Arab Real Estate Investment Co.

CASE:RREI Stock Report

Market Cap: ج.م377.0m

Arab Real Estate Investment Valuation

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

Valuation Score

1/6

Valuation Score 1/6

  • 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 RREI when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

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

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


Key Valuation Metric

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

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

The above table shows the Price to Earnings ratio for RREI. This is calculated by dividing RREI's market cap by their current earnings.
What is RREI's PE Ratio?
PE Ratio21.2x
Earningsج.م17.79m
Market Capج.م376.99m

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for RREI vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average84.6x
IDRE Ismailia Development and Real Estate Co
163xn/aج.م516.1m
EALR Arab Company For Land Reclamation
139.9xn/aج.م287.5m
OBRI El-Ebour for Real Estate InvestmentE
22.8xn/aج.م357.2m
UNIT United for Housing & Development -E
12.6xn/aج.م1.5b
RREI Arab Real Estate Investment
21.2xn/aج.م377.0m

Price-To-Earnings vs Peers: RREI is good value based on its Price-To-Earnings Ratio (21.2x) compared to the peer average (84.6x).


Price to Earnings Ratio vs Industry

How does RREI's PE Ratio compare vs other companies in the EG Real Estate Industry?

4 CompaniesPrice / EarningsEstimated GrowthMarket Cap
EMFD Emaar Misr for Development Company (S.A.E.)
3xn/aUS$724.95m
HELI Heliopolis for Housing & Development
1.4x-65.7%US$262.07m
MASR Madinet Masr For Housing and Development
2.8xn/aUS$173.66m
ELKA El Kahera Housing
1.3xn/aUS$34.83m
No more companies available in this PE range
RREI 21.2xIndustry Avg. 17.2xNo. of Companies5PE020406080100+
4 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: RREI is expensive based on its Price-To-Earnings Ratio (21.2x) compared to the EG Real Estate industry average (14.6x).


Price to Earnings Ratio vs Fair Ratio

What is RREI'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.

RREI PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio21.2x
Fair PE Ration/a

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


Analyst Price Targets

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

Analyst Forecast: Insufficient data to show price forecast.


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