Qatar: Weekly Market Review - 25 January

Transcription

1. ` QSE Index and Volume Regional Indices Qatar (QSE)* Dubai Abu Dhabi Saudi Arabia# Kuwait Oman Bahrain Close WTD% MTD% YTD% 9,459.61 3,468.65 4,643.54 7,479.09 6,651.91 5,007.77 1,341.77 2.8 (1.8) 0.4 (0.8) 0.2 (0.3) 0.6 11.0 2.9 5.6 3.5 3.8 (1.8) 0.8 11.0 2.9 5.6 3.5 3.8 (1.8) 0.8 8,000,000 9,254.61 9,211.02 9,145.44 9,100 0 21-Jan 22-Jan 23-Jan 24-Jan Volume Market Indicators Value Traded (QR mn) Exch. Market Cap. (QR mn) QSE Index Week ended Jan 25 , 2018 1,508.6 Week ended Jan 18 , 2018 1,549.4 514,419.2 504,693.4 1.9 60.2 71.8 (16.2) 21,887 24,058 (9.0) 45 45 0.0 26:16 15:30 – Volume (mn) Number of Transactions Companies Traded Market Breadth Market Indices Total Return ALL Share Index Banks and Financial Services Industrials Transportation Real Estate Insurance Telecoms Consumer Goods & Services Al Rayan Islamic Index Market Indices Weekly Index Performance 3.6% 25-Jan Close 15,863.21 2,654.72 2,924.78 2,933.66 1,963.91 1,997.87 3,504.37 1,146.95 5,499.81 3,744.94 WTD% 2.8 1.6 2.0 3.2 4.0 0.4 (3.3) (1.2) 3.2 2.2 MTD% 11.0 8.2 9.0 12.0 11.1 4.3 0.7 4.4 10.8 9.4 Chg. % (2.6) YTD% 11.0 8.2 9.0 12.0 11.1 4.3 0.7 4.4 10.8 9.4 2.8% 2.4% 0.6% 1.2% 0.4% 0.2% 0.0% (0.3%) (2.4%) Weekly Exchange Traded Value ($ mn) 589.57 498.51 218.01 3,984.38 232.13 30.99 36.25 Exchange Mkt. Cap. ($ mn) 141,259.5 110,010.5# 129,488.4 467,703.5 96,031.4 20,879.7 20,751.1 TTM P/E** 15.7 21.6 16.4 17.6 16.2 11.5 7.9 (0.8%) (1.8%) Dubai (1.2%) Saudi Arabia Foreign institutions remained bullish with net buying of QR13.4mn vs. net buying of QR36.1mn in the prior week. Qatari institutions remained bullish with net buying of QR114.6mn vs. net buying of QR48.2mn in the week before. Foreign retail investors remained bearish with net selling of QR1.7mn vs. net selling of QR28.4mn in the prior week. Qatari retail investors remained bearish with net selling of QR126.3mn vs. net selling of QR55.9mn the week before. Foreign institutions bought (on a net basis) ~$55mn worth of Qatari equities since the beginning of 2018. 9,300 Oman Trading volume decreased by 16.2% to reach 60.2mn shares versus 71.8mn shares in the prior week. The number of transactions fell by 9.0% to reach 21,887 transactions versus 24,058 transactions in the prior week. The Banks and Financial Services sector led the trading volume, accounting for 49.2%, followed by the Real Estate sector which accounted for 17.4% of the overall trading volume. Qatar First Bank (QFBQ) was the top volume traded stock during the week with 17.9mn shares. 9,358.60 Kuwait Trading value during the week decreased by 2.6% to reach QR1.51bn versus QR1.55bn in the prior week. The Banks and Financial Services sector led the trading value during the week, accounting for 45.2% of the total trading value. The Consumer Goods & Services sector was the second biggest contributor to the overall trading value, accounting for 16.3% of the total trading value. QNB Group (QNBK) was the top value traded stock during the week with total traded value of QR151.2mn. 16,000,000 9,459.61 Abu Dhabi Barwa Real Estate Co. (BRES), Industries Qatar (IQCD) and Qatar Electricity & Water Co. (QEWS) were the primary contributors to the weekly index gains. BRES was the biggest contributor to the index’s weekly increase, adding 50.7 points to the index. IQCD was the second biggest contributor to the mentioned gains, adding 43.3 points to the index. Moreover, QEWS added 27.8 points to the index. However, Qatari Investors Group (QIGD) shed 15.3 points off the index. 