GCC Daily Market Update - 30 April

Transcription

1. DAILY MARKET UPDATE April 30 , 2018 GLOBAL MARKETS MARKET COMMENTARY Change Performance Value (%) MTD (%) YTD (%) Closing Level Indices Global S&P 500 Dow Jones Ind. Average Nasdaq FTSE 100 DAX 30 CAC 40 BIST 100 Nikkei Hang Seng Shanghai Composite BSE Sensex GCC QE Index Saudi Arabia (TASI) UAE (ADX) UAE (DFM) Kuwait (KSE) Oman (MSM) Bahrain (BAX) S&P GCC Dow Jones Islamic Commodity Brent (USD/bbl) WTI (USD/bbl) Natural Gas (USD/mmBTU) Gold Spot (USD/t oz.) Copper (USD/lb) 2,669.9 24,311.2 6,656.4 7,502.2 12,580.9 5,483.2 107,614.3 22,467.9 30,280.7 3,082.2 34,969.7 3.0 (11.2) 6.7 80.8 80.4 29.6 599.2 148.3 273.0 7.2 256.1 0.1 (0.1) 0.1 1.1 0.6 0.5 0.6 0.7 0.9 0.2 0.7 1.1 0.9 1.1 6.3 4.0 6.1 (6.4) 4.7 0.6 (2.7) 6.1 (0.1) (1.7) 4.1 (2.4) (2.6) 3.2 (6.7) (1.3) 1.2 (6.8) 2.7 9,140.2 8,224.9 4,685.4 3,048.5 4,781.8 4,734.4 1,262.8 1,682.9 3,636.5 52.2 (23.5) (11.8) 5.6 (21.2) 12.0 (0.3) (0.4) 0.0 0.6 (0.3) (0.3) 0.2 (0.4) 0.3 (0.0) (0.0) 0.0 6.6 4.5 2.2 (1.9) (3.7) (0.8) (4.2) 1.9 0.6 7.2 13.8 6.5 (9.5) NA (7.2) (5.2) 5.7 0.0 74.6 68.1 2.8 1,323.4 304.6 (0.1) (0.1) (0.1) 7.1 (6.8) (0.1) (0.1) (1.8) 0.5 (2.2) 5.5 4.5 1.3 0.0 0.6 10.9 12.3 (6.2) 1.1 (7.8) Global The US equity markets ended mostly higher on Friday, following release of a strong set of earnings data from local companies. The tech heavy Nasdaq inched 0.1%, higher, supported by gains in blue-chip Technology shares. The S&P 500 index closed moderately higher, on the back of gains in Real Estate and Utilities sectors. The Stoxx Europe 600 inched 0.2% higher, supported by weakness in the EUR. The FTSE 100 rose by 1.1%, as discouraging UK GDP data weighed on the GBP, supporting the earnings prospects of the exporters listed on the benchmark. In Asia, Japanese benchmark Nikkei inched 0.7% higher, getting a boost from Chip-related firms, after sector heavy-weights Advantest and Kyocera provided an encouraging outlook on their future earnings. GCC Most GCC indices ended lower yesterday. The Saudi Arabian index continued its downward trend to inch 0.3% lower, as blue chip SABIC lost 0.6% despite reporting a 5.4% rise in Q1-18 net profit. Alinma Bank slipped 0.6%, despite reporting a 38.0% YoY increase in its Q1-18 net income. In Dubai, Emaar Malls rose 1.3%, after the company reported an increase in its Q1-18 net income. In Abu Dhabi, energy producer Dana Gas dropped 5.0%, pushing the index down by 0.2%. Qatar The QE index inched 0.6% higher yesterday, supported by strong buying activity by domestic institutional buyers. Trade turnover and volumes rose, with Industrials, Real Estate and Banking sectors together accounting for about 79.0% of the total volume. Industries Qatar rose 3.7% after posting a 37.0% YoY increase in its Q1-18 net profit, beating the markets estimates. Out of the 45 listed stocks, 43 exchanged hands of which, 30 advanced and 13 declined. Source: Bloomberg QATAR MARKET OVERVIEW P/E (x) P/B (x) Qatar All share 13.8 1.3 4.3 54.1 DSM 20 13.6 1.4 4.8 30.2 9,000 Saudi Arabia (TASI) 18.1 1.8 3.3 1,290.3 8,500 UAE (ADX) 12.5 1.3 5.2 48.5 UAE (DFM) 10.5 1.1 6.0 