MENA Market Report - 5 October

Transcription

1. MENA Morning Report Thursday , October 05, 2017 Overview Regional Markets: The sentiments in the MENA markets were weak, which pushed most of the indexes lower for the day. Investors are gearing up for the quarterly results as they look for some positive catalysts in already dull regional markets. Cyclical sectors will be in foray as they are likely to paint a much better picture about the overall macroeconomic environment of the region. For the day, five out of the eight indexes closed in red, while three ended in green during the session. UAE markets closed on a mixed note as Dubai was up by 0.8%, while Abu Dhabi was down by 0.2% for the day. The market breadth of Dubai witnessed strong bias towards gainers as the index witnessed 30 advancers compared to 4 decliners, while 3 remained unchanged during the session. Saudi Arabia closed higher by 0.6% for the day, which helped in recovering the losses incurred during earlier sessions of the week. The index was supported by buying interest in banking sector sectors, which are expected to report growth in earnings. Qatar was the worst performer as the index was down by 1.6% for the day, extending the annual losses to around 22.0%. Kuwait closed up by 0.4% for the day, recovering the losses to turn positive for the week. Egypt witnessed selling pressure, which dragged the index lower by 0.4% for the day, giving away the gains recorded during the week. Bahrain and Oman were both down by 0.3% each for the day, in line with the sentiments seen in the broader regional markets. International Markets: US markets closed on a positive note as DJIA, Nasdaq and S&P were all up by 0.1%, 0.04% and 0.1% respectively. European markets closed marginally lower as FTSE and CAC were down by 0.01% and 0.1% respectively, while DAX was up by 0.5% for the day. At the time of writing the report, Asian markets have opened on a flat note as Nikkei is up by 0.03%, while Hang Seng and Shanghai are closed for the day. Headlines (WW) US economy growing under President Trump's policies (GCC) GCC food services sector registers consistent growth (WW) US producer sentiment about agri economy unchanged from August (SA) Saudi Arabia, Russia to set up USD 1bn technology fund (WW) Confidence in US economy dips to +4 in September (SA) Saudis consolidate control of state funds in drive for growth (WW) China September data to show steady growth (SA) Saudi central bank paints rosy picture of economy (WW) World Bank raises 2017, 2018 East Asia growth forecasts (SA) Saudi new car market set to get solid boost (WW) Brexit uncertainty prompts shock British construction contraction (AE) UAE non-oil growth slows in September (WW) EU sets new trade rules to limit cheap Chinese imports (AE) UAE authority clarifies price-setting mechanism for excise tax (WW) Japan September services