MENA Market Report - 22 August

Transcription

1. MENA Morning Report Tuesday , August 22, 2017 Overview Regional Markets: MENA markets ended on a positive note, second consecutive day of gains despite some weakness seen in oil prices after rising on Friday. For the regional markets, five out of the eight indexes closed in green, while three ended in red for the day. Saudi Arabia closed on a positive note as it was up by 0.2% for the day, adding to the gains of 0.4% recorded on the previous day. The index was mostly supported by energy sector stocks as it was up by 1.8% for the day, coupled with gains in banking sector stocks. UAE markets ended on a mixed note as Dubai was down by 0.6%, while Abu Dhabi closed marginally higher by 0.1% for the day. Dubai was mostly dragged lower by real estate sector stocks, especially Emaar which was down by 1.8% for the day. The performance during the session wiped off gains recorded on the previous day to turn negative for the week. In Abu Dhabi, the market breadth was slightly favoring the decliners despite closing marginally higher during the session. Qatar closed on a negative note as it was down by 0.8% for the day, giving away the gains recorded on the previous day. The index has lost around 4% in August, adding to the annual losses to reach 13.1%, marking it as the second worst performing index in the region. Egypt closed on a positive note as it was up by 0.6% for the day, recovering most of the losses incurred on the previous day. Kuwait was up by 0.2% for the day, second consecutive session of gains. Bahrain closed lower by 0.2%, while Oman was up by 0.6% for the day, adding to the gains recorded on the previous day. International Markets: US markets closed on a marginally positive note as DJIA and S&P were up by 0.1% each, while Nasdaq was down by 0.1%. European markets ended in red as FTSE, DAX and CAC were all down by 0.1%, 0.8% and 0.5% respectively. At the time of writing this report, Asian markets opened on a slightly positive note as Shanghai is down by 0.2%, while Nikkei and Hang Seng are up by 0.1% and 1.1% respectively. Headlines (WW) US demands end to NAFTA trade-dispute panels (ME) Middle East optical industry worth USD 2.8bn (WW) China has more to lose in US trade showdown (ME) Funding squeeze hastens take-off of non-bank lending in Middle East (WW) China's M&A controls trap firms in a warped market (GCC) GCC currency pegs remain resilient despite low oil (WW) Britain's current account deficit was bigger than thought in 2015 (GCC) Entrepreneurship new growth engine for GCC (WW) Declining UK economy to hit British Land's performance (SA) Saudi Arabia issues rules for small-scale solar energy generation (WW) UK cranks up pressure on EU to turn Brexit talks to trade (SA) Investors anticipate Saudi equity market bonanza (WW) German growth could top expectations this year (AE) Law provides for refunds to offset double taxation (WW) Japan's manufacturers most optimistic in a decade as economy grows (AE) UAE GDP to expand by 2.9% in 2018 as oil production returns to growth (WW) Boycotting Chinese goods would hurt Indian economy (AE) UAE banks poised for robust performance in second-half of 2017 (CMD) Oil dips on rising US output, but drilling activity slows (AE) UAE expats spend AED 6,000 per year on sending money home (CMD) North Korea tensions push gold higher (AE) Abu Dhabi house prices continue to fall, but may soon hit a floor (FX) Dollar steadies after dropping on US political turmoil (AE) UAE excise tax to be implemented from October (FX) Euro bounces but markets wary before Jackson Hole (Source: Thomson Reuters, Bloomberg) MENA Markets Index Last DoD (%) WTD (%) MTD (%) YTD (%) ST Trend * MT Trend * LT Trend * Dubai (DFMGI) 3,595.13 -0.6% -0.2% Abu Dhabi (ADSMI) 4,494.90 0.1% 0.0% -1.0% 1.8% ˅ ˄ ˄ -1.6% -1.1% ˅ ˄ ˅ Saudi (SASEIDX) 7,225.38 0.2% 0.6% 1.8% 0.2% ˄ ˄ ˄ Kuwait (KWSE) 6,913.36 0.2% Egypt (EGX30) 13,106.12 0.6% 0.4% 0.9% 20.3% ˄ ˄ ˄ -0.1% -2.3% 6.2% ˅ ˄ ˄ Qatar (DSM) 9,065.18 -0.8% Bahrain (BHSEIDX) 1,309.79 -0.2% -0.5% -3.6% -13.1% ˅ ˅ ˅ 0.8% -1.4% 7.3% ˅ ˅ ˄ Oman (MSM30) 4,943.80 0.6% 1.1% -1.6% -14.5% ˅ ˅ ˅ 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) 173 255 268 60 92 98 83,934 Abu Dhabi (ADSMI) 98 114 98 43 44 47 132,914 Saudi (SASEIDX) 134 148 164 762 781 823 454,547 Kuwait (KWSE) 123 67 186 72 54 70 75,578 Egypt (EGX30) 219 290 278 41 57 70 18,982 Qatar (DSM) 6 11 11 32 86 89 108,667 Bahrain (BHSEIDX) 1 3 4 0 1 2 20,818 Oman (MSM30) 12 13 16 10 7 9 13,580 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 Tuesday , August 22, 2017 Valuation and Performance Comparisons 5-Year CDS(DoD change) Price Ratios PE (+ve.eps) 16 12 PB Previous 14.0 489.3 12.3 11.3 11.1 11.4 386.2 9.6 8.2 300 8 239.3 188.3 4 1.2 1.6 Current 600 2.0 1.7 1.3 0.9 0.9 Qatar Bahrain Oman - - - 178.1 0 106.9 87.2 1.4 0 Dubai Abu Dhabi Saudi Kuwait Egypt Average Dubai Abu Dhabi Saudi Kuwait 27% 6.1% 4% Oman Average 20.3% 3.5% 3.2% 1.8% 0.2% 0% -1.1% -9% 2% -13.1% -18% 0.0% 7.3% 6.2% 9% 4.6% 4.3% Bahrain 18% 5.4% 4.8% Qatar Year to Date Perfomance DividendYield 8% 6% Egypt -14.5% 0.0% 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 Tuesday , August 22, 2017 Top Performers by Country (* indicates native currency; Latest data) Close * DoD % Volume ('000) Value (AED ‘000) MARKA PJSC 0.70 -2.14% 237 168 13,994 UNION PROPERTIES PJSC 0.90 -2.00% 24,468 22,197 17,240 7,770 DAR AL TAKAFUL PJSC 1.11 -1.80% 3,396 3,805 1.75% 3,349 3,785 EMAAR PROPERTIES PJSC 8.42 -1.78% 3,501 29,746 1.07% 703 1,308 DRAKE AND SCULL INTERNATIONAL 0.39 -1.78% 22,300 8,843 Close * DoD % Volume ('000) Value (AED ‘000) Close * DoD % Volume ('000) Value (AED ‘000) DANA GAS PJSC 0.62 8.06% 50,124 29,917 COMMERCIAL BANK INTERNATIONAL 1.14 -7.02% 1 1 RAS AL KHAIMAH CEMENT CO PSC 0.73 4.11% 116 83 ABU DHABI NATIONAL FOR BUILDING 0.51 -5.88% 4 2 SHARJAH ISLAMIC BANK PJSC 1.32 2.27% 136 178 GULF CEMENT CO PSC 1.07 -5.61% 42 46 WAHA CAPITAL PJSC 1.76 1.70% 93 162 UNION NATIONAL BANK PJSC 4.43 -3.16% 521 2,345 ABU DHABI NATIONAL ENERGY CO 0.61 1.64% 3,620 2,190 ARKAN BUILDING MATERIALS CO PJSC 0.65 -3.08% 742 490 Top Gainers Close * DoD % Volume ('000) Value (SAR ‘000) Top Losers Close * DoD % Volume ('000) Value (SAR ‘000) AL JAZIRA MAWTEN REIT 20.42 9.60% 6,052 118,179 ARAB SEA INFORMATION SYSTEMS CO 12.54 -3.99% 4 46 AMANA COOPERATIVE INSURANCE CO 25.65 5.65% 5,311 132,572 AL BABTAIN POWER AND TELECOMM 29.00 -3.79% 372 11,003 AL ALAMIYA FOR COOPERATIVE INSUR 30.10 4.65% 645 18,974 SAUDI RESEARCH AND MARKETING 69.50 -2.59% 675 47,513 UNITED COOPERATIVE ASSURANCE CO 15.04 4.39% 1,694 24,941 JABAL OMAR DEVELOPMENT CO SJSC 67.90 -2.06% 430 29,478 ALINMA TOKIO MARINE CO SJSC 24.30 4.12% 388 9,248 SAUDI INDUSTRIAL INVESTMENT 20.06 -1.79% 391 7,924 Close (fils) * DoD % Volume ('000) Value (KWD 000) Top Losers Close (fils) * DoD % Volume ('000) Value (KWD 000) GULF INSURANCE GROUP KSCP 790.00 13.92% 59 44 GULF FRANCHISING HOLDING CO KSCP 74.90 -19.76% 0 0 AMAR FINANCE AND LEASING CO 37.40 11.76% 115 4 AL-MOWASAT HEALTHCARE CO 480.00 -16.25% 10 6 KUWAIT FINANCE AND INVESTMENT 41.50 8.43% 38 2 JAZEERA AIRWAYS CO KSCP 574.00 -6.79% 15 9 LIVESTOCK TRANSPORT AND TRADING 268.00 5.97% 200 52 EFFECT REAL ESTATE COMPANY KPSC 32.40 -6.48% 21 1 KUWAIT NATIONAL CINEMA CO 1200.0 5.83% 0 0 EQUIPMENT HOLDING COMPANY 48.90 -5.93% 1,013 51 Top Gainers Close * DoD % Volume ('000) Value (EGP ‘000) Close * DoD % Volume ('000) Value (EGP ‘000) ALEXANDRIA FLOUR MILLS AND BAKER 13.20 9.95% 1 16 ALEXANDRIA NATIONAL COMPANY 4.55 -9.67% 5 23 REACAP FINANCIAL INVESTMENTS SAE 4.56 9.87% 41 179 SHOROUK FOR MODERN PRINTING 19.30 -7.25% 27 538 EGYPTIAN SATELLITE CO SAE 7.50 6.40% 2 18 UPPER EGYPT FLOUR MILLS SAE 124.86 -6.74% 3 436 NASR CO FOR CIVIL WORKS SAE 19.17 6.21% 8 143 EDITA FOOD INDUSTRIES SAE 16.87 -5.16% 1,225 21,230 ISMAILIA NATIONAL CO FOR FOOD 6.63 6.03% 54 346 MIDDLE AND WEST DELTA FLOUR 115.52 -4.78% 1 59 Close * DoD % Volume ('000) Value (QAR ‘000) Close * DoD % Volume ('000) Value (QAR ‘000) DOHA INSURANCE CO QSC 13.70 5.04% 3 39 QATAR INSURANCE CO SAQ 68.50 -2.92% 10 661 QATAR GENERAL INSURANCE 30.80 4.71% 7 218 GULF WAREHOUSING CO QSC 47.60 -2.31% 1 51 QATAR OMAN INVESTMENT CO QSC 8.42 2.61% 18 148 MEDICARE GROUP QSC 78.00 -2.31% 4 330 QATAR INTERNATIONAL ISLAMIC 55.90 1.97% 88 4,890 WIDAM FOOD CO QSC 67.40 -2.08% 413 28,162 INVESTMENT HOLDING GROUP 7.40 1.62% 1,085 7,963 QATAR FIRST BANK LLC 7.35 -2.04% 653 4,849 Close * DoD % Volume ('000) Value (AED ‘000) DUBAI NATIONAL INSURANCE 2.70 12.22% 0 62 SHUAA CAPITAL PSC 1.20 3.33% 0 ISLAMIC ARAB INSURANCE CO PSC 0.46 2.84% AJMAN BANK PJSC 1.14 AL SALAM BANK SUDAN PLC 1.87 Dubai Top Gainers Saudi Arabia Abu Dhabi Top Gainers Egypt Kuwait Top Gainers Qatar Top Gainers Data & Charts Source: Thomson Reuters Top Losers Top Losers Top Losers Top Losers 3
