Research and Advisory The UAE Market Monitor€¦ · The new health insurance law which came into...
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EQUITY RESEARCH Research and Advisory CONTENT Market and Sectors Overview 2 Banking 3 Construction and Related Sectors 4 Contracting 5 Consumer 6 Finance and Investments (F&I) 7 Health and Pharmaceutical (H&P) 8 Insurance 9 Oil and Energy 10 Property, Leisure and Hospitality 11 Telecommunications (Telecom) 12 Transport & Logistics (T&L) 13 Definitions and Notes 14 The UAE Market Monitor The UAE Market Monitor The UAE Market Monitor Insurance Firms Get Noticed! Share prices of insurance companies in the UAE surged recently. Some companies rocketed as much as 153% in the last four weeks. Two factors pushed the prices of those companies: The deadline of the Third Stage of the new Dubai Health Insurance Law No. 11 of 2013 and the new price limits for car insurance. The new health insurance law which came into effect on 1 January 2014, was applied into three stages: Companies with more than 1,000 employees, from 31 October 2014 Companies with 100-999 employees, from 31 July 2015 Companies with less than 100 employees, from 30 June 2016, which was extended to the end of January 2017. Approximately 3.8mn people live currently in the Emirate of Dubai. Almost 75% of those are already insured by their employers. Given the estimate that about 95% of residents in the emirate will be insured by the end of the grace period at a policy premium of AED500, the insurance companies will share at least an additional revenues of around AED400mn. The board of directors of the Insurance Authority issued new tariffs for motor insurance, which will be effective from January 1, 2017. The regulations include the unified motor vehicle insurance policies against third party liability and against loss and damage. The system grants the insurance companies the freedom of competition by offering prices, based on their respective experiences with the customers, on technical or actuarial reasons. The tariff will include additional premiums, resulting from the costs of ambulance services and medical evacuation to hospitals. The authority retained the maximum premium for policies against comprehensive liability and against loss and damage for saloon vehicles at 5%. The table summarizes the changes in the prices of some insurance companies in both markets in the UAE for the last four weeks (between 6 December 2016 to 5 January 2015). UAE Markets Weekly Performance: ADX 1.22%, DFM 2.75% A strong performance for the local markets marked the beginning of the first week of the year with both markets surging. In Dubai, DFMGI closed 2.75% higher to 3628 points. The market breadth was bullish with 29 issues closing higher, 20 issues remaining flat and 10 issues declining. ADSMI gained 1.22% to 4602 points. A total of 18 issues gained, 38 issues remained unchanged and 11 issues declined. DFMGI Top Gainers % Chg Top Losers % Chg Close Close AMAN 73.02 DRC (9.91) 1.09 20.90 SALAMA 18.04 TAKAFUL-EM (5.51) 0.62 2.40 EKTTITAB 14.75 ARIG (4.00) 0.50 1.20 NCC 10.34 TABREED (3.48) 3.20 1.94 ALSALAMKW 9.67 MAZAYA (3.47) 0.67 1.39 ALMADINA 8.43 SHUAA (3.38) 0.54 1.43 IFA 7.10 GFH (2.46) 0.39 1.98 DIC 6.72 GULFNAV (1.86) 2.54 1.58 DEYAAR 6.47 ARMX (0.74) 0.66 4.04 DAMAC 6.32 DU (0.48) 2.69 6.17 Volume VII Issue Number 1 Monday, January 9, 2017 ANALYST CERTIFICATIONS AND REQUIRED DISCLOSURES BEGIN ON PAGE 15 ADSMI Top Gainers % Chg Top Losers % Chg Close Close AWNIC 48.59 NBF (18.83) 11.10 3.88 AKIC 41.67 TAQA (7.55) 0.51 0.49 ASMAK 27.89 GCEM (7.00) 2.43 0.93 METHAQ 8.89 SIB (3.90) 0.98 1.48 ADCB 7.25 AGTHIA (2.82) 7.40 6.90 ARKAN 6.02 DANA (1.85) 0.88 0.53 JULPHAR 5.07 WATANIA (1.23) 2.28 0.80 NMDC 4.65 RAKBANK (1.01) 4.50 4.90 GCIC 4.29 ADNH (0.95) 0.73 3.14 RAKCC 4.11 ORDS (0.62) 0.76 95.50 Selected Companies Performance (6 Dec 2016 to 5 Jan 2017) Company Close % AWNIC 11.10 152.27 AMAN 1.09 100.74 ASMAK 2.43 56.77 AKIC 0.51 50.00 DARTAKAFUL 1.32 43.95 GCIC 0.73 40.38 SALAMA 0.62 30.57 ASCANA 2.30 15.00
Transcript of Research and Advisory The UAE Market Monitor€¦ · The new health insurance law which came into...
EQUITY RESEARCH Research and Advisory
CONTENT
Market and Sectors Overview 2
Banking 3
Construction and Related Sectors 4
Contracting 5
Consumer 6
Finance and Investments (F&I) 7
Health and Pharmaceutical (H&P) 8
Insurance 9
Oil and Energy 10
Property, Leisure and Hospitality 11
Telecommunications (Telecom) 12
Transport & Logistics (T&L) 13
Definitions and Notes 14
The UAE Market MonitorThe UAE Market MonitorThe UAE Market Monitor Insurance Firms Get Noticed!
Share prices of insurance companies in the UAE surged recently. Some companies rocketed as much as 153% in the last four weeks.
Two factors pushed the prices of those companies: The deadline of the Third Stage of the new Dubai Health Insurance Law No. 11 of 2013 and the new price limits for car insurance.
The new health insurance law which came into effect on 1 January 2014, was applied into three stages:
Companies with more than 1,000 employees, from 31 October 2014
Companies with 100-999 employees, from 31 July 2015
Companies with less than 100 employees, from 30 June 2016, which was extended to the end of January 2017.
Approximately 3.8mn people live currently in the Emirate of Dubai. Almost 75% of those are already insured by their employers. Given the estimate that about 95% of residents in the emirate will be insured by the end of the grace period at a policy premium of AED500, the insurance companies will share at least an additional revenues of around AED400mn.
The board of directors of the Insurance Authority issued new tariffs for motor insurance, which will be effective from January 1, 2017. The regulations include the unified motor vehicle insurance policies against third party liability and against loss and damage.