9,500 Bahrain The Qatar Stock Exchange (QSE) Index gained 259.51 points or 2.8% during the trading week to close at 9,459.61. Market capitalization increased by 1.9% to QR514.4 billion (bn) versus QR504.7bn at the end of the previous trading week. Of the 45 listed companies, 26 companies ended the week higher, while 16 declined and 3 companies remained unchanged. Gulf International Services Co. (GISS) was the best performing stock for the week with a gain of 10.4% on 1.1 million (mn) shares traded. On the other hand, Islamic Holding Group (IHGS) was the worst performing stock for the week with a decline of 16.0% on 428.2k shares traded. Qatar (QSE)* Market Review and Outlook P/B** Dividend Yield 1.4 1.3 1.3 1.7 1.0 1.0 0.8 4.1 5.1 4.3 3.3 5.2 5.2 5.8 # Source: Bloomberg, country exchanges and Zawya (** Trailing Twelve Months; * Value traded ($ mn) do not include special trades, if any; Data as of January 24, 2018) Page 1 of 7
2. News Economic & Corporate News  QNB Group plans expansion after absorbing blockade shock – QNB Group has absorbed the shock of last year’s Saudi Arabialed blockade on Qatar and plans to push ahead with its expansion strategy. The Middle East’s biggest bank by assets expects that profit will increase by 5% to 7% this year, QNB Group’s CEO, Ali Al Kuwari said. QNB Group will continue to diversify earnings by targeting Southeast Asia, while focusing on its main markets in Qatar, Egypt and Turkey. Al Kuwari said, “Some business people who were thinking of investing somewhere else are bringing their investment to Qatar. We see many opportunities in food supply, logistics and transport.” (Gulf-Times.com)  DHBK’s net profit narrows to QR61.4mn in 4Q2017; Ups DPS to QR3.0 – Doha Bank (DHBK) reported net profit of QR61.4mn in 4Q2017 (as compared to QR333.1mn in 3Q2017) vs. our estimate of QR72.22mn and BBG consensus (QR181.5mn). Net profit dropped due to a surge in provisions. Loans & advances rose to QR59.8bn vs. QR59.2bn in 2016, growing by 1.4% QoQ (1.0% YoY). Deposits grew by 13.2% QoQ (+6.7% YoY) to QR59.5bn. Thus DHBK’s LDR significantly improved, declining to 101% vs. 112% in 3Q2017 (106% in 2016). The board of directors (BoD) recommended cash dividend of QR3.0 per share, higher than our estimate of QR2.50 per share. The BoD meeting also recommended that the AGM approve the issuance of bonds by using DHBK’s EMTN program worth $2bn, and reduce the minimum amount per issuance under the commercial papers program to $1.0mn (from $50mn), which was approved earlier by the shareholders. The BoD invited shareholders for the Ordinary and Extraordinary General Assembly meeting on March 7, 2018. In the event the quorum is not met, a second meeting will be held on March 14, 2018. (QNBFS Research, Company financials, Peninsula Qatar)  QATI reports QR113.47mn net profit in 4Q2017 – Qatar Insurance Company (QATI) recorded net profit of QR113.47mn in 4Q2017 as compared to a net loss of QR200.78mn in 3Q2017. On YoY basis, net profit declined 64.9%. The company’s net earned premiums came in at QR2,561.53mn in 4Q2017, which represents an increase of 12.1% QoQ. However, on YoY basis net earned premiums fell 0.7%. EPS decreased to QR1.28 for FY2017 from QR3.73 for FY2016. The board recommended QR1.5 per share cash dividend (15% of the share par value), in addition to bonus shares from the distributable reserves (share premium) in the ratio of 3 shares for 20 shares held, which will be issued after obtaining the necessary approvals. (QSE)  MCGS reports QR43.75mn net profit in 4Q2017 – Medicare Group (MCGS) reported net profit of QR43.75mn