Qatar

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Market Review and Outlook QSE Index and Volume
The Qatar Stock Exchange (QSE) Index gained 87.76 points, or
0.75% during the week, to close at 11,858.01. Market
capitalization increased by 0.34% to reach QR626.5 billion (bn)
as compared to QR624.4bn at the end of the previous week. Of
the 43 listed companies, 15 companies ended the week higher,
while 26 fell and 2 remained unchanged. Ahli Bank (ABQK) was
the best performing stock for the week, with a gain of 6.06% on
only 563 shares traded. On the other hand, Dlala Brokerage &
Investments Holding Co. (DBIS) was the worst performing stock
with a decline of 7.86% on 138,356 shares traded.
Barwa Real Estate Co. (BRES), Commercial Bank of Qatar (CBQK)
and Qatar Insurance Co (QATI) were the primary contributors to
the weekly index gain. BRES was the biggest contributor to the
Index’s weekly gain, adding 30.07 points to the Index. CBQK
tacked on 26.72 points to the Index. Further, QATI contributed
another 18.47 points to the Index. On the other hand, QNB Group
(QNBK) and Gulf International Services (GISS) contributed
negatively to the Index. QNBK and GISS erased 12.71 and 10.67
points from the Index, respectively.
Trading value during the week increased by 14.67% to reach
QR1.01bn vs. QR884.28 million (mn) in the prior week. The Banks
and Financial Services sector led the trading value during the
week, accounting for 45.94% of the total trading value. The
Industrials sector was the second biggest contributor to the
overall trading value, accounting for 20.29% of the total trading
value. QNBK was the top value traded stock during the week with
total traded value of QR133.3mn.
Trading volume increased by 9.57% to reach 20.0mn shares vs.
18.2mn shares in the prior week. The number of transactions
increased by 0.43% to reach 15,853 transactions versus 15,785
transactions in the prior week. The Banks and Financial Services
sector led the trading volume, accounting for 37.21%, followed by
the Real Estate sector, which accounted for 27.85% of the overall
trading volume. Masraf Al Rayan (MARK) was the top volume
traded stock during the week with total traded volume of 2.8mn
shares.
Market Indicators
Week ended
August 13, 2015
Week ended
August 06, 2015
Chg. %
Value Traded (QR mn) 1,014.0 884.3 14.7
Exch. Market Cap. (QR mn) 626,497.3 624,397.0 0.3
Volume (mn) 20.0 18.2 9.8
Number of Transactions 15,853 15,785 0.4
Companies Traded 42 43 (2.3)
Market Breadth 15:26 11:30 –
Market Indices Close WTD% MTD% YTD%
Total Return 18,431.57 0.7 0.6 0.6
All Share Index 3,163.28 0.5 0.2 0.4
Banks/Financial Svcs. 3,138.91 0.7 0.6 (2.0)
Industrials 3,735.92 (0.6) (0.5) (7.5)
Transportation 2,450.10 (0.7) (0.3) 5.7
Real Estate 2,717.24 1.7 0.6 21.1
Insurance 4,924.87 2.6 3.1 24.4
Telecoms 1,087.27 0.0 (1.5) (26.8)
Consumer 7,117.55 (0.8) (2.7) 3.0
Al Rayan Islamic Index 4,605.67 0.5 (0.2) 12.3
Market Indices
Weekly Index Performance
Regional Indices Close WTD% MTD% YTD%
Weekly Exchange
Traded Value ($ mn)
Exchange Mkt.
