MENA Market Report - 3 July

Transcription

1. MENA Morning Report Monday , July 03, 2017 Overview Regional Markets: MENA markets opened the week on a mixed note as investors are coming off from a long week of Eid holidays and ascertaining the situation within the region, especially the geopolitical environment. Oil prices have also rebounded from the lows seen in the previous week, which should also act as support for the regional markets in next few sessions. For the regional markets, four out of the eight indexes closed in green, while three ended on a negative note and one remained unchanged for the day. Kuwait and Qatar were the worst performers as they were down by 2.2% and 2.3% respectively for the day. Qatar continues the selling pressure as investors prefer to exit and enter other regional markets with reasonably higher returns. The index has lost more than 10% since the start of the diplomatic rifts with the other Arab states, which could intensify further if Qatar fails to agree to the demands of the Arab states or vice versa. Kuwait witnessed selling pressure on the back of thin trade post the Eid holidays, however the index continues to remain the best performing in the region for the year. Saudi Arabia continues the upside trend as it was up by 0.8% for the day, extending the annual gains to 3.8%. UAE markets closed on a mixed note as Dubai was down by 0.3%, while Abu Dhabi was up by 0.4% for the day. Egypt closed higher by 0.7% for the day, which was supported by buying interest from investors. Bahrain closed lower by 0.7%, while Oman was flat for the day. International Markets: At the time of writing this report, Asian markets have opened on a slightly positive note as Nikkei and Hang Seng are up by 0.1% and 0.01% respectively, while Shanghai is down by 0.2%. Headlines (WW) US Jobs Report Kicks Off the Third Quarter (ME) Arab world nurturing start-ups as bedrock for future economy (WW) Buying local produce is healthier for us and the economy (ME) Arab Monetary Fund addresses FDI in new study (WW) US oil bottleneck holds back production (SA) Saudi residents expect financial stability in 2017 (WW) UK consumers suffer longest decline in spending power since 1970s (SA) Saudi economy feeling the effects of oil output deal (WW) India launches new economic era with sales tax reform (SA) Saudi Arabia could be the next big emerging market (WW) German inflation edges up unexpectedly in June (SA) Dependent fee looms large on expats in Saudi Arabia (WW) Brazil cuts inflation target for first time in over a decade (AE) UAE's health care sector nears full capacity (WW) OPEC producers remain optimistic, but analysts are certainly not (AE) Soft-landed UAE economy poised for a convincing comeback (CMD) Oil caps longest rally this year as anxiety over oversupply eases (EG) Egypt attracts USD 9.8 billion foreign investment in debt instruments in 2016/17 (CMD) Gold Loses Its Cheer Into Mid-Year (QA) Several UK banks stop selling Qatar riyals as diplomatic crisis mounts (FX) Dollar bulls face perilous start to second half (QA) Gulf deadline to resolve Qatar rift approaches (FX) Morocco to delay gradual floating of currency (QA) Qatar's economic prospects stranded in politics (FI) China opens bond market to foreign investors (Source: Thomson Reuters, Bloomberg) MENA Markets Index Last DoD (%) WTD (%) MTD (%) YTD (%) ST Trend * MT Trend * LT Trend * Dubai (DFMGI) 3,383.31 -0.3% -0.3% -0.3% -4.2% ˄ ˅ ˅ Abu Dhabi (ADSMI) 4,443.66 0.4% 0.4% 0.4% -2.3% ˅ ˅ ˄ Saudi (SASEIDX) 7,486.31 0.8% 0.8% 0.8% 3.8% ˄ ˅ ˄ Kuwait (KWSE) 6,612.52 -2.2% -2.2% -2.2% 15.0% ˅ ˅ ˄ Egypt (EGX30) 13,487.36 0.7% 0.7% 0.7% 9.3% ˄ ˄ ˄ Qatar (DSM) 8,822.15 -2.3% -2.3% -2.3% -15.5% ˅ ˅ ˅ Bahrain (BHSEIDX) 1,319.35 0.7% 0.7% 0.7% 8.1% ˅ ˅ ˄ Oman (MSM30) 5,116.83 -0.0% -0.0% -0.0% -11.5% ˅ ˅ ˅ 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) 179 295 414 74 95 149 79,815 Abu Dhabi (ADSMI) 104 108 136 32 51 62 131,551 Saudi (SASEIDX) 167 175 195 1,016 829 944 468,656 Kuwait (KWSE) 49 193 327 31 58 98 75,578 Egypt (EGX30) 142 278 317 43 77 84 20,293 Qatar (DSM) 14 11 11 105 79 89 104,275 Bahrain (BHSEIDX) 7 4 4 4 2 3 20,233 Oman (MSM30) 5 15 17 2 7 9 15,140 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 Monday , July 03, 2017 Valuation and Performance Comparisons 5-Year CDS(DoD change) Price Ratios PE (+ve.eps) 16 PB 14.2 11.8 11.1 9.1 8.1 386.2 300 8 239.3 188.3 4 1.1 1.5 2.0 1.9 1.3 - - 0.8 1.0 Bahrain Oman - 178.1 106.9 87.2 1.4 0 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% 5.1% 5.5% 9% 4.6% 4.2% 4% 15.0% 18% 6.2% 6% Current 489.3 12.2 11.0 12 Previous 600 3.6% 3.1% 0% -9% 2% -4.2% -2.3% -18% 0.0% 0.0% Abu Dhabi Saudi Kuwait Egypt Qatar Bahrain -11.5% -15.5% -27% 0% Dubai 8.1% 9.3% 3.8% 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 Monday , July 03, 2017 Top Performers by Country (* indicates native currency; Latest data) Close * DoD % Volume ('000) Value (AED ‘000) EMAAR MALLS GROUP PJSC 2.52 -1.98% 141 358 831 EMIRATES NBD BANK PJSC 8.14 -1.60% 363 2,980 827 852 DXB ENTERTAINMENTS PJSC 0.76 -1.59% 6,118 4,662 2,721 8,531 GULF NAVIGATION HOLDING PJSC 1.44 -1.39% 96 139 1,538 1,284 DUBAI ISLAMIC BANK PJSC 5.70 -1.23% 4,325 24,804 DoD % Volume ('000) Value (AED ‘000) Close * DoD % Volume ('000) Value (AED ‘000) 0.86 10.47% 61,762 50,600 UNION CEMENT CO PSC 1.30 -7.69% 43 58 FUJAIRAH CEMENT INDUSTRIES CO 1.09 4.59% 18 19 COMMERCIAL BANK INTERNATIONAL 1.16 -5.17% 1 1 INVEST BANK PSC 2.40 4.17% 4,000 9,408 NATIONAL BANK OF RAS AL KHAIMAH 4.58 -4.80% 6 28 DANA GAS PJSC 0.64 3.13% 22,098 13,928 GULF CEMENT CO PSC 0.90 -2.22% 180 164 ABU DHABI