in 4Q2017 as compared to QR3.67mn in 3Q2017 and QR29.65mn in 4Q2016. The company's operating income came in at QR130.21mn in 4Q2017, which represents an increase of 22.1% QoQ. However, on YoY basis operating income fell 0.1%. EPS amounted to QR2.84 in FY2017 as compared to QR2.31 in FY2016. Further, the board of directors decided to put forward to the ordinary AGM its recommendations for the distribution of cash dividends of 40% of nominal share value i.e. QR4 per share. (QSE)  KCBK's 4Q2017 net profit of QR96.96mn exceeds our estimate; cash DPS of QR0.75 matches our forecast – Al Khalij Commercial Bank (KCBK) posted a net profit of QR96.96mn in 4Q2017, beating our estimate of QR57.46mn; net profit declined 27.5% QoQ but on a YoY basis, net profit rose sharply from QR1.51mn in 4Q2016. The company's total revenue came in at QR283.36mn in 4Q2017, decreasing by 12.0% QoQ (-1.7% YoY). The bank's total assets stood at QR57.88bn at the end of December 31, 2017, down 0.2% QoQ (-4.5% YoY). Loans and advances to customers were QR35.09bn, falling 2.4% QoQ (flat YoY) at the end of December 31, 2017. Customer deposits rose 1.5% QoQ and 1.5% YoY to reach QR32.68bn at the end of December 31, 2017. EPS amounted to QR1.38 in FY2017 as compared to QR1.07 in FY2016. KCBK’s board of directors recommended the distribution of cash dividend of QR0.75/share, in-line with our estimate. For FY2017, the growth in operating income, coupled with its effective cost management, resulted in an improved efficiency (cost-toincome) ratio of 27.6% for FY2017 compared to 29.4% in FY2016, and prudent management of loan book, has resulted in a higher net profit. The bank managed to reduce credit impairments by 16% YoY, while also improving the coverage ratio to 118%. Non-performing loans stood at 1.94% of total loans at the end of 2017. KCBK’s CEO, Fahad Al Khalifa said, “Looking forward, Al Khalij Commercial Bank enters 2018 with a positive outlook. Qatar’s economy is strong, with an excellent credit rating, high levels of foreign reserves and a robust fiscal policy. We look forward to this year with renewed optimism, and will continue to support our clients by working closely with them and further strengthen our franchise in Qatar.” (QNBFS Research, Company financials, GulfTimes.com)  QIIK's net profit declines 43.8% QoQ in 4Q2017, beating our estimate – Qatar International Islamic Bank's (QIIK) net profit declined 43.8% QoQ to QR132.09mn in 4Q2017. However, on YoY basis net profit rose 11.6%, beating our estimate of QR119.52mn (variation of +10.5%). Total income from financing & investing activities increased 3.4% QoQ and 11.6% YoY in 4Q2017 to QR459.25mn. The bank's total assets stood at QR46.62bn at the end of December 31, 2017, down 7.9% QoQ. However, on YoY basis the bank's total assets increased 9.6%. Financing assets were QR32.5bn, registering a rise of 8.7% QoQ (+19.3% YoY) at the end of December 31, 2017. Customers' current accounts declined 0.6% QoQ to reach QR6.89bn at the end of December 31, 2017. However, on YoY basis customers' current accounts rose 10.8%. EPS amounted to QR5.50 in FY2017 as compared to QR5.18 in FY2016. QIIK’s CEO Abdulbasit Ahmad Al Shaibei said that the total revenues of the bank amounted to QR1.9bn at the end of FY2017 compared to QR1.7bn in FY2016. The shareholder’s equity stood at QR6.8bn at the end of FY2017, while Capital Adequacy under Basel III ratio reached 17.87%, which indicates the strength of QIIK’s financial position amid various risks. QIIK’s board of directors recommends a dividend 40% of issued Capital i.e. QR4.0 per share, matching our estimate. (QNBFS Research, QSE, Peninsula Qatar) Page 2 of 7
