United Insurance Co. Ltd. (Jordan) (UNIN) 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

First Insurance Co.

Euro Arab Insurance Group PSC

United Insurance Co. Ltd. (Jordan)

The Islamic Insurance Co.

Arabia Insurance Co.- Jordan Ltd.

Why is United Insurance Co. Ltd. (Jordan) ?

Weak Long Term Fundamental Strength with an average Return on Equity (ROE) of 8.20%

Poor long term growth as Net Sales has grown by an annual rate of 17.14% and Operating profit at 0.59%
The company has been able to generate a Return on Equity (avg) of 8.20% signifying low profitability per unit of shareholders funds

Poor long term growth as Net Sales has grown by an annual rate of 17.14% and Operating profit at 0.59%

With a growth in Net Sales of 1.66%, the company declared Very Positive results in Mar 26

The company has declared positive results for the last 2 consecutive quarters
OPERATING CASH FLOW(Y) Highest at JOD 5.1 MM
NET PROFIT(HY) Higher at JOD 1.3 MM
ROCE(HY) Highest at 9.94%

With ROE of 8.65%, it has a fair valuation with a 0.91 Price to Book Value

Over the past year, while the stock has generated a return of -8.63%, its profits have risen by 55.6%

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -8.63% returns in the last 1 year, the stock has also underperformed Jordan General Index in each of the last 3 annual periods

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to United Insurance Co. Ltd. (Jordan) should be less than 10%
Overall Portfolio exposure to Insurance should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Insurance)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is United Insurance Co. Ltd. (Jordan) for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

United Insurance Co. Ltd. (Jordan)

-14.39%

0.66

46.57%

Jordan General Index

46.42%

4.78

10.29%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

17.14%

EBIT Growth (5y)

0.59%

EBIT to Interest (avg)

-0.13

Debt to EBITDA (avg)

Negative Net Debt

Net Debt to Equity (avg)

Sales to Capital Employed (avg)

Tax Ratio

34.94%

Dividend Payout Ratio

67.57%

Pledged Shares

Institutional Holding

ROCE (avg)

0.04%

ROE (avg)

8.20%

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

0.91

EV to EBIT

EV to EBITDA

0.45

EV to Capital Employed

0.18

EV to Sales

0.01

PEG Ratio

Dividend Yield

5.11%

ROCE (Latest)

ROE (Latest)

8.65%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

Mildly Bullish

RSI

Bearish

Bollinger Bands

Mildly Bullish

Bearish

Moving Averages

Mildly Bearish (Daily)

KST

Bullish

Bearish

Dow Theory

No Trend

Mildly Bullish

OBV

Mildly Bullish

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

13What is working for the Company

OPERATING CASH FLOW(Y)

Highest at JOD 5.1 MM

NET PROFIT(HY)

Higher at JOD 1.3 MM

ROCE(HY)

Highest at 9.94%

NET SALES(Q)

Highest at JOD 9.89 MM

RAW MATERIAL COST(Y)

Fallen by 0% (YoY

DEBT-EQUITY RATIO (HY)

Lowest at -45.02 %

-1What is not working for the Company

NET PROFIT(Q)

At JOD 0.29 MM has Fallen at -35.91%

Here's what is working for United Insurance Co. Ltd. (Jordan)

Net Sales

Highest at JOD 9.89 MM and Grown

In each period in the last five periods

MOJO Watch

Near term sales trend is very positive

Net Sales (JOD MM)

Operating Cash Flow

Highest at JOD 5.1 MM

in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (JOD MM)

Debt-Equity Ratio

Lowest at -45.02 %

in the last five Semi-Annual periods

MOJO Watch

The company has been reducing its borrowing as compared to equity capital

Debt-Equity Ratio

Raw Material Cost

Fallen by 0% (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 United Insurance Co. Ltd. (Jordan)

Net Profit

At JOD 0.29 MM has Fallen at -35.91%

over average net sales of the previous four periods of JOD 0.45 MM

MOJO Watch

Near term Net Profit trend is negative

Net Profit (JOD MM)