SASE:4001

Stock Analysis Report

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Market Cap

ر.س10.6b

Last Updated

2021/07/30 14:04 UTC

Data Sources

Company Financials +

Executive Summary

Abdullah Al-Othaim Markets Company, together with its subsidiaries, engages in the wholesale and retail trade of food supplies and other products in the Kingdom of Saudi Arabia and Egypt. More Details


Snowflake Analysis

Excellent balance sheet with proven track record and pays a dividend.


Similar Companies

Share Price & News

How has Abdullah Al-Othaim Markets's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: 4001 is less volatile than 75% of SA stocks over the past 3 months, typically moving +/- 2% a week.

Volatility Over Time: 4001's weekly volatility (2%) has been stable over the past year.


Market Performance


7 Day Return

1.0%

4001

-0.3%

SA Consumer Retailing

0.3%

SA Market


1 Year Return

-0.5%

4001

-0.2%

SA Consumer Retailing

14.8%

SA Market

Return vs Industry: 4001 matched the SA Consumer Retailing industry which returned -0.2% over the past year.

Return vs Market: 4001 underperformed the SA Market which returned 14.8% over the past year.


Shareholder returns

4001IndustryMarket
7 Day1.0%-0.3%0.3%
30 Day-5.0%-2.6%-1.1%
90 Day-12.4%-1.7%0.02%
1 Year4.3%-0.5%1.6%-0.2%19.2%14.8%
3 Year81.6%60.9%10.4%4.5%42.2%29.2%
5 Year180.4%135.7%30.2%18.0%104.7%74.0%

Long-Term Price Volatility Vs. Market

How volatile is Abdullah Al-Othaim Markets's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Abdullah Al-Othaim Markets undervalued compared to its fair value and its price relative to the market?

26.3x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: 4001 (SAR117.8) is trading above our estimate of fair value (SAR104.54)

Significantly Below Fair Value: 4001 is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: 4001 is poor value based on its PE Ratio (26.3x) compared to the Asian Consumer Retailing industry average (17.7x).

PE vs Market: 4001 is good value based on its PE Ratio (26.3x) compared to the SA market (33.9x).


Price to Earnings Growth Ratio

PEG Ratio: 4001 is poor value based on its PEG Ratio (2.4x)


Price to Book Ratio

PB vs Industry: 4001 is overvalued based on its PB Ratio (8.1x) compared to the XA Consumer Retailing industry average (1.5x).


Future Growth

How is Abdullah Al-Othaim Markets forecast to perform in the next 1 to 3 years based on estimates from 10 analysts?

10.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 4001's forecast earnings growth (10.8% per year) is above the savings rate (8.8%).

Earnings vs Market: 4001's earnings (10.8% per year) are forecast to grow faster than the SA market (6.8% per year).

High Growth Earnings: 4001's earnings are forecast to grow, but not significantly.

Revenue vs Market: 4001's revenue (7.2% per year) is forecast to grow faster than the SA market (3.3% per year).

High Growth Revenue: 4001's revenue (7.2% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: 4001's Return on Equity is forecast to be high in 3 years time (32.7%)


Past Performance

How has Abdullah Al-Othaim Markets performed over the past 5 years?

13.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 4001 has high quality earnings.

Growing Profit Margin: 4001's current net profit margins (4.7%) are higher than last year (4.4%).


Past Earnings Growth Analysis

Earnings Trend: 4001's earnings have grown by 13.2% per year over the past 5 years.

Accelerating Growth: 4001's earnings growth over the past year (5.6%) is below its 5-year average (13.2% per year).

Earnings vs Industry: 4001 earnings growth over the past year (5.6%) underperformed the Consumer Retailing industry 15.7%.


Return on Equity

High ROE: 4001's Return on Equity (30.4%) is considered high.


Financial Health

How is Abdullah Al-Othaim Markets's financial position?


Financial Position Analysis

Short Term Liabilities: 4001's short term assets (SAR2.1B) do not cover its short term liabilities (SAR2.9B).

Long Term Liabilities: 4001's short term assets (SAR2.1B) exceed its long term liabilities (SAR1.5B).


Debt to Equity History and Analysis

Debt Level: 4001's debt to equity ratio (11.1%) is considered satisfactory.

Reducing Debt: 4001's debt to equity ratio has reduced from 53.1% to 11.1% over the past 5 years.

Debt Coverage: 4001's debt is well covered by operating cash flow (287.9%).

Interest Coverage: 4001's interest payments on its debt are well covered by EBIT (7x coverage).


Balance Sheet


Dividend

What is Abdullah Al-Othaim Markets's current dividend yield, its reliability and sustainability?

5.09%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: 4001's dividend (5.09%) is higher than the bottom 25% of dividend payers in the SA market (1.46%).

High Dividend: 4001's dividend (5.09%) is in the top 25% of dividend payers in the SA market (4.32%)


Stability and Growth of Payments

Stable Dividend: 4001's dividend payments have been volatile in the past 10 years.

Growing Dividend: 4001's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its high payout ratio (134%), 4001's dividend payments are not well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: 4001's dividends in 3 years are forecast to be covered by earnings (84.8% payout ratio).


Next Steps

Management

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

ر.س6m

CEO Compensation


CEO

Abdulaziz Abdullah Al-Othaim

4.58yrs

Tenure

ر.س6,133,950

Compensation

Mr. Abdulaziz Abdullah Saleh Al-Othaim has been the Chief Executive Officer and Executive Director of Abdullah Al-Othaim Markets Company since 27, 2016. He is a Member of Board of Directors of Abdullah Al ...


CEO Compensation Analysis

Compensation vs Market: Insufficient data to establish whether Abdulaziz Abdullah's total compensation is reasonable compared to companies of similar size in the SA market.

Compensation vs Earnings: Insufficient data to compare Abdulaziz Abdullah's compensation with company performance.


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

Abdullah Al-Othaim Markets Company's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Abdullah Al-Othaim Markets Company
  • Ticker: 4001
  • Exchange: SASE
  • Founded: 1956
  • Industry: Hypermarkets and Super Centers
  • Sector: Consumer Retailing
  • Market Cap: ر.س10.602b
  • Shares outstanding: 90.00m
  • Website: https://www.othaimmarkets.com

Location

  • Abdullah Al-Othaim Markets Company
  • Al-Rabwah
  • Eastern Ring Road
  • Riyadh
  • 11531
  • Saudi Arabia

Listings


Biography

Abdullah Al-Othaim Markets Company, together with its subsidiaries, engages in the wholesale and retail trade of food supplies and other products in the Kingdom of Saudi Arabia and Egypt. The company impor...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/07/30 14:04
End of Day Share Price2021/07/29 00:00
Earnings2021/03/31
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.