MENA Market Report - 21 June

Transcription

1. MENA Morning Report Thursday , June 21, 2018 Overview Regional Markets: MENA region ended on a negative note, continuing the bearish trend throughout the week. The sentiments within the region were impacted by concerns over global trade war between two largest economies coupled with the OPEC meeting expected this week. Both of these events have certain degree of uncertainty, which translates into investors staying away from the markets until more clarity is provided on these events. For the regional markets, six out of the eight indexes ended in red, while only two in green for the day. Saudi Arabia closed on a negative note as it was down by 1.3% for the day, which was mostly dragged lower by 2.0% decline in the banking sector stocks, followed by the energy sector stocks. UAE markets ended on the losing side as both Dubai and Abu Dhabi were down by 0.6% and 0.2% respectively for the day. Both Dubai and Abu Dhabi have extended the weekly losses to 3.8% and 3.5% respectively as investors have dumped stocks with exposure to Abraaj as it has filed for provisional liquidation. Qatar closed on a negative note as it was down by 2.4% for the day, catching up with the regional peers. Kuwait and Bahrain were both down by 0.2% and 0.5% respectively for the day, in line with the regional markets. Egypt and Oman were the two indexes that ended on a positive note in an otherwise negative market. Egypt was up by 0.5% and Oman by 0.1% for the day. International Markets: US markets ended on a positive note as Nasdaq and S&P were up by 0.7% and 0.2% respectively, while DJA was down by 0.2% for the day. European markets closed on a positive note as FTSE and DAX were up by 0.3% and 0.1% respectively, while CAC was down by 0.3%. At the time of writing this report, Asian markets have opened on a positive note as Nikkei, Hang Seng and Shanghai were up by 0.8%, 0.6% and 0.8% respectively. Headlines (WW) Spurring innovation and competition in the US economy (SA) Saudi struggles for Gulf oil producers' support ahead of OPEC meeting (WW) US growth is close to a peak, but risks are mounting (SA) Franklin Templeton funds become qualified foreign investors in Saudi (WW) China eyes reserve cuts, other policy measures to aid small firms (AE) UAE receives 67% of GCC foreign investments (WW) China's economy shows signs of slowing (AE) UAE’s economy to grow 3% in 5 years (WW) BOE August rate increase in question as UK economy falters (AE) UAE's farsighted, strategic investment policy commended (WW) UK industrial orders jump in June (AE) UAE leads Middle East in digital competitiveness (WW) Further reforms needed for a stronger and more integrated Europe (AE) Dubai's new visa rule will promote long-term investment (WW) Japan's business mood mixed, underlines fragile recovery (AE) Free UAE transit visa for tourists good for economy (CMD) Oil prices rise ahead of OPEC meeting (EG) Egypt proposes increase on fees paid