· Market continued to remain volatile as Country reported alarming rise in Covid-19 cases. Market opened on a bleak note and stayed dull throughout the day even after passing of mini-budget by NA as investors remained risk-averse due to rising Covid-19 cases.… Continue
· Market remained volatile today as Country reported highest ever Covid-19 infections in the last 4 months. Market opened on a bleak note as investors remained risk-averse. In Refinery sector, CNERGY remained in the limelight as its board approved acquisition of 57.37% stake in Puma Energy by virtue of which it will become second largest retail fuel network in Pakistan.… Continue
§ Market remained volatile today due to rapid surge in the Covid-19 cases as within the past 10 days positivity rate has jumped from 1.08 percent to 3.66 percent showing an increase of 338.9 percent since the start of the new year.… Continue
· Market remained under pressure today due to the higher trade deficit number and rising number of Covid-19’s new variant Omicron cases in Pakistan. Trade deficit year-on-year widened by a sharp 106.4 per cent to $25.478 billion which was driven largely by a nearly triple increase in imports compared to exports.… Continue
· Market played in the range-bound area today as investors remained risk-averse due to the rising number of Covid-19’s new variant Omicron cases in Pakistan. Profit-taking was witnessed in the first trading hour while market battled between the bulls and bears throughout the day.… Continue
Expect the market to trade in a range, as IMF would approve the new tranche of US$1bn for Pakistan only when all the required actions are completed including passing of Supplementary Finance Bill 2021.
On the economic front, inflation for December edged up to 12.3% yoy, highest level in the last 21 months, mainly driven by soaring prices of fuel, electricity, transport and non-perishable food items.… Continue
· Market continued to remain range-bound due to the roll-over week. Profit-taking was witnessed in the first trading hour while market battled between the bulls and bears throughout the day. Refinery sector remained in the limelight as the Government and top management of refineries will discuss a new policy path on oil refining industry.… Continue
· Market continued to remain choppy ahead of mini-budget. The government had planned to take the cabinet’s nod to the Supplementary Finance Bill, 2021 to slap highly inflationary Rs360 billion in indirect taxes. Profit-taking was witnessed in the first trading hour then market battled between the bulls and bears throughout the day.… Continue
· As CY21 approaches close, we take a look at AKD Cement Universe’s performance during the year where even after a strong performance for 1HCY21 (up 18% against 8% of KSE-100), the sector comes out among the underperformers, posting a CYTD return of -10% against KSE-100 increasing by 1%.… Continue
Bearish players dominated Pakistan equities due to the current account deficit, which increased to $7.1bn in 5MFY22. Index initially opened on a positive note but succumbed to selling pressure as negative sentiment persists in the market.
At the end of trading, benchmark KSE100 Index closed at a level of 44,177 down 163ppt (-0.37%).… Continue
Sindh Engro Coal Mining Company (SECMC) has successfully achieved 10 million tons of coal production milestone. SECMC, one of the largest public-private partnership in the energy sector, commenced commercial operations in July 2019 with an annual production capacity of 3.8 million tons.… Continue
The market is likely to continue yesterday’s positive momentum, where the KSE-100 Index gained 439 pts (1%) on expectations of unchanged interest rates in near term as guided by State Bank.
On the economic front, Pakistan’s current account deficit widened further to US$1.91bn in November, higher import bill of US$6.4bn and decline in remittances contributed to the deficit.… Continue
· Mounting inflation and expectation of hawkish stance in the monetary tightening caused the market to open on a bleak note. Cherry picking was observed throughout the day as low P/E multiples and high dividend yield stocks attracted the value-hunters. Activity continued to remain side-ways as market witnessed hefty volumes in the 3rd tier stocks.… Continue
- With $2.4 billion of inflows during November 2021, workers’ remittances continued their strong streak of remaining above $2 billion since June 2020.
- In terms of growth, on y/y basis, remittances increased by 0.6 percent in November 2021, while they declined by 6.6 percent on m/m basis.
All eyes are on the Monetary Policy meeting due today, where expectations are that the SBP would continue its contractionary stance; we think a rate hike above 100bps would bring in more selling pressure. On the economic front, revival of IMF program might be delayed for a couple of weeks as Pakistan needs more time to implement the agreed pre-conditions.… Continue
Pakistan Petroleum Limited has informed Pakistan Stock Excahgne (PSX) about grant of Large Scale Mining Lease Deed by the Government of Balochistan (GoB) in favor of the company. According to a notification of PPL, the Company has been granted a large scale Mining Lease for Lead and Zinc, in District Khuzdar, by the Government of Balochistan and in this regard a Large Scale Mining Lease Deed has been executed, for large scale mining and establishment of a Lead-Zinc processing plant in District Khuzdar, Balochistan over an area covering 30 Sq.km… Continue
· Pakistan is set to return to double digit interest rates after just 9 months, with Monetary Policy Committee (MPC) of the SBP due to meet tomorrow, likely increasing policy rate by 125-150bps. The policy setting is likely to weigh upon buildup in trade deficit (Nov’21 at US$5.0bn) along with surprise in inflation during the previous month.… Continue
· At-Tahur Limited (PREMA) held its corporate briefing session, hosted by AKD Securities, to discuss 1QFY22 results and future outlook of the company.
To recall, the company posted NPAT of PkR221mn (EPS: PkR1.11) in 1QFY22 in contrast to PkR51mn (EPS: PkR0.26) during the same period last year, swelling 4.27x.… Continue
· Market continued to remain in the bearish zone due to concerns over economic outlook, further devaluation of Pak rupee and hawkish stance in the upcoming monetary policy. Activity remained dull. In the first session, market opened on a bleak note and mostly cyclical stocks came under the knife whereas in the second session across the board selling was witnessed due to lack of any positive trigger.… Continue
We reinstate coverage on TGL, one of the largest glass producers in Pakistan, with a Buy rating and June 2022 TP of PKR165/sh. We estimate a 5yr sales CAGR of c.16% for FY21-26f, supported by the recent c.50% increase in capacity, and rising glass consumption in Pakistan; while an oligopoly industry structure lends adequate pricing power.… Continue
To step up the fight against climate change in Pakistan, IFC is partnering with Engro Corporation to help reduce plastic waste, promote recycling, and boost the company’s energy efficiency. The project is part of IFC’s Pakistan Resource Efficiency Program, which aims to improve efficiency, cost-competitiveness, reliability, and productivity in the manufacturing sector, particularly in energy-intensive industries.… Continue
As per provisional fertilizer offtake data for the month of Nov’21, urea offtake grew by 5% YoY to 561k tons compared to 533k tons in SPLY. Offtake of FFC and FFBL (combined) and EFERT depicted a jump of 6% and 3% YoY, respectively; while sales of FATIMA remained stable.… Continue
Expect the market to trade in a range as investors are cautious over upcoming monetary policy on 14th December, where expectations are building up for an interest rate hike of 50-100bps. On the economic front, trade deficit for 5MFY22 widens to US$19.45bn up by 68.6% yoy.… Continue
The Pakistan urea industry can earn export revenues of $400-500 million by exporting fertilizer in a year if the urea industry is deregulated. This notion was shared by ENGRO Fertilizers Chief Financial Officer (CFO) Imran Ahmed while talking with local media.… Continue
· Drawing curtains to MSCI EM, KSE-100 closed Nov’21 at 45,072.4pts, denoting a –ve 2.5% performance during the month while marking the highest volatility CYTD. Avg. Volume for the month stood at 316.1mn shares compared to 279.7mn shares in Oct’21, with activity primarily tilted towards mainboards (KSE/KSE-ALL volume at 29.1% vs 26.7% FYTD).… Continue