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ABC

Arab Banking Corporation (B.S.C.) BAX:ABC Stock Report

Last Price

US$0.30

Market Cap

US$922.7m

7D

0%

1Y

1.7%

Updated

29 Jun, 2022

Data

Company Financials
ABC fundamental analysis
Snowflake Score
Valuation2/6
Future Growth0/6
Past Performance4/6
Financial Health5/6
Dividends1/6

ABC Stock Overview

Arab Banking Corporation (B.S.C.) provides wholesale banking services in the Middle East, North Africa, Western Europe, Asia, North America, Latin America, and internationally.

Arab Banking Corporation (B.S.C.) Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Arab Banking Corporation (B.S.C.)
Historical stock prices
Current Share PriceUS$0.30
52 Week HighUS$0.38
52 Week LowUS$0.29
Beta-0.0074
1 Month Change0%
3 Month Change-10.24%
1 Year Change1.71%
3 Year Change-34.22%
5 Year Change-0.67%
Change since IPO-77.08%

Recent News & Updates

Shareholder Returns

ABCBH BanksBH Market
7D0%0.4%-0.2%
1Y1.7%13.7%16.2%

Return vs Industry: ABC underperformed the BH Banks industry which returned 11.7% over the past year.

Return vs Market: ABC underperformed the BH Market which returned 14.2% over the past year.

Price Volatility

Is ABC's price volatile compared to industry and market?
ABC volatility
ABC Average Weekly Movementn/a
Banks Industry Average Movement3.9%
Market Average Movement3.0%
10% most volatile stocks in BH Market4.1%
10% least volatile stocks in BH Market1.5%

Stable Share Price: Insufficient data to determine ABC's volatility over the past 3 months.

Volatility Over Time: Insufficient data to determine ABC's volatility change over the past year.

About the Company

FoundedEmployeesCEOWebsite
1980n/aKhaled Said Kawanhttps://www.bank-abc.com

Arab Banking Corporation (B.S.C.) provides wholesale banking services in the Middle East, North Africa, Western Europe, Asia, North America, Latin America, and internationally. It operates through MENA Subsidiaries, International Wholesale Banking, Group Treasury, ABC Brasil, and Other segments. The company offers wholesale banking services, including project and structured finance services to petrochemicals, oil and gas, power and water, renewable energy, mining and metals, infrastructure, shipping, aviation, and telecommunications; financing and advisory services; financial and capital market services; and traditional documentary credits, guarantees, export credit agency facilities, pre-export financing, forfaiting, and receivables financing services, as well as cutting-edge Islamic structures.

Arab Banking Corporation (B.S.C.) Fundamentals Summary

How do Arab Banking Corporation (B.S.C.)'s earnings and revenue compare to its market cap?
ABC fundamental statistics
Market CapUS$922.70m
Earnings (TTM)US$101.00m
Revenue (TTM)US$808.00m

9.1x

P/E Ratio

0.2x

P/B Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
ABC income statement (TTM)
RevenueUS$808.00m
Cost of RevenueUS$0
Gross ProfitUS$808.00m
Other ExpensesUS$707.00m
EarningsUS$101.00m

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

n/a

Earnings per share (EPS)0.033
Gross Margin100.00%
Net Profit Margin12.50%
Debt/Equity Ratio67.7%

How did ABC perform over the long term?

See historical performance and comparison

Dividends

3.4%

Current Dividend Yield

31%

Payout Ratio
We’ve recently updated our valuation analysis.

Valuation

Is ABC undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

2/6

Valuation Score 2/6

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • PEG Ratio

Key Valuation Metric

Which metric is best to use when looking at relative valuation for ABC?

Other financial metrics that can be useful for relative valuation.

ABC key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenuen/a
Enterprise Value/EBITDAn/a
PEG Ration/a

Price to Earnings Ratio vs Peers

How does ABC's PE Ratio compare to its peers?

ABC PE Ratio vs Peers
The above table shows the PE ratio for ABC vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average12.3x
SALAM Al Salam Bank B.S.C
8.9xn/aب.د194.8m
BBK Bank of Bahrain and Kuwait B.S.C
14.6xn/aب.د784.5m
BARKA Al Baraka Banking Group B.S.C
3.9xn/aUS$391.5m
NBB National Bank of Bahrain BSC
21.8xn/aب.د1.3b
ABC Arab Banking Corporation (B.S.C.)
9.1xn/aUS$922.7m

Price-To-Earnings vs Peers: ABC is good value based on its Price-To-Earnings Ratio (9.1x) compared to the peer average (12.3x).


Price to Earnings Ratio vs Industry

How does ABC's PE Ratio compare vs other companies in the Asian Banks Industry?

