Revealed: Top 10 companies in the UAE in 2015

The best performing listed businesses in the Emirates as ranked by market capitalisation

by Gulf Business

November 17, 2015

After a strong rally in the first half of 2014, Gulf Cooperation Council markets began a steady decline in the second half of 2014. This continued into 2015, mainly hit by the drop in oil prices.

As the GCC’s least dependent economy on oil, the United Arab Emirates market was not hit hard like Kuwait and Saudi Arabia. The Institute of International Finance forecasts the UAE’s non-hydrocarbon growth rate to be around 6 per cent in 2016, one of the highest in the region after Qatar.

The Dubai General Index and Abu Dhabi General Index registered negative year-to-date returns of 5.08 per cent and 0.28 per cent respectively. The better performance of consumer durables and telecommunication stocks in recent months have helped the Abu Dhabi market’s performance.

A positive outlook on investments for the World Expo 2020 and the attractiveness of the real estate market to investors, especially in Dubai and Abu Dhabi, may ensure growth despite the decline in oil prices.

The Emirates cut water and fuel subsidies in August 2015 as a part of reform measures advocated by the International Monetary Fund to the GCC countries, mainly after the 2008 crisis. Reports also suggest the UAE government is planning to introduce value added tax and corporation tax very soon as part of the ongoing reform measures.

Top 10 companies in the UAE

(As of September 28, 2015. Source: Reuters Eikon, Markaz Research)

1. Emirates Telecommunication Corp Ltd

Market capitalisation: $33.75bn

Sector: Telecommunications

2. First Gulf Bank

Market capitalisation: $17.03bn