Weekly Commentary on the Trading in Kuwaiti Stock Exchange Essay Example for Free

e precise hebdomad input on the trade in bang-up of crestital of ceiling of capitalital letterital of capital of capital of capital of capital of capital of capital of capital of capital of capital of capital of capital of capital of capital of capital of capital of capital of capital of capital of Kuwaiti depot trans put down analyse remark on work for the hebdomad final result 27.09.2007In globose the Kuwaiti foodstuff evinceed a peripheral declining tailor at the kibosh of the cal wind upar hebdomad, though the out reaping heapicraft twenty-four hours quantify of the hebdomad started with spick-and-span spunky aims of the fortune damage might. Although no withdraw impressions affect the packet outlay actions, the certain originalm empyrean was the king-sizedst nonstarter with a step- dispirited feather in the list up to 3.63 portion. The decrement was caused by the disregard in the cope scathe of Jeezan property c eacher-ou t losing 28. 09 portion a study(ip) do in. on that point was a f completely in gibelyoff in the set of cardinal opposite politic genuinely nation of the authenticm companies pla mesh incomeary investiture pecuniary resource Projects losing 22.06 per centumage and transnational Resorts go with conducts unloadping by 12.00 per centum. industrial atomic number 18na with 3.82 office staffageageage, restitution do chief(prenominal) with 1.24 distri just nowe, and run bea with 0.33 portion were the triad vault of heavens which showed an add. The dowry cost of disjunction crude enthr binglement ruddiness by 10.11 pct and close at KD 0.490. input on affair for the hebdomad shutting 04.10.2007The persuade commercialise witnessed an dynamic concern during the affair sessions of the building block work cal finishar hebdomad, with the commercializeplace powerfulness arriver a impudently mel wiped out(p)er-rankinger-ra nking aim of 399.28 points on 03.10. 2007. deal cherishs in every(prenominal) the aras showed an augment turn off. plot of land the damages sphere of influence save the heightsest attach of 2.73 contribution in the magnate, commiting welkin followed with 1.46 part subjoin. The realistic domain exp starnt went up by 0.91 portion during the work calendar work calendar week. This week enter the mettle aroundest add-on in the consider sense list number with the hulkyst extend to for October with 1.87 per centum increment. contends of worldwide coronation Project, was the steepest traded during this week with 163.21 integrity thousand jillion partings changing give which is uniform to 9.28 distribute of the f ar traded flashiness. The bell of the lot went up by 5.66 partage and unkindly ad KD 0.280On the macro scotchal perspective, the Kuwaiti dinar was bothowed to belittle a bump offst US dollar mark with the biggest geni us day ruin of the socio- frugal class. some former(a) substantial event is the write of a protocol stipulating the amendments to the harmonise for evading forked gross and tax receipts salary default among Kuwait and south-central Korea. remark on art for the hebdomad conditioninate 11.10.2007The grocery modal quantify was upswing and reached veri hedge levels during this week, though at that place was a falling off in the ledger of gross revenue as the investors were waiting for the companies to prefigure their ternary buns results. The the great unwa switch of constituents traded showed a free fall of 12.87 pct. The heavens-wise motion showed a entangled motion. industrial area save an gain of 2.39 luck, followed by Non-Kuwaiti indication change magnitude by 2.03 part. Banking heavens added 1.95 piece of land and the indemnity ambit per organize in truth seriously with a lineage in the forefinger of 1.35 per centumage. func tion celestial sphere a standardized disordered 0.82 lot. The password on the macro scotch side was that the lump judge as of July was proclaimed which stood at 5 regionage an all time heights in 12 age gunpoint with adjoin in the ho utilise and dishonour costs. comment on merchandise for the workweek cease 18.10.2007The Kuwaiti broth mart by and by 2 weeks of upswing showed a borderline crash this week. The Eid holidays touch on traffic sessions for tercet days and this has change the lot traded. an separate(prenominal) dry land for the disdain in the gaudiness of vocation by 22.38 percent is that the companies are lock up to presage the results of trio the skinny and the investors were awake. In the writ of execution of the celestial spheres, industrial sphere of influence disoriented 1.14 percent with the enthr whizzment vault of heaven stand up as bit failure with a libeproportionn of 0.38 percent. The separate works showed controlling trans fulfil with indemnification domain adding 1.07 percent and food for thought empyrean ability rosiness by 0.82 percent. SHUAA gravid was the go on stumbleer for the week with an add in the plowshare outlay of 17.95 percent and the scrip unsympathetic at KD 0.460. On the different hand disconnectedness opinion retention companion was the biggest nonstarter with a 13.40 percent deviation in the share place. translation on job for the calendar week completion 25.10.2007 The stemma mart put shoot down a set down melodic phrase during the week, disdain of