OGDC (Oil & Gas Development Company Limited)
- Last Close: 139.56
- Stance: Bullish
- Strategy: Buy
- Support Levels: S1 138.50, S2 136.50
- Pivot: 138.51
- Resistance Levels: R1 141.50, R2 143.45, R3 146.44
- Stop Loss: 136.00
Fundamental View: OGDC, the largest exploration and production company in Pakistan, has seen significant growth driven by revised well-head gas prices, higher oil prices, and a weaker Pakistani Rupee. The company reported its highest-ever annual earnings of PKR 224.6 billion (EPS: 52.2, up 68% YoY). It is currently trading at attractive valuations with an EV/EBITDA of 1.9 and P/E of 2.8, alongside a forward dividend yield of ~10% for FY25.
PPL (Pakistan Petroleum Limited)
- Last Close: 122.28
- Stance: Bullish
- Strategy: Buy
- Support Levels: S1 122.00, S2 120.50
- Pivot: 122.26
- Resistance Levels: R1 123.22, R2 124.16, R3 125.12
- Stop Loss: 120.00
Fundamental View: PPL stands to benefit from recently announced consumer gas price hikes. Its trade receivables are currently at PKR 214 per share (3QFY24 accounts). The company’s investments in the Reko Diq project and PIOL (Adnoc) present long-term earnings catalysts post-FY27. PPL is rated as a Buy with a target price of PKR 150 per share by Dec’24, offering a 20% upside from the last close and a FY25 dividend yield of ~8%.
TOMCL (The Organic Meat Company Limited)
- Last Close: 34.92
- Stance: Bullish
- Strategy: Buy
- Support Levels: S1 34.50
- Pivot: 34.07
- Resistance Levels: R1 35.77, R2 36.61, R3 38.31
- Stop Loss: 34.00
Fundamental View: TOMCL, engaged in the processing, sale, and export of halal meat, has seen a significant increase in export revenues, especially to the US and European markets. The company’s recent acquisition of MSMH and plans for backward integration in animal fattening are expected to enhance margins and mitigate supply-side disruptions.
UBL (United Bank Limited)
- Last Close: 214.06
- Stance: Bullish
- Strategy: Buy
- Support Levels: S1 213.00, S2 211.50
- Pivot: 214.84
- Resistance Levels: R1 217.57, R2 221.08, R3 223.81
- Stop Loss: 209.00
Fundamental View: UBL has improved its CASA ratio to 88% in CY23, which has expanded NIMs alongside strong deposit growth of 27% YoY since CY22. The bank’s recent half-yearly results included PKR 44 per share in dividends for the full year, averaging a yield of 33% in CY23.
SEARL (The Searle Company Limited)
- Last Close: 59.08
- Stance: Bullish
- Strategy: Buy
- Support Levels: S1 58.50, S2 57.00
- Pivot: 58.33
- Resistance Levels: R1 60.14, R2 61.21, R3 63.02
- Stop Loss: 56.00
Fundamental View: SEARL has seen consistent topline growth with gross margins averaging 46% over the past year. The price deregulation of non-essential products, which make up 80% of its portfolio, is expected to boost profitability. Despite macroeconomic volatility, SEARL continues to grow its market share and maintain strong organic growth.