The system grants the insurance companies the freedom of competition by offering prices, based on their respective experiences with the customers, on technical or actuarial reasons.
The tariff will include additional premiums, resulting from the costs of ambulance services and medical evacuation to hospitals. The authority retained the maximum premium for policies against comprehensive liability and against loss and damage for saloon vehicles at 5%.
The table summarizes the changes in the prices of some insurance companies in both markets in the UAE for the last four weeks (between 6 December 2016 to 5 January 2015).
UAE Markets Weekly Performance:
ADX 1.22%, DFM 2.75%
A strong performance for the local markets marked the beginning of the first week of the year with both markets surging.
In Dubai, DFMGI closed 2.75% higher to 3628 points. The market breadth was bullish with 29 issues closing higher, 20 issues remaining flat and 10 issues declining.
ADSMI gained 1.22% to 4602 points. A total of 18 issues gained, 38 issues remained unchanged and 11 issues declined.
DFMGI Top Gainers % Chg Top Losers % Chg Close Close
AMAN 73.02 DRC (9.91) 1.09 20.90
SALAMA 18.04 TAKAFUL-EM (5.51) 0.62 2.40
EKTTITAB 14.75 ARIG (4.00) 0.50 1.20
NCC 10.34 TABREED (3.48) 3.20 1.94
ALSALAMKW 9.67 MAZAYA (3.47) 0.67 1.39
ALMADINA 8.43 SHUAA (3.38) 0.54 1.43
IFA 7.10 GFH (2.46) 0.39 1.98
DIC 6.72 GULFNAV (1.86) 2.54 1.58
DEYAAR 6.47 ARMX (0.74) 0.66 4.04
DAMAC 6.32 DU (0.48) 2.69 6.17
Volume VII Issue Number 1
Monday, January 9, 2017
ANALYST CERTIFICATIONS AND REQUIRED DISCLOSURES BEGIN ON PAGE 15
ADSMI Top Gainers % Chg Top Losers % Chg Close Close
AWNIC 48.59 NBF (18.83) 11.10 3.88
AKIC 41.67 TAQA (7.55) 0.51 0.49
ASMAK 27.89 GCEM (7.00) 2.43 0.93
METHAQ 8.89 SIB (3.90) 0.98 1.48
ADCB 7.25 AGTHIA (2.82) 7.40 6.90
ARKAN 6.02 DANA (1.85) 0.88 0.53
JULPHAR 5.07 WATANIA (1.23) 2.28 0.80
NMDC 4.65 RAKBANK (1.01) 4.50 4.90
GCIC 4.29 ADNH (0.95) 0.73 3.14
RAKCC 4.11 ORDS (0.62) 0.76 95.50
Selected Companies Performance (6 Dec 2016 to 5 Jan 2017)
Company Close %
AWNIC 11.10 152.27
AMAN 1.09 100.74
ASMAK 2.43 56.77
AKIC 0.51 50.00
DARTAKAFUL 1.32 43.95
GCIC 0.73 40.38
SALAMA 0.62 30.57
ASCANA 2.30 15.00
Market and Sectors OverviewMarket and Sectors OverviewMarket and Sectors Overview
Sector
Market Cap (AEDmn)
EARNINGS PERFORMANCE KEY VALUATION METRICS (Average)
3Q16 3Q15 Aggregate YoY Change FY15 FY14 Aggregate YoY
Change Historic PE Trailing PE Price to Book Dividend Yield
Banks 318,322.26 8,220.10 8,518.34 -3.50% 35,835.12 33,284.65 7.66% 10.02 11.47 1.22 5.44
Construction 8,948.50 80.39 144.48 -44.36% 746.51 749.89 -0.45% 16.67 16.60 0.68 7.46
Contracting 16,728.41 (130.77) (1,683.69) 92.23% (2,854.42) 651.07 -538.42% 11.39 13.23 1.12 6.00
Consumers 8,947.65 137.06 120.26 13.97% 656.16 463.72 41.50% 15.18 13.25 1.66 2.57
Energy 6,856.71 (245.00) (444.00) 44.82% (1,265.00) (2,553.00) 50.45% 7.03 6.39 1.92 -
F&I 34,994.60 367.63 392.46 -6.32% 2,021.48 4,248.02 -52.41% 12.84 11.18 1.14 7.42
H&P 7,219.30 51.99 57.62 -9.76% 434.79 196.83 120.90% 24.42 18.42 1.29 2.83
Insurance 11,591.37 95.99 (83.86) >200% (181.76) 875.94 -120.75% 17.23 14.33 1.36 4.75
Leisure & Hospitality 51,386.09 385.42 368.89 4.48% 1,895.87 1,672.77 13.34% 14.52 13.54 1.64 3.67
Property 104,910.94 2,923.37 2,661.29 9.85% 12,225.31 9,666.93 26.47% 8.90 8.71 0.94 4.53
Telecom 192,162.70 2,327.33 2,437.33 -4.51% 10,204.11 11,001.37 -7.25% 17.19 17.09 3.79 5.56
Transportation and Logistics 70,943.23 539.27 383.78 40.51% 4,353.21 3,730.81 16.68% 16.95 10.03 1.63 5.12
UAE AGGREGATE 833,011.76 14,752.78 12,872.89 14.60% 64,071.39 63,988.99 0.13% 13.41 12.94 1.58 3.98
UAE AVERAGE 7.81% 0.83% 14.09 12.92 1.30 5.16
Market data are courtesy of Thomson Reuters
Based on prices, as of January 8, 2016
Sector Average:
PE Average is calculated for values >0 and <50x.
Average Sector Growth is calculated for values between –100% and 200%., except for selected sectors in which case, the row is left blank for now.
Forward PE Averages and Aggregates are not calculated, considering that not all companies in the sectors have estimates.
* Averages for the sector represent single stock numbers .
