FIRST ASIA SECURITIES
DATA AS OF 22 JUN 2026 · EOD

SYS

Systems Limited
TECHNOLOGY

LAST · PKR

150.05
−1.13 −0.75%

52W RANGE

100.00174.40
67% OF RANGE · YTD −10.6%
01 / SYS — 1 YearAS OF 22 JUN 2026 · EOD
PERIOD 1Y · 250 SESSIONS

Source: PSX, First Asia Securities Research. Data as of 22 Jun 2026, EOD.

02 / Fundamentals
Market cap
220bn
P/E (ttm)
19.5×
EPS (ttm)
7.71
Dividend yield
1.3%
Return on equity
22.4%
Beta
-0.05
Free float
70%
52W high
174.40
52W low
100.00
1D change
−0.75%
YTD return
−10.6%

Pakistan's largest IT-export company; delivery centers across MEA serving BFSI, telco and public-sector clients.

03 / Research NoteAS OF 23 JUN 2026 · EOD
Coverage
SYS
Technology
Rating
BUY
+23% 12-mo upside
12-Mo Target
185.00PKR
TARGET PRICE
Close
150.05PKR
23 Jun 2026
Market Cap
220bn
PKR
52-Week Range
100.00174.40
67% OF RANGE

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

Structural IT-export growth, on sale after the de-rate

  1. 01

    Buy, PKR 185 target: SYS is Pakistan's largest IT exporter, and a soft patch is an entry into a structural growth and FX-tailwind story.

  2. 02

    USD-denominated export revenue across MEA — BFSI, telco, public sector — turns rupee weakness into a margin tailwind.

  3. 03

    Delivery-centre scale and a blue-chip client base support durable double-digit revenue growth and a 22% ROE.

  4. 04

    At ~20× our FY26E EPS the target is PKR 185; a structural grower warrants the premium the value names cannot.

Estimates
MetricFY25AFY26EFY27E
Net profitPKR bn11.013.015.0
EPSPKR7.79.110.7
DPSPKR2.02.22.4
P/E×19.5×16.5×14.0×
EPS growth%+18.0%+18.0%

A = REPORTED · E = FAS ESTIMATE

Risk / RewardVS CLOSE 150.05 PKR
BEAR115.00−23%
BASE185.00+23%
BULL230.00+53%
NOW150.05
BEAR−23%
115.00PKR

Growth slows; the multiple compresses.

~15× stressed EPS

BASE+23%
185.00PKR

Double-digit growth; FX tailwind holds.

~20× FY26E

BULL+53%
230.00PKR

Acceleration plus a weak PKR re-rate.

~25× FY26E

Key Debates
01

Does SYS deserve a ~19× multiple?

Market View

Far above the market — priced for perfection.

Our View

Growth and USD revenue justify the premium; this is the one PSX name you buy on growth, not yield.

What Would Change Our Mind

Revenue growth decelerating to single digits.

02

Is the FX tailwind sustainable?

Market View

A stable rupee removes the kicker.

Our View

Even on a stable PKR, dollar-revenue growth carries earnings; FX is upside, not the thesis.

What Would Change Our Mind

Sharp PKR appreciation alongside slowing bookings.

03

Client concentration / competition?

Market View

Global IT-services competition compresses margins.

Our View

A diversified MEA book and sticky BFSI relationships defend margins.

What Would Change Our Mind

Loss of a top client or a margin step-down.

Valuation BridgePKR · 12-MO
AssumptionValueBasis
FY26E EPSPKR 9.1FY25 base +18% growth
Target multiple~20× FY26Egrowth premium, in line with 19.5×
FX tailwindin marginUSD revenue, PKR cost base
12-month targetPKR 185≈20 × 9.1, rounded
Key RisksRANKED · W/ INDICATOR
  • 01
    Growth deceleration
    WATCH · Revenue / bookings growth
  • 02
    PKR appreciation
    WATCH · PKR/USD
  • 03
    Client concentration
    WATCH · Top-client revenue share
  • 04
    Global IT competition
    WATCH · Margin trend, win rates

— GENERATED BY FIRST ASIA SECURITIES · NOT INVESTMENT ADVICE

04 / Sector Peers
SymbolLastChg %P/EM. Cap1Y
SYSSystems Limited— THIS PAGE150.05−0.75%19.5×220bn
TRGTRG Pakistan65.95−1.09%n/m36bn

Source: PSX, First Asia Securities Research. Data as of 22 Jun 2026, EOD.