ScoreWhy is Zahrat Al Waha for Trading Co. ?
1
Poor Management Efficiency with a low ROCE of 8.57%
- The company has been able to generate a Return on Capital Employed (avg) of 8.57% signifying low profitability per unit of total capital (equity and debt)
2
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 2.24% and Operating profit at -19.38% 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 9.70% signifying low profitability per unit of shareholders funds
3
Poor long term growth as Net Sales has grown by an annual rate of 2.24% and Operating profit at -19.38% over the last 5 years
4
The company has declared Negative results for the last 5 consecutive quarters
- NET PROFIT(HY) At SAR -8.97 MM has Grown at -125.85%
- ROCE(HY) Lowest at 0.71%
5
With ROE of 0.51%, it has a very expensive valuation with a 2.09 Price to Book Value
- Over the past year, while the stock has generated a return of -31.70%, its profits have fallen by -94.2%
- At the current price, the company has a high dividend yield of 1.7
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to Zahrat Al Waha for Trading Co. should be less than 10%
- Overall Portfolio exposure to Packaging should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Packaging)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Zahrat Al Waha for Trading Co. for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
Zahrat Al Waha for Trading Co.
-31.17%
-1.01
93.52%
Saudi Arabia All Share TASI
-12.63%
-0.89
14.47%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
2.24%
EBIT Growth (5y)
-19.38%
EBIT to Interest (avg)
4.00
Debt to EBITDA (avg)
2.74
Net Debt to Equity (avg)
0.50
Sales to Capital Employed (avg)
1.07
Tax Ratio
96.35%
Dividend Payout Ratio
83.80%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
8.57%
ROE (avg)
9.70%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
409
Industry P/E
Price to Book Value
2.09
EV to EBIT
37.18
EV to EBITDA
14.10
EV to Capital Employed
1.70
EV to Sales
1.42
PEG Ratio
NA
Dividend Yield
1.73%
ROCE (Latest)
4.58%
ROE (Latest)
0.51%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bearish
Bearish
RSI
No Signal
No Signal
Bollinger Bands
Bearish
Mildly Bearish
Moving Averages
Bearish (Daily)
KST
Bearish
Bearish
Dow Theory
Mildly Bullish
Mildly Bearish
OBV
Mildly Bullish
Mildly Bearish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend5What is working for the Company
INTEREST COVERAGE RATIO(Q)
Highest at 371.51
RAW MATERIAL COST(Y)
Fallen by -11.84% (YoY
DEBT-EQUITY RATIO
(HY)
Lowest at 55.23 %
NET PROFIT(Q)
At SAR 0.4 MM has Grown at 133.57%
-10What is not working for the Company
NET PROFIT(HY)
At SAR -8.97 MM has Grown at -125.85%
ROCE(HY)
Lowest at 0.71%
Here's what is working for Zahrat Al Waha for Trading Co.
Interest Coverage Ratio
Highest at 371.51
in the last five periodsMOJO Watch
The company's ability to manage interest payments is improving
Operating Profit to Interest
Net Profit
At SAR 0.4 MM has Grown at 133.57%
over average net sales of the previous four periods of SAR -1.19 MMMOJO Watch
Near term Net Profit trend is positive
Net Profit (SAR MM)
Debt-Equity Ratio
Lowest at 55.23 %
in the last five Semi-Annual periodsMOJO Watch
The company has been reducing its borrowing as compared to equity capital
Debt-Equity Ratio
Raw Material Cost
Fallen by -11.84% (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
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
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