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ADIB

Abu Dhabi Islamic Bank PJSCADX:ADIB Stock Report

Market Cap

د.إ23.3b

7D

0.3%

1Y

34.0%

Updated

26 Nov, 2021

Data

Company Financials +
ADIB fundamental analysis
Snowflake Score
Valuation1/6
Future Growth1/6
Past Performance3/6
Financial Health4/6
Dividends4/6

ADIB Stock Overview

Abu Dhabi Islamic Bank PJSC, together with its subsidiaries, provides banking, financing, and investing services in the United Arab Emirates and internationally.

Abu Dhabi Islamic Bank PJSC Competitors

First Abu Dhabi Bank P.J.S.C

ADX:FAB

د.إ209.1b

Emirates NBD Bank PJSC

DFM:EMIRATESNBD

د.إ83.1b

Dubai Islamic Bank P.J.S.C

DFM:DIB

د.إ38.7b

Mashreqbank PSC

DFM:MASQ

د.إ15.0b

Price History & Performance

Summary of all time highs, changes and price drops for Abu Dhabi Islamic Bank PJSC
Historical stock prices
Current Share Priceد.إ6.42
52 Week Highد.إ6.45
52 Week Lowد.إ4.59
Beta0.62
1 Month Change10.31%
3 Month Change15.26%
1 Year Change34.03%
3 Year Change60.90%
5 Year Change84.48%
Change since IPO585.90%

Recent News & Updates

Mar 03
Did You Participate In Any Of Abu Dhabi Islamic Bank PJSC's (ADX:ADIB) Respectable 95% Return?

Did You Participate In Any Of Abu Dhabi Islamic Bank PJSC's (ADX:ADIB) Respectable 95% Return?

Stock pickers are generally looking for stocks that will outperform the broader market. And in our experience, buying...

Shareholder Returns

ADIBAE BanksAE Market
7D0.3%-1.9%1.2%
1Y34.0%34.8%51.5%

Return vs Industry: ADIB matched the AE Banks industry which returned 34.8% over the past year.

Return vs Market: ADIB underperformed the AE Market which returned 51.5% over the past year.

Price Volatility

Is ADIB's price volatile compared to industry and market?
ADIB volatility
ADIB Average Weekly Movement2.5%
Banks Industry Average Movement2.8%
Market Average Movement4.8%
10% most volatile stocks in AE Market11.9%
10% least volatile stocks in AE Market2.3%

Stable Share Price: ADIB is less volatile than 75% of AE stocks over the past 3 months, typically moving +/- 3% a week.

Volatility Over Time: ADIB's weekly volatility (3%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
1997n/aSandeep Chouhanhttps://www.adib.ae

Abu Dhabi Islamic Bank PJSC, together with its subsidiaries, provides banking, financing, and investing services in the United Arab Emirates and internationally. It operates through Global Retail Banking, Global Wholesale Banking, Private Banking, Treasury, Real Estate, and Other Operations segments. The company offers current, savings, salary, electron, short term investment, investment deposit, UAE-Egypt, student, business, and merchant accounts; personal, home, debt settlement, car, education, travel, boat, and business finance products; and motor, covered card, medical, personal finance, family, and saving accounts Takaful products.

Abu Dhabi Islamic Bank PJSC Fundamentals Summary

How do Abu Dhabi Islamic Bank PJSC's earnings and revenue compare to its market cap?
ADIB fundamental statistics
Market Capد.إ23.32b
Earnings (TTM)د.إ1.82b
Revenue (TTM)د.إ4.44b

12.8x

P/E Ratio

1.2x

P/B Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
ADIB income statement (TTM)
Revenueد.إ4.44b
Cost of Revenueد.إ0
Gross Profitد.إ4.44b
Expensesد.إ2.62b
Earningsد.إ1.82b

Last Reported Earnings

Sep 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)0.50
Gross Margin100.00%
Net Profit Margin40.92%
Debt/Equity Ratio0%

How did ADIB perform over the long term?

See historical performance and comparison

Dividends

3.2%

Current Dividend Yield

41%

Payout Ratio

Valuation

Is Abu Dhabi Islamic Bank PJSC undervalued compared to its fair value and its price relative to the market?

12.84x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: ADIB (AED6.42) is trading above our estimate of fair value (AED2.38)

Significantly Below Fair Value: ADIB is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: ADIB's PE Ratio (12.8x) is in line with the AE Banks industry average.