by foreigners (CMD) Gold steadies as soaring dollar offset by global trade woes (EG) 90% of Egypt's economic reform programme completed (FX) Dollar perched at 11-month highs as trade concerns weigh (KW) Economy remains supported by resilience in non-oil growth (FX) Euro holds slim losses after ECB Draghi's remarks (BH) Bahrain FDI Grows 114% as Reforms Boost Investment (FI) ECB needs big shock to reverse decision to end bond buys (Source: Thomson Reuters, Bloomberg) MENA Markets Index Last DoD (%) WTD (%) MTD (%) YTD (%) ST Trend * MT Trend * LT Trend * Dubai (DFMGI) 2,922.57 -0.6% -3.8% -1.4% -13.3% ˅ ˅ ˅ Abu Dhabi (ADSMI) 4,550.29 -0.2% -3.5% -1.2% 3.5% ˄ ˄ ˄ Saudi (SASEIDX) 8,166.30 -1.3% -1.3% 0.1% 13.0% ˄ ˄ ˄ Kuwait (KWSE) 4,852.83 -0.2% -0.5% 0.8% 0.5% ˅ ˅ ˄ Egypt (EGX30) 16,143.48 0.5% -0.5% -1.7% 7.5% ˅ ˅ ˄ Qatar (DSM) 8,881.85 -2.4% -2.4% 0.0% 4.2% ˄ ˄ ˄ Bahrain (BHSEIDX) 1,301.13 -0.5% -0.5% 2.8% -2.3% ˄ ˅ ˅ Oman (MSM30) 4,593.53 0.1% -0.1% -0.3% -9.9% ˅ ˅ ˅ 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) 103 161 191 50 65 77 79,913 Abu Dhabi (ADSMI) 33 69 68 29 37 38 115,821 Saudi (SASEIDX) 80 181 177 498 1,106 1,038 526,339 Kuwait (KWSE) 41 79 83 17 281 170 75,578 Egypt (EGX30) 211 313 297 55 94 96 27,436 Qatar (DSM) 8 11 11 108 119 105 108,533 Bahrain (BHSEIDX) 2 4 6 1 2 3 20,800 Oman (MSM30) 18 27 21 5 17 12 12,856 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 , June 21, 2018 Valuation and Performance Comparisons 5-Year CDS(DoD change) Price Ratios PE (+ve.eps) 18 PB 14.8 11.5 12 12.4 11.3 361.7 11.0 9.0 300 7.2 204.6 6 3 131.3 2.3 1.0 1.2 1.8 1.2 - - - 0.8 0.8 68.1 1.3 0 106.9 100.0 0 Dubai Abu Dhabi Saudi Kuwait Egypt Qatar Bahrain Oman Average Dubai Abu Dhabi Saudi Kuwait Egypt Qatar Bahrain Oman Average Year to Date Perfomance DividendYield 8% 20% 5.6% 6% Current 459.8 15 9 Previous 600 5.9% 5.2% 3.6% 3.7% 4% 13.0% 15% 6.3% 10% 4.8% 4.4% 7.5% 3.5% 5% 4.2% 0.5% 0% -2.3% -5% -10% 2% -15% 0.0% 0% Dubai Abu Dhabi Saudi Kuwait -9.9% -13.3% -20% 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 , June 21, 2018 Top Performers by Country (* indicates native currency; Latest data) Dubai Abu Dhabi Saudi Arabia Value (AED ‘000) TAKAFUL EMARAT INSURANCE PJSC 1.86 -4.84% 0 241 2,157 DAMAC PROPERTIES DUBAI CO PSC 2.37 -3.80% 0 1,876 4,873 DAR AL TAKAFUL PJSC 0.67 -1.95% 167 113 DUBAI FINANCIAL MARKET PJSC 1.04 -1.92% 1,554 1,632 DRAKE AND SCULL INTERNATIONAL 1.10 -1.82% 8,568 9,512 Close * DoD % Volume ('000) Value (AED ‘000) Value (AED ‘000) ARAMEX PJSC 4.00 1.75% 0 5,192 DXB ENTERTAINMENTS PJSC 0.38 1.05% 0 GULF NAVIGATION HOLDING PJSC 0.96 1.04% 5,103 Top Losers UNION PROPERTIES PJSC 0.77 1.04% 9,028 6,907 DUBAI ISLAMIC INSURANCE 0.68 0.74% 237 161 Close * DoD % Volume ('000) Value (AED ‘000) GULF PHARMACEUTICAL INDUSTRIES 2.11 6.16% 0 1 UNION INSURANCE CO PSC 1.58 -9.49% 7 12 METHAQ TAKAFUL INSURANCE CO 0.78 5.13% 63 48 SHARJAH GROUP CO 1.26 -8.73% 105 139 GULF CEMENT CO PSC 0.94 2.13% 122 113 ABU