Sahara International Petrochemical Co. (2310) 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

Sahara International Petrochemical Co.

Why is Sahara International Petrochemical Co. ?

Poor Management Efficiency with a low ROCE of 12.87%

The company has been able to generate a Return on Capital Employed (avg) of 12.87% signifying low profitability per unit of total capital (equity and debt)

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 5.97% and Operating profit at -209.99% 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 13.15% signifying low profitability per unit of shareholders funds

Poor long term growth as Net Sales has grown by an annual rate of 5.97% and Operating profit at -209.99% over the last 5 years

With a fall in EPS of -1355.15%, the company declared Very Negative results in Sep 25

The company has declared negative results for the last 10 consecutive quarters
OPERATING CASH FLOW(Y) Lowest at SAR 1,248.92 MM
ROCE(HY) Lowest at -2.82%
INTEREST(Q) At SAR 36.62 MM has Grown at 70.88%

Risky -

The stock is trading risky as compared to its average historical valuations
Over the past year, while the stock has generated a return of -36.50%, its profits have fallen by -75.6%
At the current price, the company has a high dividend yield of 5.1

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 Specialty Chemicals)

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

Is Sahara International Petrochemical Co. for you?

Medium Risk, Low Return

Absolute

Risk Adjusted

Volatility

Sahara International Petrochemical Co.

-100.0%

-1.86

28.38%

Saudi Arabia All Share TASI

-11.13%

-0.71

15.65%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

5.97%

EBIT Growth (5y)

-209.99%

EBIT to Interest (avg)

8.37

Debt to EBITDA (avg)

0.66

Net Debt to Equity (avg)

0.05

Sales to Capital Employed (avg)

0.42

Tax Ratio

8.37%

Dividend Payout Ratio

170.15%

Pledged Shares

Institutional Holding

ROCE (avg)

12.87%

ROE (avg)

13.15%

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

0.97

EV to EBIT

66.20

EV to EBITDA

13.08

EV to Capital Employed

0.97

EV to Sales

2.10

PEG Ratio

Dividend Yield

5.06%

ROCE (Latest)

1.47%

ROE (Latest)

1.31%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

Bearish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Dow Theory

Mildly Bearish

OBV

Mildly Bullish

Mildly Bearish

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

2What is working for the Company

INVENTORY TURNOVER RATIO(HY)

Highest at 5.38 times

-33What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at SAR 1,248.92 MM

ROCE(HY)

Lowest at -2.82%

INTEREST(Q)

At SAR 36.62 MM has Grown at 70.88%

RAW MATERIAL COST(Y)

Grown by 185.63% (YoY

CASH AND EQV(HY)

Lowest at SAR 2,675.55 MM

DEBT-EQUITY RATIO (HY)

Highest at 8.36 %

NET SALES(Q)

Lowest at SAR 1,365.51 MM

OPERATING PROFIT(Q)

Lowest at SAR -167.69 MM

OPERATING PROFIT MARGIN(Q)

Lowest at -12.28 %

PRE-TAX PROFIT(Q)

Lowest at SAR -422.4 MM

NET PROFIT(Q)

Lowest at SAR -468.7 MM

EPS(Q)

Lowest at SAR -0.65

Here's what is working for Sahara International Petrochemical Co.

Inventory Turnover Ratio

Highest at 5.38 times and Grown

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

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Here's what is not working for Sahara International Petrochemical Co.

Net Sales

At SAR 1,365.51 MM has Fallen at -24.58%

over average net sales of the previous four periods of SAR 1,810.44 MM

MOJO Watch

Near term sales trend is extremely negative

Net Sales (SAR MM)

Pre-Tax Profit

At SAR -422.4 MM has Fallen at -1,041.8%

over average net sales of the previous four periods of SAR 44.85 MM

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (SAR MM)

Net Profit

At SAR -468.7 MM has Fallen at -1,355.86%

over average net sales of the previous four periods of SAR 37.32 MM

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (SAR MM)

Operating Cash Flow

Lowest at SAR 1,248.92 MM and Fallen

In each year in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (SAR MM)

Interest

At SAR 36.62 MM has Grown at 70.88%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (SAR MM)

Net Sales

Lowest at SAR 1,365.51 MM

in the last five periods

MOJO Watch

Near term sales trend is negative

Net Sales (SAR MM)

Operating Profit

Lowest at SAR -167.69 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (SAR MM)

Operating Profit Margin

Lowest at -12.28 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Pre-Tax Profit

Lowest at SAR -422.4 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (SAR MM)

Net Profit

Lowest at SAR -468.7 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (SAR MM)

EPS

Lowest at SAR -0.65

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (SAR)

Cash and Eqv

Lowest at SAR 2,675.55 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Debt-Equity Ratio

Highest at 8.36 %

in the last five Semi-Annual periods

MOJO Watch

The company is borrowing more to fund its operations; it's liquidity situation may be stressed

Debt-Equity Ratio

Raw Material Cost

Grown by 185.63% (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