3.  ERES reports ~QR0.29bn net profit in 4Q2017 – Ezdan Holding Group (ERES) reported net profit of ~QR0.29bn in 4Q2017 as compared to QR0.26bn in 3Q2017. ERES recorded net profit of QR1.7bn in FY2017 as compared to QR1.8bn for the previous year. EPS amounted to QR0.64 in FY2017 as compared to QR0.68 in FY2016. The board did not propose dividends for 2017. (QSE)  IHGS reports net loss of QR0.73mn in 4Q2017 – Islamic Holding Group (IHGS) reported net loss of QR0.73mn in 4Q2017 as compared to QR0.57mn in 3Q2017. The company's net brokerage & commission income came in at QR0.59mn in 4Q2017, which represents a decrease of 7.9% QoQ (-86% YoY). Loss per share amounted to QR0.09 in FY2017 as compared to earnings per share of QR0.72 in FY2016. IHGS’ board of directors also proposed no dividend for this year. (QSE)  QNB Group announces the successful completion of an inaugural Kangaroo bond issuance – QNB Group announced the successful completion of an inaugural Kangaroo bond issuance under its Kangaroo program. Under this program, AUD700mn transaction was executed, with five and ten year maturities. This issuance was part of QNB Group’s strategy to tap new sources of stable funding from new markets. QNB Group mandated ANZ, Bank of America Merrill Lynch and QNB Capital as Joint Lead Managers for this multi tranche transaction under the Kangaroo program. This success confirms the trust of international investors in QNB Group’s strategy and the strength of its financial position. (QSE) compared with 1Q2017. The transaction was funded entirely through existing cash resources and is expected to increase Aamal Real Estate’s net assets by 7%. (QSE)  Qatar weathers ‘blockade shock’ with ease – Qatar has been able to ride out the ‘blockade impact’ on its economy better than expected, Arqaam Capital Research noted in its ‘MENA Banks Outlook.’ In its latest research note, Arqaam Capital stated it has added QNB to its core portfolio. It had already upgraded QNB stock to a Buy from Hold following the bank’s strong 3Q2017 performance. Qatar’s latest GDP data shows 3.6% YoY expansion, while latest trade data also shows resilience, with imports in particular now higher than preblockade levels having risen by 11.5% YoY in October, after dipping over 30% in June and July. The 2018 Qatar budget should provide further support as it pencils in 16% higher spending, while Arqaam Capital calculates 3.7% fiscal surplus at $65 per barrel oil price. Qatari Riyal is stabilizing after it moved away from the peg towards the latter part of the year. Foreign outflows have already slowed down significantly, with continued deposit outflows from foreign sources offset by higher borrowing from foreign banks and cheaper funding from the PSE sector. Qatar’s budget for 2018 expects $55.4bn in spending versus $47.7bn budgeted for 2017 (+16.1% YoY) and with $25bn of the spending earmarked for major projects (45% of total spend). The budget assumes an oil price of $45 per barrel. (Peninsula Qatar)  GWCS to manage ‘Al Asmakh Logistics Park’ for 22 years – Gulf Warehousing Company (GWCS) and Al Asmakh Real Estate Development Company signed a management agreement that will bring the ‘Al Asmakh Logistics Park’ under the management of GWCS for 22-year period between 2018 and 2040. Strategically located in the growing North Doha districts, the Al Asmakh Logistics Park boasts of a number of features specifically tailored to serve the needs of the nation’s small and medium enterprise