ScoreWhy is Savola Group ?
1
Poor Management Efficiency with a low ROCE of 9.02%
- The company has been able to generate a Return on Capital Employed (avg) of 9.02% signifying low profitability per unit of total capital (equity and debt)
2
The company is Net-Debt Free
- Poor long term growth as Net Sales has grown by an annual rate of 3.56% and Operating profit at 1.94% over the last 5 years
- The company is Net-Debt Free
- The company has been able to generate a Return on Equity (avg) of 56.84% signifying low profitability per unit of shareholders funds
3
Poor long term growth as Net Sales has grown by an annual rate of 3.56% and Operating profit at 1.94% over the last 5 years
4
Flat results in Mar 26
- NET PROFIT(HY) At SAR 465.53 MM has Grown at -95.91%
- INTEREST(Q) At SAR 125.03 MM has Grown at inf%
5
With ROE of 18.53%, it has a very attractive valuation with a 1.33 Price to Book Value
- Over the past year, while the stock has generated a return of 4.72%, its profits have fallen by -91.3%
6
Consistent Returns over the last 3 years
- Along with generating 4.72% returns in the last 1 year, the stock has outperformed Saudi Arabia All Share TASI in each of the last 3 annual periods
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to Savola Group should be less than 10%
- Overall Portfolio exposure to Other Agricultural Products should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Other Agricultural Products)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Savola Group for you?
Medium Risk, Medium Return
Absolute
Risk Adjusted
Volatility
Savola Group
4.72%
0.30
32.07%
Saudi Arabia All Share TASI
-0.13%
-0.01
13.67%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
3.56%
EBIT Growth (5y)
1.94%
EBIT to Interest (avg)
1.30
Debt to EBITDA (avg)
2.56
Net Debt to Equity (avg)
0.12
Sales to Capital Employed (avg)
2.39
Tax Ratio
4.93%
Dividend Payout Ratio
60.39%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
9.02%
ROE (avg)
56.84%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
7
Industry P/E
Price to Book Value
1.33
EV to EBIT
8.13
EV to EBITDA
3.84
EV to Capital Employed
1.26
EV to Sales
0.33
PEG Ratio
NA
Dividend Yield
NA
ROCE (Latest)
15.49%
ROE (Latest)
18.53%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Mildly Bullish
RSI
No Signal
No Signal
Bollinger Bands
Bullish
Bullish
Moving Averages
Bullish (Daily)
KST
Bullish
Bearish
Dow Theory
Mildly Bullish
Mildly Bullish
OBV
No Trend
No Trend
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend9What is working for the Company
OPERATING CASH FLOW(Y)
Highest at SAR 1,857.41 MM
RAW MATERIAL COST(Y)
Fallen by -1.73% (YoY
INVENTORY TURNOVER RATIO(HY)
Highest at 5.54 times
NET SALES(Q)
Highest at SAR 7,292.15 MM
OPERATING PROFIT(Q)
Highest at SAR 699.85 MM
OPERATING PROFIT MARGIN(Q)
Highest at 9.6 %
PRE-TAX PROFIT(Q)
Highest at SAR 334.99 MM
-10What is not working for the Company
NET PROFIT(HY)
At SAR 465.53 MM has Grown at -95.91%
INTEREST(Q)
At SAR 125.03 MM has Grown at inf%
Here's what is working for Savola Group
Operating Cash Flow
Highest at SAR 1,857.41 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 (SAR MM)
Net Sales
Highest at SAR 7,292.15 MM
in the last five periodsMOJO Watch
Near term sales trend is positive
Net Sales (SAR MM)
Operating Profit
Highest at SAR 699.85 MM
in the last five periodsMOJO Watch
Near term Operating Profit trend is positive
Operating Profit (SAR MM)
Operating Profit Margin
Highest at 9.6 %
in the last five periodsMOJO Watch
Company's profit margin has improved
Operating Profit to Sales
Pre-Tax Profit
Highest at SAR 334.99 MM
in the last five periodsMOJO Watch
Near term Pre-Tax Profit trend is positive
Pre-Tax Profit (SAR MM)
Inventory Turnover Ratio
Highest at 5.54 times
in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its inventory faster
Inventory Turnover Ratio
Raw Material Cost
Fallen by -1.73% (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 Savola Group
Net Profit
At SAR 465.53 MM has Grown at -95.91%
Year on Year (YoY)MOJO Watch
Near term Net Profit trend is very negative
Net Profit (SAR MM)
Interest
At SAR 125.03 MM has Grown at inf%
period on period (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (SAR MM)
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