Bourses in the Emirates rallied yesterday as investors bought up property stocks after better-than-expected earnings results.
Aldar Properties, the developer behind Yas Island, rose 5 per cent to Dh1.04 on the Abu Dhabi Securities Exchange (ADX). Aldar on Monday reported a 2011 full-year profit of Dh642.5 million compared with a loss of Dh12.7 billion in 2010.
A consensus estimate from analysts polled by Bloomberg indicated a profit of Dh494m for the developer.
Sorouh Real Estate, Abu Dhabi's second-biggest developer, surged 9.5 per cent to Dh1.03 ahead of financial results expected to be released today. The ADX General Index rose 0.9 per cent to 2,489.50.
Emaar Properties, the Dubai developer behind the world's tallest building, the Burj Khalifa, rose 1.3 per cent to Dh2.98 on the Dubai Financial Market. The Dubai index closed 1.1 per cent higher at 1,539.23. After the trading session, the company reported a fourth-quarter profit of Dh716m, an increase of 161 per cent from 2010.The Bloomberg analysts' estimate was for a profit of Dh460m.
"We are starting the year on a bull note. Companies are reporting healthy profits and attractive distribution levels, coming from a very low base last year," said Haissam Arabi, the chief executive at Gulfmena Investments in Dubai. "Markets have the momentum. You can already see the change in investor attitude."
Elsewhere in the region, Kuwait's measure rose 1 per cent to 6,009.50; Bahrain's was little changed at 1,142.43; Oman's MSM 30 Index rose 0.3 per cent to 5,606.88 and Qatar's QE Index was little changed at 8,694.77. The Saudi Tadawul moved TK per cent to TK.