sector. (Gulf-Times.com)  Qatar Navigation acquires its largest container ship – Qatar Navigation has acquired its largest container vessel to date, Majd, a 3,768 TEU (twenty foot equivalent unit) vessel. The new vessel will be one of the 17 container vessels that the group operates and is part of the ongoing expansion of the group’s overall fleet. Majd would be phased into its existing network and gradually replace smaller tonnage. Qatar Navigation currently fully owns and operates a fleet of more than 80 vessels, including liquefied natural gas and product tankers, offshore support vessels, container and bulk vessels, among other vessel categories. (Gulf-Times.com)  Aamal Company residential assets acquired in prime areas of Doha through Aamal Real Estate – Aamal Company announced the purchase of assets in Doha from related parties through its Aamal Real Estate subsidiary. These assets include three residential compounds which comprise 24 villas and two buildings containing 20 apartments. They are located in prime locations in Doha including West Bay Lagoon, Al Waab, Abu Hamour and Madinat Khalifa. The consideration paid for these assets is approximately QR179.5mn and its impact will be seen in 1Q2018 with an expected uplift in Aamal Real Estate’s revenue of around QR1.9mn, a rise of approximately 9% Page 3 of 7
4. Qatar Stock Exchange Top Gainers Top Decliners 0 .0% 12.0% 10.4% 8.9% 8.4% 8.0% 8.0% 7.9% -6.0% -8.2% 4.0% -6.8% -7.4% -7.4% Doha Insurance Qatari Investors Group -12.0% 0.0% Gulf International Services Barwa Real Estate Milaha United Development Mesaieed Petrochemical Holding Company Source: Qatar Stock Exchange (QSE) -16.0% -18.0% Islamic Holding Group Qatar Cinema & Film Distribution Medicare Group Source: Qatar Stock Exchange (QSE) Most Active Shares by Value (QR Million) Most Active Shares by Volume (Million) 180.0 21.0 151.2 17.9 131.9 116.2 120.0 14.0 96.2 93.5 60.0 7.0 4.6 0.0 QNB Group Qatar First Bank Medicare Group Doha Bank Qatar International Islamic Bank Source: Qatar Stock Exchange (QSE) 3.8 3.7 Vodafone Qatar United Development 0.0 Qatar First Bank Investment Holding group 100% 20.00% 19.12% 80% 14.37% 14.48% Net Traded Value by Nationality (QR Million) 12 Non-Qatari 29.96% 35.67% 507 519 22.36% 40% 20% Doha Bank Source: Qatar Stock Exchange (QSE) Investor Trading Percentage to Total Value Traded 60% 3.0 (12) 44.04% Qatari 1,002 990 0% Buy Sell Qatari Individuals Qatari Institutions Non-Qatari Individuals Non-Qatari Institutions Source: Qatar Stock Exchange (QSE) (200) - 200 400 Net Investment 600 Total Sold 800 1,000 1,200 Total Bought Source: Qatar Stock Exchange (QSE) Page 4 of 7
5. TECHNICAL ANALYSIS OF THE QSE INDEX Source : Bloomberg The Index ended another week higher, and closed at 9,459 with an increase of 2.82% compared to the week before. The Index managed to close higher 7 weeks out of the past 10 weeks. The recent performance pushed the Index up by 23.4% from last November’s bottom and now only 4.7% away from precrisis level. MACD is getting closer to the zero line and accomplishing that means chances are increasing to change the main trend from down to at least flat, if not to an uptrend. Our expected support level remains at 8,000 points and the resistance at 10,000. DEFINITIONS OF KEY TERMS USED IN TECHNICAL ANALYSIS RSI (Relative Strength Index) indicator – RSI is a momentum oscillator that measures the speed and change of price movements. The RSI oscillates between 0 to 100. The index is deemed to be overbought once the RSI approaches the 70 level, indicating that a