ScoreWhy is Arabian Contracting Services Co. ?
1
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 29.97% and Operating profit at 23.40% 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 21.02% signifying low profitability per unit of shareholders funds
2
The company has declared negative results for the last 6 consecutive quarters
- INTEREST(HY) At SAR 372.99 MM has Grown at 274.28%
- ROCE(HY) Lowest at -21.17%
- INTEREST COVERAGE RATIO(Q) Lowest at 106.96
3
Risky -
- The stock is trading risky as compared to its average historical valuations
- Over the past year, while the stock has generated a return of -23.30%, its profits have fallen by -110.6%
4
Underperformed the market in the last 1 year
- Even though the market (Saudi Arabia All Share TASI) generated negative returns of -11.13% in the last 1 year, its fall in the stock was much higher with a return of -23.30%
Real-Time Research ReportHow 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 Media & Entertainment)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Arabian Contracting Services Co. for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
Arabian Contracting Services Co.
-100.0%
-1.01
39.82%
Saudi Arabia All Share TASI
-11.13%
-0.71
15.65%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
29.97%
EBIT Growth (5y)
23.40%
EBIT to Interest (avg)
3.90
Debt to EBITDA (avg)
2.64
Net Debt to Equity (avg)
7.91
Sales to Capital Employed (avg)
0.46
Tax Ratio
9.97%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
255.70%
ROE (avg)
21.02%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
NA (Loss Making)
Industry P/E
Price to Book Value
4.61
EV to EBIT
28.06
EV to EBITDA
15.29
EV to Capital Employed
1.35
EV to Sales
9.46
PEG Ratio
NA
Dividend Yield
NA
ROCE (Latest)
4.82%
ROE (Latest)
-2.48%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bearish
Bearish
RSI
No Signal
No Signal
Bollinger Bands
Bearish
Bearish
Moving Averages
Mildly Bullish (Daily)
KST
Mildly Bearish
Bearish
Dow Theory
Mildly Bearish
Mildly Bearish
OBV
No Trend
No Trend
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend3What is working for the Company
OPERATING CASH FLOW(Y)
Highest at SAR 1,428.79 MM
DEBTORS TURNOVER RATIO(HY)
Highest at 1.75 times
-35What is not working for the Company
INTEREST(HY)
At SAR 372.99 MM has Grown at 274.28%
ROCE(HY)
Lowest at -21.17%
INTEREST COVERAGE RATIO(Q)
Lowest at 106.96
RAW MATERIAL COST(Y)
Grown by 66.58% (YoY
INVENTORY TURNOVER RATIO(HY)
Lowest at 18.3 times
OPERATING PROFIT MARGIN(Q)
Lowest at 46.92 %
PRE-TAX PROFIT(Q)
Lowest at SAR -220.05 MM
NET PROFIT(Q)
Lowest at SAR -218.92 MM
EPS(Q)
Lowest at SAR -3.97
Here's what is working for Arabian Contracting Services Co.
Operating Cash Flow
Highest at SAR 1,428.79 MM
in the last three yearsMOJO Watch
The company has generated higher cash revenues from business operations
Operating Cash Flows (SAR MM)
Debtors Turnover Ratio
Highest at 1.75 times
in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its Debtors faster
Debtors Turnover Ratio
Depreciation
Highest at SAR 232.68 MM
in the last five periodsMOJO Watch
The expenditure on assets done by the company may have gone into operation
Depreciation (SAR MM)
Here's what is not working for Arabian Contracting Services Co.
Interest
At SAR 372.99 MM has Grown at 274.28%
over previous Semi-Annual periodMOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (SAR MM)
Pre-Tax Profit
At SAR -220.05 MM has Fallen at -676.81%
Year on Year (YoY)MOJO Watch
Near term Pre-Tax Profit trend is very negative
Pre-Tax Profit (SAR MM)
Net Profit
At SAR -218.92 MM has Fallen at -862.46%
Year on Year (YoY)MOJO Watch
Near term Net Profit trend is very negative
Net Profit (SAR MM)
Interest Coverage Ratio
Lowest at 106.96
in the last five periodsMOJO Watch
The company's ability to manage interest payments is deteriorating
Operating Profit to Interest
Operating Profit Margin
Lowest at 46.92 %
in the last five periodsMOJO Watch
Company's profit margin has deteriorated
Operating Profit to Sales
Pre-Tax Profit
Lowest at SAR -220.05 MM
in the last five periodsMOJO Watch
Near term Pre-Tax Profit trend is negative
Pre-Tax Profit (SAR MM)
Net Profit
Lowest at SAR -218.92 MM
in the last five periodsMOJO Watch
Near term Net Profit trend is negative
Net Profit (SAR MM)
EPS
Lowest at SAR -3.97
in the last five periodsMOJO Watch
Declining profitability; company has created lower earnings for shareholders
EPS (SAR)
Inventory Turnover Ratio
Lowest at 18.3 times
in the last five Semi-Annual periodsMOJO Watch
Company's pace of selling inventory has slowed
Inventory Turnover Ratio
Raw Material Cost
Grown by 66.58% (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
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
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