ISLAMIC BANK PJSC 3.49 2.58% 44 150 MANAZEL REAL ESTATE PJSC 0.52 -1.92% 3,339 1,753 Close * DoD % Volume ('000) Value (SAR ‘000) Close * DoD % Volume ('000) Value (SAR ‘000) SAUDI RESEARCH AND MARKETING 29.50 10.68% 800 22,453 AL SAMAANI FACTORY METAL 76.00 -6.45% 2 129 SAUDI PRINTING AND PACKAGING CO 14.50 9.79% 1,432 19,833 DEVELOPMENT WORKS FOOD CO 79.40 -6.17% 7 572 SAUDI ARABIAN MINING CO SJSC 49.10 8.15% 7,574 357,891 COMPANY FOR COOPERATIVE 103.20 -4.55% 147 15,502 BURUJ COOPERATIVE INSURANCE CO 27.40 6.93% 504 13,351 BAAZEEM TRADING COMPANY CJSC 26.00 -3.46% 31 819 RAYDAN COMPANY CJSC 22.00 6.82% 2 44 SAUDI GROUND SERVICES CO 45.00 -2.56% 294 13,422 Close (fils) * DoD % Volume ('000) Value (KWD 000) Close (fils) * DoD % Volume ('000) Value (KWD 000) IFA HOTELS AND RESORTS CO KSCP 210.00 20.00% 0 0 REAL ESTATE ASSET MANAGEMENT 390.00 -40.00% 0 0 NATIONAL CONSUMER HOLDING 108.00 10.19% 0 0 AJWAN GULF REAL ESTATE CO KSCP 92.00 -20.00% 15 2 SENERGY HOLDING COMPANY KSCP 35.50 9.86% 19 1 EYAS FOR HIGER AND TECHNICAL 950.00 -20.00% 109 117 LIVESTOCK TRANSPORT AND TRADING 220.00 6.36% 3 1 BURGAN FOR WELL DRILLING 83.00 -19.88% 1 0 ARZAN FINANCIAL GROUP FINANCING 32.60 5.83% 10 0 AUTOMATED SYSTEMS CO KPSC 218.00 -19.72% 60 15 Top Gainers Close * DoD % Volume ('000) Value (EGP ‘000) Close DoD % Volume Value 5.05 8.51% 29 142 NATIONAL BANK OF KUWAIT EGYPT 41.99 -9.50% 2 80 EXTRACTED OIL AND DERIVATIVES CO 1.07 7.48% 3,303 3,411 GENERAL CO FOR LAND 13.81 -6.23% 1 14 MIDDLE EGYPT FLOUR MILLS CO SAE 36.98 7.08% 101 3,623 ALEXANDRIA NATIONAL COMPANY 3.49 -5.16% 6 22 ALEXANDRIA PORTLAND CEMENT CO 8.38 6.92% 7 55 INTERNATIONAL COMPANY 10.53 -4.94% 5 54 NATIONAL CEMENT CO SAE 7.59 6.32% 4 29 GENERAL COMPANY FOR PAPER 3.66 -3.83% 79 295 Top Gainers Close DoD % Volume Value Close DoD % Volume Value QATAR NAVIGATION QSC 69.30 7.50% 63 4,191 QATAR GENERAL INSURANCE 34.90 -9.89% 1 40 QATAR ISLAMIC INSURANCE CO QSC 60.50 5.45% 224 13,201 QATAR INDUSTRIAL MANUFACTURING 43.05 -9.29% 18 811 AHLI BANK QSC 33.00 0.00% 4 116 WIDAM FOOD CO QSC 57.50 -8.52% 14 843 DLALA BROKERAGE AND INVESTMENT 19.10 0.00% 310 5,913 QATAR CINEMA FILM DISTRIBUTION 26.65 -7.88% 6 171 ZAD HOLDING CO SAQ 77.40 0.00% 0 26 QATARI INVESTORS GROUP QSC 48.70 -7.80% 27 1,351 Close * DoD % Volume ('000) Value (AED ‘000) SHUAA CAPITAL PSC 1.08 9.26% 0 5,892 ARAMEX PJSC 5.18 1.93% 0 DAR AL TAKAFUL PJSC 1.04 1.92% DAMAC PROPERTIES DUBAI CO PSC 3.16 1.58% DUBAI ISLAMIC INSURANCE 0.84 1.19% Close * ESHRAQ PROPERTIES COMPANY PJSC Dubai Top Gainers Abu Dhabi Top Gainers Saudi Arabia Top Gainers Kuwait Top Gainers Qatar Egypt ASSIUT ISLAMIC NATIONAL TRADE Data & Charts Source: Thomson Reuters Top Losers Top Losers Top Losers Top Losers Top Losers Top Losers 3
