MENA Market Report - 19 October

Transcription

1. MENA Morning Report Thursday , October 19, 2017 Overview Regional Markets: MENA markets ended the session on a slightly negative note, continuing the negative trend throughout the week. Leading banks have reported earnings for the third quarter, which has been largely in line with street estimates, hence markets continue to remain subdued with lack of confidence. The performance during the month of October has been largely sluggish across the regional markets with the exception of UAE markets. For the regional markets, four out of the eight indexes closed in red, while three ended in green and one remained unchanged for the day. Saudi Arabia closed on a negative note as it was down by 0.7% for the day after closing marginally higher in previous session. The index was dragged lower by banks, while the energy sector stocks were mostly flat during the session. UAE markets closed on a positive note as Dubai and Abu Dhabi were both up by 0.1% and 0.3% respectively for the day, while the trends remains negative for the week. Qatar closed on a negative note as it was down by 1.0% for the day, extending the losses to 2.4% for the week. Egypt was up by 0.5% for the day, while the index is down by 2.2% during the week. Kuwait closed on a negative note as it was down by 0.4% for the day, wiping off the gains recorded in earlier sessions of the week. Bahrain closed lower by 0.3%, while Oman was flat for the day. International Markets: US markets closed on a positive note as DJIA, Nasdaq and S&P were up by 0.7%, 0.01% and 0.1% respectively. European markets closed on a positive note as FTSE, DAX and CAC were all up by 0.4% each. At the time of writing this report, Asian markets have opened on a negative note as Nikkei is up by 0.6%, while Hang Seng and Shanghai are down by 0.2% and 0.4%. Headlines (WW) US industrial output rises slightly as hurricanes impact lingers (ME) Lack of women in Middle East workforce hinders growth (WW) Growth in the US economy slows down in the Q3 (ME) Over 300 hotels under construction in the Middle East (WW) Chinese economy has gained strong momentum for growth (SA) Saudi Arabia approves new law governing oil products trading (WW) India's tightened consumer goods standards could hurt China imports (AE) UAE developer reveals plan for USD 6.8bn Dubai mega project (WW) UK firms freeze marketing spend as economic uncertainty rises over Brexit (AE) UAE Strategy for Artificial Intelligence Launched (WW) SMEs to contribute GBP 241bn to UK economy by 2025 (AE) Revamped Islamic Economy strategy 2017-2021 on the cards (WW) AI could bring up to GBP 630bn to the UK economy over a few years (AE) Indians ready to capitalize on Dubai's lucrative real-estate industry (WW) Brexit raises existential questions for EU capital market (EG) Egypt target budget deficit of 4-5% of GDP by 2022 (WW) Japan needs to start properly funding domestic start-ups (EG) 13 Egyptian businesses make forbes top list of arab startups (CMD) Oil prices rise