Al-Isra Education & Investment Plc (AIFE) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

Comparison

Company

Score

Quality

Valuation

Financial

Technical

Al-Isra Education & Investment Plc

Philadelphia International Educational Investment Co. Plc

Petra Education Co.

Al-Zarqa Educational & Investment

Arab International Co. for Education & Investment Plc

Why is Al-Isra Education & Investment Plc ?

Poor Management Efficiency with a low ROCE of 13.94%

The company has been able to generate a Return on Capital Employed (avg) of 13.94% signifying low profitability per unit of total capital (equity and debt)

Poor long term growth as Net Sales has grown by an annual rate of 3.03% and Operating profit at 2.08% over the last 5 years

Positive results in Mar 26

OPERATING CASH FLOW(Y) Highest at JOD 6 MM
ROCE(HY) Highest at 14.49%
RAW MATERIAL COST(Y) Fallen by -25.12% (YoY)

With ROE of 11.62%, it has a attractive valuation with a 1.95 Price to Book Value

The stock is trading at a discount compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of 17.57%, its profits have risen by 6% ; the PEG ratio of the company is 2.8

Underperformed the market in the last 1 year

The stock has generated a return of 17.57% in the last 1 year, much lower than market (Jordan General Index) returns of 49.15%

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Al-Isra Education & Investment Plc should be less than 10%
Overall Portfolio exposure to Tour, Travel Related Services should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Tour, Travel Related Services)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is Al-Isra Education & Investment Plc for you?

Medium Risk, Low Return

Absolute

Risk Adjusted

Volatility

Al-Isra Education & Investment Plc

17.57%

1.00

24.18%

Jordan General Index

46.42%

4.78

10.29%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

3.03%

EBIT Growth (5y)

2.08%

EBIT to Interest (avg)

3.31

Debt to EBITDA (avg)

Negative Net Debt

Net Debt to Equity (avg)

-0.20

Sales to Capital Employed (avg)

0.44

Tax Ratio

17.73%

Dividend Payout Ratio

84.43%

Pledged Shares

Institutional Holding

ROCE (avg)

13.94%

ROE (avg)

10.26%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

1.95

EV to EBIT

16.18

EV to EBITDA

12.23

EV to Capital Employed

2.31

EV to Sales

3.42

PEG Ratio

2.80

Dividend Yield

0.06%

ROCE (Latest)

14.30%

ROE (Latest)

11.62%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

Bearish

No Signal

Bollinger Bands

Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Dow Theory

Mildly Bullish

OBV

Mildly Bearish

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

10What is working for the Company

OPERATING CASH FLOW(Y)

Highest at JOD 6 MM

ROCE(HY)

Highest at 14.49%

RAW MATERIAL COST(Y)

Fallen by -25.12% (YoY

INVENTORY TURNOVER RATIO(HY)

Highest at 89.56 times

OPERATING PROFIT(Q)

Highest at JOD 2.13 MM

OPERATING PROFIT MARGIN(Q)

Highest at 44.45 %

PRE-TAX PROFIT(Q)

Highest at JOD 2.39 MM

NET PROFIT(Q)

Highest at JOD 1.89 MM

-1What is not working for the Company

DEBTORS TURNOVER RATIO(HY)

Lowest at 2.99 times

Here's what is working for Al-Isra Education & Investment Plc

Operating Cash Flow

Highest at JOD 6 MM

in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (JOD MM)

Operating Profit

Highest at JOD 2.13 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (JOD MM)

Operating Profit Margin

Highest at 44.45 %

in the last five periods

MOJO Watch

Company's profit margin has improved

Operating Profit to Sales

Pre-Tax Profit

Highest at JOD 2.39 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (JOD MM)

Net Profit

Highest at JOD 1.89 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (JOD MM)

Inventory Turnover Ratio

Highest at 89.56 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Raw Material Cost

Fallen by -25.12% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has improved; this may lead to a rise in profit margin

Raw Material Cost as a percentage of Sales

Here's what is not working for Al-Isra Education & Investment Plc

Debtors Turnover Ratio

Lowest at 2.99 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio