Property stocks lifted in Abu Dhabi after Aldar Properties' chief financial officer said he expects a swing into profit by the end of this year.BREAKING NEWS
Aldar moves higher on profit forecast
Abu Dhabi's biggest developer rose to its one month high this morning after the company's chief financial officer said the company plans to return to profit by the end of this year.
Shares of Aldar, traded on the Abu Dhabi Securities Exchange, rose 3.9 per cent to Dh2.11 at 11:30 am.
"In the coming year, you will see that the company will be in the black at net profit level for 2011 and 2012 as well," Shafqat Malik told investors on a conference call on Monday.
Shares of Aldar had declined more than 10 per cent in the past week. "We were hoping the Aldar hurricane would be over," said Mohammed Ali Yassin, chief investment officer at CAPM Investments in Abu Dhabi.
Aldar announced a funding plan last Thursday under which the Abu Dhabi Government will buy Dh10.9 billion (US$2.96bn) of the company's infrastructure assets on Yas Island, plus Dh5.5bn of residential units and land.
Other property stocks listed in Abu Dhabi also benefitted from the mood among investors. Sorouh Real Estate gained 2.6 per cent to Dh1.56 a share. RAK Properties added 2.3 per cent to 44 fils.
The Abu Dhabi Securities Exchange General Index lost 0.2 per cent to 2683.21, while the Dubai Financial Market General Index gained 0.8 per cent 1621.84.
Du, the UAE's integrated telecom service provider gained 1.6 per cent to Dh3.05. Drake and Scull International added 1.9 per cent to Dh1.07.
Elsewhere in the region, Kuwait's measure declined 0.1 per cent to 6907.50. Bahrain's index remained flat at 1432.04. Oman's measure gained 0.1 per cent to 7028.76. Qata's index was unchanged at 9168.94. The Saudi Tadawul lost 0.3 per cent to 6768.24.