5% lower TP on Saudi challenges, still Overweight
We reduce our target price by 5% to AED4.4/share, 35% upside remains. Our new TP factors in lower capacity utilisation for the UAE given the challenges in Saudi and Euro weakness. Yet, a 90bps lower cost of equity on China and Sudan’s exit warrants a lower risk premium. Irrespective of plans to buy out minorities in India and Iran (90% and 80% owned), RAK will maintain a c60% of earnings pay-out (2015e yield of 6.3%). RAK trades at a 14% discount to peers on 2016e P/E of 11.3x.
CI Capital is a diversified financial services group and Egypt’s leading provider of leasing, microfinance, and investment banking products and services.
Through its headquarters in Cairo and presence in New York and Dubai, CI Capital offers a wide range of financial solutions to a diversified client base that include global and regional institutions and family offices, large corporates, SMEs, and high net worth and individual investors.
CI Capital leverages its full-fledged investment banking platform to provide market leading capital raising and M&A advisory, asset management, securities brokerage, custody and research. Through its subsidiary Corplease, CI Capital offers comprehensive leasing solutions, including finance and operating leases, and sale and leaseback, serving a wide range of corporate clients and SMEs. In addition, CI Capital offers microfinance lending through Egypt’s first licensed MFI, Reefy.
The Group has over 1,700 employees, led by a team of professionals who are among the most experienced in the industry, with complementary backgrounds and skill sets and a deep understanding of local market dynamics.
CI Capital has been recognized as the “Best Investment Bank in Egypt” by EMEA Finance for four years running from 2013-2016, and by Global Finance in 2014 and 2015.
Unfortunately, this report is not available for the investor type or country you selected.
Browse all ResearchPool reportsReport is subscription only.
Thank you, your report is ready.
Thank you, your report is ready.