33.0 Kuwait (KSE) 14.3 1.2 3.9 31.5 Oman (MSM) 11.8 1.0 5.1 6.9 Source: Bloomberg Bahrain (BAX) 8.1 0.8 6.5 1.7 1D Change Performance Value (%) YTD (%) YoY (%) Vol. P/E (‘000) TTM QE Sector Indices Banks & Financial Services Consumer Goods & Services Industrials Insurance Real Estate Telecoms Transportation GCC Fundamentals Dividend Value Traded Yield (%) (USD mn) Source: Bloomberg Qatar Trading Activity Top Gainers Qatari Investors Group Industries Qatar Aamal Co Qatar German Co Mesaieed Petrochem Top Losers Qatar Navigation Barwa Real Estate Co Qatar General Ins. Qatar Industrial Manu Islamic Holding Group Close Price 36.1 112.0 11.4 5.8 17.5 1.5 4.0 0.3 0.1 0.4 4.4 3.7 2.8 2.5 2.3 (1.3) 15.4 31.2 (11.0) 38.9 (36.8) 206.3 6.5 115.6 (13.6) 86.1 (38.8) 7.8 16.6 2,448.7 58.1 36.0 47.0 38.7 26.8 (2.4) (0.7) (0.5) (0.3) (0.2) (3.9) (1.8) (1.1) (0.8) (0.7) 3.9 12.5 (4.1) (11.4) (28.5) (17.0) 6.2 20.2 (12.0) (55.5) Source: Bloomberg; Note: Prices are in local currency. 17.8 18.5 14.4 NA 20.2 77.5 13.4 118.5 8.6 5.0 11.5 13.8 9.4 15.2 NA Qatar DSM Index 9,500 20.0 9,140.2 10.0 8,000 31/Jan 0.0 14/Feb 28/Feb 14/Mar Index Volume (mn) 28/Mar 11/Apr 25/Apr Index Value Closing Level 3,099.0 5,916.8 3,119.2 3,115.4 1,959.5 1,104.4 1,805.0 1D Change (%) 0.0 0.6 2.5 (0.1) 0.9 0.9 (1.1) Buy (%) 45.0 28.7 73.7 14.2 12.1 26.3 Sell (%) 50.1 22.3 72.4 14.4 13.2 27.6 Source: Qatar Exchange Qatar Trading Summary Qatari Individuals Qatari Institutions Qatari – Total Foreign Individuals Foreign Institutions Foreign – Total Source: Qatar Stock Exchange, Bloomberg 1
2. DAILY MARKET UPDATE April 30 , 2018 GLOBAL NEWS  US President Donald Trump has threatened to shut down the federal government in September-18 if the Congress did not provide additional funding to build the wall on the border of Mexico. (Source:  Saudi Arabia based petrochemicals producer Saudi Basic Industries Corporation has recorded a 5.4% YoY increase in its net profit to SAR 5.5bn (USD 1.5bn) in Q1-18 due to improvement in average sale prices and volumes of goods sold. (Source: Trade Arabia)  Saudi Arabia's Real Estate Investment Trusts have exceeded a market capitalization of USD 2.0bn with the number of listed REITs doubling to 12 in the last two quarters. (Source: Trade Arabia)  Saudi Arabia based real estate Company Jabal Omar Development has entered into a MoU with Abu Dhabi Financial Group for exploring new real estate development opportunities in Makkah and in Saudi Arabia. Reuters)    China’s securities regulator has removed the restrictions limiting the ownership limit of single foreign investors up to 30.0% in securities ventures, either directly or through a partner. (Source: Reuters) Australian new housing sales declined by 2.0% MoM and 2.2% YoY in March-18, recording three consecutive months of decline in sales volumes led by tighter lending policies for investors being imposed by APRA. (Source: Housing Industry Association) (Source: Trade Arabia)  Oman’s budget deficit declined to OMR 3.7bn in 2017, against OMR 5.3bn in 2016, driven by the government’s balanced financial control policy along with a strong growth in