Cap. ($ mn)
TTM P/E** P/B** Dividend Yield
Qatar (QSE)* 11,858.01 0.7 0.6 (3.5) 264.70 172,098.8 12.2 1.8 4.3
Dubai 3,985.40 (3.3) (3.8) 5.6 510.71 103,381.6# 12.3 1.2 6.5
Abu Dhabi 4,730.27 (2.2) (2.2) 4.4 257.21 128,963.8 11.8 1.5 4.8
Saudi Arabia# 8,708.31 0.6 (4.3) 4.5 4,862.04 516,003.3 18.3 2.0 3.1
Kuwait 6,301.12 0.8 0.8 (3.6) 197.19 94,379.3 15.3 1.0 4.2
Oman 6,318.62 (1.7) (3.7) (0.4) 72.80 24,943.7 9.6 1.5 4.0
Bahrain 1,334.47 0.1 0.2 (6.5) 1.91 20,871.4 8.4 0.8 5.1
Source: Bloomberg, country exchanges and Zawya (** Trailing Twelve Months; * Value traded ($ mn) do not include special trades, if any; # Data as of August 12, 2015)
11,610.22
11,679.70
11,787.71
11,772.66
11,858.01
0
3,000,000
6,000,000
11,450
11,675
11,900
9-Aug 10-Aug 11-Aug 12-Aug 13-Aug
Volume QSEIndex
0.8% 0.7% 0.6%
0.1%
(1.7%)
(2.2%)
(3.3%)(4.0%)
(2.0%)
0.0%
2.0%
Kuwait
Qatar(QSE)*
SaudiArabia
Bahrain
Oman
AbuDhabi
Dubai

2. Page 2 of 6
News
Economic News
 QNB Group: Oil prices forecast to remain lower – According to QNB
Group (QNBK), oil prices have again collapsed to sub-$50 per
barrel levels. A bear market in Chinese equities has shaken
confidence in the global growth outlook while oil markets have
been surprised by continued increases in global oil output,
despite lower oil prices. Therefore, the current glut in world oil
markets is likely to persist well into 2016. From 2017, as
producers and consumers adjust to lower prices, oil markets
should begin to tighten, leading to gradually firmer prices. As a
result, QNBK forecast oil prices to average around $55 a barrel in
2015-16 before rising to $60 per barrel in 2017. Oil prices rallied
45.5% during 1H2015, mainly driven by improving expectations
for global growth. Subsequently, oil prices have lost almost all the
gains, falling back below $50 per barrel at the beginning of August
2015. A mixture of supply and demand factors were behind the
recent drop. The weaker demand picture was mainly driven by
concerns about global growth emanating from China. The largest
drops in oil prices were at the beginning and end of July as sharp
sell-offs in Chinese equities triggered concerns about potentially
negative knock-on effects on the real economy. (Peninsula Qatar)
 Qatar banks’ private sector credit jumps – Qatar banks’ credit to
the private sector rose to QR394bn in 2Q2015, up 6.7% QoQ.
However, the banks’ credit to the government sector declined to
QR136bn from QR137bn in 1Q2015. The Qatar Central Bank’s
(QCB) preliminary estimates noted that the banks’ domestic
credit increased to QR617bn in 2Q2015, from QR599bn recorded
in 1Q2015. The central bank’s quarterly bulletin indicated the
country’s commercial banks’ domestic investments slipped to
QR127bn in 2Q2015 from QR129bn in 1Q2015. The banks’
foreign investments increased to QR51bn, from QR50bn. Credit
outside Qatar rose to QR74bn from QR72bn in March 2015. The
combined assets of commercial banks scaled up to QR1.06tn from
QR1.01tn in 1Q2015. The QCB data showed the provision rate of
Qatari banks rose to QR11bn in June 2015, from QR10bn in March
2015. The banking system’s net foreign assets reached QR105bn
in 2Q2015, up from QR102bn in 1Q2015. Net domestic net assets
jumped to QR426bn from QR405bn in the previous quarter.
Qatar’s total money supply (M1) rose to QR130bn in 2Q2015,
from QR126bn recorded in the previous year. The country’s
average movement in money supply (M2) surged to QR531bn, up
4.5% QoQ. (Peninsula Qatar)
Market & Corporate News
 MERS posts higher QoQ bottom-line in 2Q2015 – Al Meera
Consumer Goods Company’s (MERS) net profit increased 34.1%
QoQ (-21.5% YoY) to QR57.8mn in 2Q2015. The quarterly gain in
net profit was primarily aided by higher revenue, up 16.9% QoQ
(+14.5% YoY) to QR659.3mn. On the other hand, earnings
dropped YoY as other income declined by 90.8% from QR41.6mn
in 2Q2014 to QR3.8mn. It should be noted that 2Q2014 other
income was significantly boosted by non-recurring investment
income. Excluding other income, net income was up by 69% YoY.
