ScoreWhy is Middle East Specialized Cables Co. ?
1
Poor Management Efficiency with a low ROCE of 12.09%
- The company has been able to generate a Return on Capital Employed (avg) of 12.09% signifying low profitability per unit of total capital (equity and debt)
2
The company is Net-Debt Free
- Poor long term growth as Net Sales has grown by an annual rate of 22.76% and Operating profit at 64.22% over the last 5 years
- The company is Net-Debt Free
- The company has been able to generate a Return on Equity (avg) of 6.71% signifying low profitability per unit of shareholders funds
3
Flat results in Mar 26
- OPERATING CASH FLOW(Y) Lowest at SAR -66.81 MM
- DEBT-EQUITY RATIO (HY) Highest at 41.99 %
- INVENTORY TURNOVER RATIO(HY) Lowest at 3.89 times
4
With ROE of 17.69%, it has a very attractive valuation with a 1.55 Price to Book Value
- Over the past year, while the stock has generated a return of 4.48%, its profits have risen by 15.9% ; the PEG ratio of the company is 0.6
- At the current price, the company has a high dividend yield of 5
5
Consistent Returns over the last 3 years
- Along with generating 4.48% returns in the last 1 year, the stock has outperformed Saudi Arabia All Share TASI in each of the last 3 annual periods
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to Middle East Specialized Cables Co. should be less than 10%
- Overall Portfolio exposure to Electronics & Appliances should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Electronics & Appliances)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Middle East Specialized Cables Co. for you?
High Risk, Medium Return
Absolute
Risk Adjusted
Volatility
Middle East Specialized Cables Co.
4.48%
0.06
39.88%
Saudi Arabia All Share TASI
-0.13%
-0.01
13.67%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
22.76%
EBIT Growth (5y)
64.22%
EBIT to Interest (avg)
5.56
Debt to EBITDA (avg)
0.75
Net Debt to Equity (avg)
0.18
Sales to Capital Employed (avg)
2.10
Tax Ratio
14.80%
Dividend Payout Ratio
39.35%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
12.09%
ROE (avg)
6.71%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
9
Industry P/E
Price to Book Value
1.55
EV to EBIT
7.67
EV to EBITDA
6.50
EV to Capital Employed
1.46
EV to Sales
0.65
PEG Ratio
0.55
Dividend Yield
4.97%
ROCE (Latest)
18.99%
ROE (Latest)
17.69%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Bullish
Mildly Bullish
Moving Averages
Bullish (Daily)
KST
Bullish
Bearish
Dow Theory
Mildly Bearish
No Trend
OBV
Bullish
No Trend
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend10What is working for the Company
ROCE(HY)
Highest at 21.94%
RAW MATERIAL COST(Y)
Fallen by -12.5% (YoY
NET SALES(Q)
Highest at SAR 462.47 MM
OPERATING PROFIT(Q)
Highest at SAR 49.93 MM
PRE-TAX PROFIT(Q)
Highest at SAR 36.87 MM
NET PROFIT(Q)
Highest at SAR 32.58 MM
EPS(Q)
Highest at SAR 0.81
-18What is not working for the Company
OPERATING CASH FLOW(Y)
Lowest at SAR -66.81 MM
DEBT-EQUITY RATIO
(HY)
Highest at 41.99 %
INVENTORY TURNOVER RATIO(HY)
Lowest at 3.89 times
DEBTORS TURNOVER RATIO(HY)
Lowest at 2.47 times
INTEREST(Q)
Highest at SAR 7.36 MM
Here's what is working for Middle East Specialized Cables Co.
Net Sales
Highest at SAR 462.47 MM
in the last five periodsMOJO Watch
Near term sales trend is positive
Net Sales (SAR MM)
Net Sales
At SAR 462.47 MM has Grown at 36.42%
Year on Year (YoY)MOJO Watch
Near term sales trend is positive
Net Sales (SAR MM)
Operating Profit
Highest at SAR 49.93 MM
in the last five periodsMOJO Watch
Near term Operating Profit trend is positive
Operating Profit (SAR MM)
Pre-Tax Profit
Highest at SAR 36.87 MM
in the last five periodsMOJO Watch
Near term Pre-Tax Profit trend is positive
Pre-Tax Profit (SAR MM)
Net Profit
Highest at SAR 32.58 MM
in the last five periodsMOJO Watch
Near term Net Profit trend is positive
Net Profit (SAR MM)
EPS
Highest at SAR 0.81
in the last five periodsMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (SAR)
Raw Material Cost
Fallen by -12.5% (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 SAR 5.76 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 Middle East Specialized Cables Co.
Operating Cash Flow
Lowest at SAR -66.81 MM and Fallen
In each year in the last three yearsMOJO Watch
The company's cash revenues from business operations are falling
Operating Cash Flows (SAR MM)
Interest
At SAR 7.36 MM has Grown at 18.46%
period on period (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (SAR MM)
Debt-Equity Ratio
Highest at 41.99 % and Grown
In each half year in the last five Semi-Annual periodsMOJO Watch
The company is borrowing more to fund its operations; it's liquidity situation may be stressed
Debt-Equity Ratio
Interest
Highest at SAR 7.36 MM
in the last five periods and Increased by 18.46% (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (SAR MM)
Inventory Turnover Ratio
Lowest at 3.89 times
in the last five Semi-Annual periodsMOJO Watch
Company's pace of selling inventory has slowed
Inventory Turnover Ratio
Debtors Turnover Ratio
Lowest at 2.47 times
in the last five Semi-Annual periodsMOJO Watch
Company's pace of selling Debtors has slowed
Debtors Turnover Ratio
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
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