KASE:PPL

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Pakistan Petroleum

Executive Summary

Pakistan Petroleum Limited, together with its subsidiaries, engages in the exploration, development, and production of oil and natural gas resources in Pakistan, Iraq, and Yemen. More Details

Rewards

PE ratio (5x) is below the PK market (10.3x)

Risk Analysis

No risks detected for PPL from our risk checks.


Snowflake Analysis

Flawless balance sheet and slightly overvalued.


Similar Companies

Share Price & News

How has Pakistan Petroleum's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: PPL is not significantly more volatile than the rest of PK stocks over the past 3 months, typically moving +/- 5% a week.

Volatility Over Time: PPL's weekly volatility (5%) has been stable over the past year.


Market Performance


7 Day Return

6.6%

PPL

5.0%

PK Oil and Gas

-0.04%

PK Market


1 Year Return

-24.2%

PPL

-14.3%

PK Oil and Gas

-0.6%

PK Market

Return vs Industry: PPL underperformed the PK Oil and Gas industry which returned -13.7% over the past year.

Return vs Market: PPL underperformed the PK Market which returned 0.3% over the past year.


Shareholder returns

PPLIndustryMarket
7 Day6.6%5.0%-0.04%
30 Day4.8%2.4%-2.6%
90 Day-9.4%-8.6%-2.7%
1 Year-23.4%-24.2%-10.6%-14.3%3.4%-0.6%
3 Year-30.6%-34.2%-19.0%-29.1%-3.3%-15.1%
5 Year27.3%10.2%37.2%9.0%24.3%-2.0%

Long-Term Price Volatility Vs. Market

How volatile is Pakistan Petroleum's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is Pakistan Petroleum undervalued compared to its fair value and its price relative to the market?

4.97x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: PPL (PKR90.18) is trading above our estimate of fair value (PKR14.87)

Significantly Below Fair Value: PPL is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: PPL is good value based on its PE Ratio (5x) compared to the PK Oil and Gas industry average (5.5x).

PE vs Market: PPL is good value based on its PE Ratio (5x) compared to the PK market (10.3x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate PPL's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: PPL's PB Ratio (0.7x) is in line with the PK Oil and Gas industry average.


Next Steps

Future Growth

How is Pakistan Petroleum forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?

20.8%

Forecasted Energy industry annual growth in earnings


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: Insufficient data to determine if PPL's forecast earnings growth is above the savings rate (9.7%).

Earnings vs Market: Insufficient data to determine if PPL's earnings are forecast to grow faster than the PK market

High Growth Earnings: Insufficient data to determine if earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: Insufficient data to determine if PPL's revenue is forecast to grow faster than the PK market.

High Growth Revenue: Insufficient data to determine if PPL's revenue is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if PPL's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Pakistan Petroleum performed over the past 5 years?

20.6%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: PPL has high quality earnings.

Growing Profit Margin: PPL's current net profit margins (31.8%) are lower than last year (35.7%).


Past Earnings Growth Analysis

Earnings Trend: PPL's earnings have grown significantly by 20.6% per year over the past 5 years.

Accelerating Growth: PPL's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: PPL had negative earnings growth (-17.6%) over the past year, making it difficult to compare to the Oil and Gas industry average (-17.6%).


Return on Equity

High ROE: PPL's Return on Equity (13.8%) is considered low.


Next Steps

Financial Health

How is Pakistan Petroleum's financial position?


Financial Position Analysis

Short Term Liabilities: PPL's short term assets (PKR372.5B) exceed its short term liabilities (PKR138.4B).

Long Term Liabilities: PPL's short term assets (PKR372.5B) exceed its long term liabilities (PKR65.4B).


Debt to Equity History and Analysis

Debt Level: PPL is debt free.

Reducing Debt: PPL has not had any debt for past 5 years.

Debt Coverage: PPL has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: PPL has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet


Next Steps

Dividend

What is Pakistan Petroleum current dividend yield, its reliability and sustainability?

1.11%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: PPL's dividend (1.11%) isn’t notable compared to the bottom 25% of dividend payers in the PK market (2.24%).

High Dividend: PPL's dividend (1.11%) is low compared to the top 25% of dividend payers in the PK market (8.09%).


Stability and Growth of Payments

Stable Dividend: PPL is not paying a notable dividend for the PK market, therefore no need to check if payments are stable.

Growing Dividend: PPL is not paying a notable dividend for the PK market, therefore no need to check if payments are increasing.


Current Payout to Shareholders

Dividend Coverage: PPL is not paying a notable dividend for the PK market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of PPL's dividend in 3 years as they are not forecast to pay a notable one for the PK market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

1.8yrs

Average management tenure


CEO

Moin Khan

1.83yrs

Tenure

Mr. Moin Raza Khan is Managing Director, Chief Executive Officer and Director at Pakistan Petroleum Limited since 2019 and served as its Acting Chief Executive Officer since January 7, 2019. Mr. Khan was D...


Leadership Team

NamePositionTenureCompensationOwnership
Moin Khan
MD, CEO & Director1.83yrsno datano data
Mohmmad Khalid Rehman
Chief Financial Officer0.83yrno datano data
Fareed Siddiqui
Deputy Managing Director of Technical Servicesno datano datano data
Muhammad Siddiqi
General Manager of Human Resources1.83yrsno datano data
Khalid Raza
Deputy Managing Director of Assets Operations1.17yrsno datano data
Fazal Gaffoor
Head of Corporate Planning1.83yrsno datano data
Shahana Ali
Company Secretary4.42yrsno datano data

1.8yrs

Average Tenure

Experienced Management: PPL's management team is not considered experienced ( 1.8 years average tenure), which suggests a new team.


Board Members

NamePositionTenureCompensationOwnership
Moin Khan
MD, CEO & Director1.83yrsno datano data
Sajid Qazi
Non-Executive Director2.58yrsPK₨2.81mno data
Abid Sattar
Independent Non-Executive Director1.42yrsPK₨2.43mno data
Mian Imtiazuddin
Independent Non-Executive Director1.42yrsPK₨3.82m0.000070%
PKR 171.8k
Mir Sher Marri
Independent Non-Executive Director1.42yrsPK₨3.73mno data
Shamsul Islam
Independent Chairmanno dataPK₨3.19m0.000020%
PKR 49.1k
Tahira Raza
Independent Non-Executive Director1.42yrsPK₨3.69m0.000070%
PKR 171.8k

1.4yrs

Average Tenure

Experienced Board: PPL's board of directors are not considered experienced ( 1.4 years average tenure), which suggests a new board.


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Pakistan Petroleum Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Pakistan Petroleum Limited
  • Ticker: PPL
  • Exchange: KASE
  • Founded: 1950
  • Industry: Oil and Gas Exploration and Production
  • Sector: Energy
  • Market Cap: PK₨245.377b
  • Shares outstanding: 2.72b
  • Website: https://www.ppl.com.pk

Number of Employees


Location

  • Pakistan Petroleum Limited
  • P.I.D.C. House
  • 4th Floor
  • Karachi
  • 75530
  • Pakistan

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
PPLKASE (Pakistan Stock Exchange Limited)YesOrdinary SharesPKPKROct 2004

Biography

Pakistan Petroleum Limited, together with its subsidiaries, engages in the exploration, development, and production of oil and natural gas resources in Pakistan, Iraq, and Yemen. It produces natural gas, c...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/11/26 13:31
End of Day Share Price2020/11/25 00:00
Earnings2020/09/30
Annual Earnings2020/06/30


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.