Middle Eastern Penny Stocks To Watch In August 2025

As Gulf shares rise on hopes of U.S. Federal Reserve easing and Egypt's market hits record highs, the Middle East is seeing a notable shift in investor sentiment. Amidst these developments, penny stocks—though an older term—remain relevant as they represent opportunities for growth at lower price points. These smaller or newer companies can offer potential upside when supported by strong financials, and we will explore three such promising stocks in this article.

Top 10 Penny Stocks In The Middle East

Click here to see the full list of 77 stocks from our Middle Eastern Penny Stocks screener.

Here's a peek at a few of the choices from the screener.

Ajman Bank PJSC (DFM:AJMANBANK)

Simply Wall St Financial Health Rating: ★★★★☆☆

Overview: Ajman Bank PJSC offers a range of banking products and services to individuals, businesses, and government institutions in the United Arab Emirates with a market capitalization of AED3.99 billion.

Operations: Ajman Bank PJSC generates its revenue through three primary segments: Treasury (AED139.57 million), Consumer Banking (AED302.69 million), and Wholesale Banking (AED395.46 million).

Market Cap: AED3.99B

Ajman Bank PJSC, with a market cap of AED3.99 billion, has shown resilience in its financial performance, becoming profitable recently and maintaining high-quality earnings. The bank's funding is primarily from customer deposits, considered low risk, and it has an appropriate loans-to-deposits ratio of 71%. However, a high level of non-performing loans at 9.8% poses a risk. Recent earnings reports indicate stable net income growth despite a decline in net interest income compared to the previous year. The appointment of Tahir Turksoy as Head of Fintech and AI underscores Ajman Bank's focus on digital transformation and innovation.

• Take a closer look at Ajman Bank PJSC's potential here in our financial health report.
• Evaluate Ajman Bank PJSC's historical performance by accessing our past performance report.

Airtouch Solar (TASE:ARTS)

Simply Wall St Financial Health Rating: ★★★★★☆

Overview: Airtouch Solar Ltd offers autonomous water-free robotic cleaning solutions for solar panels and has a market cap of ₪23.98 million.

Operations: Airtouch Solar generates revenue primarily from its Industrial Automation & Controls segment, which accounted for ₪45.32 million.

Market Cap: ₪23.98M

Airtouch Solar Ltd, with a market cap of ₪23.98 million, is navigating challenges typical for penny stocks, such as high volatility and unprofitability. The company's revenue from its Industrial Automation & Controls segment stands at ₪45.32 million, but it remains unprofitable with negative return on equity (-23.04%). Despite this, Airtouch Solar has more cash than debt and maintains a sufficient cash runway for over three years based on current free cash flow levels. Management and board experience are strengths; however, the stock's high volatility and increased debt-to-equity ratio highlight ongoing financial risks for investors to consider.

• Get an in-depth perspective on Airtouch Solar's performance by reading our balance sheet health report here.
• Assess Airtouch Solar's previous results with our detailed historical performance reports.

Avrot Industries (TASE:AVRT)

Simply Wall St Financial Health Rating: ★★★★★★

Overview: Avrot Industries Ltd specializes in the lining and coating of steel pipes in Israel, with a market cap of ₪171.59 million.

Operations: The company's revenue is primarily derived from coating and wrapping of steel pipes at ₪73.13 million, followed by plastic pipe manufacturing at ₪41.70 million, and subcontractor activity in water and sewage infrastructure contributing ₪22.81 million.

Market Cap: ₪171.59M

Avrot Industries Ltd, with a market cap of ₪171.59 million, has shown significant financial improvement over the past five years. The company's net debt to equity ratio is satisfactory at 3%, and its short-term assets exceed both long-term and short-term liabilities, indicating strong liquidity. Avrot's earnings growth has been robust, increasing by 84.2% over the past year, surpassing industry averages. While its return on equity remains low at 2.6%, profit margins have improved from last year to 2%. Despite high share price volatility recently, debt coverage by operating cash flow is well-managed at 28.7%.

• Click here and access our complete financial health analysis report to understand the dynamics of Avrot Industries.
• Gain insights into Avrot Industries' historical outcomes by reviewing our past performance report.

Next Steps

• Get an in-depth perspective on all 77 Middle Eastern Penny Stocks by using our screener here.
• Want To Explore Some Alternatives? Diversify your portfolio with solid dividend payers offering reliable income streams to weather potential market turbulence.

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com