(QSE, QNBFS Research)
 DBIS posts QR23.4mn net loss in 2Q2015 – Dlala Brokerage &
Investments Holding Company (DBIS) recorded a net loss of
QR23.4mn in 2Q2015 as compared to a net profit of QR6.4mn in
1Q2015 (QR33.7mn in 2Q2014). The company posted a net loss
on account of an impairment loss of QR30.2mn in 2Q2015 on
available-for-sale investments compared to none in 1Q2015.
However, before impairment losses, the company registered
QR6.8mn in profit, slightly up as compared to QR6.4mn in
1Q2015. (QSE, QNBFS Research)
 QOIS bottom-line drops by 84% QoQ in 2Q2015 – Qatar Oman
Investment Company’s (QOIS) net profit declined by 84.3% QoQ
(down 54.2% YoY) to QR2.7mn in 2Q2015. The bottom-line drop
was led by the huge drop in company’s net investment and
interest income that fell from QR18.4mn in 1Q2015 (QR6.9mn in
2Q2014) to QR3.6mn in 2Q2015. EPS contracted from QR0.54 in
1Q2015 to QR0.08 in 2Q2015. (QSE, QNBFS Research)
 QISI profitability nosedives in 2Q2015 – Qatar Islamic Insurance
Company’s (QISI) bottom-line contracted by 49.1% QoQ (-34.5%
YoY) to QR16.9mn. Total income dropped 38.1% QoQ (-23.8%
YoY) to QR25.2mn. EPS declined to QR1.13 in 2Q2015 from
QR2.22 in 1Q2015. (QSE, QNBFS Research)
 Logistics Committee, Manateq sign QR1.8bn financing agreement
with MARK – The Logistics Committee and Economic Zones
Company (Manateq) have signed a QR1.8bn worth agreement
with Masraf Al Rayan (MARK) on financing the basic
infrastructure development works of the logistics areas project in
Al Wakra zone. This is the largest logistics and industrial project
in the south of the country aimed at promoting competitiveness in
the commercial sector and encouraging the private sector to
participate and contribute effectively to the National
Development Strategy in accordance with Qatar National Vision
2030. (Peninsula Qatar)
 DHBK signs QR2.2bn deal for reservoir project – Doha Bank
(DHBK) has announced the signing of project finance deal to the
value of QR2.2bn with Leighton Contracting Qatar, a division of
UAE-based Habtoor Leighton Group, for supporting the
construction of Qatar General Electricity & Water Corporation’s
(Kahramaa) Water Security Mega Reservoirs Project- Rawdat
Rashed. The Mega reservoirs, with a capacity of 100mn gallons
each, are the largest reinforced concrete reservoirs in the world.
Launched in response to the huge increase in water demand due
to the continuous growth and development in Qatar, the project
aims to provide seven days of strategic water storage within
Kahramaa’s network system, covering the new mega reservoirs
and the existing and future secondary reservoirs. (Peninsula
Qatar)
 QEWS to start QR10bn power and water project in Umm Al Houl –
Qatar Electricity and Water Company (QEWS) General Manager
Mr. Fahad Hamad Al Mohannadi has announced the launch of the
construction of a major power and water project in Umm Al Houl.