4. MENA Morning Report Monday , July 03, 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 82,404 103.00 1.0% 12.6% 4,146 113,883 105.40 76.00 16 1.9 5.8% 2 Emirates Telecommunications Group Co AE 41,204 17.40 0.6% -7.4% 437 2,071 20.20 17.10 17 3.4 4.6% 3 Saudi Telecom Company SJSC SA 41,069 77.00 0.0% 0.0% 753 15,453 78.90 51.00 0 0.0 0.0% 4 Qatar National Bank SAQ QA 31,194 125.50 -1.2% -15.3% 527 17,814 157.27 122.10 9 1.7 2.5% 5 First Abu Dhabi Bank PJSC AE 31,156 10.50 0.0% 5.1% 600 1,714 11.55 8.30 10 1.2 4.3% 6 Al Rajhi Banking & Investment Corp SA 30,248 69.80 0.7% 10.8% 4,104 76,378 71.70 48.60 14 2.2 3.2% 7 National Commercial Bank SJSC SA 29,868 56.00 6.3% 31.5% 4,169 62,255 58.00 32.00 12 1.8 2.9% 8 Saudi Electricity Company SJSC SA 28,334 25.50 0.0% 13.8% 2,268 15,422 26.00 14.30 13 1.5 2.7% 9 Almarai Co SJSC SA 20,140 94.40 -0.6% 37.8% 716 18,017 98.30 51.50 37 5.9 1.0% 10 Jabal Omar Development Co SJSC SA 18,366 74.10 0.1% -0.9% 1,049 20,720 76.00 46.00 79 6.7 0.0% 11 DP World Ltd AE 17,845 21.50 2.8% 22.8% 17 99 23.85 15.53 18 2.0 1.8% 12 Saudi Arabian Mining Co SJSC SA 16,547 53.10 8.1% 36.2% 7,574 107,247 53.80 27.80 879 2.4 0.0% 13 Industries Qatar QSC QA 15,288 93.90 -1.7% -20.1% 372 9,408 122.00 91.10 18 1.8 4.3% 14 Emaar Properties PJSC AE 15,109 7.75 -0.4% 8.7% 2,618 5,526 8.08 6.18 10 1.3 1.9% 15 Samba Financial Group SJSC SA 13,841 25.95 0.0% 6.6% 2,237 15,477 27.10 15.90 10 1.2 3.7% 16 National Bank of Kuwait SAKP KW 13,493 690.00 2.2% 11.5% 902 2,054 723.81 523.81 14 1.3 4.1% 17 Emirates NBD Bank PJSC AE 12,122 8.01 -1.6% -5.7% 363 792 9.00 7.60 7 0.8 5.0% 18 Saudi British Bank SJSC SA 10,721 26.80 2.7% 7.2% 470 3,356 28.40 16.40 11 1.3 2.6% 19 Abu Dhabi Commercial Bank PJSC AE 10,049 7.10 1.3% 0.0% 206 398 7.68 5.66 9 1.2 5.6% 20 Kingdom Holding Co SA 9,834 9.95 1.0% -16.7% 138 367 12.95 9.80 69 1.3 5.0% 21 Banque Saudi Fransi SJSC SA 9,737 30.30 -0.7% 16.1% 313 2,526 32.10 18.00 10 1.2 3.5% 22 Kuwait Finance House KSCP KW 9,203 483.00 0.0% -1.6% 1,398 2,230 572.73 400.00 13 1.6 0.0% 23 Riyad Bank SJSC SA 8,800 11.00 0.9% -4.8% 2,006 5,885 11.80 8.55 10 0.9 5.9% 24 Ezdan Holding Group QSC QA 8,773 12.29 -2.4% -18.7% 2,756 9,116 20.24 10.72 15 1.0 4.1% 25 Emaar Malls Group PJSC AE 8,753 2.47 -2.0% 0.0% 141 95 3.00 2.47 17 1.9 0.0% 26 Emirates Islamic Bank PJSC AE 8,576 5.80 0.0% 0.0% 1 1 11.95 1.57 106 4.6 0.0% 27 Yanbu National Petrochemicals Co SJSC SA 8,430 56.20 1.1% 4.1% 343 5,134 61.75 39.90 13 2.0 5.3% 28 Masraf Al Rayan QSC QA 7,791 38.60 -2.3% 2.7% 823 8,545 45.40 33.05 14 2.5 5.2% 29 Ooredoo QSC QA 7,698 89.30 -2.8% -12.3% 66 1,583 116.10 88.00 15 1.3 3.9% 30 Dubai Islamic Bank PJSC AE 7,576 5.63 -1.2% 1.1% 4,325 6,631 6.29 5.01 9 1.2 8.0% Company Name Total M-Cap; W. Avg Yield 574,168 3.3% 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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