PE vs Market: ADIB is good value based on its PE Ratio (12.8x) compared to the AE market (14.3x).


Price to Earnings Growth Ratio

PEG Ratio: ADIB is poor value based on its PEG Ratio (2.1x)


Price to Book Ratio

PB vs Industry: ADIB is overvalued based on its PB Ratio (1.2x) compared to the AE Banks industry average (1x).


Future Growth

How is Abu Dhabi Islamic Bank PJSC forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?

6.0%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: ADIB's forecast earnings growth (6% per year) is below the savings rate (9.1%).

Earnings vs Market: ADIB's earnings (6% per year) are forecast to grow slower than the AE market (8.1% per year).

High Growth Earnings: ADIB's earnings are forecast to grow, but not significantly.

Revenue vs Market: ADIB's revenue (6.4% per year) is forecast to grow faster than the AE market (4.3% per year).

High Growth Revenue: ADIB's revenue (6.4% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: ADIB's Return on Equity is forecast to be low in 3 years time (12.8%).


Past Performance

How has Abu Dhabi Islamic Bank PJSC performed over the past 5 years?

-0.8%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: ADIB has a high level of non-cash earnings.

Growing Profit Margin: ADIB's current net profit margins (40.9%) are higher than last year (34.8%).


Past Earnings Growth Analysis

Earnings Trend: ADIB's earnings have declined by 0.8% per year over the past 5 years.

Accelerating Growth: ADIB's earnings growth over the past year (15.3%) exceeds its 5-year average (-0.8% per year).

Earnings vs Industry: ADIB earnings growth over the past year (15.3%) exceeded the Banks industry 13.5%.


Return on Equity

High ROE: ADIB's Return on Equity (10.5%) is considered low.


Financial Health

How is Abu Dhabi Islamic Bank PJSC's financial position? (This company is analysed differently as a bank or financial institution)


Financial Position Analysis


Debt to Equity History and Analysis


Balance Sheet


Financial Institutions Analysis

Asset Level: ADIB's Assets to Equity ratio (6.7x) is low.

Allowance for Bad Loans: ADIB has a low allowance for bad loans (59%).

Low Risk Liabilities: 96% of ADIB's liabilities are made up of primarily low risk sources of funding.

Loan Level: ADIB has an appropriate level of Loans to Assets ratio (64%).

Low Risk Deposits: ADIB's Loans to Deposits ratio (78%) is appropriate.

Level of Bad Loans: ADIB has a high level of bad loans (7%).


Dividend

What is Abu Dhabi Islamic Bank PJSC current dividend yield, its reliability and sustainability?

3.21%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: ADIB's dividend (3.21%) is higher than the bottom 25% of dividend payers in the AE market (3.07%).

High Dividend: ADIB's dividend (3.21%) is low compared to the top 25% of dividend payers in the AE market (6.07%).


Stability and Growth of Payments

Stable Dividend: ADIB's dividend payments have been volatile in the past 10 years.

Growing Dividend: ADIB's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (41.1%), ADIB's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: ADIB's dividends in 3 years are forecast to be well covered by earnings (49.6% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

1.4yrs

Average management tenure


CEO

Sandeep Chouhan

1.42yrs

Tenure

Mr. Sandeep Chouhan serves as Acting Chief Executive Officer at Abu Dhabi Islamic Bank PJSC since June 2020 and serves as its Chief Operating Officer. He served as the Head of Operations & Technology at Ma...


Leadership Team

Experienced Management: ADIB's management team is not considered experienced ( 1.4 years average tenure), which suggests a new team.


Board Members

Experienced Board: ADIB's board of directors are not considered experienced ( 2.7 years average tenure), which suggests a new board.


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Abu Dhabi Islamic Bank PJSC's employee growth, exchange listings and data sources


Key Information

  • Name: Abu Dhabi Islamic Bank PJSC
  • Ticker: ADIB
  • Exchange: ADX
  • Founded: 1997
  • Industry: Diversified Banks
  • Sector: Banks
  • Market Cap: د.إ23.317b
  • Shares outstanding: 3.63b
  • Website: https://www.adib.ae

Location

  • Abu Dhabi Islamic Bank PJSC
  • PO Box 313
  • Abu Dhabi
  • United Arab Emirates

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/11/26 12:06
End of Day Share Price2021/11/25 00:00
Earnings2021/09/30
Annual Earnings2020/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.