FIRST ASIA SECURITIES
PakistanSri LankaPREV
EquitiesFixed Income
DATA AS OF 13 JUL 2026 · EOD

MARI

Mari Energies
E&P

LAST · PKR

669.91
−8.71 ▼ −1.28%
P/E 11.5× · YIELD 2.5% · ROE 25.1%

52W RANGE

545.88779.03
53% OF RANGE · YTD −5.4%
01 / MARI — 1 YearAS OF 13 JUL 2026 · EOD
PERIOD 1Y · 250 SESSIONS▲
The Call
BUY+13%
760.00PKR · 12-MO
12.3× FY26E

Reserve growth holds; premium intact.

Risks to our view
02 /

FAS DESK · FIRST ASIA SECURITIES RESEARCH · 23 JUN 2026 · EOD

The quality E&P — pay up for reserve growth

  1. 01

    Buy, PKR 760 target: MARI earns a 25% ROE — best among the E&Ps — and the 11.5× premium is justified by sector-leading reserve replacement.

  2. 02

    The Mari field anchors low-decline gas while a multi-basin push extends reserve life beyond peers.

  3. 03

    The minerals venture is a free option the market prices at roughly nil.

  4. 04

    At ~12.3× our FY26E EPS the target is PKR 760; a genuine grower deserves a premium to the cash-cow majors.

Where we differ from the street
Street viewOur viewWe change our mind if
It is the priciest E&P — limited upside.A 25% ROE and rising reserves warrant the premium; this is a grower, not a melting asset.Reserve replacement slipping below peers.
A distraction from core gas.Small today, but optionality priced at nil; any progress is upside.Capital sunk into minerals at the expense of returns.
A 2.5% yield is thin.MARI reinvests for growth; return comes from reserve-led compounding, not the coupon.Reinvestment failing to grow reserves.

— FIRST ASIA SECURITIES RESEARCH · NOT INVESTMENT ADVICE