Stock Analysis

Middle Eastern Penny Stocks To Watch In August 2025

As Gulf markets experience a retreat ahead of significant U.S. economic data, investors in the Middle East are closely monitoring developments that could influence regional monetary policies. Despite their somewhat outdated label, penny stocks continue to represent intriguing opportunities for those interested in smaller or newer companies. By focusing on financial strength and potential growth, these stocks can offer both stability and upside, making them worth watching for investors seeking value beyond traditional large-cap investments.

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Top 10 Penny Stocks In The Middle East

NameShare PriceMarket CapRewards & Risks
Maharah for Human Resources (SASE:1831)SAR4.80SAR2.16B✅ 2 ⚠️ 3 View Analysis >
Thob Al Aseel (SASE:4012)SAR3.76SAR1.5B✅ 2 ⚠️ 1 View Analysis >
E7 Group PJSC (ADX:E7)AED1.38AED2.76B✅ 5 ⚠️ 3 View Analysis >
Al Wathba National Insurance Company PJSC (ADX:AWNIC)AED3.30AED683.1M✅ 2 ⚠️ 3 View Analysis >
Dubai National Insurance & Reinsurance (P.S.C.) (DFM:DNIR)AED2.97AED392.7M✅ 2 ⚠️ 4 View Analysis >
Dubai Investments PJSC (DFM:DIC)AED2.86AED12.2B✅ 3 ⚠️ 3 View Analysis >
Al Dhafra Insurance Company P.S.C (ADX:DHAFRA)AED4.86AED486M✅ 1 ⚠️ 2 View Analysis >
Union Properties (DFM:UPP)AED0.85AED3.64B✅ 1 ⚠️ 3 View Analysis >
Sharjah Cement and Industrial Development (PJSC) (ADX:SCIDC)AED0.87AED521.27M✅ 2 ⚠️ 2 View Analysis >
Tgi Infrastructures (TASE:TGI)₪2.814₪213.06M✅ 2 ⚠️ 2 View Analysis >

Click here to see the full list of 79 stocks from our Middle Eastern Penny Stocks screener.

Here we highlight a subset of our preferred stocks from the screener.

National Bank of Umm Al-Qaiwain (PSC) (ADX:NBQ)

Simply Wall St Financial Health Rating: ★★★★☆☆

Overview: National Bank of Umm Al-Qaiwain (PSC) provides retail and corporate banking services in the United Arab Emirates, with a market cap of AED5.04 billion.

Operations: The bank's revenue is primarily derived from Treasury and Investments, contributing AED410.1 million, followed by Retail and Corporate Banking with AED342.24 million.

Market Cap: AED5.04B

National Bank of Umm Al-Qaiwain (PSC) presents a mixed profile for investors interested in penny stocks. The bank's price-to-earnings ratio of 9.4x suggests it may be undervalued relative to the broader AE market, yet its earnings growth has slowed significantly to 0.3% over the past year compared to its robust five-year average of 19.8%. Despite high-quality earnings and an appropriate loans-to-assets ratio, the bank faces challenges with a high level of bad loans at 2.2% and a low return on equity at 8.6%. Recent financial results show steady net income growth but declining net interest income for the first half of 2025, reflecting potential headwinds in maintaining profitability momentum.

ADX:NBQ Financial Position Analysis as at Aug 2025
ADX:NBQ Financial Position Analysis as at Aug 2025

Neft Alsharq For Chemical Industry (SASE:9605)

Simply Wall St Financial Health Rating: ★★★★☆☆

Overview: Neft Alsharq For Chemical Industry Company is involved in the manufacturing and sale of industrial motor oils as well as lithium and calcium greases, with a market capitalization of SAR87.25 million.

Operations: The company generates revenue primarily through its Oil Sales Sector, amounting to SAR62.76 million.

Market Cap: SAR87.25M

Neft Alsharq For Chemical Industry, with a market cap of SAR87.25 million, is navigating the penny stock landscape with mixed results. The company recently launched Petro Neft service centers to expand its direct-to-consumer offerings, aiming for long-term profitability despite short-term margin pressures. Revenue grew modestly by 1.2% last year; however, earnings declined significantly by 40.1%. While its price-to-earnings ratio of 35x is below the industry average, indicating potential value, profit margins have decreased from 7.1% to 4.2%. On a positive note, Neft Alsharq has more cash than debt and covers interest payments comfortably at 12.8x EBIT coverage.

SASE:9605 Debt to Equity History and Analysis as at Aug 2025
SASE:9605 Debt to Equity History and Analysis as at Aug 2025

SavorEat (TASE:SVRT-M)

Simply Wall St Financial Health Rating: ★★★★☆☆

Overview: SavorEat Ltd. is a company that develops cellulose-based meat substitutes aimed at replicating the eating experience of traditional meat, with a market cap of ₪5.37 million.

Operations: Currently, there are no specific revenue segments reported for SavorEat Ltd.

Market Cap: ₪5.37M

SavorEat Ltd., with a market cap of ₪5.37 million, is navigating the penny stock landscape in the Middle East as a pre-revenue company focused on cellulose-based meat substitutes. Recent strategic moves include a collaboration with The Moseley Group to support the U.S. launch of its AI-powered Robot-Chef 2.0 platform, enhancing commercial capabilities and partnerships. Despite being debt-free and having short-term assets exceeding liabilities, SavorEat faces challenges such as high share price volatility and less than a year of cash runway if current cash flow trends persist, alongside ongoing losses without significant revenue streams yet established.

TASE:SVRT-M Debt to Equity History and Analysis as at Aug 2025
TASE:SVRT-M Debt to Equity History and Analysis as at Aug 2025

Taking Advantage

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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