Undiscovered Gems In Middle East To Watch November 2025

In recent weeks, Gulf markets have shown mixed performance amid rising expectations of a Federal Reserve rate cut and the impact of soft oil prices, which continue to influence investor sentiment across the region. As investors navigate these complex dynamics, identifying stocks with strong fundamentals and resilience to external economic pressures becomes crucial for those seeking potential opportunities in the Middle East's evolving financial landscape.

Top 10 Undiscovered Gems With Strong Fundamentals In The Middle East

Click here to see the full list of 182 stocks from our Middle Eastern Undiscovered Gems With Strong Fundamentals screener.

We'll examine a selection from our screener results.

Analyst I.M.S. Investment Management Services (TASE:ANLT)

Simply Wall St Value Rating: ★★★★★★

Overview: Analyst I.M.S. Investment Management Services Ltd is a publicly owned investment manager with a market capitalization of ₪1.80 billion.

Operations: The company's primary revenue stream is from Investment Management, generating ₪407.51 million, while Investments for Own Account contribute ₪43.29 million. Net profit margin trends indicate fluctuations over recent periods, reflecting the impact of consolidation adjustments amounting to -₪43.29 million on overall profitability.

With a strong presence in the Middle East, ANLT stands out due to its impressive earnings growth of 172.7% over the past year, surpassing the Capital Markets industry average of 35.6%. This debt-free company is not concerned with interest coverage and boasts high-quality non-cash earnings. Despite not being free cash flow positive currently, ANLT's profitability ensures a stable cash runway. Recently added to the S&P Global BMI Index, this inclusion likely enhances its visibility and credibility in global markets, fostering potential growth opportunities for this nimble player in a competitive industry landscape.

• Click here to discover the nuances of Analyst I.M.S. Investment Management Services with our detailed analytical health report.

• Explore historical data to track Analyst I.M.S. Investment Management Services' performance over time in our Past section.

Max Stock (TASE:MAXO)

Simply Wall St Value Rating: ★★★★★☆

Overview: Max Stock Ltd. operates a chain of discount stores across Israel with a market capitalization of ₪3.37 billion.

Operations: Max Stock generates revenue primarily from its retail trade segment, amounting to ₪1.38 billion.

Max Stock, a promising player in the Middle East retail scene, has shown robust financial health with earnings surging 15.9% over the past year, outpacing industry growth. The company boasts a solid debt-to-equity ratio improvement from 54.4% to 15.5% in five years and maintains high-quality earnings. Recent events include an ILS 200 million stake acquisition by an undisclosed buyer, reducing Apax Fund's holdings significantly. With EBIT covering interest payments comfortably at 5.1 times and free cash flow remaining positive, Max Stock seems poised for continued profitability and stability in its market segment.

• Get an in-depth perspective on Max Stock's performance by reading our health report here.

• Review our historical performance report to gain insights into Max Stock's's past performance.

TSG IT Advanced Systems (TASE:TSG)

Simply Wall St Value Rating: ★★★★★☆

Overview: TSG IT Advanced Systems Ltd offers technological products and solutions for security, civil service, and municipal sectors with a market cap of ₪1.08 billion.

Operations: The company's revenue is primarily derived from technological products and solutions for security, civil service, and municipal sectors. The market cap stands at approximately ₪1.08 billion.

TSG IT Advanced Systems, a smaller player in the Middle East's tech scene, reported impressive earnings growth of 55.1% over the past year, outpacing the industry average of 26.3%. The company's net debt to equity ratio stands at a satisfactory 11.5%, indicating prudent financial management. Sales for Q3 reached ILS 109.81 million, up from ILS 84.2 million last year, although net income dipped slightly to ILS 4.58 million from ILS 4.85 million previously. Despite recent share price volatility and a follow-on equity offering worth ILS 103 million, TSG remains free cash flow positive with well-covered interest payments by EBIT (3x).

• Click to explore a detailed breakdown of our findings in TSG IT Advanced Systems' health report.

• Learn about TSG IT Advanced Systems' historical performance.

Seize The Opportunity

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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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