3,523. P/E Multiple (x) 3,482 3,442 3,401 3,360

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1 17-Apr 19-Apr 23-Apr 25-Apr 27-Apr 1-May 3-May 7-May 9-May 11-May 15-May 17-May 18 May 217 Daman Morning Call GCC MarketWatch UAE Indices Last Close 1D 1D % YTD% 1M % 1Y % P/E Multiple (x) 3,523 4,64 Abu Dhabi Securities Market General % 1.4% 2.21% 6.55% ,482 4,598 UAE DFM Index % -3.85% -2.88% 3.35% Bloomberg GCC 2 Index Bahrain BSE index % -1.72% -.67% 4.58% % 7.32% -2.1% 18.47% ,442 3,41 4,556 4,514 Kuwait KSE Index % 17.12% -2.22% 25.53% Saudi Arabia TASI Oman MSM3 Index % -3.65%.7% 3.12% % -6.22% -1.9% -8.89% Qatar DSM Index % -2.8% -1.85% 1.35% ,36 UAE DFM Index (LHS) ADSMI (RHS) 4,472 UAE Market Commentary UAE equity markets closed higher yesterday, led by gains in real estate & construction, financial, banking and consumer staples sector stocks. Real estate stocks, Eshraq Properties, Damac Properties Dubai Co. and Emaar Properties advanced 2.8%, 2.5% and 1.3%, respectively. Financial stocks, Dubai Financial Market, Gulf General Investment Co and Amanat Holdings added 1.8%, 1.3% and.9%, respectively. Lenders, Union National Bank and Sharjah Islamic Bank edged 1.2% and.7% up, respectively. Gulf Medical Projects rallied 15%, after the company announced a cash dividend of 2% of GMPC capital to the shareholders. Elsewhere, the unemployment rate in the UK fell to its lowest level since 1975 in the January-March period. The Abu Dhabi Securities Exchange (ADX) general index ended.3% higher at 4,593.72, while the Dubai Financial Market index closed.5% higher at 3, Upcoming UAE Economic Events This Week Release Date Event Month Survey Actual Prior Revised Relevance 17-May-17 Central Bank Foreign Assets Apr - AED bn AED bn - Low 18 May - 22 May CPI YoY Apr % - Low 18 May - 22 May CPI MoM Apr - -.4% - Low Events This Week Dubai Date Event 5/14/217 5/15/217 5/16/217 Dubai National Insurance & Reinsurance PSC, National Cement Co, Emaar Properties PJSC Dubai Islamic Insurance & Reinsurance Co, Gulf General Investment Co, Amanat Holdings PJSC, DAMAC Properties Dubai Co PJSC Islamic Arab Insurance Co, Oman Insurance Co PSC, Drake & Scull International PJSC 5/17/ /18/217 Arabian Scandinavian Insurance Co PLC, Gulf Navigation Holding PJSC Abu Dhabi Date Event 5/14/217 Ras Al-Khaimah National Insurance Co, Methaq Takaful Insurance Co PSC, Ras Al Khaimah Cement Co PSC, AXA Green Crescent Insurance Co PJSC, Fujairah Building Industries PSC, Fujairah Cement Industries Co, Gulf Pharmaceutical Industries PSC 5/15/217 National Takaful Co Watania PJSC, United Insurance Co/United Arab Emirates, Emirates Driving Co, Sharjah Insurance Co, Gulf Medical Projects, Union Insurance Co PSC 5/16/217 Eshraq Properties Co PJSC, Al Wathba National Insurance Co PJSC, Al Buhairah National Insurance Co, Abu Dhabi National Co for Building Materials 5/17/217 Foodco Holding PJSC 5/18/217 National Marine Dredging Co Address: Dubai World Trade Center, Suite 6, P.O. Box 9436, Dubai, UAE, T: (+971 4) , F: (+971 4) , E: info@daman.ae 1

2 Technical Picks Eshraq Properties Co SMAVG (2) on Close SMAVG () on Close O: 1.7 H: 1. L: 1.7 C: After forming a morning star Doji candlestick pattern on the daily chart on Monday, the stock reversed its trend and traded yesterday s session in the green to finish at AED1.1. On the daily chart, the momentum oscillators are trading with an upside tone, hinting at bullishness in the coming session. Important resistance is seen at the day SMA (currently placed at AED1.11), followed by the AED1.12 and the 5day SMA (currently trading at