Stock market: Interview with the Deputy Managing Director of BMCE Capital Global Research – Media7

Marché boursier : Interview avec le directeur général délégué de BMCE Capital Global Research

Comments collected by Kawtar CHAAT

The Deputy Managing Director of BMCE Capital Global Research, Hicham Saadani, gave an interview to MAP, on the sidelines of the 3rd edition of the Moroccan Equity Summit, organized by BMCE Capital and co-hosted by BMCE Capital Bourse and BMCE Capital Global Research.

During this exchange, Mr. Saadani shared his vision and perspectives on the evolution of the Moroccan stock market, as well as the impact of this major event, with a pan-African vocation, on the promotion of investments on a national and international scale. .

1. What are the particularities of this edition of the Moroccan Equity Summit and how does this event contribute to the promotion of investments on a national and international scale?

BMCE Capital, faithful to its usual approach, strives to promote a calm climate and rich exchanges between issuers and investors. It is in this spirit that our group, a subsidiary of Bank of Africa, organized the third edition of the Moroccan Equity Summit. This major event in the Moroccan financial landscape aims to bring together and connect around forty investors with more than thirty issuers.

This year, we had the pleasure of welcoming new Moroccan transmitters who had not participated in the two previous editions. In addition, we are proud to have among us issuers from West Africa and Tunisia. These two regions are markets where our group is already established and benefits from a strong presence. This expansion highlights our commitment to a pan-African vision, an essential component of our group’s DNA.

We aspire to share this vision with all investors, whether Moroccan, West African or Tunisian. By providing a space for exchange and collaboration, we hope to stimulate successful investment opportunities and strengthen economic ties between these different regions. The Moroccan Equity Summit thus continues to evolve and assert itself as an unmissable meeting in pan-African finance.

2. What is your view on the evolution of the stock market since the start of the year, and which sectors stand out as the best performers in this context?

In line with the year 2023, and marked by a well-oriented market, the year 2024 also promises to be under very favorable auspices. The current global context in Morocco is extremely conducive to the activities of listed companies, thus creating significant dynamics and enthusiasm. This positive trend is reflected in several publicly traded sectors.

The announcement of the organization of the World Cup has accelerated many projects, and these will multiply so that the country is ready to host this global event. These prospects open up major opportunities for many listed companies, generating increased interest from both local and international investors. This dynamic environment fosters a growing market.

In short, the Moroccan stock market is currently benefiting from solid dynamics, supported by a favorable context and promising prospects linked to major national projects. It is reasonable to predict that this dynamic will continue, continuing to attract attention and investment, and consolidating Morocco’s position on the global economic stage.

3. What is the outlook for the stock market in terms of growth and profitability opportunities, and what are the main risks that investors should be aware of?

We expect double-digit growth in the earnings power of listed companies for the year 2024. Moreover, even in 2025, we expect significant earnings growth. These prospects create favorable and attractive conditions for investors.

Currently, the market is valued at high valuation levels, around 18.2 to 18.3. However, these levels remain below the average of the last five years. This indicates that there is still potential for investors who can find attractive profitability opportunities among several listed companies.

Some of these companies, particularly in construction, real estate development and health activities, present very promising prospects. At the same time, the banking sector plays a crucial role in financing this dynamic, which is expected to continue in the years to come.