on tighter US market, Middle East tensions (EG) Egypt's 9 months tourism revenues jumps (CMD) Gold prices inch up from one-week low (QA) Qatar's wealth fund brings USD 20bn home to ease impact of embargo (FX) Higher US yields push dollar up for a fifth day (QA) Qatar poised to invest USD 19bn in Turkey next year (FX) Yuan firms as China's congress begins, market ignores weaker fixing (Source: Thomson Reuters, Bloomberg) MENA Markets Index Last DoD (%) WTD (%) MTD (%) YTD (%) ST Trend * MT Trend * LT Trend * Dubai (DFMGI) 3,645.44 0.1% -0.4% 2.3% 3.2% ˄ ˄ ˄ Abu Dhabi (ADSMI) 4,502.05 0.3% -0.5% 2.4% -1.0% ˄ ˅ ˅ Saudi (SASEIDX) 6,941.78 -0.7% -0.7% -4.7% -3.7% ˅ ˄ ˄ Kuwait (KWSE) 6,618.66 -0.4% -0.1% -0.9% 15.1% ˅ ˅ ˄ Egypt (EGX30) 13,590.15 0.5% -2.2% -2.1% 10.1% ˅ ˄ ˄ Qatar (DSM) 8,144.11 -1.0% -2.4% -2.0% -22.0% ˅ ˅ ˅ Bahrain (BHSEIDX) 1,278.46 -0.3% 0.3% -0.4% 7.4% ˅ ˅ ˅ Oman (MSM30) 5,090.15 0.0% -0.7% -0.9% -12.0% ˅ ˅ ˅ 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) 288 205 249 92 78 87 85,432 Abu Dhabi (ADSMI) 71 102 105 30 48 48 133,265 Saudi (SASEIDX) 122 124 150 668 740 779 441,397 Kuwait (KWSE) 87 107 100 46 80 62 75,578 Egypt (EGX30) 561 338 317 151 60 68 20,299 Qatar (DSM) 5 9 10 41 55 70 92,100 Bahrain (BHSEIDX) 6 3 3 4 2 2 20,378 Oman (MSM30) 11 19 16 8 10 8 14,257 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 1
2. MENA Morning Report Thursday , October 19, 2017 Valuation and Performance Comparisons 5-Year CDS(DoD change) Price Ratios PE (+ve.eps) 16 12 PB 14.3 10.3 Previous 489.3 11.1 11.2 11.5 11.3 386.2 9.6 300 8 239.3 188.3 4 1.3 1.6 Current 600 2.0 1.6 - - 1.2 0.8 0.9 Bahrain Oman - 178.1 0 106.9 87.2 1.3 0 Dubai Abu Dhabi Saudi Kuwait Egypt Qatar Average Dubai Abu Dhabi Saudi Kuwait Egypt Qatar Bahrain Oman Average Year to Date Perfomance DividendYield 8% 27% 6% 4.7% 10.1% 5.0% 4.5% 9% 3.6% 3.6% 4% 15.1% 18% 5.9% 5.4% 4.8% 3.2% 0% -1.0% -9% -3.7% 2% -12.0% -18% 0.0% 0.0% 0% -22.0% -27% Dubai Abu Dhabi Saudi Kuwait Egypt Qatar Bahrain 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 , October 19, 2017 Abu Dhabi Dubai Top Performers by Country (* indicates native currency; Latest data) Top Gainers Close * DoD % Volume ('000) Value (AED ‘000) Top Losers Close DoD % Volume Value UNION PROPERTIES PJSC 0.88 3.76% 0 81,871 AL RAMZ CORPORATION INVESTMENT 1.40 -8.57% 0 0 DRAKE AND SCULL INTERNATIONAL 1.87 1.60% 0 32,890 ISLAMIC ARAB INSURANCE CO PSC 0.56 -3.57% 0 18,008 EMAAR PROPERTIES PJSC 8.60 1.05% 4,147 35,483 AJMAN BANK PJSC 1.19 -2.52% 1,372 1,654 AL SALAM BANK SUDAN PLC 1.93 1.04% 63 120 GULF GENERAL INVESTMENT CO PSC 0.44 -2.30% 16,990 7,478 AMLAK FINANCE PJSC 1.08 0.93% 1,570 1,688 MARKA PJSC 0.68 -2.20% 2,507 1,729 Top Gainers Close * DoD % Volume ('000) Value (AED ‘000) Close * DoD % Volume ('000) Value (AED ‘000) UNITED ARAB BANK PJSC 1.90 5.26% 98 182 AGTHIA GROUP PJSC 5.32 -1.32% 238 1,275 MANAZEL REAL ESTATE PJSC 0.54 3.70% 20,990 11,132 EMIRATES TELECOMMUNICATIONS 17.90 -0.84% 967 17,382 AL AIN AHLIA INSURANCE CO PSC 42.00 2.38% 4 172 