ScoreWhy is Safwa Islamic Bank ?
1
Weak Capital Buffers- the bank has a low Capital Adequacy Ratio of 16.90% signifying inadequate buffers against its risk based assets
- Poor long term growth as Net Interest Income (ex other income) has grown by an annual rate of 0% and Net profit at 21.30%
- Weak Capital Buffers- the bank has a low Capital Adequacy Ratio of 16.90% signifying inadequate buffers against its risk based assets
- The bank has been able to generate a Return on Assets (avg) of 0.50% signifying low profitability per unit of total assets
2
With a growth in Interest of NAN%, the company declared Very Positive results in Dec 25
- The company has declared positive results for the last 6 consecutive quarters
- OPERATING CASH FLOW(Y) Highest at JOD 301.12 MM
- ROCE(HY) Highest at 0.68%
- NII(Q) Highest at JOD 56.57 MM
3
With ROA of 0.53%, it has a fair valuation with a 1.48 Price to Book Value
- The stock is trading at a fair value compared to its peers' average historical valuations
- Over the past year, while the stock has generated a return of 94.32%, its profits have risen by 30.4% ; the PEG ratio of the company is 0.5
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to Safwa Islamic Bank should be less than 10%
- Overall Portfolio exposure to Regional Banks should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Regional Banks)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Safwa Islamic Bank for you?
Medium Risk, High Return
Absolute
Risk Adjusted
Volatility
Safwa Islamic Bank
94.32%
2.72
27.40%
Jordan General Index
38.95%
4.23
9.76%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
44.18%
EBIT Growth (5y)
71.35%
EBIT to Interest (avg)
0
Debt to EBITDA (avg)
0
Net Debt to Equity (avg)
0
Sales to Capital Employed (avg)
0
Tax Ratio
0
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
0
ROE (avg)
0
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
14
Industry P/E
Price to Book Value
1.48
EV to EBIT
1.03
EV to EBITDA
0.99
EV to Capital Employed
3.26
EV to Sales
0.73
PEG Ratio
0.47
Dividend Yield
NA
ROCE (Latest)
317.03%
ROE (Latest)
10.39%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bullish
Mildly Bullish
Moving Averages
Bullish (Daily)
KST
Mildly Bearish
Bullish
Dow Theory
Mildly Bullish
No Trend
OBV
No Trend
Mildly Bullish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend15What is working for the Company
OPERATING CASH FLOW(Y)
Highest at JOD 301.12 MM
ROCE(HY)
Highest at 0.68%
NII(Q)
Highest at JOD 56.57 MM
CREDIT DEPOSIT RATIO(HY)
Highest at 931.37%
NET SALES(Q)
Highest at JOD 56.66 MM
OPERATING PROFIT(Q)
Highest at JOD 43.82 MM
OPERATING PROFIT MARGIN(Q)
Highest at 77.35 %
PRE-TAX PROFIT(Q)
Highest at JOD 13.89 MM
NET PROFIT(Q)
Highest at JOD 8.18 MM
EPS(Q)
Highest at JOD 0.05
-2What is not working for the Company
ROCE(HY)
Lowest at 0.68%
Here's what is working for Safwa Islamic Bank
Operating Cash Flow
Highest at JOD 301.12 MM and Grown
In each year in the last three yearsMOJO Watch
The company has generated higher cash revenues from business operations
Operating Cash Flows (JOD MM)
NII
Highest at JOD 56.57 MM
in the last five periodsMOJO Watch
The bank's income from core business is increasing
NII (JOD MM)
Net Sales
Highest at JOD 56.66 MM
in the last five periodsMOJO Watch
Near term sales trend is positive
Net Sales (JOD MM)
Operating Profit
Highest at JOD 43.82 MM
in the last five periodsMOJO Watch
Near term Operating Profit trend is positive
Operating Profit (JOD MM)
Operating Profit Margin
Highest at 77.35 %
in the last five periodsMOJO Watch
Company's profit margin has improved
Operating Profit to Sales
Pre-Tax Profit
Highest at JOD 13.89 MM
in the last five periodsMOJO Watch
Near term Pre-Tax Profit trend is positive
Pre-Tax Profit (JOD MM)
Net Profit
Highest at JOD 8.18 MM
in the last five periodsMOJO Watch
Near term Net Profit trend is positive
Net Profit (JOD MM)
EPS
Highest at JOD 0.05
in the last five periodsMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (JOD)
Credit Deposit Ratio
Highest at 931.37%
in the last four Semi-Annual periodsMOJO Watch
Bank has been creating proportionately higher loans against its deposits, thereby creating higher revenue generating assets
Credit Deposit Ratio (%)
Depreciation
Highest at JOD 1.36 MM
in the last five periodsMOJO Watch
The expenditure on assets done by the company may have gone into operation
Depreciation (JOD MM)
Here's what is not working for Safwa Islamic Bank
Capital Adequacy Ratio
Lowest at 14.96%
in the last five periodsMOJO Watch
The Bank's capital base vs its risk assets is deteriorating.
CAR (%)
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
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