DHABI NATIONAL TAKAFUL CO 4.60 -4.35% 1 3 AGTHIA GROUP PJSC 4.80 1.88% 398 1,891 MANAZEL REAL ESTATE PJSC 0.49 -2.04% 2,141 1,060 ABU DHABI NATIONAL ENERGY CO 1.17 1.71% 1,994 2,313 SUDATEL TELECOM GROUP LTD 0.53 -1.89% 111 59 Close * DoD % Volume ('000) Value (SAR ‘000) Close * DoD % Volume ('000) Value (SAR ‘000) MEDITERRANEAN AND GULF COOP 19.52 5.64% 160 3,042 BANQUE SAUDI FRANSI SJSC 33.65 -4.31% 203 6,993 ETIHAD ATHEEB TELECOMM 5.21 4.99% 1,396 7,102 SAUDI BRITISH BANK SJSC 31.10 -4.02% 568 18,035 SABB TAKAFUL CO SJSC 21.20 4.25% 1,175 24,393 ARAB NATIONAL BANK 33.10 -3.32% 76 2,563 SAUDI CABLE CO JSC 8.55 4.21% 464 3,887 SAUDI KAYAN PETROCHEMICAL CO 14.94 -3.08% 7,664 116,324 GULF UNION COOPERATIVE INSUR 15.02 3.06% 81 1,201 RIYAD BANK SJSC 16.10 -2.86% 627 10,240 Close (fils) * DoD % Volume ('000) Value (KWD 000) Close (fils) * DoD % Volume ('000) Value (KWD 000) OSOUL INVESTMENT CO KSCP 54.00 10.00% 969 50 ENERGY HOUSE HOLDING COMPANY 31.70 -5.36% 20 1 LIVESTOCK TRANSPORT AND TRADING 186.00 7.53% 1 0 SPECIALITIES GROUP HOLDING CO 62.00 -4.84% 33 2 420.00 -4.76% 1,251 539 Top Gainers Kuwait Volume ('000) Volume ('000) Top Gainers Top Losers Top Losers Top Losers MENA REAL ESTATE CO KSCP 29.00 6.90% 9 0 AL AHLEIA INSURANCE CO SAKP FIRST DUBAI FOR REAL ESTATE DEVEL 39.40 5.84% 4 0 EFFECT REAL ESTATE COMPANY KPSC 21.90 -4.11% 1 0 HEAVY ENGINEERING INDUSTRIES 307.00 4.23% 335 101 KUWAIT RESORTS COMPANY KPSC 59.40 -4.04% 131 8 Close * DoD % Volume ('000) Value (EGP ‘000) Close * DoD % Volume ('000) Value (EGP ‘000) NORTH AFRICA CO FOR REAL ESTATE 1.00 9.00% 0 230 INTERNATIONAL COMPANY 13.67 -9.80% 5 68 INDUSTRIAL AND ENGINEERING ENTER 10.90 8.35% 107 1,122 WADI KOM OMBO FOR LAND RECLAM 13.28 -6.63% 5 69 ARAB MOLTAQA INVESTMENTS CO 20.02 6.74% 132 2,555 ARABIA COTTON GINNING CO SAE 2.69 -4.83% 17,519 48,323 ARAB CO FOR ASSET MANAGEMENT 2.99 6.69% 18,259 52,884 EGYPTIAN INTERNATIONAL PHARMA 131.79 -4.40% 26 3,442 ARABIA INVESTMENTS DEVELOPMENT 0.69 5.80% 4,885 3,279 IBNSINA PHARMA CO 11.46 -4.36% 489 5,734 Top Gainers Close * DoD % Volume ('000) Value (QAR ‘000) Close * DoD % Volume ('000) Value (QAR ‘000) ISLAMIC HOLDING GROUP QPSC 27.51 2.47% 7 192 DOHA INSURANCE GROUP QPSC 13.00 -7.38% 0 2 ZAD HOLDING CO SAQ 84.00 1.90% 6 502 QATAR INSURANCE CO SAQ 37.30 -6.17% 257 9,885 QATAR FUEL CO QSC 135.00 1.63% 79 10,564 COMMERCIAL BANK PSQC 38.23 -5.83% 314 12,370 UNITED DEVELOPMENT COMPANY 14.01 1.28% 331 4,602 QATAR ELECTRICITY AND WATER CO 190.00 -4.47% 188 36,527 BARWA REAL ESTATE COMPANY QPSC 33.50 1.13% 226 7,521 QATAR NATIONAL BANK QPSC 158.40 -4.42% 1,002 162,399 Top Gainers Egypt DoD % DoD % Top Gainers Qatar Close * Close * Top Gainers Data & Charts Source: Thomson Reuters Top Losers Top Losers 3
