Irbid District Electricity Co. (IREL) 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

Irbid District Electricity Co.

Jordan Electric Power Co.

Why is Irbid District Electricity Co. ?

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 4.62% and Operating profit at 81.10% 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 36.48% signifying low profitability per unit of shareholders funds

The company declared negative results in Mar'25 after positive results in Dec'24

OPERATING CASH FLOW(Y) Lowest at JOD 28.71 MM
NET PROFIT(HY) At JOD 0.5 MM has Grown at -38.78%
INTEREST(Q) At JOD 1.12 MM has Grown at 14.84%

With ROE of 26.73%, it has a fair valuation with a 3.24 Price to Book Value

The stock is trading at a discount compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of 28.57%, its profits have risen by 103.3% ; the PEG ratio of the company is 1.9

Underperformed the market in the last 1 year

The stock has generated a return of 28.57% in the last 1 year, much lower than market (Jordan General Index) returns of 41.30%

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Irbid District Electricity Co. should be less than 10%
Overall Portfolio exposure to Power should be less than 30%

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

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

Is Irbid District Electricity Co. for you?

Medium Risk, Low Return

Absolute

Risk Adjusted

Volatility

Irbid District Electricity Co.

28.78%

0.54

24.25%

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)

4.62%

EBIT Growth (5y)

81.10%

EBIT to Interest (avg)

4.74

Debt to EBITDA (avg)

2.19

Net Debt to Equity (avg)

1.31

Sales to Capital Employed (avg)

2.42

Tax Ratio

30.08%

Dividend Payout Ratio

71.78%

Pledged Shares

Institutional Holding

ROCE (avg)

17.70%

ROE (avg)

36.48%

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

3.24

EV to EBIT

15.49

EV to EBITDA

6.89

EV to Capital Employed

1.84

EV to Sales

0.58

PEG Ratio

1.93

Dividend Yield

ROCE (Latest)

11.85%

ROE (Latest)

26.73%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

Mildly Bullish

RSI

Bearish

Bollinger Bands

Bullish

Mildly Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Mildly Bullish

Dow Theory

Bearish

No Trend

OBV

Mildly Bullish

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

6What is working for the Company

NET PROFIT(9M)

Higher at JOD 7.45 MM

DEBTORS TURNOVER RATIO(HY)

Highest at 3.16%

-15What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at JOD 28.71 MM

NET PROFIT(HY)

At JOD 0.5 MM has Grown at -38.78%

INTEREST(Q)

At JOD 1.12 MM has Grown at 14.84%

RAW MATERIAL COST(Y)

Grown by 15.21% (YoY

DEBT-EQUITY RATIO (HY)

Highest at 169.31 %

Here's what is working for Irbid District Electricity Co.

Debtors Turnover Ratio

Highest at 3.16%

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Depreciation

Highest at JOD 3.85 MM

in the last five periods

MOJO Watch

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

Depreciation (JOD MM)

Here's what is not working for Irbid District Electricity Co.

Operating Cash Flow

Lowest at JOD 28.71 MM and Fallen

In each year in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (JOD MM)

Interest

At JOD 1.12 MM has Grown at 14.84%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JOD MM)

Net Profit

At JOD 0.5 MM has Grown at -38.78%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is negative

Net Profit (JOD MM)

Debt-Equity Ratio

Highest at 169.31 %

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

Raw Material Cost

Grown by 15.21% (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