MENA Market Report - 7 June

Transcription

1. MENA Morning Report Wednesday , June 07, 2017 Overview Regional Markets: MENA markets continued to remain under pressure as the diplomatic rifts with Qatar is making investors nervous. There is uncertainty around such crisis as a duration of such an event rises then the impact could be more severe and damaging for the economic sectors. Further, the weakness in oil prices is making things even more worse for the regional markets as they are already reeling through a challenging period. For the day, four indexes closed in red, while two ended in green and two remained unchanged. Qatar continued its downward pressure as the index lost another 1.6% for the day, extending the losses to around 9.0% in the past two sessions alone. Saudi Arabia closed on a negative note as it was down by 0.5% for the day, succumbing to the selling pressure after two consecutive sessions of gains. UAE markets ended on a mixed note as Dubai was marginally up by 0.1%, while Abu Dhabi was down by 0.5% for the day. Despite recording gains during the session, Dubai remains under pressure during the week due to the weakness witnessed in the first two sessions of the week. Egypt continued its upward trend as it was up by 0.8% for the day, extending the weekly gains to 1.2% despite the weakness in regional markets. Kuwait closed flat for the day, remaining range bound in the past few sessions due to lack of involvement from retail investors. Bahrain closed marginally lower by 0.1%, while Oman was flat for the day. International Markets: US markets closed on a negative note as Dow, Nasdaq and S&P were down by 0.2%, 0.3% and 0.3% respectively. European markets closed in red FTSE, DAX and CAC were all down by 0.01%, 1.0% and 0.7% respectively. At the time of writing this report, Asian markets have opened on a mixed note as Hang Seng and Shanghai are up by 0.1% and 0.3% respectively, while Nikkei is down by 0.2%. Headlines (WW) US job openings hit record high; skills mismatch rising (GCC) Gulf debt market weakens as rift with Qatar worries foreign investors (WW) UK consumer stumbles in May as surveys show spending squeezed (AE) UAE business conditions improve at slower pace (WW) UK PM May plans global network of trade commissioners post-Brexit (AE) UAE free trade zones boost competitiveness (WW) China's economy is becoming more like America's (AE) Dubai generated AED 1.4 billion from medical tourism in 2016 (WW) China's Economy Post-Peak Shows Modest Growth (AE) UAE banks stop providing leverage to clients on Qatari bonds (WW) Moody’s China downgrade may bring about a flurry of reforms (EG) Egypt Foreign Reserves Rise (WW) Japan April real wages flat, bad sign for consumption (EG) Egypt gets a powerful boost (WW) Euro zone April retail sales rise slightly due to food (EG) Egypt sets