correction is likely. On the other hand, if the RSI approaches 30, it is an indication that the index may be getting oversold and therefore likely to bounce back. MACD (Moving Average Convergence Divergence) indicator – The indicator consists of the MACD line and a signal line. The divergence or the convergence of the MACD line with the signal line indicates the strength in the momentum during the uptrend or downtrend, as the case may be. When the MACD crosses the signal line from below and trades above it, it gives a positive indication. The reverse is the situation for a bearish trend. Candlestick chart – A candlestick chart is a price chart that displays the high, low, open, and close for a security. The ‘body’ of the chart is portion between the open and close price, while the high and low intraday movements form the ‘shadow’. The candlestick may represent any time frame. We use a one-day candlestick chart (every candlestick represents one trading day) in our analysis. Doji candlestick pattern – A Doji candlestick is formed when a security's open and close are practically equal. The pattern indicates indecisiveness, and based on preceding price actions and future confirmation, may indicate a bullish or bearish trend reversal. Shooting Star/Inverted Hammer candlestick patterns – These candlestick patterns have a small real body (open price and close price are near to each other), and a long upper shadow (large intraday movement on the upside). The Shooting Star is a bearish reversal pattern that forms after a rally. The Inverted Hammer looks exactly like a Shooting Star, but forms after a downtrend. Inverted Hammers represent a potential bullish trend reversal. Page 5 of 7
6. Com pany Nam e Price January 25 % Change WTD % Change YTD Market Cap. QR Million TTM P/E P/B Div. Yield Qatar National Bank 139.89 1.45 11.02 129,208 10.3 1.9 Qatar Islamic Bank 101.90 3.35 5.05 24,078 11.5 1.6 2.3 4.7 Commercial Bank of Qatar 28.59 0.60 (1.07) 11,571 43.8 0.7 N/A Doha Bank 33.03 5.36 15.89 10,241 10.0 0.9 8.8 Al Ahli Bank 33.50 0.00 (14.08) 6,711 10.4 1.3 2.8 Qatar International Islamic Bank 62.25 5.51 14.01 9,423 11.3 1.6 6.4 Masraf Al Rayan 41.94 1.67 11.10 31,455 15.5 2.4 4.8 Al Khalij Commercial Bank 13.16 (1.64) (7.32) 4,738 9.6 0.8 5.7 1.71 9.34 1,428 N/A 0.9 N/A Qatar First Bank 7.14 National Leasing 10.11 (1.94) (5.60) 500 N/A 0.5 4.9 Dlala Holding 14.60 0.14 (0.68) 415 22.2 1.7 N/A Qatar & Oman Investment 7.77 (2.88) (1.65) 245 21.8 0.9 6.3 Islamic Holding Group Banking and Financial Services 32.50 (16.04) (13.33) 184 N/A 1.3 3.1 Zad Holding 73.00 955 9.2 1.1 6.1 75 N/A 1.1 N/A Qatar German Co. for Medical Devices Salam International Investment 230,197 6.49 (9.88) 1.41 0.46 5.95 834 20.6 0.5 11.0 Medicare Group 80.00 (6.76) 14.53 2,252 28.1 2.2 2.3 Qatar Cinema & Film Distribution 21.10 (8.22) (15.60) 133 31.6 1.0 4.5 115.00 5.31 12.68 11,434 15.3 1.7 5.6 Widam Food Co. 74.00 3.58 18.40 1,332 12.3 3.9 4.7 Mannai Corp. 67.50 5.63 13.45 3,079 6.6 1.1 5.9 154.60 5.17 6.69 3,092 15.5 2.3 5.8 Qatar Fuel Al Meera Consumer Goods Consum er Goods and Services 7.30 (2.67) 4.29 23,186 Qatar Industrial Manufacturing 44.22 0.50 1.19 2,101 10.8 1.4 6.8 Qatar National Cement 66.00 6.45 4.93 4,313 11.9 1.4 5.5 113.50 3.18 17.01 68,668 26.6 2.1 3.5 1.23 4,606 18.5 1.8 2.7 Industries Qatar Qatari Investors Group Qatar Electricity and Water 37.05 (7.38) 200.00 5.35 12.36 22,000 13.6 2.5 3.8 8.72 0.00 0.46 5,494 12.0 0.7 6.9 Gulf International Services 19.80 10.37 11.86 3,680 N/A 1.0 5.1 Mesaieed Petrochemical Holding 14.30 7.92 13.58 17,965 