Equity Research The Market Monitor 9 January 2017 Page 2
Banking SectorBanking SectorBanking Sector
Company
(Market Code)
Latest Market Price
Market Cap (AEDmn)
KEY FUNDAMENTALS KEY PRICE MULTIPLES PRICE PERFORMANCE AND LIQUIDITY
3Q16 3Q15 YoY
Change FY15 FY14 YoY
Change
Book Value per
Share
Historic PE
Trailing PE
Forward PE
Price to Book
Dividend Yield
YTD Price Change 52w High 52w Low
Distance to 52w
Low :(%K)
Ave. 90d Volume
Turnover (‘000)
ADCB 7.50 41,966.98 927.13 1,139.93 -18.67% 4,795.38 3,863.34 24.13% 4.58 8.05 10.00 10.06 1.64 6.00 7.25 7.40 5.20 104.55 1,747.19
ADIB 3.92 12,418.56 508.73 502.70 1.20% 1,632.96 1,419.52 15.04% 3.13 7.37 7.42 7.52 1.25 6.19 0.00 4.85 2.96 50.79 639.06
AJMANBANK 1.54 2,500.19 33.08 32.64 1.35% 120.65 71.40 68.99% 1.23 17.90 19.15 16.03 1.26 ND 0.75 2.13 1.29 29.92 5,482.89
BOS 1.40 2,940.00 90.24 119.31 -24.36% 243.75 286.00 -14.77% 2.10 12.23 13.77 12.54 0.67 ND 0.00 1.58 1.14 59.09 581.03
CBD 5.20 14,574.22 215.66 305.53 -29.41% 1,066.23 1,202.26 -11.31% 3.01 13.67 17.10 13.69 1.73 3.85 (17.46) 6.30 4.65 33.33 0.00
CBI NHP NM 32.15 (28.60) Recovery (466.56) 133.47 Loss 1.09 <=0 >50 NE NM ND 7.57 2.39 1.40 NM 0.00
DIB 5.84 28,862.38 637.58 733.36 -13.06% 3,182.53 2,415.45 31.76% 3.36 8.65 9.46 9.11 1.74 6.16 2.51 5.96 4.51 91.66 4,583.12
EIB NHP NM (30.82) 86.99 Loss 640.68 364.19 75.92% 0.96 11.61 >50 NE NM ND 0.00 0.00 0.00 NM 0.00
EMIRATESNBD 8.65 48,074.75 1,515.93 1,524.48 -0.56% 6,532.30 4,632.06 41.02% 7.85 7.22 6.80 7.09 1.10 4.62 2.24 8.89 6.25 90.91 543.03
FGB 13.15 59,175.00 1,841.08 1,386.23 32.81% 5,922.61 5,552.24 6.67% 7.12 9.76 9.63 10.39 1.85 7.60 1.17 13.50 9.90 90.28 1,850.19
INVESTB 2.30 3,652.70 64.14 77.67 -17.42% 252.20 360.09 -29.96% 1.86 14.23 17.00 16.16 1.24 3.26 13.00 2.26 1.45 104.94 3,080.15
MASQ 69.00 12,249.63 414.95 551.44 -24.75% 2,402.11 2,401.00 0.05% 104.20 4.58 6.00 5.12 0.66 5.80 4.84 95.00 59.95 25.82 24.62
NBAD 10.40 54,647.27 1,247.28 1,261.78 -1.15% 5,030.63 5,391.37 -6.69% 7.25 10.43 11.40 10.79 1.43 4.33 2.60 10.35 6.86 101.43 807.42
NBF 3.50 4,449.16 80.44 114.89 -29.99% 504.76 473.04 6.71% 2.77 12.04 10.46 NE 1.26 1.98 (18.83) 4.79 3.88 (41.76) 0.00
NBQ 3.20 5,913.60 69.08 69.04 0.06% 542.76 383.75 41.44% 2.11 10.55 18.80 NE 1.51 5.31 3.23 3.80 2.66 47.37 0.00
RAKBANK 4.90 8,213.63 107.04 370.81 -71.13% 1,400.39 1,454.60 -3.73% 4.49 5.93 9.49 9.37 1.09 10.20 (1.01) 6.29 4.80 6.71 180.48
SIB 1.51 3,662.51 78.76 93.85 -16.08% 409.93 377.18 8.68% 1.98 9.11 8.19 11.70 0.76 6.62 (3.90) 1.60 1.10 82.00 294.13
UAB 1.60 2,200.05 16.98 (272.61) Recovery (166.15) 594.61 Loss 1.94 <=0 <=0 19.30 0.82 ND (67.01) 4.85 1.60 0.00 0.00
UNB 4.66 12,821.65 370.65 448.91 -17.43% 1,787.96 1,909.10 -6.35% 5.98 6.99 8.86 8.18 0.78 4.29 1.32 4.66 3.13 100.00 901.49
Sector Average 318,322.26 8,220.10 8,518.34 -3.50% 35,835.12 33,284.65 7.66% - 8.88 9.48 9.44 1.28 5.52 - - - - -
Sector Median -14.29% 14.56% - 10.02 11.47 11.14 1.22 5.44 (3.25) - - 57.47 -
Note:
The multiplies were calculated using adjusted EPS and BVPS.
Adjustment includes taking out Tier 1 Capital Notes and Interest Payments on these.
