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RREI

Arab Real Estate InvestmentCASE:RREI Stock Report

Market Cap

ج.م179.4m

7D

-0.1%

1Y

-5.7%

Updated

25 Oct, 2021

Data

Company Financials
RREI fundamental analysis
Snowflake Score
Valuation1/6
Future Growth0/6
Past Performance2/6
Financial Health5/6
Dividends0/6

RREI Overview

Arab Real Estate Investment Co. engages in the real estate business in Egypt.

Price History & Performance

Summary of all time highs, changes and price drops for Arab Real Estate Investment
Historical stock prices
Current Share Priceج.م0.73
52 Week Highج.م0.69
52 Week Lowج.م1.76
Beta0.62
1 Month Change-10.39%
3 Month Change-39.02%
1 Year Change-5.66%
3 Year Change40.96%
5 Year Change22.17%
Change since IPO-95.58%

Recent News & Updates

Shareholder Returns

RREIEG Real EstateEG Market
7D-0.1%-5.9%3.0%
1Y-5.7%27.3%12.4%

Return vs Industry: RREI underperformed the EG Real Estate industry which returned 17% over the past year.

Return vs Market: RREI underperformed the EG Market which returned 12.2% over the past year.

Price Volatility

Is RREI's price volatile compared to industry and market?
RREI volatility
RREI Beta0.62
Industry Beta0.80
Market Beta1

Stable Share Price: RREI is not significantly more volatile than the rest of EG stocks over the past 3 months, typically moving +/- 7% a week.

Volatility Over Time: RREI's weekly volatility (7%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
1991n/aSameh Harfouchhttps://www.arabianrealestate-aleco.com

Arab Real Estate Investment Co. engages in the real estate business in Egypt. The company invests and develops building, housing, tourism, and industrial projects; and leases and administrates theatres, cinemas, hospitals, schools, sporting and entertaining buildings, markets, and garages. It also purchases, possess, and divides land for the purpose of building and selling with necessary utilities; and maintains and manages administrative and housing compounds.

Arab Real Estate Investment Fundamentals Summary

How do Arab Real Estate Investment's earnings and revenue compare to its market cap?
RREI fundamental statistics
Market Capج.م179.38m
Earnings (TTM)ج.م8.83m
Revenue (TTM)ج.م37.24m

20.5x

P/E Ratio

4.9x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
RREI income statement (TTM)
Revenueج.م37.24m
Cost of Revenueج.م31.34m
Gross Profitج.م5.90m
Expenses-ج.م2.94m
Earningsج.م8.83m

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)0.036
Gross Margin15.83%
Net Profit Margin23.72%
Debt/Equity Ratio0.06%

How did RREI perform over the long term?

See historical performance and comparison

Valuation

Is Arab Real Estate Investment undervalued compared to its fair value and its price relative to the market?

20.45x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate RREI's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate RREI's fair value to establish if it is undervalued.


Price To Earnings Ratio

PE vs Industry: RREI is poor value based on its PE Ratio (20.5x) compared to the African Real Estate industry average (11.2x).

PE vs Market: RREI is poor value based on its PE Ratio (20.5x) compared to the EG market (8.8x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: RREI is good value based on its PB Ratio (0.5x) compared to the XF Real Estate industry average (0.6x).


Future Growth

How is Arab Real Estate Investment forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

11.8%

Forecasted Real Estate 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 Real Estate Investment 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 Arab Real Estate Investment performed over the past 5 years?

20.1%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: RREI has a large one-off gain of EGP5.5M impacting its June 30 2021 financial results.

Growing Profit Margin: RREI's current net profit margins (23.7%) are higher than last year (22.7%).


Past Earnings Growth Analysis

Earnings Trend: RREI's earnings have grown significantly by 20.1% per year over the past 5 years.

Accelerating Growth: RREI's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: RREI had negative earnings growth (-8.3%) over the past year, making it difficult to compare to the Real Estate industry average (2.6%).


Return on Equity

High ROE: RREI's Return on Equity (2.6%) is considered low.


Financial Health

How is Arab Real Estate Investment's financial position?


Financial Position Analysis

Short Term Liabilities: RREI's short term assets (EGP444.3M) exceed its short term liabilities (EGP208.4M).

Long Term Liabilities: RREI has no long term liabilities.


Debt to Equity History and Analysis

Debt Level: RREI's debt to equity ratio (0.06%) is considered satisfactory.

Reducing Debt: RREI's debt to equity ratio has reduced from 1.4% to 0.06% over the past 5 years.

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

Interest Coverage: RREI earns more interest than it pays, so coverage of interest payments is not a concern.


Balance Sheet


Dividend

What is Arab Real Estate Investment current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate RREI's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate RREI's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if RREI's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if RREI's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of RREI's dividend in 3 years as they are not forecast to pay a notable one for the EG market.


Next Steps

Management

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


CEO

Sameh Harfouch

no data

Tenure

Sameh Saleem Harfouch serves as the Chairman and Managing Director at Arab Real Estate Investment.


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 Real Estate Investment Co.'s employee growth, exchange listings and data sources


Key Information

  • Name: Arab Real Estate Investment Co.
  • Ticker: RREI
  • Exchange: CASE
  • Founded: 1991
  • Industry: Real Estate Development
  • Sector: Real Estate
  • Market Cap: ج.م179.379m
  • Shares outstanding: 246.40m
  • Website: https://www.arabianrealestate-aleco.com

Location

  • Arab Real Estate Investment Co.
  • 8 Mohammed Khader Hussein Street
  • Ard Elgolf
  • Cairo
  • Egypt

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/10/25 16:48
End of Day Share Price2021/10/25 00:00
Earnings2021/06/30
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.