: PKR 42.75
Target Price: PKR  60.1

Bank of Punjab (BOP) – BUY 
Current Price: PKR 8.79
Target Price: PKR 18.3

Cherat Cement Co Limited (CHCC) – BUY 
Current Price: PKR 32.67
Target Price: PKR 71.00

D.G. Khan Cement Co. (DGKC) – BUY 
Current Price: PKR 50.14
Target Price: PKR 93.91

Engro Fertilizer (EFERT) – BUY 
Current Price: PKR 66.78
Target Price: PKR 91.0

Engro Foods (EFOODS) – BUY 
Current Price: PKR 52.33
Target Price: PKR 80.87

Engro Corporations (ENGRO) – BUY 
Current Price: PKR 269.09
Target Price: PKR 359.6

Engro Polymer & Chemical (EPCL) – BUY 
Current Price: PKR 27.65
Target Price: PKR 46.3

Fatima Fertilizer (FATIMA) – BUY 
Current Price: PKR 27.92
Target Price: PKR 35.75

Fauji Fertilizer Bin Qasim (FFBL) – BUY 
Current Price: PKR 19.09
Target Price: PKR 35.73

Fauji Fertilizer Company (FFC) – BUY 
Current Price: PKR 94.02
Target Price: PKR 115.77

Fauji Cement Company (FCCL) – BUY 
Current Price: PKR 14.99
Target Price: PKR 18.87

Gharibwal Cement Ltd (GWLC) – BUY 
Current Price: PKR 9.87
Target Price: PKR 25

Hascol Petroleum (HASCOL) – BUY 
Current Price: PKR 59.14
Target Price: PKR 234.57

Habib Bank Limited (HBL) – BUY 
Current Price: PKR 118.89
Target Price: PKR 143.25

Honda Atlas Cars (HCAR) – BUY 
Current Price: PKR 141.34
Target Price: PKR 206.8

HUB Power Co. (HUBCO) – BUY 
Current Price: PKR 77.49
Target Price: PKR 101.05

Indus Motors (INDU) – BUY 
Current Price: PKR 1,178.14
Target Price: PKR 1,426.6

Kot Addu Power Co. (KAPCO) – BUY 
Current Price: PKR 34.63
Target Price: PKR 61.4

Kohat Cement Company (KOHC) – BUY 
Current Price: PKR 51.75
Target Price: PKR 111

Lotte Chemical Pak Ltd. (LOTCHEM) – BUY 
Current Price: PKR 15.97
Target Price: PKR 25.3

Lucky Cement (LUCK) – BUY 
Current Price: PKR 378.48
Target Price: PKR 581.40

Mari Petroleum Ltd. (MARI) – BUY 
Current Price: PKR   978.14
Target Price: PKR 1,983.6

Muslim Commercial Bank (MCB) – BUY 
Current Price: PKR   175.06
Target Price: PKR 224

Meezan Bank Limited (MEBL) – BUY 
Current Price: PKR 82.52
Target Price: PKR 115.80

Maple Leaf Cement (MLCF) – BUY 
Current Price: PKR 22.12
Target Price: PKR 56.6

Millat Tractors Limited (MTL) – BUY 
Current Price: PKR 839.19
Target Price: PKR 1,017

National Bank of Pakistan (NBP) – BUY 
Current Price: PKR 36.45
Target Price: PKR 54.3

Nishat Chunian Limited (NCL) – BUY 
Current Price: PKR 32.87
Target Price: PKR 55.00

Nishat Chunian Power Limited (NCPL) – BUY 
Current Price: PKR 17.14
Target Price: PKR 27.8

Nishat Mills (NML) – BUY 
Current Price: PKR 90.58
Target Price: PKR 158.00

Nishat Power Limited (NPL) – BUY 
Current Price: PKR 24.82
Target Price: PKR 32.5

Oil & Gas Development Co. (OGDC) – BUY 
Current Price: PKR 130.92
Target Price: PKR 190

Pak Elecktron Ltd (PAEL) – BUY 
Current Price: PKR 19.08
Target Price: PKR 28.20

Pioneer Cement Limited (PIOC) – BUY 
Current Price: PKR 21.60
Target Price: PKR 46.0

Pakistan Oilfields (POL) – BUY 
Current Price: PKR 398.40
Target Price: PKR 593.0

Pakistan Petroleum (PPL) – BUY 
Current Price: PKR 144.98
Target Price: PKR 208

Pak Suzuki Motors (PSMC) – BUY 
Current Price: PKR 202.62
Target Price: PKR 275.08

Pakistan State Oil (PSO) – BUY 
Current Price: PKR 158.21
Target Price: PKR 298.00

Sui Northern Gas Pipeline (SNGP) – BUY 
Current Price: PKR 68.37
Target Price: PKR 96.2

United Bank Limited (UBL) – BUY 
Current Price: PKR 149.25
Target Price: PKR 165.50

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. The information given in this blog /forum (http://www.karachistockexchange.org/) is as of the date of this post and there can be no assurance that future results or events will be consistent with this information. This post is provided for assistance only and is not intended to be and must not alone be taken as the basis for any investment decision. The user assumes the entire risk of any use made of this information. Each viewer of this post should make such investigation as it deems necessary to arrive at an independent evaluation of an investment in the securities of companies referred to in this post (including the merits and risks involved), and should consult his or her own advisors to determine the merits and risks of such investment. This blog /forum (http://www.karachistockexchange.org/)  or any of its affiliates shall not be in any way responsible for any loss or damage that may be arise to any person from any inadvertent error in the information contained in this post.

Written by: Rana Khuram

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