The benchmark equity bourse marked a resurgence during the outgoing month of Sep’23. At the onset of the month, the caretaker PM informed that KSA is expected to invest USD 25bn in Pakistan, which elated the market sentiment. Moreover, the PKR witnessed a strong comeback with a sharp appreciation after a crackdown against foreign currency smuggling was initiated.… Continue

TRG Pakistan (TRG) announced its 4QFY23 LPS of Rs12.9 as against LPS of Rs6.3 in 3QFY23 which remained in line with expectations. This takes full year FY23 LPS at Rs2.5 vs LPS of Rs9.1 in FY22.

The company did not announce any cash dividend along with the results.… Continue

Despite the dismal economic circumstances, external account pressures, highest-ever inflation reading in FY23, and lower demand across major sectors, the profitability of the KSE-100 index showcased an upward trend, posting a healthy growth 20.6% YoY in FY23 and 70.3% YoY in 4QFY23.… Continue

According to Arif Habib Ltd Sales, OGDC PA and PPL PA announced that they are seeking a foreign investor for the Reko Diq project.

The research house, in a brief note on PSX performance said today:-

· Failure to ignite in the last session of the week (-0.4% WoW) and month (+2.7% MoM) but still maintaining 46k.… Continue

Oil & Gas Development Company Limited (OGDC) announced its financial result today, posting a highest ever profit after tax of PKR 224,619mn (EPS: PKR 52.23) during FY23 compared to PKR 133,784mn (EPS: PKR 31.11) in FY22, showcasing a jump of 68% YoY.… Continue

The market sentiment remained predominantly positive this week, bolstered by significant developments on the economic and political front. On the political front, the Election Commission of Pakistan has announced that the general elections in the country would be held in the last week of Jan’24, effectively settling uncertainty in the market.… Continue

The outgoing week saw the market awaiting the MPC meeting’s decision, wherein expectations ranged from ~0% to 2% hike in the policy rate, and last week’s T-Bill auction suggested the latter. However, the Finance Ministry left the policy rate unchanged at 22%, citing controlled inflation and lower CAD, amongst others, as the main impetus to maintaining the status quo.… Continue

According to Spectrum Research, the KSE100 index experienced a notable decline of 2,359 points, closing at 45,313 points, primarily attributed to the PKR’s devaluation against the USD by 1.5%WoW to PKR305/USD in the interbank market.

This downward trajectory was further exacerbated by the absence of progress in resolving the persistent circular debt issue and the uncertainty surrounding the government’s stance on reverting electricity tariff hikes, which had prompted protests and received mixed directives from the prime minister.… Continue

· The KSE100 index faced downward pressure throughout the month of August, witnessing a correction of 3,032 points to conclude at 45,002 points, marking a 6.3%MoM drop. KSE100 daily traded volume remains lacklustre, averaging 165mn shares vs. an average of 186mn shares in the previous month, signifying a 12%MoM decline.… Continue

Systems Limited (SYS) gross margins clocked in at 27% in 1H2023 vs 32% in 1H2022. The major reasons include (1) inflationary adjustments in salaries, (2) increase in energy prices impacting local & foreign travelling, (3) currency devaluation impacting onsite resources cost along with licenses & subscription cost, (4) high amortisation cost of intellectual property purchased by NDC, and (5) net addition in human capital.… Continue

Kot Addu Power Company Limited (KAPCO) is scheduled to announce its 4QFY23 financial result on Sep 6th 2023. We expect, the company to post a profit after tax of PKR 675mn (EPS: PKR 0.77) during 4QFY23. The company is expected to report zero sales during 4QFY23 due to the completion of PPA on Oct 24th, 2022, the plant has been out of operations since then.… Continue

The Hub Power Company Limited (HUBC) to post a profit after tax of PKR 11.4bn (EPS: PKR 8.80) in 4QFY23 compared to PKR 7.0bn (EPS: PKR 5.41) during 4QFY22. The YoY rise in earnings is expected due to 36% PKR depreciation and the addition of TEL and ThalNova.… Continue

SYS—2QCY23 earnings expected to clock in at PkR11.32/sh: We expect SYS to maintain its high earnings trajectory owing to strong growth within almost all geographies, mainly MEA which has recently overtaken revenues from the North American region to become the biggest contributor to total revenues.… Continue

The KSE100 Index slightly declined by 206pts WoW, closing at 48,218; the market declined as the delay in the formation of a new interim cabinet,  a significant depreciation of PKR against USD by PKR7.29/USD to PKR295.77/USD along with an increase in petrol & diesel prices by around PKR20/litre hurt the stock market.… Continue

According to Arif Habib Ltd Sales, the volatility resumed around the key 48k pivot, leaving the potential for 46-47k support to be tested. It adds that OGDC PA (-3.58%), PPL PA (-4.29%), and MEBL PA (-2.39%) were the key blue chips that were sharply lower.… Continue

Engro Polymer & Chemicals Limited (EPCL) announced its 2QCY23 financial result today, where the company posted a profit after tax (PAT) of PKR 1,562mn (EPS: PKR 1.72), down by 33% YoY compared to PKR 2,338mn (EPS: PKR 2.57) during SPLY. On a QoQ basis, earnings increased by 32%.… Continue

The bullish momentum gained further exuberance as bulls managed to cross another barrier to surpass 48,000 with minimal resistance from bears. During the week, the index gained >1,500pts compared to the 1,156pts added in the last week. The breach of this barrier was led by blue-chip stocks from the banking sector and the energy chain.… Continue

· Heavyweights OGDC PA (+6.28), HBL PA +5.74%), ENGRO PA (+2.42%), and MCB PA (+1.55%) lifted Pakistan higher to now approach the weekly draw on liquidity @ 49k without consolidation.

· MCB PA announced 1HCY23 earnings which beat expectations and HBL PA was informed by the Agha Khan Fund for Economic Development of its intention to acquire additional shares of HBL from the open market amounting to PKR 3.5bn which is around 34mnsh at CMP.… Continue

In Jul’23, PSX demonstrated exceptional performance, characterized by various positive developments. At the onset of the month, the government secured a significant Stand-by Arrangement (SBA) facility of USD 3bn from the IMF, of which USD 1.2bn was promptly disbursed. This pivotal IMF deal led to an upgrade in Pakistan’s sovereign rating by Fitch from CCC- to CCC.… Continue

· Anticipation of more Saudi money and the Pakistan Mineral Summit lifted the KSE-100 further to cross 48k.

· Large caps again led the way, with OGDC PA (+7.5%), PPL PA (+6.7%), HBL PA (+7.15), and PSO PA (+4.94%) all seeing strong gains.… Continue

The local bourse opened on a negative note on Monday due to profit-taking witnessed by the investors. Moreover, the country report released by the IMF hinted at keeping the monetary policy tight, dividing the market sentiments regarding interest rates in upcoming policies.… Continue

Fauji Fertilizer Bin Qasim Limited (FFBL) is scheduled to announce its financial result for 1HCY23 on 21st Jul’23, where we expect the company to post a loss after tax of PKR 3,837mn (LPS: PKR 2.97) compared to a profit after tax of PKR 3,410mn (EPS: PKR 2.64) in SPLY due to massive exchange loss of PKR 4,620mn during 1QCY23.… Continue

The research house – AHL Research in Pakistan, believes that the topline of Tariq Glass Industries Limited (TGL) will improve from the first quarter of FY25. The company sells glassware, dinnerware, opal glass, and float glass in-house. It exports its products to Sri Lanka, Saudi Arabia, Afghanistan, and other countries, while domestic sales account for most of its revenue.… Continue

Spectrum Research has issued a review of PSX this week’s performance. It says that KSE100 experienced a sustainable surge, gaining nearly 861pts and closing at 45,068. The upswing was fueled by the anticipation of investors regarding loan, approved in IMF board meeting which held on July 12.… Continue

Arif Habib Ltd has said corrections are healthy and part of bull markets. The Pakistan Stock Exchange saw trading on both sides and ended in the red. The dip came following approval and receipt of USD 1.2bn from the IMF to take FX reserves up by USD 4.2bn this week.… Continue