USD 18 billion for subsidies in FY 2017-18 budget (CMD) Oil trades near three-week low despite Qatar spat (QA) Long dispute could hit Qatar economy, megaprojects (CMD) Gold surges to seven-week high on weaker dollar, political risks (QA) Philippines blocks workers heading to Qatar amid "wild rumours" (FX) Qatari riyal under pressure as Saudi, UAE banks delay Qatar deals (QA) Gulf rift over Qatar could complicate US goals in Mideast (FX) Dollar slumps to its lowest level of the Trump era (OM) Oman among top half of world's most competitive nations (FI) Euro zone bond yields sink as geopolitics sow inflation doubts (Source: Thomson Reuters, Bloomberg) MENA Markets Index Last DoD (%) WTD (%) MTD (%) YTD (%) ST Trend * MT Trend * LT Trend * Dubai (DFMGI) 3,322.35 0.1% -0.9% -0.5% -5.9% ˅ ˅ ˅ Abu Dhabi (ADSMI) 4,460.30 -0.5% -0.4% 0.7% -1.9% ˅ ˅ ˄ Saudi (SASEIDX) 6,933.28 -0.5% 1.0% 0.9% -3.8% ˄ ˅ ˄ Kuwait (KWSE) 6,801.13 -0.0% -0.2% 0.2% 18.3% ˄ ˅ ˄ Egypt (EGX30) 13,626.80 0.8% 1.2% 2.2% 10.4% ˄ ˄ ˄ Qatar (DSM) 9,058.89 -1.6% -8.9% -8.5% -13.2% ˅ ˅ ˅ Bahrain (BHSEIDX) 1,325.33 -0.1% 0.0% 0.4% 8.6% ˄ ˅ ˄ Oman (MSM30) 5,406.95 0.0% -0.5% -0.3% -6.5% ˅ ˅ ˅ 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) 354 276 455 77 98 163 78,489 Abu Dhabi (ADSMI) 62 79 126 35 48 60 133,405 Saudi (SASEIDX) 251 171 214 941 809 1,003 438,108 Kuwait (KWSE) 31 270 345 18 74 100 75,578 Egypt (EGX30) 434 282 334 102 84 89 20,183 Qatar (DSM) 27 11 10 218 91 85 109,796 Bahrain (BHSEIDX) 1 4 5 1 2 3 20,492 Oman (MSM30) 18 16 17 7 9 10 16,085 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 Wednesday , June 07, 2017 Valuation and Performance Comparisons 5-Year CDS(DoD change) Price Ratios PE (+ve.eps) 16 PB 14.1 12.1 11.2 8.8 386.2 8.7 300 8 239.3 188.3 4 1.1 Current 489.3 12.1 11.1 12 Previous 600 1.5 2.1 1.8 1.3 - - 0.9 1.0 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 Egypt Qatar Bahrain Oman Average Year to Date Perfomance Dividend Yield 27% 8% 18.3% 6% 5.2% 18% 5.8% 5.4% 4.5% 4.2% 8.6% 10.4% 9% 3.5% 4% 2.9% 0% 2% -9% 0.0% 0.0% Abu Dhabi Saudi Kuwait Egypt Qatar Bahrain -3.8% -6.5% -13.2% -18% 0% Dubai -1.9% -5.9% 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 Wednesday , June 07, 2017 Top Performers by Country (* indicates native currency; Latest data) Close DoD % Volume Value EMIRATES ISLAMIC BANK PJSC 6.20 -10.00% 0 1 TAKAFUL EMARAT INSURANCE PJSC 2.35 -2.55% 19 46 NATIONAL CENTRAL COOLING CO PJSC 1.91 -1.57% 446 858 EMAAR PROPERTIES PJSC 7.10 -1.41% 7,980 57,061 AL SALAM BANK SUDAN PLC 1.86 -1.08% 5 9 Close * DoD % Volume ('000) Value (AED ‘000) EMIRATES DRIVING CO PJSC 9.70 -7.22% 7 66 DANA GAS PJSC 0.47 -2.13% 11,162 5,303 77 MANAZEL REAL ESTATE PJSC 0.51 -1.96% 1,450 747 44 ESHRAQ PROPERTIES COMPANY PJSC 1.07 -1.87% 4,988 5,388 ABU DHABI NATIONAL ENERGY CO 0.56 -1.79% 1,708 965 Close * DoD % Volume ('000) Value (SAR ‘000) TALEEM REIT FUND 16.08 -9.95% 14,570 247,233 15,308 DEVELOPMENT WORKS FOOD CO 90.80 -6.17% 1 109 75 3,291 AL JAZIRA MAWTEN REIT 18.98 -4.00% 588 11,388 983 43,510 SAUDI FISHERIES CO SJSC 28.75 -4.00% 627 18,402 484 22,916 ETIHAD ATHEEB TELECOMMUNICA 8.90 -3.37% 340 3,082 DoD % Volume ('000) Value (KWD 000) Close (fils) * DoD % Volume ('000) Value (KWD 000) 335.00 19.40% 0 0 AJWAN GULF REAL ESTATE CO KSCP 92.00 -20.00% 0 0 INTERNATIONAL FINANCIAL ADVISORS 35.00 8.57% 0 0 NATIONAL INDUSTRIES COMPANY 224.00 -15.18% 87 21 OSOUL INVESTMENT CO KSCP 55.00 7.27% 151 8 GULF NORTH AFRICA HOLDING CO 35.80 -9.22% 85 3 PRIVATIZATION HOLDING CO KPSC 46.30 5.83% 11 0 NATIONAL PETROLEUM SERVICES 1513.00 -6.81% 1 1 ASIYA CAPITAL INVESTMENTS 39.60 5.81% 100 4 KUWAIT RESORTS COMPANY KPSC 82.40 -6.55% 117 10 Close DoD % Volume Value Close DoD % Volume Value 4.25 7.76% 1,118 4,580 SOUTH CAIRO AND GIZA MILLS AND 32.27 -6.26% 0 11 REMCO TOURISM VILLAGES 3.23 6.50% 3,579 11,206 DELTA SUGAR CO SAE 19.96 -3.36% 4 72 ARAB DRUG COMPANY FOR PHARMA 18.01 4.83% 37 652 DELTA CO FOR CONSTRUCTION 5.57 -3.05% 46 261 ORASCOM HOTELS AND DEV 11.10 4.68% 1,932 20,965 EGYPTIAN CO FOR INTERNATIONAL 3.61 -3.05% 6 22 RAYA HOLDING FOR FINANCIAL 11.24 4.36% 786 8,653 MISR FERTILIZERS PRODUCTION CO 62.42 -2.56% 14 856 Close * DoD % Volume ('000) Value (QAR ‘000) Close * DoD % Volume ('000) Value (QAR ‘000) AHLI BANK QSC 30.00 6.67% 66 1,931 QATARI GERMAN COMPANY 8.00 -8.75% 202 1,693 ZAD HOLDING CO SAQ 74.00 4.05% 0 2 GULF WAREHOUSING CO QSC 45.00 -8.00% 500 23,492 AL KHALEEJ TAKAFUL GROUP QSC 16.58 2.53% 3 48 DLALA BROKERAGE AND INVESTMENT 22.50 -8.00% 74 1,730 QATAR INDUSTRIAL MANUFACTURING 39.30 1.78% 22 842 AAMAL CO QSC 11.70 -7.86% 118 1,435 DOHA BANK QSC 29.95 1.17% 872 25,959 DOHA INSURANCE CO QSC 15.10 -7.15% 248 3,892 Close DoD % Volume Value DUBAI FINANCIAL MARKET PJSC 1.08 5.56% 0 14,809 DUBAI INVESTMENTS PJSC 2.07 3.38% 0 16,744 GULF GENERAL INVESTMENT CO PSC 0.37 1.62% 974 358 DUBAI ISLAMIC INSURANCE AND 0.93 1.50% 13,919 12,862 AIR ARABIA PJSC 1.00 1.30% 7,622 7,551 Top Gainers Close * DoD % Volume ('000) Value (AED ‘000) ARKAN BUILDING MATERIALS CO PJSC 0.68 2.94% 16 10 ALDAR PROPERTIES PJSC 2.22 1.80% 31,565 69,454 INSURANCE HOUSE PSC 0.80 0.00% 96 NATIONAL TAKAFUL CO PJSC 0.58 0.00% 75 NATIONAL INVESTOR PJSC 0.54 0.00% 2,888 1,559 Close * DoD % Volume ('000) Value (SAR ‘000) AL ANDALUS PROPERTY CO SJSC 23.00 4.17% 2,465 55,568 AL HAMMADI COMPANY FOR DEV 39.35 3.56% 396 CHUBB ARABIA COOPERATIVE 44.60 2.91% SAVOLA GROUP COMPANY SJSC 44.90 2.90% AL RAJHI COMPANY FOR COOP 48.00 2.60% Close (fils) * REAL ESTATE ASSET MANAGEMENT Abu Dhabi Dubai Top Gainers Saudi Arabia Top Gainers Kuwait Top Gainers Top Gainers Egypt SHARM DREAMS COMPANY 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 