KARACHI, Feb 15: The stock market on Friday closed the pre-election session on a steady note amid selective price flare-up and active trading, leaving a level-playing ground for both the bulls and bears during the post-election session.
After having touched the session’s peak at 14,419.34 earlier, the Karachi Stock Exchange (KSE) 100-share index finished with a clipped gain of 70.78 points at 14,353.84 points as compared to 14,283.06 points a day earlier.
The recomposed KSE 30-share index made a firm debut around the previous level as deleting of eight shares and adding the same number to the list did not make any difference in terms of weightage. It also ended with a gain of 59.68 points at 17,295.97. Analysts said some well-informed brokers may have found the cue through their reliable political sources about the post-election setup leading to smooth transition.
But some others say it was the strength of corporate earnings and higher dividend and bonus shares, which are keeping bulls on the warpath and for good reasons too.
“The investors may have ignored some of the negative political developments at least for the near-term apparently carried away by the flurry of higher payouts, and the post-election trading will show the real worth of their current buying euphoria,” said a leading analyst.
Earnings of some of the leading banks, notably United Bank and Habib Bank decreased as compared to previous year, but their income-sharing with their shareholders is in line with the market expectations.
ICI Pakistan also maintained its growth rate after posting fresh gains in almost all sectors.
A cash dividend of 40 per cent plus bonus shares of 10 per cent by the Habib Bank, for instance, during its maiden listing year is pretty encouraging and so was final cash of 150 per cent by Al-Ghazi Tractors (interim 200 per cent already paid).
The MCB has come out with a final dividend of 50 per cent, an interim of 75 per cent already paid on after-tax-profit of Rs15.27 billion.
Prominent gainers were led by AKD Capital and EFU Life Insurance, up by Rs32.85 and Rs30.05 followed by United Bank, Sapphire Fibres, Tri-Pak Films, United Sugar, Fazal Textiles, Shell Gas, Pakistan Engineering and National Foods, IGI Insurance, up by Rs6.95 to Rs20.25.
Losers were led by Arif Habib Ltd, Shell Pakistan, Clover Pakistan, JS & Co, JS Global, Central Insurance, and HinoPak Motors, which suffered falls ranging from Rs6 to 10
Trading volume fell to 292 million shares from the previous 339 million shares as losers held a modest lead over gainers at 166 to 138, with 45 shares holding on to the last levels.
The OGDC led the list of actives, up by Rs3.90 at Rs125.10 on 52 million shares on renewed support aided by board meeting next week, followed by PTCL, firm by 65 paisa at Rs41.10 on 15 million shares, National Bank, steady by 30 paisa at Rs243.10 on 13 million shares, Bank of Punjab, lower 20 paisa at Rs96.70 on 12 million shares, Arif Habib Securities, off Rs3.40 at Rs176.40 on 10 million shares, Pakistan Petroleum, easy by 70 paisa at Rs255.10 on nine million and Bank Al-Falah, off 50 paisa at Rs58 on seven million shares.
Other actives included Nishat Mills, easy by five paisa at Rs101 on 13 million shares, Fauji Cement (right shares), lower by five paisa on 11 million shares and WorldCall Telecom, easy by 30 paisa at Rs17.20 on nine million shares.
FORWARD COUNTER: The OGDC also led the list of actives on the cleared list, higher by 3.60 at Rs125.05 on nine million shares, MCB Bank, off Rs4.80 at Rs403.20 on five million shares and National Bank, easy by 60 paisa at Rs243.10 on four million shares.Bank of Punjab followed them, unchanged at Rs97 on three million shares and Lucky Cement, up 40 paisa at Rs122.70 on two million shares.
DEFAULTER COs: Zeal Pak cement came in for active selling and was quoted lower by 15 paisa at Rs.4.45 on 1.083m shares followed by Norrie Textiles, easy by five paisa at Rs.2.20 on 0.541m shares and Japan Power, up 20 paisa at Rs.7.10 on 0.306m shares. Unity Modaraba fell by five paisa at Rs.1.45 on 0.138m shares.
DIVIDEND: PSO, second interim 60 per cent (interim 50 per cent already paid), Rafhan Maize products, final cash 400 per cent (two interim of 550 per cent already paid), IGI Insurance, cash 15 per cent, interim of 25 per cent already paid.
Followed by Packages, bonus shares 15 per cent, United Bank, cash final 30 per cent plus bonus shares 25 per cent, Unilever Pakistan Foods, cash 180 per cent.