Benchmark index falls 367 points during the week, closes at 49,008.
Futures roll-over week, a decision-less Panama case, unearthing of more broker frauds and deterioration of the security situation weighed in on investor sentiment, resulting in the index remaining under pressure. The week started on a bearish note as systematic risks overshadowed company-specific positive news flows. Index heavy weight Engro continued its decline during the early part of the week amid below expected dividend payout of Rs4/share announced last week.
Bestway Cement remained the key outperformer during the week with a gain of 1.4% post announcement of its non-binding agreement with Dewan Cement Limited (DCL) for acquisition of Hattar plant.
Sui Southern Gas Company (SSGC) also gained traction (up 3.7% week-on-week) on recommendation of additional allowance of UFG by a reputable advisory firm.
Furthermore, Services Industries Ltd entered into a manufacturing and supply agreement with Total Parco Pakistan to supply it with lubricants.
During the week, results of some blue-chips were released which garnered mixed reactions from the investors.
Hub Power Company Limited announced its 1HFY17 result, posting earnings per share (EPS) of Rs4.38/sh and a dividend of Rs1.50/sh, Kot Addu Power Company announced its 1HFY17 EPS of Rs4.74/sh along a dividend of Rs.4.30/sh.
On the last session of the week, Nishat Chunian Power Limited posted its result for 1HFY17 with an EPS of Rs1.76/sh, however, the management did not announce any cash dividend with the result that led to heavy selling in the stock.
Foreigners were net sellers of $4.8 million during the week against buying of $4.2 million during the previous week. Major buying was seen in the fertiliser sector whereas major selling was seen in power generation and distribution.
Average traded volume and value declined by 9% and 18% week-on-week, respectively, while mutual funds remained net buyers with a net investment of $26.7 million during the week.
Winners of the week
Indus Dyeing
Indus Dyeing & Manufacturing Company Ltd manufactures and sells yarn.
Bestway Cement
Bestway Cement Limited produces and sells cement.
Losers of the week
The Bank Of Punjab
The Bank of Punjab (Pakistan) operates under the status of a scheduled bank in Pakistan. The bank provides commercial banking services.
Hascol Petroleum Limited
Hascol Petroleum Limited is engaged in the purchase, storage and sale of petroleum products such as fuel oil, high speed diesel, gasoline, Jet A-1, LPG and lubricant.
Published in The Express Tribune, February 26th, 2017.
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