Market Cap
ر.س58.3b
Last Updated
2021/07/27 15:28 UTC
Data Sources
Company Financials +
Executive Summary
Almarai Company, together with its subsidiaries, operates as an integrated consumer food and beverage company in Saudi Arabia, Egypt, Jordan, and rest of Gulf Cooperation Council countries. More Details
Rewards
Risk Analysis
Snowflake Analysis
Established dividend payer with adequate balance sheet.
Similar Companies
Share Price & News
How has Almarai's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: 2280 is not significantly more volatile than the rest of SA stocks over the past 3 months, typically moving +/- 3% a week.
Volatility Over Time: 2280's weekly volatility (3%) has been stable over the past year.
Market Performance
7 Day Return
-1.0%
2280
0.09%
SA Food
-0.1%
SA Market
1 Year Return
8.8%
2280
13.7%
SA Food
14.3%
SA Market
Return vs Industry: 2280 underperformed the SA Food industry which returned 13.9% over the past year.
Return vs Market: 2280 underperformed the SA Market which returned 15.1% over the past year.
Shareholder returns
| 2280 | Industry | Market | |
|---|---|---|---|
| 7 Day | -1.0% | 0.09% | -0.1% |
| 30 Day | -7.9% | -5.7% | -1.0% |
| 90 Day | 6.2% | 4.7% | -1.5% |
| 1 Year | 10.9%8.8% | 16.0%13.7% | 18.7%14.3% |
| 3 Year | 15.7%9.8% | 34.4%27.4% | 41.5%28.4% |
| 5 Year | 42.9%32.1% | 51.1%37.9% | 103.8%73.1% |
Long-Term Price Volatility Vs. Market
How volatile is Almarai's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 week ago | Simply Wall St
Almarai (TADAWUL:2280) Has More To Do To Multiply In Value Going Forward4 weeks ago | Simply Wall St
The Almarai (TADAWUL:2280) Share Price Has Gained 44% And Shareholders Are Hoping For More1 month ago | Simply Wall St
Can Mixed Fundamentals Have A Negative Impact on Almarai Company (TADAWUL:2280) Current Share Price Momentum?Valuation
Is Almarai undervalued compared to its fair value and its price relative to the market?
31.33x
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: 2280 (SAR58.3) is trading above our estimate of fair value (SAR53.83)
Significantly Below Fair Value: 2280 is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: 2280 is good value based on its PE Ratio (31.3x) compared to the SA Food industry average (38.1x).
PE vs Market: 2280 is good value based on its PE Ratio (31.3x) compared to the SA market (34.5x).
Price to Earnings Growth Ratio
PEG Ratio: 2280 is poor value based on its PEG Ratio (2.6x)
Price to Book Ratio
PB vs Industry: 2280's PB Ratio (3.7x) is in line with the SA Food industry average.
Future Growth
How is Almarai forecast to perform in the next 1 to 3 years based on estimates from 12 analysts?
11.9%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: 2280's forecast earnings growth (11.9% per year) is above the savings rate (8.8%).
Earnings vs Market: 2280's earnings (11.9% per year) are forecast to grow faster than the SA market (7.1% per year).
High Growth Earnings: 2280's earnings are forecast to grow, but not significantly.
Revenue vs Market: 2280's revenue (6.2% per year) is forecast to grow faster than the SA market (3.4% per year).
High Growth Revenue: 2280's revenue (6.2% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: 2280's Return on Equity is forecast to be low in 3 years time (13.8%).
Past Performance
How has Almarai performed over the past 5 years?
-2.3%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: 2280 has high quality earnings.
Growing Profit Margin: 2280's current net profit margins (11.9%) are lower than last year (12.8%).
Past Earnings Growth Analysis
Earnings Trend: 2280's earnings have declined by 2.3% per year over the past 5 years.
Accelerating Growth: 2280's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: 2280 had negative earnings growth (-4.9%) over the past year, making it difficult to compare to the Food industry average (38.9%).
Return on Equity
High ROE: 2280's Return on Equity (11.4%) is considered low.
Financial Health
How is Almarai's financial position?
Financial Position Analysis
Short Term Liabilities: 2280's short term assets (SAR7.9B) exceed its short term liabilities (SAR5.3B).
Long Term Liabilities: 2280's short term assets (SAR7.9B) do not cover its long term liabilities (SAR11.4B).
Debt to Equity History and Analysis
Debt Level: 2280's debt to equity ratio (69.7%) is considered high.
Reducing Debt: 2280's debt to equity ratio has reduced from 93.3% to 69.7% over the past 5 years.
Debt Coverage: 2280's debt is well covered by operating cash flow (42%).
Interest Coverage: 2280's interest payments on its debt are well covered by EBIT (5.8x coverage).
Balance Sheet
Dividend
What is Almarai current dividend yield, its reliability and sustainability?
1.72%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: 2280's dividend (1.72%) is higher than the bottom 25% of dividend payers in the SA market (1.45%).
High Dividend: 2280's dividend (1.72%) is low compared to the top 25% of dividend payers in the SA market (4.43%).
Stability and Growth of Payments
Stable Dividend: 2280's dividends per share have been stable in the past 10 years.
Growing Dividend: 2280's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonable payout ratio (53.7%), 2280's dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: 2280's dividends in 3 years are forecast to be well covered by earnings (46.7% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
3.5yrs
Average management tenure
CEO
Abdullah Nasser Al Bader
0.33
Tenure
Mr. Abdullah Nasser Bader Al Bader has been Chief Executive Officer at Almarai Company since March 7, 2021 and was its Executive Vice President of Bakery since 2015 until March 7, 2021. He was General Mana...
Leadership Team
Experienced Management: 2280's management team is considered experienced (3.5 years average tenure).
Board Members
Experienced Board: 2280's board of directors are not considered experienced ( 1.9 years average tenure), which suggests a new board.
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
Almarai Company's company bio, employee growth, exchange listings and data sources
Key Information
- Name: Almarai Company
- Ticker: 2280
- Exchange: SASE
- Founded: 1977
- Industry: Packaged Foods and Meats
- Sector: Food, Beverage & Tobacco
- Market Cap: ر.س58.300b
- Shares outstanding: 1.00b
- Website: https://www.almarai.com
Number of Employees
Location
- Almarai Company
- Exit 7
- North Ring Road
- Riyadh
- 11492
- Saudi Arabia
Listings
Biography
Almarai Company, together with its subsidiaries, operates as an integrated consumer food and beverage company in Saudi Arabia, Egypt, Jordan, and rest of Gulf Cooperation Council countries. The company ope...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2021/07/27 15:28 |
| End of Day Share Price | 2021/07/27 00:00 |
| Earnings | 2021/06/30 |
| Annual Earnings | 2020/12/31 |
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.