Stock News: Most Markets Edge Up, But Industries Qatar Drags Down Doha

Shares in major petrochemical producer Industries Qatar tumbled on Sunday and dragged down the Doha bourse after the company announced a dividend cut, but most Gulf markets edged up.

Industries Qatar fell its daily 10 per cent limit and was the main drag on Qatar’s index, which dropped 2.3 per cent.

The company said late on Thursday that its board had recommended a 2014 dividend of QAR7 per share, down from QAR11 paid for 2013 and below analysts’ average forecast of QAR11.13.

Many investors treat Qatari stocks as dividend plays and payouts offered by local companies are usually among the highest in the Gulf.

Saudi Arabia’s bourse, however, edged up 0.3 per cent on the back of banking stocks. Al Rajhi Bank added 1.8 per cent and Bank Albilad surged 4.8 per cent.

Albilad’s board last Thursday recommended a SAR0.5 per share dividend for 2014, its first in at least five years, along with issuing one bonus share per four shares held.

Dubai’s bourse rose 0.7 per cent on the back of property-related stocks. Major developer Emaar Properties added 1.7 per cent and its smaller competitors Union Properties and Deyaar climbed 2.5 and 2.7 per cent respectively.

Abu Dhabi’s benchmark edged down 0.3 per cent as lenders Abu Dhabi Commercial Bank and First Gulf Bank fell 1.4 and 0.6 per cent.

Oman’s index jumped 2.4 per cent and shares in Oman Cables Industry rose 4.4 per cent after it reported a 4.9 per cent increase in 2014 profit. The company earned OMR17.7 million ($46 million) last year, slightly surpassing the estimates of analysts, who had on average forecast a profit of OMR17 million.

Kuwait’s bourse added 0.9 per cent and Egypt’s index weakened by 0.2 per cent as most stocks pulled back.