Equity Research The Market Monitor 9 January 2017 Page 3
Construction and Related SectorsConstruction and Related SectorsConstruction and Related Sectors
Company
(Market Code)
Latest Market Price
Market Cap (AEDmn)
KEY FUNDAMENTALS KEY PRICE MULTIPLES PRICE PERFORMANCE AND LIQUIDITY
3Q16 3Q15 YoY
Change FY15 FY14 YoY
Change
Book Value per
Share
Historic PE
Trailing PE
Forward PE
Price to Book
Dividend Yield
YTD Price Change 52w High 52w Low
Distance to 52w
Low :(%K)
Ave. 90d Volume
Turnover (‘000)
ARKAN 0.90 1,575.00 14.62 23.18 -36.94% 101.12 80.01 26.38% 1.09 14.36 20.18 11.84 0.83 ND 6.02 1.10 0.69 51.22 155.52
BILDCO 0.65 195.00 (9.87) (10.58) 6.63% (20.06) 4.73 Loss 1.18 <=0 <=0 NE 0.55 ND 0.00 0.65 0.37 100.00 335.53
FBICO 1.56 212.14 NA NA NM 7.02 6.18 13.57% 1.75 30.24 21.72 NE 0.89 ND (8.77) 1.71 1.08 76.19 0.00
FCI 1.11 395.01 12.39 7.80 58.88% 50.65 25.77 96.51% 2.89 7.80 5.52 NE 0.38 4.50 (7.50) 1.25 0.83 66.67 0.00
GCEM 1.05 862.15 13.20 16.03 -17.66% 71.44 60.57 17.94% 1.43 11.49 15.55 NE 0.74 6.67 (7.00) 1.07 0.81 92.31 330.25
NCC 3.20 1,148.16 9.85 18.31 -46.19% 93.53 103.84 -9.92% 4.65 11.12 14.63 NE 0.69 7.81 10.34 3.50 2.88 51.61 0.00
QCEM NHP NM (1.98) (10.05) 80.34% (26.51) 5.80 Loss 1.86 <=0 >50 NE NM ND (15.00) 1.08 0.73 NM 0.00
RAKWCT 1.23 615.19 0.56 (3.36) Recovery 15.54 31.80 -51.14% 1.63 39.60 29.95 NE 0.75 5.69 (12.77) 1.33 1.04 65.52 0.00
RAKCC 0.80 447.22 0.75 4.88 -84.69% 14.93 14.18 5.31% 1.05 27.34 29.09 24.85 0.76 6.25 4.11 0.90 0.69 52.38 187.01
RAKCEC 2.53 2,171.75 11.37 74.63 -84.76% 281.35 278.92 0.87% 3.07 7.47 11.20 8.08 0.82 11.26 1.22 3.70 2.20 21.93 1,752.04
SCIDC 1.08 597.19 11.23 4.86 131.21% 62.10 62.00 0.16% 2.50 9.62 9.18 NE 0.43 6.48 (0.92) 1.10 0.89 90.48 235.24
UCC 1.09 729.69 18.26 18.78 -2.72% 95.41 76.10 25.38% 1.81 7.65 8.95 NE 0.60 11.01 (8.40) 1.29 1.03 23.08 43.71
Sector Average 8,948.50 80.39 144.48 -44.36% 746.51 749.89 -0.45% - 11.99 14.22 21.32 0.65 6.76 - - - - -
Sector Median 0.41% 12.51% - 16.67 16.60 14.92 0.68 7.46 (3.22) - - 62.85 -
Equity Research The Market Monitor 9 January 2017 Page 4
Contracting SectorContracting SectorContracting Sector
Company
(Market Code)
Latest Market Price
Market Cap (AEDmn)
KEY FUNDAMENTALS KEY PRICE MULTIPLES PRICE PERFORMANCE AND LIQUIDITY
3Q16 3Q15 YoY
Change FY15 FY14 YoY
Change
Book Value per
Share
Historic PE
Trailing PE
Forward PE
Price to Book
Dividend Yield
YTD Price Change 52w High 52w Low
Distance to 52w
Low :(%K)
Ave. 90d Volume
Turnover (‘000)
ARTC 1.38 6,368.79 (225.55) (944.79) 76.13% (2,346.70) 214.55 Loss 0.63 <=0 <=0 <=0 2.19 ND 3.82 1.87 1.04 40.96 37,984.46
ADSB 2.63 557.54 17.31 11.67 48.30% 87.24 (132.60) Recovery 1.98 6.88 9.55 NE 1.33 3.80 0.71 3.27 2.39 27.27 15.19
DEPA 1.28 785.75 NA NA NM (265.53) 44.00 Loss 1.96 <=0 <=0 21.84 0.65 ND (17.45) 0.42 0.29 714.54 0.00
DSI 0.51 1,156.23 (46.30) (877.81) 94.73% (826.62) 110.00 Loss 0.84 <=0 <=0 <=0 0.60 ND 5.00 0.64 0.29 61.60 55,630.94
NMDC 4.50 1,125.00 14.90 26.87 -44.55% 151.85 89.47 69.73% 13.38 7.08 11.46 NE 0.34 11.11 4.65 6.40 3.96 22.13 330.93
TABREED 1.94 6,735.10 108.87 100.37 8.46% 345.35 325.65 6.05% 1.22 20.21 18.66 3.92 1.59 3.09 (3.48) 2.22 0.91 78.58 4,718.36
Sector Average 16,728.41 (130.77) (1,683.69) 92.23% (2,854.42) 651.07 -538.42% - NM NM NM 1.19 2.12 - - - - -
Sector Median 36.61% 37.89% - 11.39 13.23 12.88 1.12 6.00 (1.13) - - 157.51 -
Equity Research The Market Monitor 9 January 2017 Page 5
Consumer SectorConsumer SectorConsumer Sector
Company
(Market Code)
Latest Market Price
Market Cap (AEDmn)
KEY FUNDAMENTALS KEY PRICE MULTIPLES PRICE PERFORMANCE AND LIQUIDITY
3Q16 3Q15 YoY
Change FY15 FY14 YoY
Change
Book Value per
Share
Historic PE
Trailing PE
Forward PE
Price to Book
Dividend Yield
YTD Price Change 52w High 52w Low
Distance to 52w
Low :(%K)
Ave. 90d Volume
Turnover (‘000)
AGTHIA 6.73 4,038.00 54.89 54.21 1.24% 231.31 193.33 19.65% 2.74 18.42 16.00 15.63 2.45 1.86 (2.82) 7.90 5.36 53.94 354.40
ASMAK 2.47 1,259.70 7.44 (1.13) Recovery 54.29 46.63 16.43% 1.03 17.85 <=0 NE 2.40 ND 27.89 2.43 0.77 102.40 890.64
