Pakistani (KSE) Materials Sector Analysis
- 7D-2.9%
- 3M-14.4%
- 1Y-6.2%
- YTD-11.9%
Over the last 7 days, the Materials industry has dropped 2.9%, driven by a decline by Lucky Cement of 6.5%. However, the industry is down 6.2% over the past year.
Sector Valuation and Performance
Has the Pakistani Materials Sector valuation changed over the past few years?
| Date | Market Cap | Revenue | Earnings | PE |
|---|---|---|---|---|
| Sun, 05 Dec 2021 | PK₨1.7t | PK₨2.5t | PK₨284.9b | 7.2x |
| Tue, 02 Nov 2021 | PK₨1.7t | PK₨2.5t | PK₨284.4b | 7.7x |
| Thu, 30 Sep 2021 | PK₨1.6t | PK₨2.3t | PK₨259.8b | 7.8x |
| Sat, 28 Aug 2021 | PK₨1.8t | PK₨2.3t | PK₨255.1b | 9.3x |
| Sun, 04 Jul 2021 | PK₨1.8t | PK₨2.3t | PK₨253.8b | 9.1x |
| Wed, 07 Apr 2021 | PK₨1.7t | PK₨2.2t | PK₨222.2b | 9.8x |
| Sat, 09 Jan 2021 | PK₨1.7t | PK₨2.0t | PK₨154.1b | 13.7x |
| Fri, 02 Oct 2020 | PK₨1.5t | PK₨1.9t | PK₨100.8b | 15.9x |
| Mon, 06 Jul 2020 | PK₨1.3t | PK₨1.8t | PK₨68.5b | 14.6x |
| Thu, 09 Apr 2020 | PK₨1.0t | PK₨1.9t | PK₨75.4b | 9.4x |
| Wed, 01 Jan 2020 | PK₨1.3t | PK₨1.9t | PK₨102.9b | 12.2x |
| Sat, 05 Oct 2019 | PK₨1.0t | PK₨1.8t | PK₨118.1b | 7.2x |
| Tue, 09 Jul 2019 | PK₨1.1t | PK₨1.8t | PK₨135.9b | 6.5x |
| Mon, 01 Apr 2019 | PK₨1.3t | PK₨1.7t | PK₨150.0b | 7.6x |
| Thu, 03 Jan 2019 | PK₨1.3t | PK₨1.6t | PK₨166.8b | 7.3x |
7.3x
Current Industry PE: Investors are relatively neutral on the industry at the moment, considering it's trading close to its 3-year average PE ratio of 10.4x. It appears they believe that earnings will grow in-line with historical growth rates.
Past Earnings Growth: The earnings for companies in the Materials industry have grown 20% per year over the last three years, and revenues for these companies have grown 15% per year. This means that more sales are being generated by these companies overall, and subsequently their profits are increasing too.
Industry Trends
Which industries have driven the changes within the Pakistani Materials sector?
| Paper and Forestry Products | 2.10% | |
| Chemicals | -1.54% | |
| Basic Materials | -4.01% | |
| Metals and Mining | -5.79% | |
| Packaging | -6.81% | |
Industry PE: Investors are most optimistic about the Basic Materials industry even though it's trading below its 3-year average PE ratio of 16.9x. However analysts are expecting annual earnings growth of 19%, which is lower than the prior year's growth of 173% per year. So the market might believe that analysts are underestimating future growth. Meanwhile, investors are most pessimistic about the Chemicals industry, which is trading below its 3-year average of 9.2x.
Forecasted Growth: Analysts are most optimistic on the Basic Materials industry, expecting annual earnings growth of 19% over the next 5 years. However this is lower than its past earnings growth rate of 173% per year. Meanwhile, the Chemicals industry is expected to see its earnings decline by 8.3% per year over the next few years.
Top Stock Gainers and Losers
Which companies have driven the market over the last 7 days?
| Company | 7D | 1Y | Valuation | |
|---|---|---|---|---|
| FATIMA Fatima Fertilizer | 4.1%+PK₨2.9b | 26.5% | PE4.2x | |
| PKGS Packages | 2.9%+PK₨1.3b | -6.3% | PE6.4x | |
| ICI ICI Pakistan | 1.7%+PK₨1.1b | -2.1% | PE8.1x | |
| ENGRO Engro | 0.6%+PK₨1.0b | -8.0% | PE5.4x | |
| STPL Siddiqsons Tin Plate | 5.1%+PK₨135.3m | -25.7% | PE6.2x |