Why is Ready Mix Concrete & Construction Supplies ?
1
Poor Management Efficiency with a low ROCE of 5.21%
- The company has been able to generate a Return on Capital Employed (avg) of 5.21% signifying low profitability per unit of total capital (equity and debt)
2
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 20.37% and Operating profit at 32.29% 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 7.39% signifying low profitability per unit of shareholders funds
3
Negative results in Jun 25
- OPERATING CASH FLOW(Y) Lowest at JOD 1.39 MM
- NET PROFIT(9M) At JOD 1.98 MM has Grown at -40.08%
- INTEREST(HY) At JOD 0.17 MM has Grown at 27.74%
4
Underperformed the market in the last 1 year
- The stock has generated a return of 1.89% in the last 1 year, much lower than market (Jordan General Index) returns of 41.30%
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 Building Products)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Ready Mix Concrete & Construction Supplies for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
Ready Mix Concrete & Construction Supplies
1.89%
-0.21
32.35%
Jordan General Index
41.13%
4.48
9.22%
Quality key factors
Factor
Value
Sales Growth (5y)
20.37%
EBIT Growth (5y)
32.29%
EBIT to Interest (avg)
1.86
Debt to EBITDA (avg)
4.18
Net Debt to Equity (avg)
0.14
Sales to Capital Employed (avg)
1.39
Tax Ratio
21.73%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
5.21%
ROE (avg)
7.39%
Valuation Key Factors 
Factor
Value
P/E Ratio
9
Industry P/E
Price to Book Value
0.77
EV to EBIT
11.67
EV to EBITDA
6.57
EV to Capital Employed
0.79
EV to Sales
0.55
PEG Ratio
NA
Dividend Yield
NA
ROCE (Latest)
6.77%
ROE (Latest)
8.98%
Technical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Mildly Bearish
RSI
No Signal
No Signal
Bollinger Bands
Bullish
Bullish
Moving Averages
Bullish (Daily)
KST
Bullish
Mildly Bearish
Dow Theory
Mildly Bearish
No Trend
OBV
Bullish
Bullish
Technical Movement
0What is working for the Company
NO KEY POSITIVE TRIGGERS
-11What is not working for the Company
OPERATING CASH FLOW(Y)
Lowest at JOD 1.39 MM
NET PROFIT(9M)
At JOD 1.98 MM has Grown at -40.08%
INTEREST(HY)
At JOD 0.17 MM has Grown at 27.74%
ROCE(HY)
Lowest at 9.39%
RAW MATERIAL COST(Y)
Grown by 34.29% (YoY
INVENTORY TURNOVER RATIO(HY)
Lowest at 24.82%
Here's what is not working for Ready Mix Concrete & Construction Supplies
Interest
At JOD 0.17 MM has Grown at 27.74%
over previous Semi-Annual periodMOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (JOD MM)
Net Profit
At JOD 1.98 MM has Grown at -40.08%
Year on Year (YoY)MOJO Watch
Near term Net Profit trend is negative
Net Profit (JOD MM)
Operating Cash Flow
Lowest at JOD 1.39 MM
in the last three yearsMOJO Watch
The company's cash revenues from business operations are falling
Operating Cash Flows (JOD MM)
Inventory Turnover Ratio
Lowest at 24.82%
in the last five Semi-Annual periodsMOJO Watch
Company's pace of selling inventory has slowed
Inventory Turnover Ratio
Raw Material Cost
Grown by 34.29% (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