Wednesday , June 07, 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 78,880 98.60 -1.4% 7.8% 6,054 159,175 102.50 76.00 15 1.8 4.1% 2 Emirates Telecommunications Group Co AE 41,440 17.50 -0.6% -6.9% 487 2,322 20.20 17.20 17 3.4 4.6% 3 Saudi Telecom Company SJSC SA 37,440 70.20 0.4% 0.0% 189 3,543 74.00 51.00 0 0.0 0.0% 4 Qatar National Bank SAQ QA 34,199 134.80 -1.2% -9.0% 1,157 42,842 157.27 122.82 10 1.8 2.4% 5 First Abu Dhabi Bank PJSC AE 31,601 10.65 -0.9% 6.6% 1,345 3,901 11.55 7.80 10 1.2 4.2% 6 Al Rajhi Banking & Investment Corp SA 27,387 63.20 0.5% 0.3% 3,587 60,452 67.50 48.60 12 2.0 3.6% 7 Saudi Electricity Company SJSC SA 24,977 22.48 -0.1% 0.4% 723 4,332 25.80 14.30 11 1.3 3.1% 8 National Commercial Bank SJSC SA 23,093 43.30 -0.3% 1.6% 564 6,509 45.00 32.00 9 1.4 3.7% 9 DP World Ltd AE 19,256 23.20 -0.3% 32.5% 42 264 23.85 15.53 20 2.2 1.6% 10 Almarai Co SJSC SA 17,173 80.50 0.1% 17.5% 166 3,555 82.40 51.50 32 5.0 1.1% 11 Jabal Omar Development Co SJSC SA 16,804 67.80 -1.2% -9.3% 115 2,083 76.00 46.00 72 6.1 0.0% 12 Industries Qatar QSC QA 16,285 98.00 0.5% -16.6% 248 6,664 122.00 94.00 19 1.9 0.0% 13 Emaar Properties PJSC AE 13,647 7.00 -1.4% -1.8% 7,980 15,209 7.79 6.07 9 1.2 2.1% 14 National Bank of Kuwait SAKP KW 13,205 676.00 0.1% 9.2% 200 445 723.81 523.81 14 1.3 4.2% 15 Saudi Arabian Mining Co SJSC SA 12,978 41.65 -0.6% 6.8% 165 1,836 44.00 27.80 690 1.9 0.0% 16 Samba Financial Group SJSC SA 12,192 22.86 -0.7% -6.1% 301 1,835 25.20 15.90 9 1.1 4.2% 17 Emirates NBD Bank PJSC AE 12,137 8.02 0.1% -5.5% 18 39 9.00 7.60 7 0.8 5.0% 18 Abu Dhabi Commercial Bank PJSC AE 10,389 7.34 -0.1% 6.4% 1,030 2,058 7.68 5.66 9 1.3 5.4% 19 Kingdom Holding Co SA 9,962 10.08 0.8% 0.0% 35 94 12.95 9.90 70 1.3 5.0% 20 Kuwait Finance House KSCP KW 9,174 482.00 0.4% -1.8% 1,358 2,160 572.73 400.00 13 1.6 3.2% 21 Saudi British Bank SJSC SA 9,120 22.80 -2.1% -8.8% 561 3,409 25.90 16.40 9 1.1 3.1% 22 Emaar Malls Group PJSC AE 8,930 2.52 0.0% -3.8% 315 216 3.00 2.47 17 2.0 0.0% 23 Banque Saudi Fransi SJSC SA 8,564 26.65 -2.0% 2.1% 119 843 27.70 18.00 9 1.0 3.9% 24 Yanbu National Petrochemicals Co SJSC SA 8,535 56.90 0.2% 5.4% 72 1,091 61.75 37.00 13 2.0 5.3% 25 Ooredoo QSC QA 8,323 94.60 -1.5% 0.0% 219 5,692 116.10 84.30 16 1.4 0.0% 26 Riyad Bank SJSC SA 8,304 10.38 0.0% -10.1% 631 1,746 11.80 8.55 10 0.8 6.3% 27 Emirates Islamic Bank PJSC AE 8,251 5.58 -10.0% 0.0% 0 0 11.95 1.57 102 4.4 0.0% 28 Masraf Al Rayan QSC QA 8,240 40.00 -1.2% 6.4% 3,025 33,238 45.40 33.05 15 2.6 5.0% 29 Ezdan Holding Group QSC QA 7,985 10.96 -3.3% -27.5% 2,194 6,605 20.24 10.80 13 0.9 4.6% 30 Dubai Islamic Bank PJSC AE 7,792 5.79 0.0% 3.9% 855 1,349 6.29 4.90 9 1.2 7.8% Company Name Total M-Cap; W. Avg Yield 546,261 3.0% 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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