Dubai Electricity & Water Authority () 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

Abu Dhabi National Energy Co. PJSC

Dubai Electricity & Water Authority

Why is Dubai Electricity & Water Authority ?

Poor Management Efficiency with a low ROCE of 7.25%

The company has been able to generate a Return on Capital Employed (avg) of 7.25% 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 6.36% and Operating profit at 9.40% over the last 5 years

Flat results in Jun 26

INTEREST(Q) At AED 508.55 MM has Grown at 57.93%
DIVIDEND PAYOUT RATIO(Y) Lowest at 0%
DEBT-EQUITY RATIO (HY) Highest at 34.94 %

With ROE of 9.26%, it has a fair valuation with a 1.58 Price to Book Value

The stock is trading at a fair value compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of -4.29%, its profits have risen by 19.6% ; the PEG ratio of the company is 0.9

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 Power)

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

Is Dubai Electricity & Water Authority for you?

Medium Risk, High Return

Absolute

Risk Adjusted

Volatility

Dubai Electricity & Water Authority

-100.0%

0.83

22.98%

Abu Dhabi Securities Exchange

-1.29%

-0.10

12.44%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

6.36%

EBIT Growth (5y)

9.40%

EBIT to Interest (avg)

5.67

Debt to EBITDA (avg)

1.80

Net Debt to Equity (avg)

0.28

Sales to Capital Employed (avg)

0.25

Tax Ratio

9.15%

Dividend Payout Ratio

111.44%

Pledged Shares

Institutional Holding

0.01%

ROCE (avg)

7.67%

ROE (avg)

8.36%

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

1.58

EV to EBIT

15.99

EV to EBITDA

9.68

EV to Capital Employed

1.44

EV to Sales

4.97

PEG Ratio

0.87

Dividend Yield

4.49%

ROCE (Latest)

9.00%

ROE (Latest)

9.26%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Bearish (Daily)

KST

Mildly Bullish

Mildly Bearish

Dow Theory

Mildly Bearish

OBV

Mildly Bullish

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

4What is working for the Company

ROCE(HY)

Highest at 10.03%

RAW MATERIAL COST(Y)

Fallen by -0.18% (YoY

INVENTORY TURNOVER RATIO(HY)

Highest at 13.73 times

-5What is not working for the Company

INTEREST(Q)

At AED 508.55 MM has Grown at 57.93%

DIVIDEND PAYOUT RATIO(Y)

Lowest at 0%

DEBT-EQUITY RATIO (HY)

Highest at 34.94 %

DIVIDEND PER SHARE(HY)

Lowest at AED 7.27

Here's what is working for Dubai Electricity & Water Authority

Inventory Turnover Ratio

Highest at 13.73 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 -0.18% (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 Dubai Electricity & Water Authority

Interest

At AED 508.55 MM has Grown at 57.93%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (AED MM)

Debt-Equity Ratio

Highest at 34.94 %

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

Dividend per share

Lowest at AED 7.27

in the last five years

MOJO Watch

Company is distributing lower dividend than previous years

DPS (AED)

Dividend Payout Ratio

Lowest at 0%

in the last five years

MOJO Watch

Company is distributing lower proportion of profits generated as dividend

DPR (%)