Esterad Investment Company BSC (BAX:ESTERAD) - Share price, News & Analysis

ESTERAD fundamental analysis
Snowflake Score
Valuation	3/6
Future Growth	0/6
Past Performance	5/6
Financial Health	2/6
Dividends	2/6

ESTERAD Stock Overview

Esterad Investment Company BSC is a publicly owned investment manager.

Rewards

PE ratio (10.7x) is below the BH market (13.8x)

Earnings grew by 121.6% over the past year

Risk Analysis

Shares are highly illiquid

Dividend of 4.44% is not well covered by earnings

Does not have a meaningful market cap (BHD19M)

Esterad Investment Company BSC Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Esterad Investment Company BSC
Historical stock prices
Current Share Price	ب.د0.14
52 Week High	ب.د0.14
52 Week Low	ب.د0.13
Beta	0.20
1 Month Change	-3.57%
3 Month Change	1.50%
1 Year Change	n/a
3 Year Change	12.50%
5 Year Change	16.38%
Change since IPO	-61.81%

Shareholder Returns

	ESTERAD	BH Capital Markets	BH Market
7D	0%	0.2%	-3.4%
1Y	n/a	-18.7%	31.1%

Return vs Industry: Insufficient data to determine how ESTERAD performed against the BH Capital Markets industry.

Return vs Market: Insufficient data to determine how ESTERAD performed against the BH Market.

Price Volatility

Is ESTERAD's price volatile compared to industry and market?
ESTERAD volatility
ESTERAD Average Weekly Movement	n/a
Capital Markets Industry Average Movement	6.0%
Market Average Movement	2.5%
10% most volatile stocks in BH Market	6.5%
10% least volatile stocks in BH Market	1.7%

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

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

About the Company

Founded	Employees	CEO	Website
1973	12	Ahmed Abdulrahman	https://www.esterad.net

Esterad Investment Company BSC is a publicly owned investment manager. The firm invests in the public equity, fixed income, and alternative investment markets across the globe. Its alternative investments include investment in private equity and real estate markets.

Esterad Investment Company BSC Fundamentals Summary

How do Esterad Investment Company BSC's earnings and revenue compare to its market cap?
ESTERAD fundamental statistics
Market Cap	ب.د18.83m
Earnings (TTM)	ب.د1.76m
Revenue (TTM)	ب.د3.34m

10.7x

P/E Ratio

5.6x

P/S Ratio

Is ESTERAD overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report
ESTERAD income statement (TTM)
Revenue	ب.د3.34m
Cost of Revenue	ب.د0
Gross Profit	ب.د3.34m
Other Expenses	ب.د1.58m
Earnings	ب.د1.76m

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

n/a

Earnings per share (EPS)	0.013
Gross Margin	100.00%
Net Profit Margin	52.66%
Debt/Equity Ratio	23.1%

How did ESTERAD perform over the long term?

See historical performance and comparison

Dividends

4.4%

Current Dividend Yield

48%

Payout Ratio

Valuation

Is Esterad Investment Company BSC undervalued compared to its fair value and its price relative to the market?

Valuation Score

3/6

Valuation Score 3/6

Below Fair Value
Significantly Below Fair Value
PE vs Industry
PE vs Market
PEG Ratio
PB vs Industry

10.72x

Price to Earnings (PE) ratio

Share Price vs. Fair Value

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

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

Price To Earnings Ratio

PE vs Industry: ESTERAD is good value based on its PE Ratio (10.7x) compared to the Asian Capital Markets industry average (13x).

PE vs Market: ESTERAD is good value based on its PE Ratio (10.7x) compared to the BH market (13.8x).

Price to Earnings Growth Ratio

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

Price to Book Ratio

PB vs Industry: ESTERAD is good value based on its PB Ratio (0.6x) compared to the XA Capital Markets industry average (1x).

Future Growth

How is Esterad Investment Company BSC 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

14.7%

Forecasted Diversified Financials 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 Esterad Investment Company BSC 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.

Past Performance

How has Esterad Investment Company BSC performed over the past 5 years?

Past Performance Score

5/6

Past Performance Score 5/6

Quality Earnings
Growing Profit Margin
Earnings Trend
Accelerating Growth
Earnings vs Industry
High ROE

10.3%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: ESTERAD has high quality earnings.

Growing Profit Margin: ESTERAD's current net profit margins (52.7%) are higher than last year (37.8%).

Past Earnings Growth Analysis

Earnings Trend: ESTERAD's earnings have grown by 10.3% per year over the past 5 years.

Accelerating Growth: ESTERAD's earnings growth over the past year (121.6%) exceeds its 5-year average (10.3% per year).

Earnings vs Industry: ESTERAD earnings growth over the past year (121.6%) exceeded the Capital Markets industry 31.9%.

Return on Equity

High ROE: ESTERAD's Return on Equity (5.2%) is considered low.

Financial Health

How is Esterad Investment Company BSC's financial position?

Financial Health Score

2/6

Financial Health Score 2/6

Short Term Liabilities
Long Term Liabilities
Debt Level
Reducing Debt
Debt Coverage
Interest Coverage

Financial Position Analysis

Short Term Liabilities: ESTERAD's short term assets (BHD4.2M) do not cover its short term liabilities (BHD7.8M).

Long Term Liabilities: ESTERAD's short term assets (BHD4.2M) do not cover its long term liabilities (BHD6.4M).

Debt to Equity History and Analysis

Debt Level: ESTERAD's net debt to equity ratio (10.8%) is considered satisfactory.

Reducing Debt: ESTERAD's debt to equity ratio has increased from 16.8% to 23.1% over the past 5 years.

Debt Coverage: ESTERAD's operating cash flow is negative, therefore debt is not well covered.

Interest Coverage: ESTERAD's interest payments on its debt are well covered by EBIT (5.2x coverage).

Balance Sheet

Dividend

What is Esterad Investment Company BSC current dividend yield, its reliability and sustainability?

Dividend Score

2/6

Dividend Score 2/6

Notable Dividend
High Dividend
Stable Dividend
Growing Dividend
Earnings Coverage
Future Dividend Coverage

4.44%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: ESTERAD's dividend (4.44%) is higher than the bottom 25% of dividend payers in the BH market (3.73%).

High Dividend: ESTERAD's dividend (4.44%) is low compared to the top 25% of dividend payers in the BH market (5.59%).

Stability and Growth of Payments

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

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

Earnings Payout to Shareholders

Earnings Coverage: With its reasonably low payout ratio (47.7%), ESTERAD's dividend payments are well covered by earnings.

Cash Payout to Shareholders

Cash Flow Coverage: ESTERAD is paying a dividend but the company has no free cash flows.

Next Steps

Explore strong dividend paying companies in the Diversified Financials industry.

Management

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

1.8yrs

Average management tenure

CEO

Ahmed Abdulrahman

1.42yrs

Tenure

Mr. Ahmed Abdulwahed Abdulrahman serves as Chief Executive Officer at Esterad Investment Company BSC since December 1, 2020. He serves as a Non-Executive Independent Director of Bahrain Telecommunications...

Leadership Team

Experienced Management: ESTERAD's management team is not considered experienced ( 1.8 years average tenure), which suggests a new team.

Board Members

Experienced Board: ESTERAD's board of directors are considered experienced (3.4 years average tenure).

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.

Data	Last Updated (UTC time)
Company Analysis	2022/05/17 00:00
End of Day Share Price	2022/05/09 00:00
Earnings	2022/03/31
Annual Earnings	2021/12/31