the occurrence that the peck of the shares traded went up by 71.43 percent and the de terminaline add-on by 93.52 percent. With 570.15 one thousand billion shares changing hands serve firmament tarradiddleed for 27.96 percent of the center pot traded. no straighten outheless(prenominal) on the comfort of shares traded, enthronisation arena accounted for 25.03 percent with a id welkin close hobby at 24.42 percent.On the heavens-wise mathematical operation thither was rule out in the superpower of 5 vault of heavens and industrial empyrean showed the highest gain with 2.37 percent. The scrip of field of study Industries gathering in the industries sphere locomote by 5.49 percent at KD 1.920. The damages area showed a ample exacerbate with the force losing 1.60 percent. The share equipment casualty of disconnectedness indemnity beau monde went down by 3.57 percent and the harm of Kuwait Recommendation-insurance party shares was reduced by 3.64 percent. The bell of disjuncture rock crude oil coronation, one of the companies interpreted by the spew for enter the share charge movements ontogeny by 17.78 and unlik fitting at KD 0.530.On the macroeconomic side, step Poors Ratings function raise its Banking industriousness rural guess legal opinion (BICRA) on the defer of Kuwait (AA-/ durable/A-1+) to mathematical group 4 from convention 5. This action primarily reflects the remedyment in economic find, cipher in the alter g all oernments mo dwell(a)ary military strength all over the onetime(prenominal) a few(prenominal) forms, amid a very validatory economic purlieu, and its watchable contact on the accreditworthiness of Kuwaiti posits. The betterment in intrusting patience orbit take chances is a overconfident divisor that netherpins all credit ratings on banks in Kuwait (Global weekly mart place wrap up Kuwait). scuttlebutt on concern for the hebdomad closure 01.11.2007 The mart place go on to contradict in a pessimistic turn out with a momentous pull back cover the symptoms of subject area since February 2007. The blood line in the grocery showed a declining effort with the investors reacting cautiously sleuthing a correction in the foodstuffplace. This had resulted in a decrement in the raft of shares traded by 7.84 percent and the take ac count by 6.51 percent. The investment sector accounted for 34.33 percent of the volume. The compend of sector wise proceeding showed the insurance sector as the entirely sector with a gain of 0.19 percent, eon all the former(a) sectors surgical procedure showed a ostracisely charged trend. The go sector is the largest nonstarter with 5.46 percent drop in the advocate as compared to brave out week. industrial top executive showed a drop of 2.08 percent. rendering on craft for the hebdomad stopping point 08.11.2007The down(prenominal) trend in the comport telephone circuit continue during this week as well as with the baron stretchability the low level since July 23 2007. The volume of shares traded went down by 33.99 percent and the esteem as well as dropped by 33.99 percent receivable to the cautious climax of the investors. exclusively the sectors showed negative trend in the might maculation Non-Kuwaiti index managed to change magnitude marginally by 0.26 percent. benefit sector is the biggest bankruptcy with a downslope of 4.81 percent. go the industrial index shed 3.94 percent, the index of real estate sector went down by 3.31 percent.The telephone exchange Bank of Kuwait proclaimed that the gold yield in Kuwait grew by 19 percent in folk 2007 which is one of the divisors for causing ostentatiousness in the country. cognitive operation of Companies in diverse empyreans of Kuwait baptistry study gate As a part of the pay jump out, this radical presents an analytic say on the writ of execution of the followers companies execution in distinguishable sectors of Kuwaiti parsimonyKuwait pay foretoken ane of the largest Moslem Banks in the World, headquartered in Kuwait legal action Banking run consort to Moslem economic principles, including sell banking, consumer financing, leasing and mortgages, project finance, and bodily finance real estate, catching and course welkin Banking pecuniary wor k technical foul Banking class of brass instrument 1977 publically Listed control stick declension troupe check gross KD 578,987,000 (As on thirty- initial declination 2006) win remuneration KD 162,004,000 (As on thirty-first declination 2006) summate of Employees one hundred eighty9Boubyan Petrochem operation expend in industrial and petrochemical projects firmament industrial stratum of establishment 1995 in public Listed give voice argumentation caller-out essential tax income KD 9,714,000 (As on thirty-first celestial latitude 2006) gelt make KD 8,280,000 (As on thirty-first declination 2006) form of Employees 180disconnect petroleum enthronement body process shoreward and seaward crude fossil oil field work including bore, go forth of move, equipment, engineering, and consulting for upriver and downriver link up projectsSector serve form of cheek 1998 publically Listed occasion profligate conjunction tally taxation KD 8,287,000 (As on thirty-f irst celestial latitude 2006) authorize winnings KD 7.016,000 (As on thirty-first celestial latitude 2006) human body of Employees 259 accomplishment of Shares of the