The station with a production capacity of 2520 megawatts (MW)
of electricity and 136mn gallons of drinking water per day is
expected to cost QR10bn. The construction is expected to start in
October 2015. QEWS owns 60% of the project while other
stakeholders include state-owned Qatar Petroleum and Qatar
Foundation. The Umm Al Houl plant will be implemented in three
phases. The first stage will process 40mn gallons of water per day
in April 2017 while additional 20mn gallons of water will be
processed in the second phase in May 2017. The Umm Al Houl
will also witness the production of 1620 MW of electricity in July
2017. The project will be implemented fully by 2H2018. (QSE,
Peninsula Qatar)
 QCFS bottom-line declines by 46.9% QoQ in 2Q2015 – Qatar
Cinema & Film Distribution Company (QCFS) reported a net profit
of QR2.3mn in 2Q2015, declining 46.9% QoQ. However, the net
profit surged by 31.2% YoY in 2Q2015. Earnings per share (EPS)
amounted to QR0.29 in 2Q2015 versus QR0.75 in 1Q2015. (QSE,
QNBFS Research)

3. Page 3 of 6
Qatar Stock Exchange
Top Gainers Top Decliners
Source: Qatar Stock Exchange (QSE) Source: Qatar Stock Exchange (QSE)
Most Active Shares by Value (QR Million) Most Active Shares by Volume (Million)
Source: Qatar Stock Exchange (QSE) Source: Qatar Stock Exchange (QSE)
6.1%
5.4%
5.0%
4.5%
3.0%
0.0%
3.0%
6.0%
9.0%
Al Ahli Bank Commercial
Bank of Qatar
Barwa Real
Estate
Qatar General
Insurance &
Reinsurance
Qatar
Insurance
-7.9%
-3.4%
-3.0%
-2.8% -2.7%
-9.0%
-6.0%
-3.0%
0.0%
Dlala Holding MannaiCorp. Al Khaliji Gulf International
Services
Qatar & Oman
Investment
133.3
126.6
110.8
103.0 100.3
0.0
50.0
100.0
150.0
QNB Group Masraf Al
Rayan
Gulf
International
Services
Commercial
Bank of Qatar
Barwa Real
Estate
2.8
2.1
1.8
1.7 1.6
0.0
1.5
3.0
4.5
Masraf Al
Rayan
Barwa Real
Estate
Commercial
Bank of Qatar
Gulf
International
Services
Ezdan Real
Estate

4. Page 4 of 6
TECHNICAL ANALYSIS OF THE QSE INDEX
Source: Bloomberg
The QSE Index snapped the negative trend and rose by 0.75 % vs. the previous week. Volumes dropped further during the week, while the index reclaimed the
important 11,800 level. To have a healthy bounce, the index needs an uptick, accompanied by higher volumes to bring back traders’ confidence. It is imperative to
stay above 11,800 in order to further advance. Technical indicators are providing mixed signals. We update our weekly support and resistance levels between
11,800 and 12,600 respectively.
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.

5. Page 5 of 6
Source: Bloomberg
Company Name
Price
(August 13)
% Change 5-
Day
% Change
YTD
Market Cap.
QR Million TTM P/E P/B Div. Yield
Qatar National Bank 181.00 (0.77) (14.98) 126,651 11.6 2.2 4.1
Qatar Islamic Bank 112.50 1.99 10.08 26,583 15.2 1.8 3.8
Commercial Bank of Qatar 58.70 5.39 (5.74) 19,173 10.2 1.1 5.4
Doha Bank 52.60 (0.19) (7.72) 13,590 9.9 1.0 7.6
Al Ahli Bank 51.60 6.06 3.96 9,377 14.7 2.2 2.7
Qatar International Islamic Bank 77.60 (0.13) (5.02) 11,746 13.7 2.3 5.2
