Pakistan State Oil Co. Ltd. (PSO) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

Comparison

Company

Score

Quality

Valuation

Financial

Technical

Pakistan State Oil Co. Ltd.

Attock Petroleum Ltd.

Pakistan Refinery Ltd.

Attock Refinery Ltd.

Hi-Tech Lubricants Ltd.

National Refinery Ltd.

Hascol Petroleum Ltd.

Why is Pakistan State Oil Co. Ltd. ?

High Debt Company with a Debt to Equity ratio (avg) at 0 times

Poor long term growth as Operating profit has grown by an annual rate 37.14% of over the last 5 years
High Debt Company with a Debt to Equity ratio (avg) at 0 times

Healthy long term growth as Net Sales has grown by an annual rate of 24.29%

Positive results in Mar 25

OPERATING CASH FLOW(Y) Highest at PKR 50,171.09 MM
NET PROFIT(HY) Higher at PKR 9,463.55 MM
PRE-TAX PROFIT(Q) At PKR 6,499.79 has Grown at 198.07%

With ROE of 4.4, it has a expensive valuation with a 0.7 Price to Book Value

The stock is trading at a premium compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of 0%, its profits have fallen by -28.6%

Real-Time Research Report

Verdict Report

How much should you buy?

Overall Portfolio exposure to Pakistan State Oil Co. Ltd. should be less than 10%
Overall Portfolio exposure to Oil should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Oil)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is Pakistan State Oil Co. Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Pakistan State Oil Co. Ltd.

114.77%

2.84

45.42%

Pakistan KSE 100 Share

26.26%

2.81

22.77%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

24.89%

EBIT Growth (5y)

74.02%

EBIT to Interest (avg)

3.47

Debt to EBITDA (avg)

4.41

Net Debt to Equity (avg)

1.37

Sales to Capital Employed (avg)

5.29

Tax Ratio

44.47%

Dividend Payout Ratio

28.55%

Pledged Shares

Institutional Holding

0.01%

ROCE (avg)

14.66%

ROE (avg)

15.07%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

0.86

EV to EBIT

9.41

EV to EBITDA

8.38

EV to Capital Employed

0.93

EV to Sales

0.15

PEG Ratio

Dividend Yield

2.12%

ROCE (Latest)

9.92%

ROE (Latest)

5.45%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Mildly Bearish

Dow Theory

Mildly Bearish

OBV

Mildly Bearish

Bullish

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

25What is working for the Company

OPERATING CASH FLOW(Y)

Highest at PKR 75,455.28 MM

INTEREST COVERAGE RATIO(Q)

The company hardly has any interest cost

RAW MATERIAL COST(Y)

Fallen by -58.96% (YoY

CASH AND EQV(HY)

Highest at PKR 134,870.43 MM

DEBT-EQUITY RATIO (HY)

Lowest at 130.56 %

OPERATING PROFIT(Q)

Highest at PKR 26,059.86 MM

OPERATING PROFIT MARGIN(Q)

Highest at 3.38 %

PRE-TAX PROFIT(Q)

Highest at PKR 20,486.94 MM

NET PROFIT(Q)

Highest at PKR 10,531.45 MM

EPS(Q)

Highest at PKR 22.43

0What is not working for the Company

NO KEY NEGATIVE TRIGGERS

Here's what is working for Pakistan State Oil Co. Ltd.

Operating Cash Flow

Highest at PKR 75,455.28 MM and Grown

In each year in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (PKR MM)

Pre-Tax Profit

At PKR 20,486.94 MM has Grown at 305.7%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (PKR MM)

Net Profit

At PKR 10,531.45 MM has Grown at 269.67%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (PKR MM)

Operating Profit

Highest at PKR 26,059.86 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (PKR MM)

Operating Profit Margin

Highest at 3.38 %

in the last five periods

MOJO Watch

Company's profit margin has improved

Operating Profit to Sales

Pre-Tax Profit

Highest at PKR 20,486.94 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (PKR MM)

Net Profit

Highest at PKR 10,531.45 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (PKR MM)

EPS

Highest at PKR 22.43

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (PKR)

Cash and Eqv

Highest at PKR 134,870.43 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Debt-Equity Ratio

Lowest at 130.56 %

in the last five Semi-Annual periods

MOJO Watch

The company has been reducing its borrowing as compared to equity capital

Debt-Equity Ratio

Raw Material Cost

Fallen by -58.96% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has improved; this may lead to a rise in profit margin

Raw Material Cost as a percentage of Sales

Depreciation

Highest at PKR 1,867.9 MM

in the last five periods

MOJO Watch

The expenditure on assets done by the company may have gone into operation

Depreciation (PKR MM)