oil revenue during the year, according to Deputy Chairman of the Board of Governors of the Central Bank of Oman. (Source: Times of Oman)  Oman’s Minister of Heritage and Culture has laid the foundation stone for USD 7.0bn Duqm Refinery Project, a joint venture between Oman Oil Company and Kuwait Petroleum Corporation. (Source: Times of Oman)  Bahrain’s Gulf Air is expected to take delivery of four more Boeing 7879 Dreamliners and two Airbus A320neo aircraft by the end of 2018. In addition to the London route, the Dreamliner will be operating on the Casablanca, Morocco services. (Source: Arabian Business)  Bahrain is expected to receive combat helicopters and aircraft missiles from US Department of Defense at an estimated cost of USD 911.4mn, according to a Pentagon agency. (Source: Trade Arabia)  Kuwait has provisionally agreed to extend the maturity of a USD 4.0bn deposit for Egypt for paying its foreign debts and financial commitments, according to the Governor of the Central Bank of Egypt. India’s central bank with an aim to boost domestic market has removed its restriction on foreign investors to only invest in government and corporate bonds with tenures of three years or more. (Source: Reuters) GCC NEWS  UAE’s Ministry of Climate Change and Environment in partnership with Delma Marine Industrial Supply & Marine Services Company has successfully installed 100 artificial caves at Jumeirah Fishing Harbour. (Source: Trade Arabia)  Dubai-based DP World has entered into a partnership with Virgin Hyperloop to launch a new international company DP World Cargospeed to provide hyperloop-enabled cargo systems for supporting the fast, sustainable and efficient delivery of palletized cargo. (Source: Trade Arabia)  20th Al Ahli Group’s CEO has announced that the inauguration of Century Fox World theme park in Dubai has been postponed on account of oversupplied conditions in the market. (Source: Arabian Business)  Dubai Electricity and Water Authority has entered into an agreement with the US-based General Electric worth AED 193.0mn (USD 53.0mn) for extending the period of the GE 9E gas turbines at E station at the Jebel Ali Power and Desalination Station. (Source: Trade Arabia)  Dubai based Road and Transport Authority has announced opening of three new bridges as part of Airport Street improvement project. (Source: Ahramonline) QATAR NEWS  International Labor Organization (ILO) has set up an office in Doha as part of a three year technical agreement signed in October-17 by the Government of Qatar and the ILO to strengthen national labor laws and improve labor practices in the nation. (Source: Gulf times)  Dubai based Emirates National Oil Company plans to set up the fully functioning, futuristic service station which will be using multiple sources of energy, including solar, hydrogen and hydrocarbon at the upcoming Expo 2020 Dubai. (Source: Arabian Business) Qatar Tourism Authority’s chairman has announced that they have achieved a remarkable growth in its international markets, particularly in BRICS countries and are also expecting Qatar’s cruise tourism industry to double by 