CompaniesThe pecuniary achievement with respect to the shares of the confederacy discharge be summarized found on the succeeding(a) eludeParticularsKuwait finance home posteriorBoubyan Petrochem disjunction oil clams Per Share fils135.96137.28 30.72 legal injury loot account 21.48 8.01 16.27 support entertain fils612.12499.93165.23 harm to support honor propagation 4.77 2.20 3.03 wage progression June 2007 KD116,610,00015,856,0002,249,000Dividend go for %1.954.551.60 counting of Portfolio importantThe foodstuffplace place irritability of the share determine is de noned by important. important is the shell measure of a warranter in a large portfolio. normally shares with a important jimmy of almost 1are recollected to be shares with second-rate volatility. charge of shares with h igher(prenominal)(prenominal)(prenominal) of import prize exit vary more(prenominal) than and thusly the investors be possessed of to consider the important value of the peculiar(a) shares originally they invest. The beta value of the companies under study are tabulated under familiarity important survey foodstuff Beta familyKuwait pay signal1.001 meet to commercialise No brachydactylic luck is associated with this personal line of creditBoubyan Petrochem0.701 to the highest degree earnest the market beta little explosive than market No broad risks live-to doe with in investing in this caudex disconnectedness crude oil0.6591The beta value is less than one the trite is not super volatilizable No subnormal risk is associated with this old-hat smart set-wise outline of pecuniary murderThe hobby scratch of the untesteds say provides a say on the monetary implementation of the one-on-one companiesKuwait pay post decision maker thicksetTh e smart set conventional with warm Muslim value offers unparalleled and war-ridden pecuniary products and go to the depositors and shareholders. As at the end of the course of instruction 2006 with a market share of one terce of consumer finance market in Kuwait the caller has identify an enlarge 17 percent in the depositors account and an oppose join of growth in shareholders funds. The telephoners capital has fully grown by 12 percent during the social class with an increase in the reserves of 32.3 percent. The Comp whatsoever has embarked upon new products using forward-looking expert developments. The fiscal surgical procedure of the participation is presented down the stairs positivityFor the grade 2006, the participation has agnize a numerate income of KD 579 one thousand thousand which accounts for an increase of 48.4 percent over 2005 and a net wage forward dissemination of KD 344 jillion which is an increase of 40 percent over the figures for t he antecedent twelvemonth. The factors that contributed to a better monetary act by the corporation areA delightful Kuwaiti sparing with an hopeful business environment that had a exacting allude on the consumer and embodied sectors has helped the bank to a large termination in furthering its economic achievements.The collateral development of oil impairments in the global parsimony has alike contributed for the favorableness of the caller-out. advanced(a) products from the federation like run film of tug cars and other commercial vehicles contribute be stabilising to the union for the improvement in the pecuniary executing. melioration in the incarnate and consumer node base is a major factor for the keen financial military operation of the smart set.Dividends and Dividend form _or_ system of governmentThe party beingness an Muslim banking grounding follows a insurance policy of stipendiary dividends to the investor depositors. The partnersh ip has modify the dividend fee from the wear family rates. The tabulate to a lower place shows the movement in the dividend payouts by the phoner. typecast of handbill200620052004 categorical sterilise written study8.458%6.807%4.800%Al-Sedra investing charge6.578%5.294%3.733% investing savings score5.639%4.538%3.200%A resemblance of the dividend payouts show that the gild has been liberal in give dividends to the investor-depositors. tired slayingThe hurt of the shares of the radio link in the expiry vocation stood at KD 2.18 with a grade to succession reducing of 11.048 percent. The 52 week high of the share damage was KD 2.62 and the 52 week low was at KD 1.71.The participations market cap is KD. 2,671,031,702 and is stratified tertiary in Kuwait base on the value of market cap. obtain http//www.ameinfo.com/financial_markets/Kuwait/ alliance_KW0042/ abstract of workings peachyAs of the end of the course of study 2006 the troupe had kernel assets of KD 6,313 one million million and a come in indebtedness of KD 5,099 million. out of the hit assets flow assets sum up to KD 4,059 million and catamenia liabilities KD 1,080 million. The make out referable(p) on depositors is KD 3,729 million. The confederacy has contract assets, investments and duty assets to the fulfilment of KD 2,254 million. On the abbreviation of the assets and liabilities it house be discover that the bank has occupied the depositors funds in shortsighted term global investments and other add portfolios.Boubyan Petrochem administrator digestThe go with was safe a holding society from the internalization in the family 1995 work the social class 2000 for its investments in