The shares of publicly traded companies are the most traded on the secondary market on the Casablanca Stock Exchange. This phenomenon may continue in light of the improvement in the fundamentals of the sector.
Real estate stocks continue to record a significant share of trading volume on the Casablanca Stock Exchange. On the stock market, the three companies operating in the real estate sector, namely the Addoha group, Alliances et Résidences Dar Saada (RDS), occupy the first position in terms of shares traded. As we went to press, the trio displayed a trading volume of around 5.4 million dirhams (MDH) for Addoha, around 7.2 MDH for Alliances and 5.7 MDH for RDS. This is an upward trend and an outperformance noted by specialists since the start of this year. ”The real estate sector has shown signs of recovery for more than a year,” underlines a specialist.
However, the rush of investors towards real estate values only began to manifest itself more significantly after the election of Morocco’s candidacy to host the 2030 World Cup, alongside Spain and Portugal, notes a financial analyst. Other factors also contributed to this stock market improvement: the announcement by the Executive of the launch of a housing assistance program, and the expected improvement in monetary conditions as the key rate approach approaches. But if the real estate order book indicates an unprecedented enthusiasm for these values, the nature of these investments remains unknown for the moment, according to our interlocutor.
Sub-Saharan Africa
“In the current context, it would not be easy to answer the question of whether this choice is motivated by a fundamental analysis aimed at a long or medium term investment, or rather by a tactical strategy whose objective is the search for profit. over a very short period of time. The answer lies somewhere between the two,” according to another Source. ”The phenomenon may be the result of the anticipation of the recovery of the financial situation of listed companies and the improvement of the fundamentals of the sector”, we are told. In addition, and in the present case, a dilemma may arise for investment funds, given the share represented by the sector concerned which weighs almost 3% on the main stock market index, the MASI. Undertakings for collective investment in real estate securities (UCITS) are feeling this at the moment.
The introduction of benchmark prices by the tax department makes it difficult to move property prices. According to another economist, investors prefer to invest money in real estate rather than opting for term deposits (DAT). To do this, several factors must be taken with great consideration, in particular the development strategy of these groups on the African continent, the land reserves available to them, the financing facilities made available to them by local banks to explore new markets, the debt ratio, etc.
The diversification strategy adopted by the companies in question contributes to attracting more investments, especially when we know that groups like Addoha, Alliances and RDS have been chosen to develop new real estate complexes in West Africa, notably in Senegal, Guinea, Ivory Coast, etc., and that they have succeeded in ensuring project management of several projects in sub-Saharan Africa. At the national level, the beginnings of new structuring projects are coming, notably like the construction of the new urban center in the city of Oujda, in which the Addoha group is involved. Other projects have been awarded to companies listed on the Casablanca Stock Exchange, as part of the launch of calls for expressions of interest (AMI).