16.5 1.3 4.2 3.44 524 N/A 0.6 4.7 Aamal Invesment Holding Group Industrials 6.31 (0.47) 129,351 Qatar Insurance Doha Insurance 53.50 (3.60) 2.86 14,836 35.0 1.5 2.4 13.02 (7.40) (7.00) 651 8.5 0.6 4.5 Qatar General Insurance & Reinsurance 45.70 (2.97) (6.73) 3,999 61.9 0.7 3.3 Al Khaleej Takaful Insurance 13.80 0.00 4.23 352 31.4 0.7 4.3 Qatar Islamic Insurance Insurance 58.00 2.65 5.51 870 13.7 2.5 6.0 United Development 16.90 7.99 17.52 5,984 9.9 0.5 7.4 Barw a Real Estate 38.50 8.85 20.31 14,981 11.3 0.8 6.5 Ezdan Real Estate 11.65 (4.51) (3.56) 30,902 18.0 1.0 4.3 8.15 (0.61) (9.44) 943 52.6 0.6 N/A 0.20 10.19 32,032 16.7 1.4 3.5 (4.66) (8.10) 6,231 N/A 1.4 N/A 13.50 7,271 22.9 0.5 5.5 1.05 2,605 12.1 1.6 3.6 12.42 10,028 12.4 1.9 5.5 Mazaya Qatar Real Estate Development Real Estate Ooredoo Vodafone Qatar Telecom s 20,708 52,810 100.00 7.37 38,263 Qatar Navigation (Milaha) 63.49 8.36 Gulf Warehousing Qatar Gas Transport (Nakilat) 44.45 (2.07) 18.10 2.84 Transportation Qatar Exchange 19,904 514,419 Source: Bloomberg Page 6 of 7
7. Contacts Saugata Sarkar , CFA, CAIA Shahan Keushgerian Zaid al-Nafoosi , CMT, CFTe Head of Research Senior Research Analyst Senior Research Analyst Tel: (+974) 4476 6534 Tel: (+974) 4476 6509 Tel: (+974) 4476 6535 saugata.sarkar@qnbfs.com.qa shahan.keushgerian@qnbfs.com.qa zaid.alnafoosi@qnbfs.com.qa Mohamed Abo Daff QNB Financial Services Co. W.L.L. Senior Research Analyst Contact Center: (+974) 4476 6666 Tel: (+974) 4476 6589 PO Box 24025 mohd.abodaff@qnbfs.com.qa Doha, Qatar Disclaimer and Copyright Notice: This publication has been prepared by QNB Financial Services Co. W.L.L. (“QNBFS”) a wholly-owned subsidiary of Qatar National Bank (Q.P.S.C.). QNBFS is regulated by the Qatar Financial Markets Authority and the Qatar Exchange. Qatar National Bank (Q.P.S.C.) is regulated by the Qatar Central Bank. This publication expresses the views and opinions of QNBFS at a given time only. It is not an offer, promotion or recommendation to buy or sell securities or other investments, nor is it intended to constitute legal, tax, accounting, or financial advice. QNBFS accepts no liability whatsoever for any direct or indirect losses arising from use of this report. Any investment decision should depend on the individual circumstances of the investor and be based on specifically engaged investment advice. We therefore strongly advise potential investors to seek independent professional advice before making any investment decision. Although the information in this report has been obtained from sources that QNBFS believes to be reliable, we have not independently verified such information and it may not be accurate or complete. QNBFS does not make any representations or warranties as to the accuracy and completeness of the information it may contain, and declines any liability in that respect. For reports dealing with Technical Analysis, expressed opinions and/or recommendations may be different or contrary to the opinions/recommendations of QNBFS Fundamental Research as a result of depending solely on the historical technical data (price and volume). QNBFS reserves the right to amend the views and opinions expressed in this publication at any time. It may also express viewpoints or make investment decisions that differ significantly from, or even contradict, the views and opinions included in this report. This report may not be reproduced in whole or in part without permission from QNBFS COPYRIGHT: No part of this document may be reproduced without the explicit written permission of QNBFS. Page 7 of 7