SHARJAH ISLAMIC BANK PJSC 1.39 -0.72% 62 87 WAHA CAPITAL PJSC 1.74 2.30% 1,682 2,895 INTERNATIONAL HOLDING COMPANY 1.48 -0.68% 1,490 2,212 UNION NATIONAL BANK PJSC 4.20 2.14% 935 3,887 INSURANCE HOUSE PSC 0.86 0.00% 20 17 Close * DoD % Volume ('000) Value (SAR ‘000) Top Losers Close * DoD % Volume ('000) Value (SAR ‘000) SAUDI ADVANCED INDUSTRIES CO 11.88 9.93% 584 6,630 AL-OMRAN INDUSTRIAL AND TRADING 17.70 -6.78% 12 223 MALATH COOPERATIVE INSURANCE 15.14 9.91% 744 10,758 ASEER TRADING TOURISM 14.60 -4.11% 128 1,915 RED SEA INTERNATIONAL CO 18.26 5.15% 351 6,250 SAUDI INDUSTRIAL INVESTMENT 22.46 -3.38% 428 9,784 ALDREES PETROLEUM AND TRANSP 28.25 3.19% 1,101 30,612 NAMA CHEMICALS COMPANY SJSC 18.50 -3.14% 302 5,685 DAR AL ARKAN REAL ESTATE DEVELOP 6.69 2.69% 32,353 213,604 AL ASEEL CO LTD 62.00 -3.06% 4 235 Top Gainers Close (fils) * DoD % Volume ('000) Value (KWD 000) Close (fils) * DoD % Volume ('000) Value (KWD 000) BOUBYAN INTERNATIONAL INDUST 42.00 7.14% 127 5 AL ARGAN INTERNATIONAL REAL EST 160.00 -17.50% 10 2 AL AHLEIA INSURANCE CO SAKP 420.00 7.14% 25 10 HILAL CEMENT CO KSCP 190.00 -10.53% 120 24 ARZAN FINANCIAL GROUP FOR FINAN 31.10 6.43% 366 11 AMWAL INTERNATIONAL INVEST 38.80 -9.79% 329 13 KUWAIT FINANCIAL CENTRE KPSC 102.00 5.88% 5 0 KUWAIT AND MIDDLE EAST FINANCIAL 27.00 -9.26% 1,000 28 NAFAIS HOLDING COMPANY KSCP 510.00 5.88% 0 0 COAST INVESTMENT AND DEVELOP 44.40 -7.43% 1,047 48 Close DoD % Volume Value Close DoD % Volume Value EGYPTIAN IRON AND STEEL CO SAE 7.87 16.90% 5,936 43,337 257.06 -7.75% 20 5,322 INTERNATIONAL COMPANY 11.50 9.91% 6 71 ARAB ALUMINUM CO SAE 53.60 -7.65% 148 8,276 CAIRO POULTRY CO SAE 6.58 9.88% 767 4,821 MISR REFRIGERATION AND AC 112.64 -7.45% 0 35 UNIRAB POLVARA SPINNING 2.85 9.12% 3,713 10,141 ARAB ENGINEERING INDUSTRIES SAE 7.12 -7.30% 4 28 EGYPTIANS FOR HOUSING DEVELOP 3.61 8.86% 1,165 4,036 ZAHRAA MAADI INVESTMENT AND 20.89 -4.83% 24 509 Top Gainers Close DoD % Volume Value Close DoD % Volume Value DLALA BROKERAGE AND INVESTMENT 16.65 2.64% 73 1,206 AHLI BANK QSC 31.00 -6.39% 32 1,038 QATAR GENERAL INSURANCE & REINS 39.99 2.53% 0 8 QATAR INDUSTRIAL MANUFACTURING 42.49 -5.84% 21 907 BARWA REAL ESTATE COMPANY QPSC 30.21 0.43% 167 5,032 QATAR INSURANCE CO SAQ 48.36 -5.71% 104 5,196 DOHA INSURANCE CO QSC 14.00 0.00% 0 4 ALIJARAH HOLDING CO QPSC 11.31 -4.51% 259 2,995 QATAR CINEMA AND FILM DISTRI 25.00 0.00% 0 1 QATAR ISLAMIC INSURANCE CO QPSC 52.30 -4.40% 27 1,450 Kuwait Saudi Arabia Top Gainers Qatar Egypt Top Gainers Data & Charts Source: Thomson Reuters Top Losers Top Losers Top Losers EGYPT GAS CO SAE Top Losers 3