4. MENA Morning Report Thursday , June 21, 2018 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 100,635 125.80 -0.6% 23.6% 878 29,462 131.40 94.90 20 2.2 3.3% 2 Saudi Telecom Company SJSC SA 46,078 86.40 -1.4% 25.9% 313 7,216 93.40 65.10 17 2.7 4.6% 3 Qatar National Bank QPSC QA 38,417 151.40 -4.4% 20.1% 1,002 41,680 165.00 115.01 10 2.0 4.0% 4 Emirates Telecommunications Group Co AE 38,360 16.20 1.3% -7.4% 1,058 4,665 18.85 15.70 16 3.3 4.9% 5 National Commercial Bank SJSC SA 38,238 47.80 -0.9% 30.1% 755 9,628 49.95 30.43 14 2.2 2.4% 6 Al Rajhi Banking & Investment Corp SA 36,918 85.20 -2.1% 31.9% 2,716 61,708 92.40 61.70 15 2.7 4.7% 7 First Abu Dhabi Bank PJSC AE 35,457 11.95 -1.2% 16.6% 2,361 7,683 12.70 10.05 12 1.4 5.9% 8 Saudi Electricity Company SJSC SA 24,154 21.74 -1.5% 3.2% 611 3,543 26.05 19.76 119 1.3 3.2% 9 DP World Ltd AE 18,758 22.60 -0.1% -9.6% 105 646 27.06 20.80 16 1.7 1.8% 10 Saudi Arabian Mining Co SJSC SA 17,573 56.40 -1.4% 8.3% 272 4,085 60.00 41.00 61 2.5 0.0% 11 Industries Qatar QSC QA 17,452 105.00 -0.8% 8.2% 327 9,421 116.89 85.00 17 2.0 4.8% 12 Samba Financial Group SJSC SA 16,319 30.60 -0.5% 30.1% 1,282 10,458 32.40 21.80 12 1.4 4.9% 13 Almarai Co SJSC SA 15,679 58.80 1.0% 9.3% 218 3,410 78.64 50.00 28 3.9 1.3% 14 National Bank of Kuwait SAKP KW 15,350 747.00 -0.1% 7.7% 4,081 10,083 761.90 642.86 14 1.5 3.6% 15 Emirates NBD Bank PJSC AE 15,057 9.95 0.5% 21.3% 249 673 11.00 7.95 7 1.0 4.0% 16 Emirates Islamic Bank PJSC AE 14,046 9.50 0.0% -3.1% 1 1 10.00 6.00 75 7.9 0.0% 17 Riyad Bank SJSC SA 12,511 15.64 -2.9% 24.3% 627 2,614 16.34 10.40 12 1.3 4.7% 18 Saudi British Bank SJSC SA 11,939 29.85 -4.0% 10.6% 568 4,521 34.00 23.90 11 1.4 4.8% 19 Kuwait Finance House KSCP KW 10,991 524.00 0.4% 0.1% 1,937 3,357 590.91 424.55 17 1.8 2.9% 20 Yanbu National Petrochemicals Co SJSC SA 10,919 72.80 -0.3% 23.4% 400 7,757 75.70 52.00 17 2.4 4.5% 21 Banque Saudi Fransi SJSC SA 10,349 32.20 -4.3% 13.0% 203 1,745 35.00 25.30 11 1.2 4.3% 22 Abu Dhabi Commercial Bank PJSC AE 10,205 7.21 -0.1% 6.0% 3,195 6,271 7.68 6.50 9 1.3 5.8% 23 Emaar Properties PJSC AE 10,020 5.14 -0.2% -19.4% 10,429 14,596 8.23 4.89 6 0.8 0.0% 24 Jabal Omar Development Co SJSC SA 9,802 39.55 -1.1% -33.1% 406 4,281 75.60 35.20 0 3.9 0.0% 25 Dubai Islamic Bank PJSC AE 8,863 4.94 -1.2% 0.0% 5,777 7,770 5.90 4.66 7 1.2 0.0% 26 Kingdom Holding Co SA 8,686 8.79 0.1% -1.2% 21 50 11.30 7.90 48 1.1 5.7% 27 Arab National Bank SA 8,533 32.00 -3.3% 29.2% 76 650 34.30 20.70 10 1.3 3.8% 28 Alinma Bank SJSC SA 8,512 21.28 -1.9% 11.1% 6,511 36,944 22.14 14.42 15 1.6 3.8% 29 Abu Dhabi National Oil Company AE 7,930 2.33 -0.9% -12.1% 448 284 2.90 2.25 16 8.4 2.5% 30 Qatar Islamic Bank QPSC QA 7,725 119.00 -1.7% 22.7% 215 7,038 124.49 86.90 12 1.6 4.2% Company Name Total M-Cap; W. Avg Yield 625,476 3.6% Data Source: Thomson Reuters Disclaimer: This report is prepared by Al Masah Capital Limited (“AMCL”). AMCL is a company incorporated in the Cayman Islands as an Exempt Company established under the laws of the Cayman Monetary 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 AMCL 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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