AED1.13) levels. A sustained break above the latter might lead to further positivity in the stock. However, the weekly MACD and stochastic are heading lower, suggesting that the room for downside still exists. Key technical support resides at the AED1.9 level, followed by the AED1.8 and AED1.7 levels. A breach below the latter might lead to negative momentum in the stock. Dar Al Takaful SMAVG (2) on Close SMAVG () on Close O: 1.5 H: 1.5 L: 1.4 C: Following the formation of a bearish engulfing candlestick pattern on the weekly chart for the week ended 4 May, the stock has continued to decline and posted marginal losses yesterday to close at AED1.4. On the daily chart, the momentum oscillators are trading at a lower level below their midlines, reflecting at a bearish technical scenario. Additionally, the weekly MACD and RSI are heading south along with the stochastic oscillator placed in its oversold region, further validates the above stance. Key support is situated at the daily lower Bollinger band (currently trading at AED1.3), followed by the AED1.1 and psychological AED1. levels. A breach below the latter might lead to increased selling pressure on the stock. On the contrary, key resistance is placed at the AED1.7 level, followed by the AED1.9 and the 2day SMA (currently placed at AED1.1). Emaar Properties SMAVG (2) on Close SMAVG () on Close O: 7.41 H: 7.52 L: 7.38 C: After trading in the red for two successive sessions, the stock registered considerable gains in the previous session and settled at AED7.52. As clearly visible on the daily chart, the MACD and RSI are moving upwards coupled with the stochastic oscillator tranquil near its overbought region, hints at bullish momentum in the near term. On the weekly chart, the momentum oscillators are trading with a strong bias, further affirming the above view. The daily upper Bollinger band (currently placed at AED7.58) is acting as an immediate resistance, a surge above which might lead to further acceleration to the upside, further targeting the AED7.63 and AED7.67 levels as the next possible resistances. On the other hand, key support is seen at the AED7.48 level, followed by the day SMA (currently trading at AED7.43) and AED7.4 levels. 2

3 Technical Picks Agthia Group SMAVG (2) on Close SMAVG () on Close O: 5.71 H: 5.79 L: 5.71 C: 5.77 Drake & Scull International SMAVG (2) on Close SMAVG () on Close O:.364 H:.367 L:.354 C:.366 Ekttitab Holding SMAVG (2) on Close SMAVG () on Close O:.435 H:.436 L:.426 C: Yesterday, the stock traded in the green for the third straight session and ended at AED5.77, after notching a high at AED5.79. As of now, the weekly momentum oscillators are trading with a negative showing, reflecting at a bearish technical outlook. However, the daily RSI and stochastic oscillators are attempting to move out of their oversold areas, hinting at a potential recovery in the coming session. The key technical barrier is placed at the AED5.86 level, followed by the AED5.96 and psychological AED6. levels. A sustained break above the latter might trigger further upside momentum in the stock. On the downside, key intraday support is positioned at the AED5.71 level, followed by the daily lower Bollinger band (currently trading at AED5.63) and AED5.55 levels. A move back below the latter might generate bearishness in the stock. The stock traded firmer for the second consecutive session yesterday and finished at AED.366, after notching a high at AED.367. The overall weekly technical picture appears to be bearish with the MACD pointing south and the RSI & stochastic indicators