Price-To-Earnings vs Industry: ABC is good value based on its Price-To-Earnings Ratio (9.1x) compared to the BH Banks industry average (11.7x)


Price to Earnings Ratio vs Fair Ratio

What is ABC's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

ABC PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio9.1x
Fair PE Ration/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate ABC's Price-To-Earnings Fair Ratio for valuation analysis.


Share Price vs Fair Value

What is the Fair Price of ABC when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: Insufficient data to calculate ABC's fair value for valuation analysis.

Significantly Below Fair Value: Insufficient data to calculate ABC's fair value for valuation analysis.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate ABC's PEG Ratio to determine if it is good value.


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Future Growth

How is Arab Banking Corporation (B.S.C.) forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

Future Growth Score

0/6

Future Growth Score 0/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


11.5%

Forecasted Banks industry annual growth in earnings

In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Arab Banking Corporation (B.S.C.) has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.


Discover growth companies

Past Performance

How has Arab Banking Corporation (B.S.C.) performed over the past 5 years?

Past Performance Score

4/6

Past Performance Score 4/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


-31.5%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: ABC has high quality earnings.

Growing Profit Margin: ABC's current net profit margins (12.5%) are higher than last year (0.6%).


Past Earnings Growth Analysis

Earnings Trend: ABC's earnings have declined by 31.5% per year over the past 5 years.

Accelerating Growth: ABC's earnings growth over the past year (3266.7%) exceeds its 5-year average (-31.5% per year).

Earnings vs Industry: ABC earnings growth over the past year (3266.7%) exceeded the Banks industry 42.3%.


Return on Equity

High ROE: ABC's Return on Equity (2.9%) is considered low.


Discover strong past performing companies

Financial Health

How is Arab Banking Corporation (B.S.C.)'s financial position? (This company is analysed differently as a bank or financial institution)

Financial Health Score

5/6

Financial Health Score 5/6

  • Asset Level

  • Allowance for Bad Loans

  • Low Risk Liabilities

  • Loan Level

  • Low Risk Deposits

  • Level of Bad Loans

Financial Position Analysis


Debt to Equity History and Analysis


Balance Sheet


Financial Institutions Analysis

Asset Level: ABC's Assets to Equity ratio (7.5x) is low.

Allowance for Bad Loans: ABC has a sufficient allowance for bad loans (107%).

Low Risk Liabilities: 83% of ABC's liabilities are made up of primarily low risk sources of funding.

Loan Level: ABC has an appropriate level of Loans to Assets ratio (49%).

Low Risk Deposits: ABC's Loans to Deposits ratio (68%) is appropriate.

Level of Bad Loans: ABC has a high level of bad loans (3.7%).


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Dividend

What is Arab Banking Corporation (B.S.C.) current dividend yield, its reliability and sustainability?

Dividend Score

1/6

Dividend Score 1/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Future Dividend Coverage


3.36%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: ABC's dividend (3.36%) isn’t notable compared to the bottom 25% of dividend payers in the BH market (3.85%).

High Dividend: ABC's dividend (3.36%) is low compared to the top 25% of dividend payers in the BH market (5.92%).


Stability and Growth of Payments

Stable Dividend: ABC has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: ABC has only been paying a dividend for 8 years, and since then payments have fallen.


Current Payout to Shareholders

Earnings Coverage: With its reasonably low payout ratio (30.8%), ABC's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years or that it will be covered by earnings.


Discover strong dividend paying companies

Management

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

5.4yrs

Average management tenure


CEO

Khaled Said Kawan (65 yo)

9.17yrs

Tenure

Dr. Khaled Said Ramadan Kawan, Ph D., has been the Group Chief Executive Officer of Bank ABC since October 2013. He has been Chairman of Banco ABC Brasil S.A. since April 29, 2022.He serves as Chairman of...


Leadership Team

Experienced Management: ABC's management team is seasoned and experienced (5.4 years average tenure).


Board Members

Experienced Board: ABC's board of directors are not considered experienced ( 1 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

Arab Banking Corporation (B.S.C.)'s employee growth, exchange listings and data sources


Key Information

  • Name: Arab Banking Corporation (B.S.C.)
  • Ticker: ABC
  • Exchange: BAX
  • Founded: 1980
  • Industry: Diversified Banks
  • Sector: Banks
  • Implied Market Cap: US$922.705m
  • Shares outstanding: 3.10b
  • Website: https://www.bank-abc.com

Location

  • Arab Banking Corporation (B.S.C.)
  • ABC Tower, Building 152
  • Road 1703, Block 317
  • Manama
  • Bahrain

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/06/29 00:00
End of Day Share Price2022/05/24 00:00
Earnings2022/03/31
Annual Earnings2021/12/31


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.