DFM rises, Etisalat slips on profit woes

Etisalat dropped 0.5 per cent to Dh10.35. Its quarterly profit fell 21 per cent. “Etisalat revenues were in line with expectations, but net income fell short,” said Irfan Ellam, Al Mal Capital telecoms analyst. “We still think the stock offers strong upside.”

Al Mal Capital keeps a buy recommendation on the stock, setting a price target of Dh14.66, a 40 per cent premium on the current price.

“Du is a factor because we estimate 85 per cent of Etisalat’s revenues still come from domestic operations,” added Ellam.

Aabar Investments rose 9.6 per cent to Dh1.72. The index rose 0.3 per cent to 2,534 points, its third gain in 
four sessions.

Dubai’s benchmark index climbed 0.7 per cent to 1,518 points.