Dubai: Investors seem to have taken a mature outlook — at least initially — to Arabtec’s revelation that it had slipped into the red in the first three months of the year, brought on by tough trading conditions in the local construction sector. The scrip slipped 90 fils to Dh2.46 on Wednesday, as more than 59.62 million shares were exchanged.
Market watchers believe Thursday’s trading will set the tone for the scrip’s short-term fortunes, especially if retail investors were to take flight. There are some who will have taken heart from the slight gain in top-line numbers, indicating the “backlog in projects remain well on track”. Plus, with the boardroom shuffle having taken place — and thus putting more distance with the old regime — the chances of a complete turnaround through the latter half of the year cannot be discounted.
“Execution of the backlog should result in both top- and bottom-line growth in the medium-term,” an analyst said.
