Equity Analysis /
Pakistan

Pakistan Steel: Trends in both demand and margins underpin our positive views

  • We resume coverage on both ASTL and MUGHAL, with Buy ratings and June 2022 TP of PKR70/sh and PKR150/sh, respectively

  • We also upgrade our estimates on ISL, maintaining our Buy rating, while reducing our TP to PKR120/sh

  • The Steel sector is presently trading at undemanding FY22/23f P/E of 4.4/4.1x, a c.20% discount to our IMS Universe

Abdul Ghani Mianoor
Intermarket Securities
16 November 2021