placed at their oversold territories. However, the daily RSI and stochastic indicators are trading with a slightly positive showing, indicating at potential recovery in the stock in the short-term. Important resistance is located at the AED.376 level, followed by the AED.385 and the AED.395 levels. A break and stability above the latter is required to negate further negativity in the stock. Meanwhile, key support is placed at the daily lower Bollinger band (currently trading at AED.36), followed by the AED.354 and AED.345 levels. A breach below the latter might lead to weakness in the stock. The stock recorded modest gains in the prior session and settled at AED.436. Currently, the weekly MACD is moving downwards along with the RSI and stochastic indicators trading at a lower level below their 5lines, hinting at the presence of bearish momentum in the coming week. However, a possible signal line crossover from below by the daily MACD coupled with the RSI indicator heading north, suggests at likely positive momentum in the near term. The key technical obstacle is located at the AED.442 level, followed by the AED.447 and AED.454 levels. A move back above the latter might trigger a further acceleration to the upside. On the flipside, key support is placed at the AED.43 level, followed by the AED.426 and AED.42 levels. A breach below the latter might lead to bearish momentum in the stock. 3

4 13 January 216 Market Roundup Dubai Top Gainers & Losers Abu Dhabi Top Gainers & Losers -6.4% Takaful Emarat Insurance PJSC Marka PJSC 3.2% -2.4% Ras Al Khaimah Cement Co PSC Gulf Medical Projects Co PSC 15.% -2.4% Dubai Islamic Insurance and Reinsurance Co PSC Damac Properties Dubai Co PSC 2.5% -1.5% Arkan Building Materials Co PJSC Fujairah Cement Industries Co PSC 14.3% -1.9% Dar Al Takaful PJSC Dubai Financial Market PJSC 1.8% -1.1% Waha Capital PJSC Abu Dhabi National Energy Co PJSC 3.4% -1.6% National Cement Co PSC Emaar Properties PJSC 1.3% -.9% Aldar Properties PJSC Eshraq Properties PJSC 2.8% -1.4% Shuaa Capital PSC Gulf General Investment Co PSC 1.3% -.5% Abu Dhabi Commercial Bank PJSC Agthia Group PJSC 1.2% -8% -4% % 4% 8% -16% -8% % 8% 16% Top Volume Volume Gainers Top Volume Volume Gainers Marka PJSC 31,41,13 Marka PJSC 2543% Eshraq Properties Co PJSC 17,13,559 Gulf Cement Co PSC 637% Drake & Scull International PJSC 29,12,994 Arabtec Holding PJSC 26,675,617 DAMAC Properties Dubai Co PJSC 11,936,845 Aramex PJSC 467% Amlak Finance PJSC 162% Dubai Islamic Insurance & Reinsurance Co 149% Abu Dhabi Commercial Bank PJSC 5,675,56 Dana Gas PJSC 3,787,598 RAK Properties PJSC 3,74,398 Gulf Medical Projects 428% Abu Dhabi National Energy Co PJSC 15% Eshraq Properties Co PJSC 122% Emaar Properties PJSC 6,97,152 Gulf General Investment Co 142% Aldar Properties PJSC 3,545,781 RAK Properties PJSC 2% Sector Performance Sector Performance Real Estate & Construction Investment & Financial Services Telecommunication Transportation Consumer Staples Insurance Services Industrials Banks -.7% -1.% -.2%.2%.2%.6%.6%.% 1.3% Energy Investment & Financial Services Telecommunication Industrial Services Consumer Staples Insurance Real Estate Banks -1.% -.1% -.2%.%.%.9%.9%.9% 2.% Market Overview Market Overview 17-May May-17 Change % Change 17-May May-17 Change % Change Index (Last) % Volume ('s) % Deals % Value (mill) % Traded % Gainers % Laggards % No Change % Index (Last) % Volume ('s) % Deals % Value (mill) % Traded % Gainers % Laggards % No Change % 52 Week High 52 Week Low 52 Week High 52 Week Low