2020. (Source: Gulf times)  Abu Dhabi is expected to sign an agreement with Vienna based integrated oil and gas company OMV worth USD 1.5bn for providing oil exploration services. (Source: Arabian Business) Qatar Petroleum has entered into a 15 years agreement with Vietnam to supply up to 2mn tons per year of liquefied petroleum gas and naphtha. (Source: Gulf times)  Abu Dhabi based Mubadala Investment Company’s net profit has increased by 11.5% YoY to AED 10.7bn (USD 2.9bn) in FY-17 led by higher growth in Petrochemical and aluminum manufacturing segment. (Source: Trade Arabia) Considering the holy month of Ramadan and the ensuing summer, Qatar Islamic Bank has announced a new finance campaign to meet customers’ growing needs which includes offering a cash bonus of 1.0% of the total financing amount. (Source: Gulf times)  Qatar based developer United Development Company has reported a 9.8% YoY decline in its net profit to QAR 220.0mn due to the challenging economic conditions in Q1-18. (Source: Gulf times)  Qatar First Bank has reported a net loss of QAR 28.6mn in the Q1-18 over a revenue of QAR 92.3mn led by a challenging macroeconomic landscape. (Source: Gulf times)  Qatar Navigation recorded a 10.2% YoY increase in its net profit to QAR 260.0mn partly offset by low shipping rates and the knock-on effect on vessel valuations in the sectors of operations. (Source: Peninsula Qatar)  As part of the MoU signed by the Qatar Ports Management Company (Mwani Qatar) the Port of Sudan for developing the Port of Suakin, the company has send cranes and tow vessels to Suakin port. (Source: Qatar (Source: Trade Arabia)     Abu Dhabi based Al Hilal Bank PJSC has exposed an internal fraud worth more than AED 500.0mn (USD 136.0mn) which involved withdrawal of funds from dormant customer accounts by some employees. (Source: Trade Arabia)  National Bank of Ras Al Khaimah’s consolidated net profit increased by 32.6% YoY to AED 205.1mn (USD 56.0mn) for Q1-18, supported by drop in provisions for impairments and rise in net interest income and net income from Islamic banking activity. (Source: Gulf times)  Sharjah based Aries Group's Indywood Consortium is planning to invest USD 10.0bn in India and the Middle East as a part of its Vision 2020 strategy to open multiplex screens, home cinemas and animation/film schools in next five years. (Source: Arabian Business) Tribune) 2
3. DAILY MARKET UPDATE April 30 , 2018 FX RATES Currencies Value Currencies Value EUR/USD 1.2160 USD/QAR 3.6415 109.0500 EUR/QAR 4.4281 USD/JPY GBP/USD 1.3811 JPY/QAR 0.0334 USD/CHF 0.9877 GBP/QAR 5.0293 USD/CAD 1.2828 CHF/QAR 3.6868 AUD/USD 0.7581 CAD/QAR 2.8387 NZD/USD 0.7085 AUD/QAR 2.7606 USD/INR 66.1613 INR/QAR 0.0550 USD/TRY 4.0426 TRY/QAR 0.9008 USD/ZAR 12.3294 ZAR/QAR 0.2954 USD/BRL 3.4578 BRL/QAR 1.0531 FX Commentary The USD remained supported for most period of the Friday’s session, before ending marginally lower against a basket of currencies, with the dollar index settling at 91.512. Weakness in the USD was triggered after investors booked profits following the recent uptrend in the currency. The EUR weakened against USD