The Pakistan Stocks Price Earnings (PE) Ratio for end December 2024 was 16, November 15.3, and October 13.8 and for December 2023 8.6. The Price Earnings Ratio has sky rocketed due to the steep rise in scrip prices with the KSE100 Index touching 115,000 in the month, against healthy but relatively constant earnings – dividend yields have also fallen as prices have risen sharply. TANGENT’s view, is that risk is high. Historical 16 PE have been caused problems in markets. This is not the time to think about long term investments.
TANGENT provides comprehensive Corporate and Financial Advisory Services and other important services (such as political analysis) throughout Pakistan and beyond. More details are at the website.
Become part of the WhatsApp / WeChat broadcast to receive latest updates. TANGENT provides comprehensive financial corporate advisory and investment services in multiple asset classes throughout Pakistan. Subscribe.