5 1-May May May May May May-17 1-May May May May May May-17 In AED millions In AED millions Foreign Activity Abu Dhabi Foreign Ownership Limit Name Allow Foreign Ownership Allowed For Current Foreigner Share NBAD OneShare MSCI UAE ETF Yes.% 34.48% Al Buhaira Insurance Yes 25.% 1.82% AD Aviation No.%.% AD Commercial Bank Yes 49.% 14.74% Emirate of Abu Dhabi No.%.% AD Islamic Bank No.%.% ADIB Right Issue Shares 215 No.%.% AD National Hotels Yes 25.% 1.1% AD National Insurance Yes 25.%.18% AD Ship Building Yes 25.%.67% Fujairah National Insurance No.%.% AGTHIA GROUP PJSC Yes 25.% 13.38% Al Khazna Insurance Yes 25.% 3.% Al Ain Al Ahlia Insurance No.%.% ALDAR Properties Yes 4.% 24.29% Arkan Building Materials No.% 1.93% International Fish Farming Yes 49.% 7.96% Al Wathba Insurance No.% 1.17% Green Crescent Insurance Yes 25.% 24.4% AD for Building & M Yes 25.% 4.9% Bank of Sharjah Yes 3.% 21.11% Commercial Bank International Yes 49.% 48.99% Dana Gas Yes 49.% 58.83% Al Dhafra Insurance No.%.% Emirates Driving No.%.% Emirates Insurance Yes.%.24% Eshraq properties Co. Yes 49.% 3.44% Etisalat Yes 2.% 6.31% Fujairah Building Industries No.%.% Fujairah Cement Yes.% 7.31% Finance House Yes 2.% 11.24% Foodco Holding No -.78% Gulf Cement Yes 49.% 17.87% Gulf Medical Projects Yes 49.% 7.88% Insurance House P.S.C Yes 25.%.36% Invest Bank Yes 2.%.92% Name Allow Foreign Ownership Allowed For Current Foreigner Share Gulf Pharmaceutical Yes 49.% 33.57% Gulf Livestock Yes 49.% 67.11% MANZEL Real Estate Yes % Methaq Takaful Insurance Yes 25.% 22.46% National Bank of AD Yes 25.% 11.23% NBAD Convertible Notes Yes.%.% National Bank of Fujairah No.%.% National Bank of Um Al-Qaiwain No.%.% National for Tourism & Hotels No.%.% National Marine Dredging Yes 5.% 1.27% Oman & Emirates Holding Yes.%.8% Ooredoo Yes.% 87.58% Umm Al-Qaiwain Cement Yes 49.% 9.52% National Bank of RAK Yes 4.% 18.16% RAK Cement Yes 49.% 28.57% RAK Ceramic Yes 49.% 51.38% RAK National Insurance Yes 25.%.% RAK Properties Yes 49.% 32.42% RAK White Cement Yes 49.% 18.5% RAK Poultry & Feeding Yes 14.% 15.91% Sharjah Cement Yes 15.% 1.35% Sharjah Group Yes 49.% 2.96% Sharjah Islamic Bank Yes.% 2.21% Sharjah Insurance Yes.%.% Sudatel Yes.% 79.57% AD National Energy No.%.% AD National Takaful No.%.% The National Investor company No.%.% United Arab Bank Yes 49.% 47.2% Union Cement Yes 49.% 2.94% United Insurance Yes 25.%.% Union National Bank Yes 4.% 13.9% Union Insurance Yes 25.%.31% Waha Capital PJSC Yes 49.% 9.69% National Takaful Yes 25.% 12.82% Dubai Foreign/Domestic Market Activity Value of Stocks Bought 261 Value of Stocks Sold UAE Nationals UAE Nationals 5

6 Disclaimer All opinions, news, analysis, prices or other information contained in this report are provided as general market commentary and does not constitute investment advice, nor a solicitation or recommendation for you to buy or sell any over-the-counter product or other instrument. Daman Securities, its employees and its independent third party provider make no representation as to the accuracy or completeness of this report. This report should therefore not be relied on as accurate or complete. The facts and opinions on this report are subject to change without notice. Daman Securities, its employees and its independent third party provider have no obligation to modify or update this report in the event that any information on this report becomes inaccurate. Shares Risk Warning The value of stocks and shares, and the income from them, can fall as well as rise and you may not get back the full amount you originally invested. Past performance is not necessarily a guide to future performance. 6