Why is Scientific & Medical Equipment House Co. ?
1
Poor Management Efficiency with a low ROCE of 7.58%
- The company has been able to generate a Return on Capital Employed (avg) of 7.58% 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 10.38% and Operating profit at 35.28% over the last 5 years
- The company is Net-Debt Free
- The company has been able to generate a Return on Equity (avg) of 4.64% signifying low profitability per unit of shareholders funds
3
Flat results in Mar 26
- RAW MATERIAL COST(Y) Grown by 13.8% (YoY)
4
With ROE of 4.45%, it has a very attractive valuation with a 1.84 Price to Book Value
- Over the past year, while the stock has generated a return of -18.06%, its profits have fallen by -52.3%
- At the current price, the company has a high dividend yield of 2.1
5
Consistent Underperformance against the benchmark over the last 3 years
- Along with generating -18.06% returns in the last 1 year, the stock has also underperformed Saudi Arabia All Share TASI in each of the last 3 annual periods
How much should you hold?
- Overall Portfolio exposure to Scientific & Medical Equipment House Co. should be less than 10%
- Overall Portfolio exposure to Tour, Travel Related Services should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Tour, Travel Related Services)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Scientific & Medical Equipment House Co. for you?
Medium Risk, Low Return
Absolute
Risk Adjusted
Volatility
Scientific & Medical Equipment House Co.
-18.06%
-1.38
27.04%
Saudi Arabia All Share TASI
-0.13%
-0.01
13.67%
Quality key factors
Factor
Value
Sales Growth (5y)
10.38%
EBIT Growth (5y)
35.28%
EBIT to Interest (avg)
1.95
Debt to EBITDA (avg)
2.44
Net Debt to Equity (avg)
0.13
Sales to Capital Employed (avg)
1.20
Tax Ratio
40.36%
Dividend Payout Ratio
105.49%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
7.58%
ROE (avg)
4.64%
Valuation Key Factors 
Factor
Value
P/E Ratio
41
Industry P/E
Price to Book Value
1.84
EV to EBIT
25.53
EV to EBITDA
17.93
EV to Capital Employed
1.65
EV to Sales
1.17
PEG Ratio
NA
Dividend Yield
2.14%
ROCE (Latest)
6.46%
ROE (Latest)
4.45%
Technical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bullish
Mildly Bullish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bearish
Mildly Bearish
Moving Averages
Bearish (Daily)
KST
Mildly Bullish
Bearish
Dow Theory
Mildly Bearish
No Trend
OBV
Mildly Bearish
No Trend
Technical Movement
0What is working for the Company
NO KEY POSITIVE TRIGGERS
-1What is not working for the Company
RAW MATERIAL COST(Y)
Grown by 13.8% (YoY
Here's what is not working for Scientific & Medical Equipment House Co.
Raw Material Cost
Grown by 13.8% (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






