Abu Dhabi Islamic Bank - Egypt - S.A.E

CASE:ADIB Stock Report

Market Cap: ج.م25.5b

Abu Dhabi Islamic Bank - Egypt -E Valuation

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

Valuation Score

5/6

Valuation Score 5/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

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

Below Fair Value: ADIB (EGP42.45) is trading below our estimate of fair value (EGP78.74)

Significantly Below Fair Value: ADIB is trading below fair value by more than 20%.

Key Valuation Metric

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

Key metric: As ADIB is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for ADIB. This is calculated by dividing ADIB's market cap by their current earnings.
What is ADIB's PE Ratio?
PE Ratio3.2x
Earningsج.م7.92b
Market Capج.م25.47b

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for ADIB vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average3.3x
CIEB Credit Agricole - Egypt Bank (S.A.E.)
3.6x4.2%ج.م27.1b
HDBK Housing and Development Bank- Egypt (S.A.E)
2.6x-5.4%ج.م28.7b
CANA Suez Canal Bank (S.A.E)
3.4xn/aج.م12.0b
FAITA Faisal Islamic Bank of Egypt
3.8xn/aUS$583.6m
ADIB Abu Dhabi Islamic Bank - Egypt -E
3.2x1.1%ج.م25.5b

Price-To-Earnings vs Peers: ADIB is good value based on its Price-To-Earnings Ratio (3.2x) compared to the peer average (3.3x).

Price to Earnings Ratio vs Industry

How does ADIB's PE Ratio compare vs other companies in the African Banks Industry?

6 CompaniesPrice / EarningsEstimated GrowthMarket Cap
ADIB 3.2xIndustry Avg. 5.1xNo. of Companies25PE0612182430+
6 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: ADIB is good value based on its Price-To-Earnings Ratio (3.2x) compared to the African Banks industry average (5.1x).

Price to Earnings Ratio vs Fair Ratio

What is ADIB'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.

ADIB PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio3.2x
Fair PE Ratio3.4x

Price-To-Earnings vs Fair Ratio: ADIB is good value based on its Price-To-Earnings Ratio (3.2x) compared to the estimated Fair Price-To-Earnings Ratio (3.4x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst ADIB forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Currentج.م42.45
ج.م57.85
+36.3%
18.2%ج.م80.00ج.م46.90n/a7
Nov ’25ج.م41.26
ج.م54.15
+31.2%
10.7%ج.م62.50ج.م46.90n/a6
Oct ’25ج.م40.48
ج.م54.15
+33.8%
10.7%ج.م62.50ج.م46.90n/a6
Sep ’25ج.م42.50
ج.م54.15
+27.4%
10.7%ج.م62.50ج.م46.90n/a6
Aug ’25ج.م39.04
ج.م54.15
+38.7%
10.7%ج.م62.50ج.م46.92n/a6
Jul ’25ج.م35.83
ج.م53.88
+50.4%
14.5%ج.م62.50ج.م40.75n/a5
Jun ’25ج.م31.80
ج.م53.88
+69.4%
14.5%ج.م62.50ج.م40.75n/a5
May ’25ج.م27.70
ج.م46.83
+69.1%
24.5%ج.م62.50ج.م27.17n/a6
Apr ’25ج.م34.00
ج.م42.81
+25.9%
21.7%ج.م56.17ج.م27.17n/a6
Mar ’25ج.م37.04
ج.م42.81
+15.6%
21.7%ج.م56.17ج.م27.17n/a6
Feb ’25ج.م39.00
ج.م36.15
-7.3%
24.6%ج.م51.17ج.م24.29n/a6
Jan ’25ج.م33.32
ج.م36.15
+8.5%
24.6%ج.م51.17ج.م24.29n/a6
Dec ’24ج.م32.13
ج.م28.30
-11.9%
23.6%ج.م38.33ج.م18.33n/a6
Nov ’24ج.م27.48
ج.م26.28
-4.4%
23.2%ج.م38.33ج.م18.33ج.م41.266
Oct ’24ج.م22.93
ج.م25.52
+11.3%
22.5%ج.م38.33ج.م18.33ج.م40.487
Sep ’24ج.م20.71
ج.م22.50
+8.7%
17.2%ج.م26.50ج.م14.41ج.م42.508
Aug ’24ج.م19.72
ج.م21.96
+11.4%
16.2%ج.م25.83ج.م14.41ج.م39.048
Jul ’24ج.م19.37
ج.م21.96
+13.4%
16.2%ج.م25.83ج.م14.41ج.م35.838
Jun ’24ج.م20.72
ج.م21.19
+2.3%
16.2%ج.م25.83ج.م14.41ج.م31.808
May ’24ج.م17.57
ج.م20.92
+19.1%
17.1%ج.م25.83ج.م14.41ج.م27.707
Apr ’24ج.م15.36
ج.م21.16
+37.8%
16.6%ج.م25.83ج.م14.41ج.م34.007
Mar ’24ج.م16.61
ج.م19.72
+18.8%
15.2%ج.م23.75ج.م14.41ج.م37.048
Feb ’24ج.م17.87
ج.م19.53
+9.3%
11.1%ج.م23.75ج.م17.17ج.م39.006
Jan ’24ج.م14.98
ج.م18.90
+26.2%
15.2%ج.م24.41ج.م14.41ج.م33.327
Dec ’23ج.م13.06
ج.م17.77
+36.1%
18.0%ج.م24.41ج.م14.00ج.م32.137
Nov ’23ج.م10.68
ج.م18.06
+69.1%
16.9%ج.م24.41ج.م14.41ج.م27.487

Analyst Forecast: Target price is more than 20% higher than the current share price, but analysts are not within a statistically confident range of agreement.

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