PMI shows growth slowest in 11 months (AE) Multimillionaire surge in UAE and Australia, but drop in France (WW) Emerging markets to lure over USD 1tn in foreign investment in 2017 (EG) Egypt's central bank to raise required reserve ratio to 14% from 10% (CMD) Oil prices dip over doubts that recent rally will last (QA) Tourists stay away from Qatar after boycott (CMD) Gold prices crawl up as dollar retreats (KW) New medical fees expected to double Kuwait's revenue (FX) Sterling strengthens after UK services PMI beats expectations (KW) 30% drop in expats visiting public medical facilities in Kuwait (FX) Dollar U-turn could call time on 2017's emerging market boom (Source: Thomson Reuters, Bloomberg) MENA Markets Index Last DoD (%) WTD (%) MTD (%) YTD (%) ST Trend * MT Trend * LT Trend * Dubai (DFMGI) 3,598.65 0.8% 1.0% 1.0% 1.9% ˅ ˄ ˄ Abu Dhabi (ADSMI) 4,433.72 -0.2% 0.8% 0.8% -2.5% ˅ ˅ ˅ Saudi (SASEIDX) 7,285.75 0.6% 0.0% 0.0% 1.0% ˅ ˄ ˄ Kuwait (KWSE) 6,692.56 0.4% 0.2% 0.2% 16.4% ˅ ˄ ˄ Egypt (EGX30) 13,881.97 -0.4% -0.0% -0.0% 12.5% ˄ ˄ ˄ Qatar (DSM) 8,152.98 -1.6% -1.9% -1.9% -21.9% ˅ ˅ ˅ Bahrain (BHSEIDX) 1,273.94 -0.3% -0.7% -0.7% 7.4% ˅ ˅ ˄ Oman (MSM30) 5,207.73 -0.3% 1.4% 1.4% -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) 254 180 237 102 71 83 83,882 Abu Dhabi (ADSMI) 78 91 101 34 42 45 131,821 Saudi (SASEIDX) 134 129 153 863 733 784 456,966 Kuwait (KWSE) 168 99 120 101 74 64 75,578 Egypt (EGX30) 320 319 299 76 56 67 20,672 Qatar (DSM) 9 9 10 50 63 72 93,763 Bahrain (BHSEIDX) 6 3 3 3 2 2 20,306 Oman (MSM30) 15 16 15 7 8 7 14,634 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 05, 2017 Valuation and Performance Comparisons 5-Year CDS(DoD change) Price Ratios PE (+ve.eps) 16 12 PB 14.7 10.2 11.3 11.5 11.4 386.2 9.8 300 239.3 188.3 4 1.2 1.6 Current 489.3 11.0 8 2.1 1.7 - - 1.2 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 DividendYield 8% 6% Previous 600 27% 5.0% 12.5% 4.4% 9% 4.3% 4% 16.4% 18% 5.8% 5.4% 4.8% 3.6% 3.3% 1.0% 1.9% 0% -2.5% -9% -9.9% 2% -18% 0.0% 0.0% 0% -21.9% -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 05, 2017 Top Performers by Country (* indicates native currency; Latest data) Close * DoD % Volume ('000) Value (AED ‘000) DRAKE AND SCULL INTERNATIONAL 1.46 14.38% 0 105,758 ARABTEC HOLDING PJSC 2.86 4.90% 0 DEYAAR DEVELOPMENT PJSC 0.49 3.09% DUBAI FINANCIAL MARKET PJSC 1.11 2.70% MARKA PJSC 0.67 2.68% Close * UNION INSURANCE CO PSC Close DoD % Volume Value TAKAFUL EMARAT INSURANCE PJSC 2.09 -5.74% 63 135 23,645 DUBAI INVESTMENTS PJSC 2.35 -1.28% 5,168 12,223 9,395 4,488 NATIONAL CENTRAL COOLING CO PJSC 2.04 -0.98% 1,908 3,911 12,026 13,173 AIR ARABIA PJSC 1.18 -0.85% 9,966 11,810 6,745 4,474 EMAAR MALLS PJSC 2.33 0.00% 4,512 10,514 DoD % Volume ('000) Value (AED ‘000) Top Losers Close * DoD % Volume ('000) Value (AED ‘000) 1.68 10.12% 35 56 UNITED ARAB BANK PJSC 2.14 -9.35% 25 56 BANK OF SHARJAH PJSC 1.21 3.31% 201 240 ABU DHABI NATIONAL FOR BUILDING 0.45 -8.89% 20 9 RAS AL KHAIMAH CEMENT CO PSC 0.75 2.67% 2 1 SHARJAH GROUP CO 1.25 -8.00% 50 65 NATIONAL BANK OF RAS AL KHAIMAH 4.60 2.17% 8 36 AGTHIA GROUP PJSC 5.20 -2.12% 557 2,929 GULF CEMENT CO PSC 0.98 2.04% 10 10 RAS AL KHAIMAH CERAMICS PSC 2.40 -1.67% 255 617 Close * DoD % Volume ('000) Value (SAR ‘000) Close * DoD % Volume ('000) Value (SAR ‘000) ALDREES PETROLEUM AND TRANS 29.35 5.45% 1,273 36,409 MEDITERRANEAN AND GULF COOP 32.75 -5.34% 405 13,631 AL RAJHI COMPANY FOR COOP 56.70 3.17% 417 23,265 MIDDLE EAST SPECIALIZED CABLES CO 9.36 -4.17% 1,087 10,391 ARAB NATIONAL BANK 23.80 3.11% 398 9,331 SALAMA COOPERATIVE INSURANCE 22.92 -3.23% 1,300 30,284 SAUDI AUTOMOTIVE SERVICES CO 20.08 2.89% 1,006 19,924 SAUDI ENAYA COOPERATIVE INSUR 23.74 -2.36% 816 19,602 MIDDLE EAST PAPER CO SJSC 17.14 2.68% 530 8,960 ETIHAD ATHEEB TELECOMM 7.68 -2.21% 311 2,417 Close (fils) * DoD % Volume ('000) Value (KWD 000) Close (fils) * DoD % Volume ('000) Value (KWD 000) NAFAIS HOLDING COMPANY KSCP 330.00 20.00% 0 0 EFFECT REAL ESTATE COMPANY KPSC 32.00 -20.00% 0 0 AUTOMATED SYSTEMS CO KPSC 142.00 16.20% 2 0 TAMKEEN HOLDING CO 30.00 -6.67% 124 4 UNITED REAL ESTATE COMPANY SAKP 92.20 7.38% 200 18 KUWAIT COMPANY FOR PROCESS 160.00 -6.25% 166 27 NATIONAL INDUSTRIES COMPANY 175.00 6.29% 0 0 FIRST TAKAFUL INSURANCE CO KPSC 69.00 -5.94% 86 6 NATIONAL INVESTMENTS CO KSCP 111.00 5.41% 10,531 1,139 TIJARA AND REALESTATE INVESTMENT 61.50 -5.69% 238 15 Top Gainers Close DoD % Volume Value Top Losers Close DoD % Volume Value ALEXANDRIA FLOUR MILLS AND BAKER 38.94 9.99% 4 139 QATAR NATIONAL BANK ALAHLY SAE 45.28 -6.12% 3 148 MISR REFRIGERATION AND AIR COND 104.33 9.94% 1 58 ABU DHABI ISLAMIC BANK EGYPT SAE 14.25 -5.68% 3,546 52,057 NATIONAL BANK OF KUWAIT EGYPT 51.06 8.95% 17 855 HOLDING COMPANY FOR FINANCIAL 0.83 -4.82% 1,090 928 EGYPT ALUMINUM CO SAE 140.01 8.76% 301 40,409 INDUSTRIAL AND ENGINEERING ENTER 9.18 -4.03% 22 210 2.78 7.55% 729 1,956 RUBEX FOR PLASTIC MANUFACT 7.00 -3.86% 2 11 Top Gainers Close DoD % Volume Value Close DoD % Volume Value DLALA BROKERAGE AND INVESTMENT 16.80 1.79% 327 5,441 EZDAN HOLDING GROUP QSC 9.88 -5.16% 1,289 13,085 AL KHALEEJ TAKAFUL GROUP QPSC 13.80 1.38% 2 23 GULF INTERNATIONAL SERVICES QSC 19.28 -3.94% 245 4,814 AHLI BANK QSC 28.60 1.05% 56 1,600 QATAR INTERNATIONAL ISLAMIC 50.94 -3.79% 106 5,504 7.80 0.64% 417 3,243 QATAR ISLAMIC INSURANCE CO QPSC 54.65 -3.75% 3 192 174.90 0.17% 8 1,379 BARWA REAL ESTATE COMPANY QPSC 31.89 -3.57% 128 4,166 Dubai Top Gainers Abu Dhabi Top Gainers Saudi Arabia Top Gainers Egypt Kuwait Top Gainers Qatar AJWA FOR FOOD INDUSTRIES CO SALAM INTERNATIONAL INVESTMENT QATAR ELECTRICITY AND WATER CO Data & Charts Source: Thomson Reuters Top Losers Top Losers Top Losers Top Losers 3
