ScoreWhy is Northern Cement Co. ?
1
Poor Management Efficiency with a low ROCE of 7.81%
- The company has been able to generate a Return on Capital Employed (avg) of 7.81% signifying low profitability per unit of total capital (equity and debt)
2
Poor long term growth as Net Sales has grown by an annual rate of 3.46% and Operating profit at -12.72% over the last 5 years
3
Flat results in Jun 25
- INVENTORY TURNOVER RATIO(HY) Lowest at 0.76%
4
With ROE of 4.93%, it has a fair valuation with a 1.65 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 -13.64%, its profits have risen by 34.5% ; the PEG ratio of the company is 1
5
Below par performance in long term as well as near term
- Along with generating -13.64% returns in the last 1 year, the stock has also underperformed Jordan General Index in the last 3 years, 1 year and 3 months
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to Northern Cement Co. should be less than 10%
- Overall Portfolio exposure to Building Products should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Building Products)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Northern Cement Co. for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
Northern Cement Co.
-13.64%
-0.25
46.60%
Jordan General Index
41.13%
4.48
9.22%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
3.46%
EBIT Growth (5y)
-12.72%
EBIT to Interest (avg)
5.65
Debt to EBITDA (avg)
0
Net Debt to Equity (avg)
-0.02
Sales to Capital Employed (avg)
0.75
Tax Ratio
26.21%
Dividend Payout Ratio
94.46%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
7.81%
ROE (avg)
7.03%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
34
Industry P/E
Price to Book Value
1.65
EV to EBIT
30.04
EV to EBITDA
21.63
EV to Capital Employed
1.68
EV to Sales
2.31
PEG Ratio
0.97
Dividend Yield
2.00%
ROCE (Latest)
5.59%
ROE (Latest)
4.93%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bearish
Bearish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bearish
Mildly Bearish
Moving Averages
Bearish (Daily)
KST
Bearish
Mildly Bullish
Dow Theory
No Trend
No Trend
OBV
No Trend
No Trend
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend7What is working for the Company
NET PROFIT(HY)
At JOD 1.42 MM has Grown at 240.4%
RAW MATERIAL COST(Y)
Fallen by -78.86% (YoY
-1What is not working for the Company
INVENTORY TURNOVER RATIO(HY)
Lowest at 0.76%
Here's what is working for Northern Cement Co.
Net Profit
At JOD 1.42 MM has Grown at 240.4%
Year on Year (YoY)MOJO Watch
Near term Net Profit trend is very positive
Net Profit (JOD MM)
Raw Material Cost
Fallen by -78.86% (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 Northern Cement Co.
Inventory Turnover Ratio
Lowest at 0.76%
in the last five Semi-Annual periodsMOJO Watch
Company's pace of selling inventory has slowed
Inventory Turnover Ratio
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
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