AZEE Securities
February 8, 2025 at 10:58 AM
*📈 KSE-100 Index Weekly Wrap*
The market remained under pressure this week, closing at 110,323 points (-3,933 points | -3.44% WoW) as profit-taking and concerns over the upcoming IMF review weighed on sentiment.
*Economic Highlights*
Inflation in Jan’25 dropped to a 101-month low of 2.4% YoY.
Trade deficit widened 18% YoY in Jan’25, reaching USD 2.3bn.
SBP raised PKR 452bn in the latest T-bill auction against a target of PKR 450bn.
Petroleum sales remained stable at 1.38mn tons YoY, with 8% MoM growth.
Cement dispatches surged 14% YoY to 3,895K tons in Jan’25.
Fertilizer sales declined: Urea (-27% YoY), DAP (-6% YoY).
SBP reserves increased USD 46mn WoW, reaching USD 11.4bn.
*Key Developments*
Kia Lucky Motors launches EV9-GT Line SUV in Pakistan.
FBR demands Rs18bn from a tractor manufacturer.
PM likely to approve a housing sector package.
Exports rose 10% YoY to $19.55bn (July-Jan’25).
SBP raised Rs651bn through floating rate PIBs.
*Outlook and Recommendation*
The market is expected to turn positive next week, driven by earnings season and selective buying in key scrips.
🔹 KSE-100 is trading at 6.0x (2025E PER) vs. 10-year average of 8.0x, offering an 8.4% dividend yield (vs. 10-year avg: 6.5%).
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