Arab International Co. for Education & Investment Plc (AIEI) 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

Petra Education Co.

Arab International Co. for Education & Investment Plc

Al-Zarqa Educational & Investment

Philadelphia International Educational Investment Co. Plc

Why is Arab International Co. for Education & Investment Plc ?

Poor Management Efficiency with a low ROCE of 7.87%

The company has been able to generate a Return on Capital Employed (avg) of 7.87% 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 12.98% and Operating profit at 21.95% over the last 5 years

Flat results in Dec 25

INTEREST(HY) At JOD 0.77 MM has Grown at 32.8%
ROCE(HY) Lowest at 0%
DIVIDEND PAYOUT RATIO(Y) Lowest at 0%

With ROE of 0.00%, it has a attractive valuation with a 0.00 Price to Book Value

The stock is trading at a premium compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of 34.85%, its profits have risen by 73.5% ; the PEG ratio of the company is 0.2
At the current price, the company has a high dividend yield of 3

Underperformed the market in the last 1 year

The stock has generated a return of 34.85% in the last 1 year, much lower than market (Jordan General Index) returns of 52.62%

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Arab International Co. for 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 Arab International Co. for Education & Investment Plc for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Arab International Co. for Education & Investment Plc

34.85%

0.93

40.73%

Jordan General Index

52.62%

5.46

9.64%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

12.98%

EBIT Growth (5y)

21.95%

EBIT to Interest (avg)

6.29

Debt to EBITDA (avg)

0.68

Net Debt to Equity (avg)

0.06

Sales to Capital Employed (avg)

0.34

Tax Ratio

26.51%

Dividend Payout Ratio

62.40%

Pledged Shares

Institutional Holding

ROCE (avg)

7.87%

ROE (avg)

6.32%

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

EV to EBIT

8.97

EV to EBITDA

7.74

EV to Capital Employed

EV to Sales

3.59

PEG Ratio

0.18

Dividend Yield

2.99%

ROCE (Latest)

ROE (Latest)

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

No Signal

Bollinger Bands

Mildly Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Dow Theory

No Trend

OBV

No Trend

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

12What is working for the Company

NET SALES(Q)

Highest at JOD 16.59 MM

OPERATING PROFIT(Q)

Highest at JOD 11.49 MM

OPERATING PROFIT MARGIN(Q)

Highest at 69.25 %

PRE-TAX PROFIT(Q)

Highest at JOD 9.21 MM

NET PROFIT(Q)

Highest at JOD 7.25 MM

-10What is not working for the Company

INTEREST(HY)

At JOD 0.77 MM has Grown at 32.8%

ROCE(HY)

Lowest at 0%

DIVIDEND PAYOUT RATIO(Y)

Lowest at 0%

RAW MATERIAL COST(Y)

Grown by 101.48% (YoY

INVENTORY TURNOVER RATIO(HY)

Lowest at 0 times

DEBTORS TURNOVER RATIO(HY)

Lowest at 0 times

DIVIDEND PER SHARE(HY)

Lowest at JOD 0

Here's what is working for Arab International Co. for Education & Investment Plc

Net Sales

Highest at JOD 16.59 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (JOD MM)

Operating Profit

Highest at JOD 11.49 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (JOD MM)

Operating Profit Margin

Highest at 69.25 %

in the last five periods

MOJO Watch

Company's profit margin has improved

Operating Profit to Sales

Pre-Tax Profit

Highest at JOD 9.21 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 7.25 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (JOD MM)

Here's what is not working for Arab International Co. for Education & Investment Plc

Interest

At JOD 0.77 MM has Grown at 32.8%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JOD MM)

Inventory Turnover Ratio

Lowest at 0 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Debtors Turnover Ratio

Lowest at 0 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio

Dividend per share

Lowest at JOD 0

in the last five years

MOJO Watch

Company is distributing lower dividend than previous years

DPS (JOD)

Dividend Payout Ratio

Lowest at 0%

in the last five years

MOJO Watch

Company is distributing lower proportion of profits generated as dividend

DPR (%)

Raw Material Cost

Grown by 101.48% (YoY)

MOJO Watch

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

Raw Material Cost as a percentage of Sales