Mobile Telecommunications Co. Saudi Arabia (7030) 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

Mobile Telecommunications Co. Saudi Arabia

Why is Mobile Telecommunications Co. Saudi Arabia ?

Poor Management Efficiency with a low ROCE of 5.77%

The company has been able to generate a Return on Capital Employed (avg) of 5.77% signifying low profitability per unit of total capital (equity and debt)

The company is Net-Debt Free

Poor long term growth as Net Sales has grown by an annual rate of 6.77% and Operating profit at 5.55% over the last 5 years
The company is Net-Debt Free
The company has been able to generate a Return on Equity (avg) of 5.62% signifying low profitability per unit of shareholders funds

Poor long term growth as Net Sales has grown by an annual rate of 6.77% and Operating profit at 5.55% over the last 5 years

Flat results in Mar 26

OPERATING CASH FLOW(Y) Lowest at SAR 1,445.95 MM
DEBTORS TURNOVER RATIO(HY) Lowest at 1.55 times
OPERATING PROFIT(Q) Lowest at SAR 803.56 MM

With ROE of 5.56%, it has a very attractive valuation with a 0.93 Price to Book Value

Over the past year, while the stock has generated a return of 2.23%, its profits have risen by 1.3% ; the PEG ratio of the company is 13.2
At the current price, the company has a high dividend yield of 4.5

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 Telecom - Equipment & Accessories)

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

Is Mobile Telecommunications Co. Saudi Arabia for you?

Low Risk, Medium Return

Absolute

Risk Adjusted

Volatility

Mobile Telecommunications Co. Saudi Arabia

2.23%

-0.15

20.22%

Saudi Arabia All Share TASI

-0.13%

-0.01

13.67%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

6.77%

EBIT Growth (5y)

5.55%

EBIT to Interest (avg)

1.45

Debt to EBITDA (avg)

2.04

Net Debt to Equity (avg)

0.74

Sales to Capital Employed (avg)

0.55

Tax Ratio

Tax Ratio is Negative%

Dividend Payout Ratio

74.46%

Pledged Shares

Institutional Holding

ROCE (avg)

5.77%

ROE (avg)

5.62%

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

0.93

EV to EBIT

13.67

EV to EBITDA

5.17

EV to Capital Employed

0.96

EV to Sales

1.63

PEG Ratio

13.24

Dividend Yield

4.47%

ROCE (Latest)

7.00%

ROE (Latest)

5.56%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Mildly Bullish

RSI

No Signal

Bullish

Bollinger Bands

Mildly Bearish

Sideways

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Mildly Bullish

Dow Theory

Mildly Bearish

No Trend

OBV

Mildly Bearish

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

5What is working for the Company

ROCE(HY)

Highest at 6.51%

RAW MATERIAL COST(Y)

Fallen by -8.26% (YoY

PRE-TAX PROFIT(Q)

At SAR 217.27 MM has Grown at 109.98%

NET PROFIT(Q)

At SAR 200.75 MM has Grown at 116.4%

-5What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at SAR 1,445.95 MM

DEBTORS TURNOVER RATIO(HY)

Lowest at 1.55 times

OPERATING PROFIT(Q)

Lowest at SAR 803.56 MM

Here's what is working for Mobile Telecommunications Co. Saudi Arabia

Pre-Tax Profit

At SAR 217.27 MM has Grown at 109.98%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (SAR MM)

Net Profit

At SAR 200.75 MM has Grown at 116.4%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is positive

Net Profit (SAR MM)

Raw Material Cost

Fallen by -8.26% (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 Mobile Telecommunications Co. Saudi Arabia

Debtors Turnover Ratio

Lowest at 1.55 times and Fallen

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

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio

Operating Cash Flow

Lowest at SAR 1,445.95 MM

in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (SAR MM)

Operating Profit

Lowest at SAR 803.56 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (SAR MM)