MENA Market Report - 23 March

Transcription

1. MENA Morning Report Thursday , March 23, 2017 Overview Regional Markets: MENA markets closed on a negative note, in line with the sentiments seen in the global markets as investors believe that US President's plan to deliver higher growth might be delayed or face resistance by the parliament. Further, oil prices flirting around the $50 mark is also making investors edgy as below $50 might trigger a psychological selloff within regional markets. For the day, six out of the eight indexes closed in red, while Kuwait and Bahrain closed in green. Kuwait has bucked the regional sentiments to close higher by 2.0% for the day, surpassing the high made during the month of January. The index remained slightly negative in February but has regained the momentum in March, while the rest of the regional indexes remain under pressure. Bahrain closed marginally higher by 0.1% for the day, following the Kuwaiti market and maintaining its positive momentum. Saudi Arabia was the worst performer as it was down by 1.2% for the day, breaking the resistance seen in the previous three sessions despite the weak sentiments. UAE markets closed on a negative note as Dubai was down by 0.6% and Abu Dhabi by 0.7% for the day. Qatar was down by 0.9% for the day, in line with the negative sentiments across the region. Egypt closed lower by 0.2% for the day, third consecutive day of losses. Oman was also down by 0.2% for the day, extending the weekly losses to 0.9%. International Markets: US markets closed on a slightly positive note as Nasday and S&P were up by 0.5% and 0.2% respectively, while Dow was flat. European markets closed on a negative note as FTSE, DAX and CAC were down by 0.7%, 0.5% and 0.2% respectively. At the time of writing the report, Asian markets have opened in green as Nikkei, Hang Seng and Shanghai are up by 0.1%, 0.4% and 0.4% respectively. Headlines (WW) US Existing home sales fall from 10-year high (ME) LNG demand in the Middle East expected to grow (WW) US must stick to WTO rules when overhauling tax code (GCC) GCC investor appetite for Dubai property continues to grow (WW) UK economy growing solidly despite inflation hit (SA) Saudi Arabia Rating Cut by Fitch on Worsening Public Finances (WW) UK households most downbeat about outlook since 2013 (SA) MEC launches new system for licensing sales and promotions (WW) Asia firms' confidence hits near 2-year high on US, China pick-up (AE) Dubai expected to complete world's tallest observation wheel in two years (WW) Japan Feb exports jump, take s/a trade surplus to highest since April 2010 (AE) UAE ranks 9th in exports and re-exports of creative goods industries (WW) Trump policy uncertainty a risk to Japan's economy (AE) Ministry of Finance sets minimum turnover requirement for VAT registration (WW) Weak business investment still a concern-Bank of Canada (EG) Egypt targeting USD 9 billion in foreign financing in FY 2017-18 (CMD) Oil prices hit lowest since Nov on expanding US inventories (EG) Egypt extends capital gains tax freeze, approves stamp duty on stocks (CMD) Gold, silver shine on global cues, jewellers on buying spree (EG) EBRD targets USD 1.1 billion investments in Egypt this year after float (FX) Dollar hits 4-month low vs yen on 'Trumpflation trade' rethink (KW) Turkish firms eye lion's share of Kuwait's USD 150 billion investment plan (FX) Sterling rally halts around four-week high (OM) Oman to add 6,000 hotel rooms by 2020 to boost tourism (FI) US and German bond yield gap shrinks on Trump doubts (Source: Thomson Reuters, Bloomberg) MENA Markets Index Last DoD (%) WTD (%) MTD (%) YTD (%) ST Trend * MT Trend * LT Trend * Dubai (DFMGI) 3,474.73 -0.6% -1.3% -4.3% -1.6% ˅ ˄ ˄ Abu Dhabi (ADSMI) 4,481.89 -0.7% 1.3% -1.5% -1.4% ˅ ˄ ˄ Saudi (SASEIDX) 6,832.30 -1.2% -1.3% -2.0% -5.2% ˅ ˄ ˄ Kuwait (KWSE) 7,020.18 2.0% 3.1% 3.5% 22.1% ˄ ˄ ˄ Egypt (EGX30) 12,879.06 -0.2% -0.8% 7.9% 4.3% ˄ ˄ ˄ Qatar (DSM) 10,395.98 -0.9% 0.3% -2.9% -0.4% ˅ ˄ ˄ Bahrain (BHSEIDX) 1,367.03 0.1% -0.6% 1.3% 12.0% ˄ ˄ ˄ Oman (MSM30) 5,617.68 -0.2% -0.9% -2.8% -2.9% ˅ ˄ ˄ MENA Market Statistics Volume (mln) 3M Avg. Volume (mln) 6M Avg. Volume (mln) Value (USD mln) 3M Avg. Value (USD mln) 6M Avg. Value (USD mln) Market Cap (USD mln) Dubai (DFMGI) 165 562 547 74 212 198 82,312 Abu Dhabi (ADSMI) 51 169 154 38 74 63 118,371 Saudi (SASEIDX) 153 222 254 793 1,086 1,129 431,221 Kuwait (KWSE) 335 463 293 85 139 92 75,578 Egypt (EGX30) 192 352 369 57 94 92 19,738 Qatar (DSM) 11 11 9 114 99 81 133,454 Bahrain (BHSEIDX) 8 5 4 7 4 2 21,172 Oman (MSM30) 9 19 18 8 12 11 16,689 Index * ST trend based on a 5x25 day SMA crossover; MT trend based on a 25x100 day SMA crossover; LT trend based on a 50x200 day SMA crossover Data & News Source: Thomson Reuters ** indicates markets were closed on Sunday. 1
2. MENA Morning Report Thursday , March 23, 2017 Valuation and Performance Comparisons 5-Year CDS(DoD change) Price Ratios PE (+ve.eps) 16 13.7 Previous 489.3 11.2 9.4 386.2 8.5 300 8 239.3 188.3 4 1.2 Current 600 13.0 11.8 11.0 12 PB 1.3 2.1 1.6 1.5 - - 0.9 1.1 Bahrain Oman - 178.1 0 106.9 87.2 1.4 0 Dubai Abu Dhabi Saudi Kuwait Egypt Qatar Average Dubai Abu Dhabi Saudi Kuwait 27% 5.6% 5.5% 3.2% 2.1% 4.3% 0% 0.0% 0.0% Qatar Bahrain -2.9% -5.2% -18% 0% Egypt -0.4% -1.4% -9% Kuwait Average 12.0% -1.6% 2% Dubai Abu Dhabi Saudi Oman 22.1% 9% 3.8% 4% Bahrain 18% 4.7% 4.0% Qatar Year to Date Perfomance Dividend Yield 8% 6% Egypt Oman Average Dubai Abu Dhabi Saudi Kuwait Egypt Data & Charts Source: Thomson Reuters; Table includes Bloomberg estimates and data for UAE, KSA, QA, KW and EG where available Qatar Bahrain Oman 2
3. MENA Morning Report Thursday , March 23, 2017 Abu Dhabi Dubai Top Performers by Country (* indicates native currency; Latest data) Close * DoD % Volume ('000) Value (AED ‘000) DUBAI ISLAMIC INSURANCE 0.88 -3.08% 122 109 UNION PROPERTIES PJSC 0.98 -2.56% 11,343 11,216 DUBAI FINANCIAL MARKET PJSC 1.30 -2.31% 14,761 19,416 2,485 UNION PROPERTIES PJSC 0.96 -1.98% 17,338 16,830 3,946 DEYAAR DEVELOPMENT PJSC 0.57 -1.75% 5,117 2,943 Close * DoD % Volume ('000) Value (AED ‘000) COMMERCIAL BANK INTERNATIONAL 1.90 -9.47% 35 70 ABU DHABI AVIATION 3.03 -8.91% 153 486 ABU DHABI NATIONAL FOR BUILDING 0.57 -7.02% 244 144 SUDATEL TELECOM GROUP LTD 0.68 -2.94% 1,622 1,120 DANA GAS PJSC 0.44 -2.27% 2,518 1,121 Close * DoD % Volume ('000) Value (SAR ‘000) AL RAJHI COMPANY FOR COOP 48.20 -4.98% 446 22,050 51,671 TIHAMA ADVERTISING AND PR 23.15 -4.97% 911 21,632 2,392 46,144 SAUDI MARKETING COMPANY CJSC 29.80 -4.36% 999 30,436 111 2,272 SAUDI STEEL PIPES CO SJSC 17.10 -4.09% 260 4,536 4.75% 8,197 143,409 NATIONAL INDUSTRIALIZATION CO 17.30 -4.05% 2,988 52,776 Close (fils) * DoD % Volume ('000) Value (KWD 000) Close (fils) * DoD % Volume ('000) Value (KWD 000) NATIONAL CONSUMER HOLDING 50.00 70.00% 1 0 KUWAIT COMPANY FOR PROCESS 160.00 -6.25% 95 16 EYAS FOR HIGER AND TECHNICAL 335.00 23.88% 1 0 REAL ESTATE TRADE CENTERS CO 43.50 -5.75% 201 9 EDUCATIONAL HOLDING GROUP KSCP 255.00 9.80% 91 22 GULF FRANCHISING HOLDING CO KSCP 54.00 -5.56% 1,675 93 KUWAIT REMAL REAL ESTATE CO KPSC 72.00 6.94% 15,552 1,083 KUWAIT REMAL REAL ESTATE CO KPSC 84.00 -4.76% 7,702 663 KGL LOGISTICS COMPANY KPSC 74.00 6.76% 5,520 396 FIRST DUBAI FOR REAL ESTATE DEV 64.00 -4.69% 874 57 Close DoD % Volume Value Close * DoD % Volume ('000) Value (EGP ‘000) DELTA INSURANCE CO SAE 10.11 19.88% 167 1,549 NASR CO FOR CIVIL WORKS SAE 18.06 -9.36% 21 393 NATIONAL CO FOR MAIZE PRODUCTS 23.53 9.99% 36 803 VODAFONE EGYPT TELECOMMUNICA 69.77 -8.99% 0 7 EGYPTIAN STARCH AND GLUCOSE 7.54 9.95% 14 100 ARAB ENGINEERING INDUSTRIES SAE 5.64 -7.80% 5 30 ARAB DRUG COMPANY FOR PHARMA 13.50 9.93% 142 1,834 SOUHAG NATIONAL COMPANY FOOD 39.46 -6.56% 71 2,903 WADI KOM OMBO FOR LAND 5.06 9.68% 7 34 DELTA SUGAR CO SAE 14.06 -6.05% 32 467 Close DoD % Volume Value Close * DoD % Volume ('000) Value (QAR ‘000) QATAR CINEMA FILM DISTRIBUTION 26.80 9.89% 0 8 QATAR GENERAL INSURANCE 44.50 -7.87% 0 23 QATAR INDUSTRIAL MANUFACTURING 42.70 8.67% 13 541 QATARI INVESTORS GROUP QSC 64.80 -4.63% 79 5,258 DOHA INSURANCE CO QSC 16.30 4.36% 2 35 DLALA BROKERAGE AND INVESTMENT 23.59 -4.03% 358 8,614 ALIJARAH HOLDING CO QSC 17.44 3.44% 717 12,290 QATAR INDUSTRIAL MANUFACTURING 46.40 -3.12% 12 557 MASRAF AL RAYAN QSC 41.60 2.40% 1,431 58,811 ISLAMIC HOLDING GROUP QSC 64.80 -2.78% 60 3,941 Top Gainers Close * DoD % Volume ('000) Value (AED ‘000) NATIONAL CENTRAL COOLING CO PJSC 1.84 4.35% 5,074 9,141 AJMAN BANK PJSC 1.31 1.53% 1,297 1,686 GULF NAVIGATION HOLDING PJSC 1.43 1.40% 183 259 GULF NAVIGATION HOLDING PJSC 1.45 1.38% 1,725 UNION PROPERTIES PJSC 0.95 1.05% 4,171 Top Gainers Close * DoD % Volume ('000) Value (AED ‘000) INTERNATIONAL FISH FARMING 1.91 5.24% 3,441 6,408 ABU DHABI SHIP BUILDING PJSC 2.70 5.19% 22 58 INTERNATIONAL FISH FARMING 2.01 4.48% 10,065 19,797 GULF CEMENT CO PSC 1.03 3.88% 224 227 ABU DHABI NATIONAL TAKAFUL CO 5.00 3.00% 19 91 Close * DoD % Volume ('000) Value (SAR ‘000) SAUDI INDIAN COMPANY FOR COOP 17.65 9.92% 3,414 57,540 SAVOLA GROUP COMPANY SJSC 38.80 6.70% 1,375 AXA COOPERATIVE INSURANCE CO 19.90 6.53% SAUDI INDUSTRIAL INVESTMENT 21.00 5.00% SAUDI INDIAN COMPANY FOR COOP 17.90 Saudi Arabia Top Gainers Kuwait Top Gainers Egypt Top Gainers Qatar Top Gainers Data & Charts Source: Thomson Reuters Top Losers Top Losers Top Losers Top Losers Top Losers Top Losers 3
4. MENA Morning Report Thursday , March 23, 2017 Top 30 MENA Stocks by Market Capitalization (* indicates native currency; Latest data) Country Market Cap (USD mln) Close * DoD % YTD % Volume ('000) Value (USD ‘000) 52w High * 52w Low * P/E P/B Div. Yield (T12M) 1 Saudi Basic Industries Corporation SJSC SA 76,400 95.50 -1.0% 4.4% 2,706 68,904 98.50 73.25 16 1.8 4.1% 2 Emirates Telecommunications Group Co AE 42,746 18.05 -0.6% -4.0% 923 4,539 20.20 17.15 18 3.7 4.4% 3 Qatar National Bank SAQ QA 36,783 145.00 -1.4% -2.1% 71 2,843 157.27 121.36 0 0.0 2.0% 4 Saudi Telecom Company SJSC SA 35,600 66.75 -0.4% -7.9% 390 6,935 74.00 51.00 16 2.2 6.0% 5 Al Rajhi Banking & Investment Corp SA 27,300 63.00 -0.4% 0.0% 1,646 27,657 67.50 48.60 13 2.0 3.6% 6 Saudi Electricity Co SJSC SA 25,166 22.65 -0.7% 1.1% 1,428 8,624 25.80 14.30 45 1.5 3.1% 7 National Commercial Bank SJSC SA 20,533 38.50 -2.8% -9.6% 652 6,692 46.30 32.00 8 1.3 4.0% 8 Industries Qatar QSC QA 18,610 112.00 -1.8% -4.7% 139 4,276 122.00 94.50 23 2.0 3.6% 9 DP World Ltd AE 18,069 21.77 0.1% 24.3% 214 1,269 22.25 15.53 19 2.1 1.7% 10 Jabal Omar Development Co SJSC SA 16,977 68.50 1.5% -8.4% 528 9,637 76.00 46.00 83 6.2 0.0% 11 Emirates Islamic Bank PJSC AE 16,266 11.00 0.0% 0.0% 3 8 11.95 1.57 452 8.9 0.0% 12 First Gulf Bank PJSC AE 15,808 12.90 -0.8% 0.4% 1,764 6,197 14.00 10.50 10 1.6 7.8% 13 National Bank of Abu Dhabi PJSC AE 15,025 10.50 0.0% 5.1% 963 2,752 10.90 7.60 11 1.2 4.3% 14 Almarai Co SJSC SA 14,667 68.75 -0.4% 0.4% 166 3,046 71.00 50.00 27 4.2 1.3% 15 Emaar Properties PJSC AE 14,291 7.33 -0.3% 2.8% 7,205 14,382 7.79 5.76 10 1.3 2.0% 16 National Bank of Kuwait SAKP KW 13,506 730.00 -3.9% 12.3% 3,785 9,071 760.00 550.00 14 1.3 4.1% 17 Emirates NBD Bank PJSC AE 12,501 8.26 0.7% -2.7% 1,212 2,727 9.00 7.56 7 0.8 4.8% 18 Saudi Arabian Mining Co SJSC SA 12,214 39.20 -2.0% 0.5% 427 4,465 43.80 27.80 114 1.7 0.0% 19 Ezdan Holding Group QSC QA 11,292 15.50 -0.1% 2.6% 1,001 4,259 20.24 14.63 23 1.4 3.2% 20 Samba Financial Group SJSC SA 11,013 20.65 -2.1% -15.2% 47 258 25.20 15.90 8 1.0 4.5% 21 Kuwait Finance House KSCP KW 10,497 610.00 0.0% 13.0% 1,794 3,592 630.00 440.00 15 1.7 2.8% 22 Kingdom Holding Co SA 10,376 10.50 -2.3% -12.1% 140 392 13.15 9.90 76 1.4 0.0% 23 Abu Dhabi Commercial Bank PJSC AE 9,569 6.76 -1.3% -2.0% 1,853 3,410 7.68 5.66 9 1.2 5.9% 24 Ooredoo QSC QA 9,264 105.30 0.0% 3.4% 438 12,661 116.10 81.50 15 1.5 3.3% 25 Emaar Malls Group PJSC AE 9,072 2.56 -1.5% -2.3% 3,984 2,777 3.10 2.48 18 2.1 3.9% 26 Masraf Al Rayan QSC QA 8,754 42.50 -0.2% 13.0% 651 7,597 43.35 32.10 15 2.5 4.7% 27 Riyad Bank SJSC SA 8,360 10.45 -1.9% -9.5% 949 2,645 11.80 8.55 9 0.8 6.1% 28 Yanbu National Petrochemicals Co SJSC SA 8,288 55.25 -1.8% 2.3% 206 3,032 59.75 37.00 14 1.9 5.3% 29 Saudi British Bank SJSC SA 8,280 20.70 -1.4% -17.2% 51 281 25.90 16.40 8 1.0 3.3% 30 Banque Saudi Fransi SJSC SA 7,760 24.15 -2.2% -7.5% 41 265 27.80 18.00 8 1.0 4.3% Company Name Total M-Cap; W. Avg Yield 544,990 3.5% Data Source: Thomson Reuters Disclaimer: This report is prepared by Al Masah Capital Management Limited (“AMCML”). AMCML is a company incorporated under the DIFC Companies Law and is regulated by the Dubai Financial Services Authority (“DFSA”). The information contained in this report does not constitute an offer to sell securities or the solicitation of an offer to buy, or recommendation for investment in, any securities in any jurisdiction. The information in this report is not intended as financial advice and is only intended for professionals with appropriate investment knowledge and ones that AMCML is satisfied meet the regulatory criteria to be classified as a ‘Professional Client’ as defined under the Rules & Regulations of the appropriate financial authority. 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