extending its losses from Thursday’s session, as the European Central Bank’s Chief, Mario Draghi, did not provide any hints regarding the alteration of the central bank’s quantitative easing program in the coming period. Moreover, discouraging French and Spanish growth data also weighed on the common currency. The GBP weakened against USD to the lowest level since March-18, as preliminary reading of UK Q1-18 economic growth trailed market expectations. Source: Bloomberg INTERBANK OFFERING & US SWAP RATES Duration SOVEREIGN YIELD CURVES & CDS SPREAD Overnight 1 Week 1.70 1.75 1.91 2.36 2.78 (0.44) (0.38) (0.37) (0.33) (0.19) 2.27 2.33 2.45 2.65 3.04 4.0% SAIBOR NA 1.92 2.07 2.38 2.77 2.0% EIBOR 1.53 1.74 2.00 2.47 3.16 BMIBOR 1.63 1.90 2.43 2.78 3.28 NA NA 1.75 2.00 2.44 LIBOR EURIBOR QAIBOR KIBOR 1 Month 3 Month 1 Year Qatar vs US Treasuries Yields 6.0% 3.30% 2.49% 3.97% 4.22% 4.43% 2.80% 2.92% 2.96% 3.13% 7 Yrs 10 Yrs US 30 Yrs 5.02% 0.0% 2 Yrs 5 Yrs Qatar Source: Bloomberg b Source: Bloomberg US Swap Rates 5 Years CDS 4.0% US 27.9 (0.4) Turkey 196.3 UK 17.9 (8.7) Brazil 171.2 (4.4) Germany 11.1 (0.1) Egypt 277.4 (76.6) France 18.3 (2.7) Abu Dhabi 64.7 0.6 Italy 89.0 (42.6) Bahrain 288.9 38.2 Greece 330.9 (189.3) Dubai 114.9 (22.8) Russia 132.4 2.5 Qatar 89.6 (13.9) Japan 25.8 (8.8) Saudi Arabia 89.4 5.3 2.74% 2.99% 2.95% 2.91% 2.0% 1.57% 2.25% 2.09% 1.93% 3.02% 2.52% 0.0% 2 Yrs 5 Yrs 7 Yrs Current 10 Yrs Last Year 30 Yrs Spreads 6M Change 5 Years CDS Spread 6M Change 4.6 Source: Bloomberg Source: Bloomberg ECONOMIC CALENDAR Time Country Event Period Survey Prior 11:00 Eurozone M3 Money Supply YoY Mar 4.10% 4.20% 12:00 Italy CPI EU Harmonized YoY Apr P 0.80% 0.90% 15:00 Germany CPI MoM Apr P (0.10%) 0.40% 15:00 Germany CPI YoY Apr P 1.50% 1.60% 03:30 Japan Nikkei Japan PMI Mfg Apr F - 53.3 Source: Bloomberg GCC COMPANY RESULTS Company Name Revenues (mn) YoY (%) Industries Qatar 1,377.8 697.8 United Development Qatar General Insurance Qatar Navigation Al Meera Consumer Goods QoQ (%) Net Profit (mn) YoY (%) QoQ (%) 24.4 (5.3) 1,267.9 36.6 32.4 7.7 (16.5) 259.8 10.0 142.6 NA NA NA 214.5 (7.0) 109.2 NA NA NA 50.8 18.0 (81.3) NA NA NA 43.3 7.0 (24.4) 316.8 19.4 (12.7) 49.8 1.0 (3.2) Qatar & Oman Investment Co NA NA NA 5.4 (43.5) NA Qatar Cinema & Film Distrib. 1.3 (42.8) (41.2) 2.7 (7.9) 757.3 First Abu Dhabi Bank NA NA NA 2,997.9 68.2 6.2 Zad Holding Co Source: Bloomberg; Note: All figures are in local currency 3
4. DAILY MARKET UPDATE April 30 , 2018 QSE MAIN FINANCIAL INDICATORS (As on 26th April 2018) Company Ahli Bank Comm. Bank of Qatar Dlala Doha Bank Islamic Holding Al khalij Commercial Bank Rayan National Leasing Qatar First Bank (QFC) Qatar Islamic Bank Intl. Islamic Bank QNB Qatar Oman Banks & Financial Services Mannai Corp. Medicare Al Meera Cinema Qatar Fuel Qatar German Co. Med Salam International Widam Zad Holding Company Consumer Goods & Services Aamal Gulf International Investment Holding Industries Qatar Mesaieed Qatar Electricity & Water The Investors Ind. Manf. Co. National Cement Co. Industrials Alkhaleej Takaful Doha Insurance Qatar Insurance General Insurance