4. MENA Morning Report Thursday , October 05, 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 81,438 101.80 0.2% 11.3% 4,667 126,694 105.40 81.50 16 2.0 5.9% 2 Emirates Telecommunications Group Co AE 42,032 17.75 0.6% -5.6% 656 3,172 19.95 17.10 18 3.5 4.5% 3 Saudi Telecom Company SJSC SA 37,706 70.70 0.4% 0.0% 278 5,236 78.90 52.25 0 0.0 0.0% 4 Qatar National Bank QPSC QA 30,623 121.02 -0.8% -18.3% 440 14,581 157.27 121.02 9 1.5 2.6% 5 First Abu Dhabi Bank PJSC AE 30,563 10.30 -0.5% 3.1% 2,165 6,073 11.55 8.30 13 1.2 4.4% 6 Al Rajhi Banking & Investment Corp SA 28,859 66.60 0.9% 5.7% 3,038 53,947 71.70 48.60 13 2.0 3.4% 7 National Commercial Bank SJSC SA 27,946 52.40 1.9% 23.0% 374 5,227 58.00 33.00 11 1.7 3.1% 8 Saudi Electricity Company SJSC SA 27,177 24.46 1.3% 9.2% 2,031 13,246 26.05 15.60 11 1.4 2.9% 9 DP World Ltd AE 18,667 22.49 -0.3% 28.4% 108 661 23.85 15.53 18 1.9 1.7% 10 Emaar Properties PJSC AE 16,844 8.64 1.2% 21.2% 3,304 7,773 8.95 6.37 11 1.4 1.7% 11 Jabal Omar Development Co SJSC SA 16,506 66.60 0.3% -10.9% 76 1,346 76.00 51.25 71 6.0 0.0% 12 Saudi Arabian Mining Co SJSC SA 16,171 51.90 0.6% 33.1% 514 7,112 54.00 30.70 237 2.3 0.0% 13 National Bank of Kuwait SAKP KW 15,471 789.00 0.1% 27.5% 1,382 3,613 800.00 533.33 16 1.5 3.6% 14 Industries Qatar QSC QA 15,331 92.50 -0.5% -21.3% 68 1,718 122.00 85.00 22 1.7 4.3% 15 Almarai Co SJSC SA 15,082 70.70 0.3% 3.2% 412 7,767 98.30 53.00 27 4.2 1.3% 16 Samba Financial Group SJSC SA 12,928 24.24 1.3% -0.5% 682 4,411 27.10 15.90 10 1.1 3.9% 17 Emirates NBD Bank PJSC AE 12,636 8.35 0.6% -1.6% 102 232 9.00 7.60 7 0.8 4.8% 18 Emirates Islamic Bank PJSC AE 11,829 8.00 0.0% 0.0% 0 1 11.95 1.57 125 6.1 0.0% 19 Kuwait Finance House KSCP KW 11,788 617.00 -0.3% 0.0% 4,458 9,115 650.00 418.18 18 2.0 2.5% 20 Saudi British Bank SJSC SA 10,860 27.15 0.6% 8.6% 206 1,495 28.55 16.40 11 1.2 2.6% 21 Kingdom Holding Co SA 10,317 10.44 -0.6% -12.6% 48 132 12.95 9.80 68 1.3 4.8% 22 Abu Dhabi Commercial Bank PJSC AE 10,148 7.17 -0.1% 3.9% 3,846 7,509 7.68 5.66 9 1.2 0.0% 23 Riyad Bank SJSC SA 9,520 11.90 2.2% 3.0% 1,139 3,615 12.06 8.55 12 1.0 5.5% 24 Banque Saudi Fransi SJSC SA 9,514 29.60 -2.0% 13.4% 402 3,171 33.40 18.00 10 1.1 3.5% 25 Yanbu National Petrochemicals Co SJSC SA 8,820 58.80 0.5% 0.0% 180 2,825 61.75 43.90 15 2.2 0.0% 26 Dubai Islamic Bank PJSC AE 8,276 6.15 0.2% 0.0% 2,564 4,294 6.29 5.01 10 1.3 0.0% 27 Emaar Malls PJSC AE 8,257 2.33 0.0% -11.1% 4,512 2,863 2.80 2.31 16 1.8 4.3% 28 Mobile Telecommunications Company KW 7,628 532.00 2.5% 29.8% 16,198 28,555 545.00 330.00 13 1.8 6.6% 29 Masraf Al Rayan QPSC QA 7,469 36.35 -1.0% -3.3% 260 2,592 45.40 33.05 13 2.2 5.5% 30 Ooredoo QSC QA 7,266 82.80 -2.5% -18.7% 34 773 116.10 80.00 15 1.2 4.2% Company Name Total M-Cap; W. Avg Yield 567,669 3.2% 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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