Business results from most real estate companies for the first nine months of 2017 reflect strong growth. Some even reached new record highs in sales, including Talaat Mostafa Group, Palm Hills, Emaar Misr, and Sodic. Yet, the real estate indicator was less responsive to the profit growth, showing only a 20% increase since the beginning of the year. In November, real estate shares were up by 0.5% only, rising from 1,988 points to 1,998 points.
At the same time, the main EGX index climbed 1.6% during the same period.
Analysts said that the strong move of real estate shares this week is considered a starting point for them to, once again, lead the EGX up in the short-term.
Transactions on real estate shares accounted for 15% of the total EGX transactions in November, with a turnover of EGP 4.7bn from a total of EGP 31.1bn in November. The price-earnings ratio (P/E Ratio) reached 18.21 at the end of November, up from 16.88 in the market.