Islamic Insurance Insurance Barwa Ezdan Holding Mazaya Qatar United Dev. Company Real Estate Ooredoo Vodafone Qatar Telecoms Gulf warehousing Co Nakilat Qatar Navigation Transportation Market Dividend Yield (%) 3.1 2.8 0.0 11.2 3.7 6.8 5.6 5.2 0.0 4.0 7.1 4.0 6.9 4.5 8.3 6.0 6.2 4.4 5.8 0.0 0.0 6.7 9.3 6.1 5.4 0.0 4.4 4.6 4.1 3.9 2.2 7.7 8.1 4.4 0.0 5.8 3.5 4.6 6.6 4.0 6.8 4.5 0.0 8.6 5.5 4.4 0.0 3.4 4.0 6.9 5.8 6.0 4.6 P/B Ratio (x) 1.2 0.9 0.2 0.8 1.1 0.6 2.1 0.5 0.8 1.7 1.3 2.3 0.8 1.7 0.7 1.9 2.0 1.1 1.9 1.2 0.4 3.4 0.6 1.5 0.9 0.9 0.5 1.9 1.5 2.4 1.6 1.1 1.2 1.7 0.6 0.6 1.5 0.7 2.3 1.1 0.8 1.0 0.6 4.8 1.0 1.1 1.8 1.2 1.5 0.9 0.5 0.7 1.4 P/E Ratio (x) 10.2 24.1 19.0 7.5 (M) (‫)س‬ 7.2 13.3 153.5 (M) (‫)س‬ 10.5 10.2 10.4 24.5 11.1 4.3 26.5 14.2 18.2 14.2 (M) (‫)س‬ (M) (‫)س‬ 10.6 4.6 12.2 13.9 40.5 11.6 19.7 19.7 13.4 17.0 10.0 11.1 17.4 20.0 15.4 27.8 13.5 12.8 20.8 8.3 17.4 29.3 8.5 12.3 13.0 (M) (‫)س‬ 18.7 11.6 9.6 14.7 11.4 13.0 EPS (QR) 3.0 1.5 0.6 3.6 (M) (‫)س‬ 1.5 2.7 0.1 (M) (‫)س‬ 10.2 5.5 14.5 0.3 5.8 11.1 2.5 9.7 1.2 9.7 (M) (‫)س‬ (M) (‫)س‬ 6.0 15.2 5.4 0.8 0.5 0.5 5.5 0.9 14.7 2.0 3.9 5.0 2.4 0.6 0.8 1.3 3.5 4.1 1.7 4.4 0.6 0.2 1.7 1.2 6.1 (M) (‫)س‬ 1.5 3.7 1.5 4.1 2.1 3.0 BV/Share (QR) 25.2 42.1 48.6 34.9 24.0 17.5 17.6 20.1 7.7 64.7 45.0 66.7 8.8 38.4 64.5 35.6 69.0 21.1 71.1 4.7 12.9 19.0 116.2 44.7 12.7 19.8 10.5 56.6 11.6 81.7 21.4 34.4 48.0 25.0 19.3 20.8 25.1 70.8 23.4 32.4 48.6 11.4 12.8 3.0 14.7 72.2 5.3 23.7 27.9 15.7 118.3 32.8 27.1 Stock Price (QR) 31.0 35.9 11.2 26.9 27.0 11.1 36.0 9.6 6.1 106.8 56.2 150.1 7.3 48.0 67.2 137.5 22.6 138.0 5.6 5.7 63.8 70.0 11.1 18.5 5.7 108.0 17.1 197.0 34.6 39.0 55.5 11.5 13.0 37.0 47.5 52.9 36.7 11.1 7.1 14.6 79.6 9.3 42.7 14.6 60.5 - Company ‫االهلي‬ ‫التجاري‬ ‫داللة‬ ‫بنك الدوحة‬ ‫اإلسالمية القابضة‬ ‫الخليجي‬ ‫الريان‬ ‫االجارة‬ ‫ األو ل‬QFC ‫المصرف‬ ‫الدولي‬ ‫الوطني قطر بنك‬ ‫قطروعمان‬ ‫البنوك والخدمات المالية‬ ‫مجمع المناعي‬ ‫الرعاية‬ ‫الميرة‬ ‫السينما‬ ‫قطر للوقود‬ ‫الطبية‬ ‫السالم‬ ‫ودام‬ ‫زاد‬ ‫البضائع والخدمات االستهالكية‬ ‫أعمال‬ ‫الخليج الدولية‬ ‫ا س ت ثمار ال قاب ضة‬ ‫صناعات قطر‬ ‫مسيعيد‬ ‫كهرباء وماء‬ ‫المستثمرين‬ ‫التحويلية‬ ‫االسمنت‬ ‫الصناعات‬ ‫الخليج‬ ‫الدوحة‬ ‫قطر‬ ‫العامة‬ ‫االسالمية‬ ‫التأمين‬ ‫بروة‬ ‫إزدان القابضة‬ ‫مزايا قطر‬ ‫المتحدة للتنمية‬ ‫العقارات‬ ‫كيوتل‬ ‫فودافون قطر‬ ‫االتصاالت‬ ‫مخازن‬ ‫ناقالت‬ ‫المالحة‬ ‫النقل‬ Source: Qatar Exchange; Note: The above mentioned indicators were calculated according to the latest reliable financial data. DISCLAIMER It is understood that any opinions expressed by Commercial Bank or its affiliates as to the commentary, market information, and future direction of prices of specific securities reflects the views of the individual analyst who issued them, and not necessarily represent the views of Commercial Bank or its affiliates in any way. In no event shall CBQ or its affiliates have any liability for any direct or indirect losses incurred in connection with any decision made, action or inaction taken by any party in reliance upon the information provided in this materials or for any delays, inaccuracies, errors in, or omissions of the said information. 4