Arab International Hotels Plc (AIHO) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

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Comparison

Company

Score

Quality

Valuation

Financial

Technical

Al Dawliyah for Hotels & Malls Plc

Jordan Hotels & Tourism

Arab International Hotels Plc

Al-Tahdith For Real Estate Investments

Why is Arab International Hotels Plc ?

Poor Management Efficiency with a low ROCE of 0.25%

The company has been able to generate a Return on Capital Employed (avg) of 0.25% signifying low profitability per unit of total capital (equity and debt)

High Debt Company with a Debt to Equity ratio (avg) at times

Poor long term growth as Net Sales has grown by an annual rate of -17.83% and Operating profit at -212.22% over the last 5 years
High Debt Company with a Debt to Equity ratio (avg) at times
The company has been able to generate a Return on Equity (avg) of 0.80% signifying low profitability per unit of shareholders funds

Poor long term growth as Net Sales has grown by an annual rate of -17.83% and Operating profit at -212.22% over the last 5 years

With a fall in Operating Profit of -10740.01%, the company declared Very Negative results in Jun 25

The company has declared negative results for the last 6 consecutive quarters
The company has declared negative results in Dec 23 after 5 consecutive negative quarters
NET SALES(HY) At JOD 1.09 MM has Grown at -72.7%
NET PROFIT(HY) At JOD -1.78 MM has Grown at -228.81%
INTEREST(HY) At JOD 0.51 MM has Grown at 38.46%

Real-Time Research Report

Verdict Report

How much should you sell?

All quantity irrespective of whether you are making profits or losses

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Hotels & Resorts)

When to re-enter? - We will constantly monitor the company and review our call based on new data

Is Arab International Hotels Plc for you?

Medium Risk, Low Return

Absolute

Risk Adjusted

Volatility

Arab International Hotels Plc

1.33%

-0.17

28.87%

Jordan General Index

41.13%

4.48

9.22%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-17.83%

EBIT Growth (5y)

-212.22%

EBIT to Interest (avg)

-0.64

Debt to EBITDA (avg)

10.94

Net Debt to Equity (avg)

0.37

Sales to Capital Employed (avg)

0.13

Tax Ratio

4.74%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

0.25%

ROE (avg)

0.80%

Valuation

Valuation Scorecard

Valuation grade scale :

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

Valuation Key Factors

Factor

Value

P/E Ratio

NA (Loss Making)

Industry P/E

Price to Book Value

0.56

EV to EBIT

-23.72

EV to EBITDA

-42.62

EV to Capital Employed

0.69

EV to Sales

7.98

PEG Ratio

Dividend Yield

ROCE (Latest)

-2.89%

ROE (Latest)

-5.86%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

Mildly Bullish

RSI

Bullish

Bearish

Bollinger Bands

Mildly Bullish

Sideways

Moving Averages

Mildly Bearish (Daily)

KST

Bullish

Mildly 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

0What is working for the Company

NO KEY POSITIVE TRIGGERS

-33What is not working for the Company

NET SALES(HY)

At JOD 1.09 MM has Grown at -72.7%

NET PROFIT(HY)

At JOD -1.78 MM has Grown at -228.81%

INTEREST(HY)

At JOD 0.51 MM has Grown at 38.46%

OPERATING CASH FLOW(Y)

Lowest at JOD -1.67 MM

ROCE(HY)

Lowest at -5.73%

RAW MATERIAL COST(Y)

Grown by 1,031.52% (YoY

DEBT-EQUITY RATIO (HY)

Highest at 40.98 %

DEBTORS TURNOVER RATIO(HY)

Lowest at 6.94%

PRE-TAX PROFIT(Q)

Lowest at JOD -1.17 MM

Here's what is not working for Arab International Hotels Plc

Net Sales

At JOD 1.09 MM has Grown at -72.7%

Year on Year (YoY)

MOJO Watch

Near term sales trend is very negative

Net Sales (JOD MM)

Net Profit

At JOD -1.78 MM has Grown at -228.81%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (JOD MM)

Pre-Tax Profit

At JOD -1.17 MM has Fallen at -270.23%

over average net sales of the previous four periods of JOD -0.32 MM

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (JOD MM)

Interest

At JOD 0.51 MM has Grown at 38.46%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JOD MM)

Operating Cash Flow

Lowest at JOD -1.67 MM

in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (JOD MM)

Pre-Tax Profit

Lowest at JOD -1.17 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (JOD MM)

Debt-Equity Ratio

Highest at 40.98 %

in the last five Semi-Annual periods

MOJO Watch

The company is borrowing more to fund its operations; it's liquidity situation may be stressed

Debt-Equity Ratio

Debtors Turnover Ratio

Lowest at 6.94%

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio

Raw Material Cost

Grown by 1,031.52% (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