Sheikh Faizan-ul-Haque

@MeherJazibAli Thanks sir and thank you for your time. I'm sorry you didn't learn as much as me but it was very insightful for me. Thank you

@SheikhFaizanul For every stock, there are various indicators to look at. Plus you have a certain way of thinking like me or other people have a certain way of thinking. And I don't argue after a certain point. Because it looks weird. You surely have a logical idea to think like that

This reading material will help to valuate the banks/insurance companies. Do read it once. It's a basic stuff for the beginners. When you read the standardized stuff, it's more helpful rather than the simple google search. #CommercialBanks #KSE100 #PSX pages.stern.nyu.edu/~adamodar/pdfi…

@MeherJazibAli That argument makes more sense than the bit about the bank not being able to reinvest but then again you'd have to look at both book multiples and profitability multiples to make a call

@SheikhFaizanul decline in book value weakens a bank’s capital cushion, so even if profits hold and deposits grow, the bank becomes riskier and its future growth and valuation come under pressure.

@MeherJazibAli I did, thanks. Shared my views with you, it was insightful but some questions still remain

@SheikhFaizanul pages.stern.nyu.edu/~adamodar/pdfi… Dear read it... it helps you alot.

UBL.... #UBL #CommercialBanks #KSE100 #PSX

@MeherJazibAli And if payouts remain the same how the valuation would differ much in view of the intrinsic valuation through ddm

@MeherJazibAli Thanks for the share, glossed over and realized the definition of book value is only equity for banks, which was enlightening. But still don't get why a lower book value would be bad if profitability doesnt take as big of a hit as does the book - deposits grow etc.

@SheikhFaizanul No first read on the book value in detail. So, we could talk on it in detail. Do read the sections of it. I might then talk on it'.

@MeherJazibAli Selling those today. And if it's reserves go down and it's book value takes a hit why would it be really bad considering it's earnings don't take a hit because of higher deposits and steady cash flow on it's investments

@MeherJazibAli Sir book value is what you stated it to be. Assets minus liabilities / total shares. And it's going down because bonds held by ubl are being repriced and losing value if they were to be sold today. But what I'm trying to understand is why that's a bad thing because ubl isn't

@MeherJazibAli Aren't reserves used as a buffer to prop CAR? Having reserves doesn't mean you have investable free cash, it's just an accounting metric like retained earnings. What I mean is retained earnings would not mean/equal free cash for investments

@MeherJazibAli But what determines the value of a land. Since the value of the land could be based on its ability to generate future cash. Is that being impaired? I'm honestly asking for learning sake

If you want to understand Pakistanis, do not read their policy papers. Read their memes. Brilliantly analyzed, beautifully written . @DanQayyum

@MeherJazibAli Sir what would you recommend to someone who has been holding onto some share for 3-4 years now? Should they continue to hold?

MTL isn’t a top pick on current financials, but improvement is visible. ⚠️ Negative cash flows 🔄 Weak working capital cycle 📈 Could evolve into a long-term dividend/value play—worth keeping on watchlist. #MTL #Automobile #KSE100 #PSX

@Ufaq_RM It's isn't granting visas how can it cancel them. Been trying to get visas for business related purposes all travel agents advise against it

#BigBreaking: There is a lot of news on social media that the UAE has started canceling visas for Pakistanis. Can anyone confirm what the truth is? #Pakistán

Conclusion : +1% rate hike on UBL: • Profit: +2.8% • Book equity: -8% on paper (temporary) • CASA hedge: Rs. 2.4T at zero cost • Bond losses: reverse at maturity • Dividend yield: Excellent Rate cycles come and go. Deposit franchises take decades to build. UBL has already built theirs. Not financial advice just someone who actually read the annual report. ♻️ Repost if this helped.

@UnderCsPakstani @husseinalishah But do you think nbp is as efficient as ubl? Don't you think Private enterprises are better at growth and efficiency? I mean ubl did achieve what no other bank did in the last year in terms of deposit growth, largest cap, even acquired another bank

@husseinalishah NBP has some of the same issue that UBL is facing. But NBP is trading at much cheaper valuation too.

If i were stuck in UBL, i'd happily switch into NBP (but i dont deal in banks at all) #kse

@StockCompounder Sir since I chase yields I think below 300 I will keep accumulating because I dont see IR going above 12% with 260-270 being the lowest it could go imo. My avg gives me a comfortable cushion to take a bet at these levels

@SheikhFaizanul Where do you see it as a buy ?

As he said, #UBL is moving towards the accumulation zone

This slide is from Bilal Gilani, Exec Director of Gallup Pakistan. It’s the best news I’ve heard all week. There’s been an 80% decline in the number of out of school kids in Pakistan over the last 15 years. Absolutely fantastic, and finally, statistics in line with present reality. Solar, Education, Manufacturing, Defense, Tech… there’s been a broad based renaissance in Pakistan.

@pkalphachase But it doesn't really give you anything meaningful. It's just a feel good metric. I like using it sometimes too

learn the term "dividend yield on cost", after a few years, when you have have a cost of 100 PKR on a stock while it is trading at 135, you yield on cost will be higher because now the company is paying more dividend and your cost is still years old price.