DRC 20.90 1,881.00 35.24 41.87 -15.82% 148.74 140.00 6.24% 10.13 14.04 14.75 NE 2.06 3.35 (9.91) 23.20 15.10 71.60 0.00
DRIVE 8.05 722.78 27.54 24.69 11.55% 97.56 62.52 56.06% 6.04 7.41 6.33 NE 1.33 3.73 76.92 8.05 4.55 100.00 0.00
ERC 4.41 132.30 0.67 2.47 -72.90% 4.21 1.00 319.76% 1.66 31.46 26.70 NE 2.66 1.13 0.00 4.41 4.41 NM 0.00
FOODCO 4.60 460.00 3.34 (11.99) Recovery 55.31 42.48 30.20% 4.66 8.32 7.26 NE 0.99 3.26 15.00 4.60 3.55 100.00 0.00
GULFA NHP NM 0.67 1.00 -33.68% 1.05 6.41 -83.67% 1.26 >50 >50 NE NM ND 0.11 2.92 2.92 NM 0.00
RAPCO 3.45 298.08 (0.12) 0.31 Loss 22.45 21.32 5.28% 5.10 13.28 15.47 NE 0.68 2.90 39.11 3.45 1.89 100.00 0.00
UFC 5.15 155.79 3.68 4.39 -16.28% 27.78 16.13 72.20% 7.55 5.61 6.25 NE 0.68 1.75 (10.08) 6.58 5.15 0.00 0.00
UNIKAI NHP NM 3.71 4.42 -16.10% 13.47 (66.10) Recovery 1.35 20.28 >50 NE NM ND (0.55) 10.00 7.86 NM 0.00
Sector Average 8,947.65 137.06 120.26 13.97% 656.16 463.72 41.50% - 13.64 14.68 34.63 1.83 2.16 - - - - -
Sector Median -20.29% 15.30% - 15.18 13.25 15.63 1.66 2.57 13.57 - - 75.42
Equity Research The Market Monitor 9 January 2017 Page 6
Finance and Investments SectorFinance and Investments SectorFinance and Investments Sector
Company
(Market Code)
Latest Market Price
Market Cap (AEDmn)
KEY FUNDAMENTALS KEY PRICE MULTIPLES PRICE PERFORMANCE AND LIQUIDITY
3Q16 3Q15 YoY
Change FY15 FY14 YoY
Change
Book Value per
Share
Historic PE
Trailing PE
Forward PE
Price to Book
Dividend Yield
YTD Price Change 52w High 52w Low
Distance to 52w
Low :(%K)
Ave. 90d Volume
Turnover (‘000)
AMLAK 1.36 2,040.00 5.68 55.46 -89.76% 134.85 58.86 129.11% 1.09 14.02 12.79 48.80 1.25 ND 4.76 1.79 1.04 42.67 7,500.92
DFM 1.38 11,040.00 35.37 45.38 -22.06% 260.98 759.31 -65.63% 0.98 38.32 >50 46.91 1.41 3.62 5.60 1.59 0.98 65.57 16,615.57
DIC 2.61 10,569.31 334.40 246.07 35.90% 1,109.84 1,341.41 -17.26% 2.72 8.68 8.79 9.61 0.96 4.60 6.72 2.57 1.48 103.67 6,524.92
EIBANK NHP NM 12.65 1.68 655.16% 28.13 46.23 -39.15% 519.50 10.36 >50 NE NM ND 0.00 0.00 0.00 NM 0.00
FH 1.70 527.08 2.77 0.79 249.56% 68.57 80.68 -15.01% 1.91 7.82 23.21 NE 0.89 5.88 0.00 2.35 1.70 0.00 84.94
GFH 1.98 4,468.04 (27.86) 2.80 Loss (20.29) 55.08 Loss 1.15 <=0 <=0 NE 1.73 ND (2.46) 2.04 0.45 96.24 81,979.50
GGICO 0.52 936.87 (45.21) (50.96) 11.28% 14.35 94.30 -84.78% 0.55 >50 <=0 NE 0.95 ND 2.36 0.73 0.42 33.77 5,969.35
KICO 1.18 118.00 3.28 1.91 71.55% 27.47 53.59 -48.74% 3.10 4.30 3.67 NE 0.38 12.71 (46.85) 2.22 1.15 2.80 0.00
SHUAA 1.43 1,522.95 (35.27) (28.58) -23.42% (190.26) 25.85 Loss 0.79 <=0 <=0 >50 1.80 ND (3.38) 1.82 0.31 74.26 12,830.22
WAHA 1.94 3,772.36 81.83 117.91 -30.60% 587.84 1,732.70 -66.07% 2.10 6.38 7.42 4.61 0.92 10.31 (0.52) 2.50 1.65 34.12 1,167.44
Sector Average 34,994.60 367.63 392.46 -6.32% 2,021.48 4,248.02 -52.41% - 17.31 19.15 15.86 1.16 3.77 - - - - -
Sector Median -6.73% -25.94% - 12.84 11.18 27.48 1.14 7.42 (3.38) - - 50.34 -
Equity Research The Market Monitor 9 January 2017 Page 7
Health and Pharmaceutical SectorHealth and Pharmaceutical SectorHealth and Pharmaceutical Sector
Company
(Market Code)
Latest Market Price
Market Cap (AEDmn)
KEY FUNDAMENTALS KEY PRICE MULTIPLES PRICE PERFORMANCE AND LIQUIDITY
3Q16 3Q15 YoY
Change FY15 FY14 YoY
Change
Book Value per
Share
Historic PE
Trailing PE
Forward PE
Price to Book
Dividend Yield
YTD Price Change 52w High 52w Low
Distance to 52w
Low :(%K)
Ave. 90d Volume
Turnover (‘000)
AMANAT 1.00 2,500.00 12.95 5.50 135.35% 50.58 (174.00) Recovery 1.02 48.48 31.16 11.90 0.98 1.50 0.41 1.06 0.74 81.25 36,796.10
GMPC 3.19 2,229.54 14.09 21.47 -34.40% 153.79 135.53 13.47% 1.81 14.50 13.87 NE 1.77 2.35 27.60 3.19 2.15 100.00 0.00
JULPHAR 2.28 2,489.76 24.96 30.64 -18.55% 230.42 235.30 -2.07% 2.04 10.28 10.23 12.20 1.12 4.63 5.07 2.49 1.98 58.78 197.02
Sector Average 7,219.30 51.99 57.62 -9.76% 434.79 196.83 120.90% - 16.60 14.90 17.44 1.19 2.91 - - - - -
Sector Median 27.47% 5.70% - 24.42 18.42 - 1.29 2.83 11.03 - - 80.01 -
Equity Research The Market Monitor 9 January 2017 Page 8