Masraf Al Rayan 44.95 1.47 1.70 33,713 16.1 3.4 3.9
Al Khaliji Bank 22.01 (3.00) (0.18) 7,924 13.0 1.4 4.5
National Leasing 18.30 0.77 (8.50) 905 32.7 0.8 4.6
Dlala Holding 22.85 (7.86) (31.66) 649 20.7 2.2 N/A
Qatar & Oman Investment 15.75 (2.72) 2.27 496 18.0 1.4 5.1
Islamic Holding Group 124.90 (1.03) 0.32 500 34.3 8.1 2.4
Banking and Financial Services 251,307
Zad Holding 95.90 (2.64) 14.17 1,254 10.8 1.5 4.2
Qatar German Co. for Medical Devices 15.50 (1.52) 52.71 179 N/A 1.1 N/A
Salam International Investment 13.88 0.22 (12.43) 1,587 20.3 1.0 4.3
Medicare Group 176.50 1.09 50.85 4,967 25.3 5.6 1.0
Qatar Cinema & Film Distribution 42.00 0.00 5.00 264 21.0 1.8 2.1
Qatar Fuel 160.50 (1.17) (21.44) 13,556 11.9 2.1 5.6
Qatar Meat and Livestock 60.60 (0.66) 0.33 1,091 20.2 4.2 4.1
Al Meera Consumer Goods 269.20 (2.11) 34.60 5,384 25.1 4.3 3.3
Consumer Goods and Services 28,282
Qatar Industrial Manufacturing 45.10 (1.10) 4.04 2,143 12.9 1.5 6.7
Qatar National Cement 117.00 (1.68) (2.50) 6,319 14.9 2.4 3.1
Industries Qatar 137.50 (0.29) (18.15) 83,188 14.0 2.6 5.1
Qatari Investors Group 48.50 (0.21) 17.15 6,030 25.8 2.6 1.5
Qatar Electricity and Water 220.50 0.82 17.60 24,255 15.2 3.7 3.4
Mannai Corp. 106.80 (3.35) (2.02) 4,872 10.0 2.4 5.6
Aamal 14.60 0.00 0.92 9,198 14.5 1.3 6.5
Gulf International Services 66.60 (2.77) (31.41) 12,377 8.0 3.3 8.3
Mesaieed Petrochemical Holding 22.70 0.44 -23.1 28,518 22.0 2.1 4.8
Industrials 176,900
Qatar Insurance 103.50 2.99 31.37 19,108 20.2 3.3 2.1
Doha Insurance 25.25 (2.13) (12.93) 1,263 14.2 1.2 4.0
Qatar General Insurance & Reinsurance 55.60 4.51 8.37 4,423 4.7 0.8 3.1
Al Khaleej Takaful Insurance 38.00 (0.26) (13.98) 970 17.1 1.5 3.4
Qatar Islamic Insurance 79.70 (2.69) 0.89 1,196 16.0 4.2 5.0
Insurance 26,959
United Development 25.75 1.38 9.16 9,118 13.3 0.8 4.9
Barw a Real Estate 48.80 4.95 16.47 18,989 3.1 1.0 4.5
Ezdan Real Estate 17.88 0.51 19.84 47,427 32.5 1.7 2.2
Mazaya Qatar Real Estate Development 17.70 (1.01) (2.95) 1,859 10.8 1.4 1.6
Real Estate 77,392
Qatar Telecom 80.00 (0.37) (35.43) 25,626 17.9 1.2 5.0
Vodafone Qatar 15.22 1.00 (7.48) 12,867 N/A 2.4 1.4
Telecoms 38,493
Qatar Navigation (Milaha) 98.30 (0.71) (1.21) 11,258 9.5 0.8 5.6
Gulf Warehousing 75.40 (1.57) 33.69 3,586 22.4 4.0 2.0
Qatar Gas Transport (Nakilat) 22.00 (0.45) (4.76) 12,320 12.9 3.1 5.5
Transportation 27,164
Qatar Exchange 626,497

6. Contacts
Saugata Sarkar Sahbi Kasraoui QNB Financial Services SPC
Head of Research Head of HNI Contact Center: (+974) 4476 6666
Tel: (+974) 4476 6534 Tel: (+974) 4476 6544 PO Box 24025
saugata.sarkar@qnbfs.com.qa sahbi.alkasraoui@qnbfs.com.qa Doha, Qatar
Disclaimer and Copyright Notice: This publication has been prepared by QNB Financial Services SPC (“QNBFS”) a wholly-owned subsidiary of QNB SAQ (“QNB”). QNBFS is regulated by the Qatar
Financial Markets Authority and the Qatar Exchange QNB SAQ 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.
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