Today's Edition
A. SREENIVASA REDDY (ABU DHABI)
UAE stock markets stayed resilient in May 2026, with only marginal declines in the main indices and several sectors remaining in positive territory amid an uncertain geopolitical situation in the region, according to Kamco Invest monthly data.
The Abu Dhabi Securities Exchange (ADX) General Index declined 0.8% during the month to close at 9,701.92 points, easing after a 2.7% gain in April. Despite the decline in the headline index, sectoral performance remained constructive, with six out of 10 sector indices on the exchange recording gains during May.
Kamco Invest said the overall decline in the ADX index was mainly driven by weakness in heavily weighted sectors, including Financials and Consumer Staples, even as a majority of sectors ended in the green.
The Energy Index was the strongest sector performer on ADX, rising 3.9% during the month, supported by gains across all four companies in the sector.
ADNOC Distribution led the sector’s advance with a 7.1% gain. The Utilities Index also rose 2.6%, supported by a similar increase in the share price of Abu Dhabi National Energy Company (TAQA).
Other sectors that recorded gains included Healthcare, which rose 2.7%, Industrials, which advanced 1.3%, and Real Estate, which gained 1.0%. The Consumer Discretionary Index remained broadly stable during the month.
Among individual stocks, Space42 topped the monthly gainers’ chart on ADX with an 18% rise. It was followed by Abu Dhabi Ship Building and Eshraq Investments, which gained 16.5% and 14.7%, respectively.
Kamco Invest said Space42 recently reported a 1% year-on-year increase in first-quarter revenue to $116 million, supported by 15% growth in Space Services.
On the decliners’ side, Al Buhaira National Insurance recorded the steepest fall, declining 25.5%. It was followed by National Corporation for Tourism & Hotels and Phoenix Group, which fell 11.5% and 11.2%, respectively.
Trading activity on ADX eased during May, but remained sizeable. Total volume fell 19.2% to 4.9 billion shares from 6.1 billion shares in April, while the total value of shares traded declined 19.2% to Dh20.8 billion from Dh25.8 billion in the previous month.
ADNOC Gas was the most active stock on ADX by volume, with 553.5 million shares traded. Eshraq Investments followed with 407.2 million shares, while Abu Dhabi National Hotels recorded 339.5 million shares traded.
In terms of value traded, ADNOC Drilling led the market with Dh2.0 billion worth of shares exchanged during the month. Abu Dhabi Islamic Bank followed with Dh1.9 billion, while Abu Dhabi Commercial Bank recorded Dh1.86 billion in value traded.
Dubai Financial Market (DFM) also showed resilience, with the DFM General Index recording only a marginal decline of 0.1% in May after a strong 6.1% rise in April. The index closed the month at 5,757.5 points.
Although five out of eight DFM sector indices ended lower, the market retained pockets of strong performance. The Consumer Discretionary Index was the standout sector, rising 15.0% during the month, supported by a 23.6% gain in Talabat. The Materials Index followed with a 7.9% increase, while Communication Services rose 3.9%.
The Consumer Staples Index recorded the largest decline on DFM during the month. The Industrials Index also eased, declining 2.0%, partly affected by weakness in Salik.
In terms of stock performance, National Industries Group topped the gainers’ table in Dubai with a 30.0% rise. It was followed by Islamic Arab Insurance, which gained 28.9%, and Talabat Holding, which advanced 23.6%.
Among the decliners, Amlak Finance fell 28.7%, followed by United Kaipara Dairies and Dubai Investments, which dropped 17.3% and 9.9%, respectively.
Trading activity on DFM also moderated during the month. Total volume declined 21.4% to 4.2 billion shares in May from 5.4 billion shares in April. Total value traded fell 37.0% to Dh12.9 billion from Dh20.4 billion in the previous month.
Talabat Holding was the most active stock on DFM by volume, with 1.2 billion shares traded. Emaar Properties followed with 418.6 million shares, while DSI recorded 268.9 million shares traded.
In terms of value traded, Emaar Properties led the Dubai market with Dh4.9 billion worth of shares exchanged during the month. Talabat followed with Dh1.1 billion, while Emirates NBD recorded Dh1 billion in value traded.
Across the wider GCC, market performance remained mixed amid geopolitical headwinds. The MSCI GCC Index declined 1.3% in May, with Qatar and Bahrain posting marginal gains of 0.6% and 0.4%, respectively.
Oman recorded the sharpest decline of 7.3%, while Saudi Arabia fell 1% and Kuwait’s All Share Index lost 0.5%. Kamco Invest said defensive sectors such as food and beverages and utilities recorded gains at the GCC level, helping cushion broader market weakness.