Insurance SectorInsurance SectorInsurance Sector Company
(Market Code)
Latest Market Price
Market Cap (AEDmn)
KEY FUNDAMENTALS KEY PRICE MULTIPLES PRICE PERFORMANCE AND LIQUIDITY
3Q16 3Q15 YoY
Change FY15 FY14 YoY
Change
Book Value per
Share
Historic PE
Trailing PE
Forward PE
Price to Book
Dividend Yield
YTD Price Change 52w High 52w Low
Distance to 52w
Low :(%K)
Ave. 90d Volume
Turnover (‘000)
ALAIN 55.00 825.00 10.99 0.99 1015.43% 20.66 64.95 -68.20% 76.77 39.94 25.53 NE 0.72 3.64 0.00 55.00 55.00 NM 0.00
ABNIC 2.35 587.50 13.63 9.59 42.11% 34.14 38.20 -10.63% 2.53 17.21 13.69 NE 0.93 4.26 (6.00) 3.24 2.10 21.93 0.00
ADNIC 2.58 967.50 36.11 (32.36) Recovery (334.52) (280.43) -19.29% 4.45 <=0 6.90 NE 0.58 ND (10.42) 3.00 1.60 70.00 0.00
AFNIC NHP NM (1.53) 0.55 Loss 14.34 18.15 -20.99% 210.04 20.93 >50 NE NM ND 0.00 0.00 0.00 NM 0.00
AKIC 0.50 210.00 (18.28) 6.83 Loss (59.67) (68.44) 12.82% 0.72 <=0 <=0 NE 0.70 ND 41.67 0.57 0.26 77.42 244.24
ALLIANCE NHP NM 12.00 9.95 20.57% 44.00 48.13 -8.58% 447.40 8.72 >50 NE NM ND 0.00 0.00 0.00 NM 0.00
AMAN 1.14 257.36 0.85 (1.41) Recovery 1.84 2.24 -17.78% 0.60 >50 <=0 NE 1.90 ND 73.02 1.09 0.41 107.31 1,329.52
ORIENT NHP NM 59.66 48.65 22.64% 263.89 252.11 4.67% 517.35 NM <=0 NE <=0 ND 0.00 0.00 0.00 NM 0.00
ASCANA 2.30 354.20 (0.25) 2.79 Loss 13.46 31.07 -56.67% 2.03 26.32 38.33 NE 1.13 3.04 6.98 2.30 2.00 100.00 0.00
ASNIC NHP NM (3.17) (44.75) 92.92% (104.58) 55.68 Loss 1.99 <=0 >50 NE NM ND 0.00 4.55 4.55 NM 0.00
AWNIC 11.10 2,297.70 (2.83) (16.61) 82.93% 18.16 109.05 -83.35% 3.93 >50 >50 NE 2.83 0.68 48.59 11.10 4.02 100.00 0.00
DHAFRA 5.00 500.00 (8.18) (35.24) 76.79% (61.43) 42.38 Loss 3.12 <=0 <=0 NE 1.60 ND 13.64 6.25 4.30 35.90 0.00
DIN 2.90 290.00 5.70 2.38 138.88% 35.09 30.05 16.77% 4.93 8.26 7.19 NE 0.59 8.62 16.00 3.20 2.16 71.15 0.00
DNIR 2.50 288.75 12.09 9.65 25.38% 40.81 35.77 14.09% 3.95 7.08 6.82 NE 0.63 8.00 11.11 2.60 2.24 72.22 0.00
DARTAKAFUL 1.36 136.00 2.76 (2.25) Recovery (7.14) 4.60 Loss 0.52 <=0 <=0 NE 2.61 ND 3.13 1.61 0.37 79.84 4,037.62
EIC 5.20 780.00 3.40 (6.53) Recovery 89.63 103.00 -12.98% 6.73 8.70 9.78 NE 0.77 8.55 (14.11) 6.70 5.20 0.00 0.00
GCIC 0.76 152.00 (6.45) (4.29) -50.35% (15.44) 0.04 Loss 0.73 <=0 <=0 NE 1.05 ND 4.29 1.28 0.51 32.47 0.00
IH 0.74 88.80 (4.09) (4.79) 14.63% (14.30) (20.86) 31.46% 0.81 <=0 <=0 NE 0.91 ND (8.64) 0.81 0.73 12.50 0.00
METHAQ 1.00 150.00 (1.72) 0.71 Loss (3.52) (2.10) -67.39% 0.52 <=0 <=0 NE 1.91 ND 8.89 1.06 0.44 90.32 6,372.40
NGI 1.85 277.42 9.87 5.82 69.64% 23.50 79.63 -70.48% 2.94 11.80 12.46 NE 0.63 5.41 (45.91) 3.61 1.72 6.88 0.00
OIC 1.32 609.67 24.22 27.46 -11.81% 80.94 224.85 -64.00% 4.09 7.99 11.65 NE 0.32 7.58 (28.21) 1.95 1.30 3.08 0.00
RAKNIC NHP NM 4.20 11.35 -63.02% 23.10 37.88 -39.01% 2.13 19.52 >50 NE NM ND 0.00 0.00 0.00 NM 0.00
SALAMA 0.64 769.56 (73.59) (49.32) -49.20% (212.36) 38.80 Loss 0.59 <=0 <=0 <=0 1.08 ND 18.04 0.68 0.30 88.39 14,274.40
SICO 3.85 529.38 6.72 (6.95) Recovery (13.21) 5.70 Loss 1.41 <=0 <=0 NE 2.72 1.30 0.00 3.85 3.85 NM 0.00
TAKAFUL-EM 2.40 360.00 5.17 0.02 26542.26% 10.21 7.18 42.25% 0.92 37.30 17.88 NE 2.61 2.22 (5.51) 3.59 1.21 50.00 510.78
TKFL 4.25 425.00 14.73 11.56 27.40% 41.59 35.80 16.17% 2.71 10.22 7.42 NE 1.57 3.76 0.00 5.30 3.80 30.00 0.00
UIC NHP NM (3.34) (18.56) 81.98% (64.83) (51.80) -25.15% <=0 <=0 >50 NE NM ND 0.00 0.00 0.00 NM 0.00
UNION 1.86 615.55 (2.98) 4.45 Loss (4.73) 44.10 Loss 0.97 <=0 <=0 NE 1.92 ND 53.72 1.86 1.08 100.00 0.00
WATANIA 0.80 120.00 0.31 (13.54) Recovery (41.39) (9.80) -322.59% 0.52 <=0 <=0 NE 1.55 ND (1.23) 1.00 0.80 0.00 0.00
Sector Average 11,591.37 95.99 (83.86) 214.46% (181.76) 875.94 -120.75% - NM 34.20 NM 0.74 3.68 - - - - -
Sector Median 32.59% -20.30% - 17.23 14.33 #DIV/0! 1.36 4.75 6.17 - - 54.73 -
Equity Research The Market Monitor 9 January 2017 Page 9
Oil and Energy SectorOil and Energy SectorOil and Energy Sector
Company
(Market Code)
Latest Market Price
Market Cap (AEDmn)
KEY FUNDAMENTALS KEY PRICE MULTIPLES PRICE PERFORMANCE AND LIQUIDITY
3Q16 3Q15 YoY
Change FY15 FY14 YoY
