BRS Mid Year Equity Strategy 2025 - Full Potential Yet to Unfold, Equities Hold the Edge
Strategy Reports
07/07/2025
701
0
π’ Full Potential Yet to Unfold β Equities Hold the Edge
π§ BRS Mid-Year Strategy | 2025
We remain Overweight Equities as π fundamentals, liquidity & valuations align to fuel the next leg of the market re-rating.
π§ Key Drivers:
π IMF Discipline & Political Stability β Credibility restored, risk premium easing
πΈ Low-Yield, Tax-Efficient Environment β Equities > AWFDR (5.9% post-tax vs. 9.3% pre-tax)
π Liquidity Rotation β LKR 4.1bn avg. daily turnover in 2025 YTD (+70% vs. 5Y avg)
π Earnings Growth β LKR 672bn β‘οΈ 762bn from 2025E to 2026E
π Valuations Still Attractive β 2025E PE at 9.6x vs. 10Y avg. of 11.1x β 15% upside to ASPI 20,750
π Technicals Confirm Trend β EMA crossover, MACD strength, RSI in bullish territory
π° Top Buys:
COMB (N & X) | HNB (N & X) | SAMP | COCR | LFIN | JKH | HHL | CCS | CIC (N & X) | DIST | CTC | HAYC | TJL | PACK
π‘ Hold (Moderate Upside <15%):
SUN | LLUB | GLAS
β οΈ Risks: IMF reform slippage, US tariff shocks, geopolitics, capital outflows
π ASPI fair value: 20,750 | Momentum intact β
You must login to post a comment.