4. MENA Morning Report Tuesday , August 22, 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 78,558 98.20 0.1% 7.3% 2,387 62,507 105.40 76.00 16 1.9 6.1% 2 Emirates Telecommunications Group Co AE 42,270 17.85 -0.6% -5.1% 464 2,256 20.00 17.10 18 3.6 4.5% 3 Saudi Telecom Company SJSC SA 39,892 74.80 0.9% 0.0% 251 4,999 78.90 51.00 0 0.0 0.0% 4 Qatar National Bank SAQ QA 34,248 135.00 0.0% -8.8% 82 3,023 157.27 121.70 10 1.7 2.4% 5 First Abu Dhabi Bank PJSC AE 31,602 10.65 0.5% 6.6% 5,440 15,776 11.55 8.30 13 1.2 4.2% 6 Al Rajhi Banking & Investment Corp SA 27,906 64.40 0.5% 2.2% 2,111 36,249 71.70 48.60 12 2.0 3.5% 7 National Commercial Bank SJSC SA 27,306 51.20 0.6% 20.2% 552 7,532 58.00 32.00 11 1.7 3.1% 8 Saudi Electricity Company SJSC SA 26,177 23.56 -0.2% 5.2% 975 6,122 26.05 14.30 11 1.4 3.0% 9 DP World Ltd AE 18,086 21.79 1.1% 24.4% 86 509 23.85 15.53 19 2.1 1.7% 10 Almarai Co SJSC SA 16,938 79.40 0.5% 15.9% 141 2,989 98.30 51.50 31 4.7 1.1% 11 Jabal Omar Development Co SJSC SA 16,481 66.50 -2.1% -11.0% 430 7,618 76.00 46.00 71 6.0 0.0% 12 Emaar Properties PJSC AE 16,123 8.27 -1.8% 16.0% 3,501 7,884 8.53 6.37 11 1.4 0.0% 13 Saudi Arabian Mining Co SJSC SA 15,642 50.20 0.6% 28.7% 730 9,769 53.80 27.80 229 2.3 0.0% 14 Industries Qatar QSC QA 15,487 93.20 -0.9% -20.7% 28 722 122.00 90.50 22 1.7 4.3% 15 National Bank of Kuwait SAKP KW 14,433 736.00 0.7% 18.9% 2,360 5,756 747.00 533.33 14 1.4 3.9% 16 Samba Financial Group SJSC SA 13,088 24.54 -0.4% 0.8% 916 5,993 27.10 15.90 10 1.1 3.9% 17 Emirates NBD Bank PJSC AE 12,561 8.30 0.0% -2.2% 52 116 9.00 7.60 7 0.8 4.8% 18 Kuwait Finance House KSCP KW 11,121 582.00 1.4% 18.6% 5,010 9,664 585.00 413.64 17 1.8 2.7% 19 Saudi British Bank SJSC SA 10,600 26.50 0.0% 0.0% 34 240 28.40 16.40 11 1.2 2.6% 20 Abu Dhabi Commercial Bank PJSC AE 10,191 7.20 0.0% 4.3% 1,414 2,772 7.68 5.66 9 1.2 5.6% 21 Kingdom Holding Co SA 10,179 10.30 -0.6% -13.8% 212 581 12.95 9.80 68 1.3 4.9% 22 Banque Saudi Fransi SJSC SA 9,932 30.90 1.0% 18.4% 113 934 33.20 18.00 11 1.2 0.0% 23 Riyad Bank SJSC SA 8,880 11.10 1.1% -3.9% 1,587 4,697 11.80 8.55 11 0.9 5.9% 24 Emirates Islamic Bank PJSC AE 8,872 6.00 0.0% 0.0% 2 3 11.95 1.57 94 4.6 0.0% 25 Emaar Malls Group PJSC AE 8,824 2.49 0.8% 0.0% 7,961 5,398 2.85 2.38 17 2.0 0.0% 26 Yanbu National Petrochemicals Co SJSC SA 8,370 55.80 1.1% 0.0% 110 1,636 61.75 39.90 15 2.0 0.0% 27 Ezdan Holding Group QSC QA 8,298 11.39 -1.8% -24.6% 56 174 19.60 10.72 15 1.0 4.4% 28 Masraf Al Rayan QSC QA 8,271 40.15 -0.5% 6.8% 82 906 45.40 33.05 15 2.5 5.0% 29 Dubai Islamic Bank PJSC AE 8,088 6.01 -0.2% 7.9% 1,678 2,746 6.29 5.01 9 1.2 7.5% 30 Ooredoo QSC QA 7,812 88.80 -1.6% -12.8% 42 1,018 116.10 88.20 16 1.3 3.9% Company Name Total M-Cap; W. Avg Yield 566,232 3.2% 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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