4. MENA Morning Report Thursday , October 19, 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 78,552 98.20 0.0% 7.3% 3,913 102,470 105.40 82.75 16 1.9 6.1% 2 Emirates Telecommunications Group Co AE 42,029 17.75 -0.8% -5.6% 967 4,673 19.70 17.10 18 3.5 4.5% 3 Saudi Telecom Company SJSC SA 36,583 68.60 0.1% -5.4% 287 5,245 78.90 53.00 15 2.2 5.8% 4 Qatar National Bank QPSC QA 31,267 123.10 -0.9% -16.9% 227 7,699 157.27 118.50 9 1.5 2.6% 5 First Abu Dhabi Bank PJSC AE 31,005 10.45 1.0% 4.6% 1,743 4,959 11.55 8.30 13 1.2 4.3% 6 Al Rajhi Banking & Investment Corp SA 27,687 63.90 -0.6% 1.4% 2,569 43,766 71.70 51.75 12 1.9 3.5% 7 Saudi Electricity Company SJSC SA 26,086 23.48 -0.8% 4.8% 310 1,940 26.05 16.70 11 1.4 3.0% 8 National Commercial Bank SJSC SA 25,597 48.00 -1.2% 12.7% 548 7,014 58.00 33.30 10 1.6 3.3% 9 DP World Ltd AE 18,675 22.50 -1.3% 28.5% 115 705 23.85 15.53 18 1.9 1.7% 10 Emaar Properties PJSC AE 16,940 8.69 1.0% 21.9% 4,147 9,813 8.95 6.37 11 1.5 1.7% 11 Industries Qatar QSC QA 15,639 94.00 -1.1% -20.0% 117 3,032 122.00 85.00 22 1.7 4.3% 12 Jabal Omar Development Co SJSC SA 15,637 63.10 -0.6% -15.6% 34 579 76.00 53.00 67 5.7 0.0% 13 Saudi Arabian Mining Co SJSC SA 15,469 49.65 -0.5% 27.3% 128 1,696 54.00 33.00 227 2.2 0.0% 14 National Bank of Kuwait SAKP KW 15,375 784.00 -0.1% 26.6% 2,174 5,648 800.00 542.86 15 1.4 3.6% 15 Almarai Co SJSC SA 15,118 56.70 -1.9% 3.5% 415 6,270 78.64 44.00 27 4.2 1.3% 16 Emirates NBD Bank PJSC AE 12,559 8.30 -2.1% -2.2% 187 422 9.00 7.60 7 0.8 4.8% 17 Samba Financial Group SJSC SA 11,732 22.00 -0.5% -9.7% 569 3,339 27.10 16.15 9 1.0 4.3% 18 Kuwait Finance House KSCP KW 11,560 605.00 -0.2% 23.2% 1,241 2,489 650.00 418.18 18 1.9 2.6% 19 Emirates Islamic Bank PJSC AE 11,089 7.50 0.0% 0.0% 2 3 11.95 1.57 117 5.8 0.0% 20 Abu Dhabi Commercial Bank PJSC AE 10,459 7.39 0.3% 7.1% 908 1,827 7.68 5.66 10 1.3 5.4% 21 Saudi British Bank SJSC SA 10,239 25.60 -2.7% 2.4% 179 1,225 28.55 16.90 10 1.2 2.7% 22 Kingdom Holding Co SA 10,020 10.14 0.0% -15.1% 114 309 12.95 9.80 66 1.3 4.9% 23 Banque Saudi Fransi SJSC SA 9,063 28.20 -0.2% 8.0% 332 2,499 33.40 18.70 10 1.1 3.7% 24 Riyad Bank SJSC SA 8,847 11.06 -0.5% -4.2% 477 1,407 12.06 8.60 11 0.9 5.9% 25 Yanbu National Petrochemicals Co SJSC SA 8,294 55.30 -2.0% 0.0% 706 10,407 61.75 44.00 14 2.0 0.0% 26 Dubai Islamic Bank PJSC AE 8,154 6.06 0.3% 8.8% 2,417 3,988 6.29 5.01 8 1.2 7.4% 27 Emaar Malls PJSC AE 8,114 2.29 -1.7% -12.6% 2,131 1,329 2.80 2.25 16 1.8 4.4% 28 Ooredoo QSC QA 7,531 85.50 -1.0% -16.0% 248 5,822 116.10 80.00 15 1.2 4.1% 29 Mobile Telecommunications Company KW 7,328 511.00 0.2% 24.6% 3,511 5,947 570.00 335.00 13 1.7 6.8% 30 Masraf Al Rayan QPSC QA 7,293 35.36 -1.5% -6.0% 241 2,346 45.40 33.05 13 2.1 5.7% Company Name Total M-Cap; W. Avg Yield 553,943 3.9% Data Source: Thomson Reuters Disclaimer: This report is prepared by Al Masah Capital Management Limited (“AMCML”). AMCML is a company incorporated in the DIFC (Dubai International Financial Centre) and regulated by the DFSA (Dubai Financial Services Authority). The information contained in this report does not constitute any offer to sell securities or the solicitation of any 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 to be used by experienced investment persons 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, and as such should not be relied upon by or distributed to “Retail Clients”. 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