Change
Book Value per
Share
Historic PE
Trailing PE
Forward PE
Price to Book
Dividend Yield
YTD Price Change 52w High 52w Low
Distance to 52w
Low :(%K)
Ave. 90d Volume
Turnover (‘000)
DANA 0.54 3,763.05 47.00 (28.00) Recovery 535.00 457.00 17.07% 1.52 7.03 6.39 21.34 0.35 ND (1.85) 0.61 0.37 70.83 6,913.79
TAQA 0.51 3,093.66 (292.00) (416.00) 29.81% (1,800.00) (3,010.00) 40.20% 0.15 <=0 <=0 <=0 3.48 ND (7.55) 0.68 0.37 45.16 2,154.14
Sector Average 6,856.71 (245.00) (444.00) 44.82% (1,265.00) (2,553.00) 50.45% - NM NM NM 0.60 0.00 - - - - -
Sector Median 29.81% 28.63% - 7.03 6.39 21.34 1.92 - (4.70) - - 58.00 -
Equity Research The Market Monitor 9 January 2017 Page 10
Property, Leisure and Hospitality SectorsProperty, Leisure and Hospitality SectorsProperty, Leisure and Hospitality Sectors
Company
(Market Code)
Latest Market Price
Market Cap (AEDmn)
KEY FUNDAMENTALS KEY PRICE MULTIPLES PRICE PERFORMANCE AND LIQUIDITY
3Q16 3Q15 YoY
Change FY15 FY14 YoY
Change
Book Value per
Share
Historic PE
Trailing PE
Forward PE
Price to Book
Dividend Yield
YTD Price Change 52w High 52w Low
Distance to 52w
Low :(%K)
Ave. 90d Volume
Turnover (‘000)
ALDAR 2.68 21,071.85 747.84 634.33 17.89% 2,536.79 2,235.14 13.50% 2.69 8.15 7.69 8.65 1.00 3.73 1.52 2.99 1.81 73.73 7,268.66
DAMAC 2.68 16,214.00 901.96 1,021.94 -11.74% 4,514.83 3,234.70 39.57% 1.94 3.39 3.93 1.16 1.38 5.04 6.32 2.88 1.91 79.38 4,380.26
DEYAAR 0.68 3,917.48 56.50 48.87 15.61% 291.35 281.85 3.37% 0.84 12.26 13.91 49.59 0.81 ND 6.47 0.71 0.39 90.82 20,270.37
EMAAR 7.51 53,769.64 1,145.16 843.41 35.78% 4,082.17 3,293.21 23.96% 5.78 12.51 11.55 11.72 1.30 2.00 3.65 7.79 4.22 92.16 7,841.49
ESHRAQ 1.05 2,441.25 (0.85) (2.71) 68.66% 9.99 (529.40) Recovery 0.85 >50 >50 <=0 1.24 ND 0.00 1.21 0.41 80.00 50,746.39
MANAZEL 0.58 1,450.00 NA NA NM 195.48 137.12 42.55% 1.05 7.42 6.40 NE 0.55 ND 0.00 0.68 0.42 61.54 17,490.94
RAKPROP 0.68 1,360.00 40.45 4.80 743.30% 160.10 155.74 2.79% 1.87 8.25 6.42 12.99 0.36 7.35 0.00 0.71 0.42 89.66 7,162.97
UPP 1.18 4,686.72 32.31 110.66 -70.80% 434.61 858.57 -49.38% 1.38 10.33 11.09 >50 0.86 ND 0.00 1.19 0.51 98.52 47,289.53
Sector Average 104,910.94 2,923.37 2,661.29 9.85% 12,225.31
9,666.93 26.47% - 8.58 8.28 4.95 1.13 2.73 - - - - -
Sector Median 9.23% 10.91% - 8.90 8.71 16.82 0.94 4.53 2.25 - - 83.23 -
Equity Research The Market Monitor 9 January 2017 Page 11
Company
(Market Code)
Latest Market Price
Market Cap (AEDmn)
KEY FUNDAMENTALS KEY PRICE MULTIPLES PRICE PERFORMANCE AND LIQUIDITY
3Q16 3Q15 YoY
Change FY15 FY14 YoY
Change
Book Value per
Share
Historic PE
Trailing PE
Forward PE
Price to Book
Dividend Yield
YTD Price Change 52w High 52w Low
Distance to 52w
Low :(%K)
Ave. 90d Volume
Turnover (‘000)
ADNH 3.14 3,140.00 16.17 10.48 54.32% 236.95 200.46 18.20% 8.55 13.38 13.59 13.06 0.37 2.23 (0.95) 3.85 2.46 48.92 0.00
ALFIRDOUS NHP NM NA NA NM (10.26) NA Loss 1.00 <=0 >50 NE NM ND 0.00 0.00 0.00 NM 0.00
DUBAIPARKS 1.34 10,719.88 (103.58) (29.65) -249.41% (110.93) (21.30) -420.80% 0.95 <=0 <=0 <=0 1.41 ND 2.31 1.77 0.95 47.77 27,945.05
EMAARMALLS 2.70 35,138.61 435.80 376.36 15.79% 1,656.30 1,350.59 22.64% 1.19 20.59 18.92 18.12 2.26 3.70 0.76 3.10 2.02 62.96 2,875.52
MARKA 1.60 800.00 (12.44) (14.72) 15.50% (41.71) (15.68) -165.93% 0.79 <=0 <=0 NE 2.04 ND 0.00 1.62 1.00 96.77 3,531.05
NCTH 2.80 1,587.60 49.47 26.41 87.31% 165.52 158.70 4.30% 1.32 9.59 8.10 NE 2.13 5.09 (22.63) 5.00 2.80 0.00 0.00
Sector Average 51,386.09 385.42 368.89 4.48% 1,895.87 1,672.77 13.34% - 27.10 26.04 NM 1.54 2.83 - - - - -
Sector Median 43.23% -30.20% - 14.52 13.54 15.59 1.64 3.67 (3.42) - - 51.28 -
Telecommunications SectorTelecommunications SectorTelecommunications Sector
Company
(Market Code)
Latest Market Price
Market Cap (AEDmn)
KEY FUNDAMENTALS KEY PRICE MULTIPLES PRICE PERFORMANCE AND LIQUIDITY
3Q16 3Q15 YoY
Change FY15 FY14 YoY
Change
Book Value per
Share
Historic PE
Trailing PE
Forward PE
Price to Book
Dividend Yield
YTD Price Change 52w High 52w Low
Distance to 52w
Low :(%K)
Ave. 90d Volume
Turnover (‘000)