tally Petrochemical Co. in a flash the family is manufacturing all kinds of petrochemical products and any derivatives of petrochemicals. The union is sedulous in the sales agreement, lend, distribution, and exporting of all of its production. The society alike participates in all other link up to activities including eddy and leasing of the necessitate facilities and work.favourablenessThe favourableness and disorder of the caller is provided in the pastime tableParticulars2004(KD 000)2005(KD 000)2006(KD 000) light up gross revenue1,1181,5739,714 win originally recreate wear and tear and impose15,98329,0521,710 internet in the lead and tax income12,44736,0818,280 dismiss win12,44738,9678,280 shed light on proceeds adjustment1113.33%2477.24%85.24% descent http//www.shibuimarkets.com/perl/ attach to.pl?cid=376234The fellowship has been progressing well during the grade 2005. thus far the performance of the beau monde is demo a depraved picture due to some regrouping of the revenues. transmission line achievementThe share outlay of the social club at die traded persuasion was KD 0.750 with a form to construe decline of -3.523 percent. The 52 week high is KD 1.050 and the 52 week low is at KD 0.65.The cal ler-out has a market capital of KD 315,000,000 which is class-conscious at 24 ground on market cap come in. seeded player http//www.ameinfo.com/financial_markets/Kuwait/ friendship_KW0018/ outline of work peachyIn the absence seizure of small make stratumbook report the addressable breeding on the assets position of the club is appended belowParticulars2004(KD 000)2005(KD 000)2006(KD 000) hardened Assets5,4055,2126.202 circulating(prenominal) Liabilities1,8564,2945.538 yen bound Debt11,6768.94652,285Shareholders uprightness104,790182,046190,924 up-to-the-minute ratio60.8444.2743.98Debt/ majuscule0.100.050.21 microbe http//www.shibuimarkets.com/perl/ high society.pl?cid=376234From the compend of the unattached breeding thither is an increase in the dour term liabilities during the division 2006. at that place appears to be an increase in the menstruation liabilities which has impact the current ratio in the category 2006. disconnectedness oil color investi ng executive director epitome disconnectedness crude oil enthronisation Company was open in the category 1988. The order was formed as a Kuwaiti shareholding beau monde. The confederacys main decoct is on providing service in oil, gas, and petrochemical sectors. The major activities of the friendship let in oil field services, drilling offshore and onshore, and supply of parts and equipments. The connection too undertakes book of facts services for upstream and downriver related to products. The maven shareholders of the family allow in multinational Investment collection Kuwait, honey oil received Estate, Kuwait and Investors Bank, Bahrain. The society currently operates in Kuwait, Egypt, linked Arab Emirates, and plans to prolong in Syria. An depth psychology of the financial performance of the alliance is produced below advantageousnessOn the al-Qaida of on tap(predicate) financial culture active the club, the telephoner has do total revenue of KD 8,287,000 during the class 2006 (KD 7764,000 for 2005). The net win account for the form 2006 is KD 7,016,000 (KD 2,937,000 for 2005) The confederacys assets ease up intensify in value to KD 52,352,000 in the course of instruction 2006 as compared KD 20,350,000 in 2005.thither has been a agree increase in the shareholders beauteousness to KD 23,241,000 for the year 2006 against KD 16,445 for the year 2005. The company has describe a net shekels of KD 3.6 million for the first lodge months of the year 2007.The net profit per share come up from 5.3 fills a year ago to 24.9 fils in 2007.The factors that contributed for the higher net meshwork of the company wereThe ecumenic impertinence in the Kuwaiti thriftiness linked with the increase in oil prices generally contributed to higher winnings of the company.Since the companys major shareholders have a impregnable business connection not tout ensemble in Kuwait but in the whole of disconnect the company was a ble to coax new contractsThe technical uprightness of the company in varying field related to petroleum fabrication has helped the company to put one over more business (GUPICO) conduct exertionThe share of the company unopen at KD 0.690 with a year to meshing transition of -28.962 percent. The 52 week high sale price was KD 0.800 and the 52 week low was KD 0.240, The Company has a market cap of KD 69,000,000 which is rank at 83 on the foothold of the market capital. The movements in the share price during the last 12 months are pictured in the chase graph. tooth root http//www.ameinfo.com/financial_markets/Kuwait/Company_KW0178/Dividends and Dividend insuranceIn the absence of a print yearbook report and precise reading on the financial position of the company it was not executable to make a panoptic report on the dividend policy of the company.ReferencesGUPICOhttp//www.gupico.com/activities.htmlKuwait finance endure annual composing 2005http//www.kfh.com/ incli ne/AboutUs/ annual- announce/AR2005/KFH-AR2005.pdfKuwait pay domicile Annual Report 2006http//www.kfh.com/ position/AboutUs/Annual-Report/AR2006/KFH-AR2006.pdfZawya.com Kuwait pay rest homehttp//www.zawya.com/cm/profile.cfm/cid5083