Stock Analysis

Middle Eastern Penny Stocks To Watch In May 2025

IBSE:IHGZT
Source: Shutterstock

As Gulf markets experience a downturn amid looming tariff wars and regional tensions, investors are increasingly looking for opportunities that might offer resilience and potential growth. Penny stocks, though an older market term, continue to represent smaller or less-established companies that could provide significant value. By focusing on those with strong financials and clear growth paths, investors can uncover promising opportunities within the Middle Eastern market.

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Top 10 Penny Stocks In The Middle East

NameShare PriceMarket CapRewards & Risks
Katmerciler Arac Üstü Ekipman Sanayi ve Ticaret (IBSE:KATMR)TRY1.74TRY1.87B✅ 2 ⚠️ 2 View Analysis >
Thob Al Aseel (SASE:4012)SAR3.98SAR1.59B✅ 2 ⚠️ 1 View Analysis >
Alarum Technologies (TASE:ALAR)₪2.863₪200.5M✅ 4 ⚠️ 2 View Analysis >
Oil Refineries (TASE:ORL)₪0.908₪2.82B✅ 1 ⚠️ 2 View Analysis >
Menara Ventures Xl - Limited Partnership (TASE:MNRA)₪2.719₪12.49M✅ 1 ⚠️ 4 View Analysis >
Tgi Infrastructures (TASE:TGI)₪2.152₪159.98M✅ 2 ⚠️ 2 View Analysis >
Sharjah Cement and Industrial Development (PJSC) (ADX:SCIDC)AED0.718AED436.73M✅ 2 ⚠️ 2 View Analysis >
Dubai National Insurance & Reinsurance (P.S.C.) (DFM:DNIR)AED3.10AED346.5M✅ 2 ⚠️ 5 View Analysis >
E7 Group PJSC (ADX:E7)AED1.00AED2.04B✅ 3 ⚠️ 2 View Analysis >
Dubai Investments PJSC (DFM:DIC)AED2.37AED10.12B✅ 2 ⚠️ 3 View Analysis >

Click here to see the full list of 96 stocks from our Middle Eastern Penny Stocks screener.

Underneath we present a selection of stocks filtered out by our screen.

Ihlas Gazetecilik (IBSE:IHGZT)

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

Overview: Ihlas Gazetecilik A.S. is engaged in publishing, selling, distributing, and marketing newspapers, books, encyclopedias, brochures, and magazines both in Turkey and internationally with a market cap of TRY1.10 billion.

Operations: Ihlas Gazetecilik A.S. has not reported specific revenue segments, focusing instead on its activities in publishing and distributing various print media within Turkey and internationally.

Market Cap: TRY1.1B

Ihlas Gazetecilik, with a market cap of TRY1.10 billion, has shown significant financial developments. The company turned profitable last year and reported TRY 1,783.8 million in sales for 2024, improving from a net loss to a net income of TRY 114.35 million. Despite facing a large one-off loss impacting recent results, its short-term assets exceed both short and long-term liabilities, indicating strong liquidity management. The Price-To-Earnings ratio of 6.7x suggests it may be undervalued relative to the Turkish market average of 17.9x, though negative operating cash flow indicates potential challenges in covering debt through operations alone.

IBSE:IHGZT Financial Position Analysis as at May 2025
IBSE:IHGZT Financial Position Analysis as at May 2025

Bram Industries (TASE:BRAM)

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

Overview: Bram Industries Ltd., with a market cap of ₪36.71 million, operates through its subsidiaries to develop, produce, and market plastic products using injection-molding technology in Israel.

Operations: The company's revenue primarily comes from its "Packaging for The Food Industry" segment, which generated ₪54.08 million, and its "Unique Products for the Home" segment, contributing ₪0.74 million.

Market Cap: ₪36.71M

Bram Industries Ltd., with a market cap of ₪36.71 million, faces challenges as it remains unprofitable, reporting a net loss of ₪17.46 million for 2024 despite generating sales of ₪49.65 million. The company's short-term assets exceed both its short and long-term liabilities, indicating solid liquidity management. However, its operating cash flow covers only 20% of debt, suggesting potential difficulties in managing financial obligations through operations alone. While the board is considered experienced and the net debt to equity ratio is satisfactory at 18%, declining revenues and increased losses highlight ongoing operational hurdles in the competitive packaging industry landscape.

TASE:BRAM Debt to Equity History and Analysis as at May 2025
TASE:BRAM Debt to Equity History and Analysis as at May 2025

Tgi Infrastructures (TASE:TGI)

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

Overview: Tgi Infrastructures Ltd, with a market cap of ₪159.98 million, operates in Israel where it produces, processes, assembles, and markets mechanical assemblies made of magnesium for the automotive industry.

Operations: The company generates revenue primarily from its Infrastructure and Energy segment, contributing ₪84.35 million, and the Metal and Electrical Industries segment, which accounts for ₪78.42 million.

Market Cap: ₪159.98M

Tgi Infrastructures Ltd, with a market cap of ₪159.98 million, demonstrates financial resilience in the penny stock arena through robust liquidity and debt management. The company's short-term assets significantly surpass both short and long-term liabilities, while its interest payments are well covered by EBIT. Despite a decline in sales to ₪162.77 million for 2024, net income improved to ₪17.26 million, reflecting enhanced profit margins from 6.9% to 9.2%. Although trading below estimated fair value and showing satisfactory debt levels, the dividend yield of 10.03% is not adequately supported by earnings or free cash flow.

TASE:TGI Debt to Equity History and Analysis as at May 2025
TASE:TGI Debt to Equity History and Analysis as at May 2025

Seize The Opportunity

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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About IBSE:IHGZT

Ihlas Gazetecilik

Ihlas Gazetecilik A.S. publishes, sells, distributes, and markets newspapers, books, encyclopedias, brochures, and magazines in Turkey and internationally.

Adequate balance sheet and slightly overvalued.

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