Emirates Integrated Telecommunications Co. PSJC (DU) 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

Emirates Integrated Telecommunications Co. PSJC

Al Yah Satellite Communications Co. PJSC

Why is Emirates Integrated Telecommunications Co. PSJC ?

Company's ability to service its debt is strong with a healthy EBIT to Interest (avg) ratio of 27.04

Low Debt Company with Strong Long Term Fundamental Strength

The company has declared Positive results for the last 12 consecutive quarters

OPERATING CASH FLOW(Y) Highest at AED 5,365.12 MM
ROCE(HY) Highest at 31.26%
DEBTORS TURNOVER RATIO(HY) Highest at 7.14 times

With ROE of 32.90%, it has a fair valuation with a 5.83 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 7.29%, its profits have risen by 15.7% ; the PEG ratio of the company is 1.1

Consistent Returns over the last 3 years

Along with generating 7.29% returns in the last 1 year, the stock has outperformed Abu Dhabi Securities Exchange in each of the last 3 annual periods

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Emirates Integrated Telecommunications Co. PSJC should be less than 10%
Overall Portfolio exposure to Telecom - Equipment & Accessories should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Telecom - Equipment & Accessories)

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

Is Emirates Integrated Telecommunications Co. PSJC for you?

Low Risk, High Return

Absolute

Risk Adjusted

Volatility

Emirates Integrated Telecommunications Co. PSJC

7.29%

4.73

20.71%

Abu Dhabi Securities Exchange

-1.29%

-0.11

12.44%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

8.05%

EBIT Growth (5y)

38.85%

EBIT to Interest (avg)

38.17

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.24

Sales to Capital Employed (avg)

1.48

Tax Ratio

43.57%

Dividend Payout Ratio

99.86%

Pledged Shares

Institutional Holding

ROCE (avg)

42.79%

ROE (avg)

19.47%

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

5.83

EV to EBIT

9.55

EV to EBITDA

6.79

EV to Capital Employed

7.53

EV to Sales

3.16

PEG Ratio

1.13

Dividend Yield

5.42%

ROCE (Latest)

78.85%

ROE (Latest)

32.90%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

No Signal

Bullish

Bollinger Bands

Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Mildly Bearish

Dow Theory

No Trend

OBV

Bullish

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

13What is working for the Company

OPERATING CASH FLOW(Y)

Highest at AED 5,365.12 MM

ROCE(HY)

Highest at 31.26%

DEBTORS TURNOVER RATIO(HY)

Highest at 7.14 times

DIVIDEND PER SHARE(HY)

Highest at AED 7.14

INTEREST COVERAGE RATIO(Q)

Highest at 10,058.47

RAW MATERIAL COST(Y)

Fallen by -5.27% (YoY

INVENTORY TURNOVER RATIO(HY)

Highest at 66.8 times

-2What is not working for the Company

DIVIDEND PAYOUT RATIO(Y)

Lowest at 147.73%

DEBT-EQUITY RATIO (HY)

Highest at 14.33 %

Here's what is working for Emirates Integrated Telecommunications Co. PSJC

Operating Cash Flow

Highest at AED 5,365.12 MM and Grown

In each year in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (AED MM)

Interest Coverage Ratio

Highest at 10,058.47

in the last five periods

MOJO Watch

The company's ability to manage interest payments is improving

Operating Profit to Interest

Debtors Turnover Ratio

Highest at 7.14 times and Grown

In each half year in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Dividend per share

Highest at AED 7.14 and Grown

In each year in the last five years

MOJO Watch

Company is distributing higher dividend from profits generated

DPS (AED)

Inventory Turnover Ratio

Highest at 66.8 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 -5.27% (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

Depreciation

Highest at AED 573.44 MM

in the last five periods

MOJO Watch

The expenditure on assets done by the company may have gone into operation

Depreciation (AED MM)

Here's what is not working for Emirates Integrated Telecommunications Co. PSJC

Debt-Equity Ratio

Highest at 14.33 %

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 Payout Ratio

Lowest at 147.73%

in the last five years

MOJO Watch

Company is distributing lower proportion of profits generated as dividend

DPR (%)