DU 6.27 28,662.86 457.24 489.84 -6.66% 1,941.35 2,109.35 -7.96% 1.68 14.60 15.59 15.87 3.74 6.86 (0.48) 6.99 4.97 64.36 472.35
ETISALAT 18.80 163,499.84 1,870.10 1,947.49 -3.97% 8,262.76 8,892.02 -7.08% 4.90 19.79 18.60 18.54 3.83 4.26 0.00 20.20 15.50 70.21 1,292.48
Sector Average 192,162.70 2,327.33 2,437.33 -4.51% 10,204.11
11,001.37
-7.25% - 18.83 18.08 18.09 3.82 4.64 - - - - -
Sector Median -5.31% -7.52% - 17.19 17.09 17.20 3.79 5.56 (0.24) - - - -
Equity Research The Market Monitor 9 January 2017 Page 12
Transport and Logistics SectorTransport and Logistics SectorTransport and Logistics Sector
Company
(Market Code)
Latest Market Price
Market Cap (AEDmn)
KEY FUNDAMENTALS KEY PRICE MULTIPLES PRICE PERFORMANCE AND LIQUIDITY
3Q16 3Q15 YoY
Change FY15 FY14 YoY
Change
Book Value per
Share
Historic PE
Trailing PE
Forward PE
Price to Book
Dividend Yield
YTD Price Change 52w High 52w Low
Distance to 52w
Low :(%K)
Ave. 90d Volume
Turnover (‘000)
ADAVIATION 2.95 1,312.12 63.18 72.57 -12.94% 267.11 213.48 25.12% 6.18 5.00 4.90 NE 0.48 5.08 0.00 3.20 2.70 50.00 0.00
AIRARABIA 1.36 6,346.71 291.53 231.01 26.20% 511.25 552.91 -7.53% 1.14 12.14 10.85 10.77 1.19 6.62 0.75 1.49 1.09 67.50 7,916.40
ARMX 4.10 6,002.81 67.75 74.57 -9.14% 311.68 381.19 -18.23% 1.52 19.12 17.24 15.84 2.70 3.66 (0.74) 4.31 2.55 88.07 1,751.10
DPW 67.95 56,398.92 NA NA NM 3,242.99 2,573.20 26.03% 37.92 4.48 10.66 14.97 1.79 ND 7.82 19.74 15.53 1,245.14 283.40
GULFNAV 1.60 882.67 116.81 5.63 1973.36% 20.17 10.03 101.16% 0.80 44.03 6.51 NE 1.99 ND (1.86) 1.71 0.54 90.58 9,655.42
Sector Average 70,943.23 539.27 383.78 40.51% 4,353.21 3,730.81 16.68% - 16.30 10.70 14.98 1.68 1.00 - - - - -
Sector Median 1.37% 25.31% - 16.95 10.03 13.86 1.63 5.12 1.20 - - 308.26 -
Equity Research The Market Monitor 9 January 2017 Page 13
Definitions Definitions Definitions Notes to the ReportNotes to the ReportNotes to the Report Definitions
Historic PE Close 2015/FY15 EPS
Trailing PE Close/Trailing EPS
Forward PE Close/Forward EPS
PB = Close/BVPS
Dividend Yield = Cash Dividend per Share/Close
% K = (Close-Low)/(High-Low), for the 52 weeks
Table Legends
SP Stale Price (not trading for > 6momths)
NHP No Historical Price
NA Not Available, as of this writing
NM Not Meaningful
ND No Cash Dividends
NE No Estimate
Earnings Estimates
Estimates are consensus taken from Bloomberg and Thomson Reuters
Number of Companies in this Issue
Banks 19 H&P 3
Construction 12 Insurance 29
Contracting 6 L&H 6
Consumers 10 Property 8
Energy 2 Telecom 2
F&I 9 T&L 5
UAE AGGREGGATE 111
Notes to the Report
Price used for valuation ratios:
As of January 9, 2017
Other Market Data and Multiples
Prices and key valuation ratios for the regional markets were provided by Thomson Reuters, and may differ from RAMZ internal calculations.
Earnings data: Earnings Attributable to Shareholders are earnings after minority interests. Bank Earnings used to calculate EPS are adjusted for any interest payments relating to Tier I notes.
Book Value data: Book Value Attributable to Shareholders, adjusted for hybrid instruments such as convertible bonds, Tier I notes.
Sector Average (1) PE Average is calculated for values >0 and <50.
(2) Average Sector Growth is calculated for values between –100% and 200%.
(3) Forward PE averages and aggregates are not calculated considering that not all banks have estimates .
For NASDAQ Dubai Shares
For DPW and DEPA LTD the latest close, earnings data and price multiples are calculated based on their AED equivalents.
Data sources: Abu Dhabi Stock Exchange (ADX), Dubai Financial Market (DFM), UAE Central Bank, Capital and Commodities Authority (SCA), Thomson Reuters, Bloomberg
Contacts
Talal Touqan, CFA Head of Research [email protected]
Majd Dola [email protected]
Maria Elena Ponceca [email protected]
Hakam Tarabein, CFA [email protected]
22F Sky Tower | Al Reem Island | Abu Dhabi | United Arab Emirates
Phone: +971 2 6262626 | Fax: +971 2 6262444 | E-mail: [email protected] | Website: www.alramz.ae
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