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6001

Halwani Bros SASE:6001 Stock Report

Last Price

ر.س72.40

Market Cap

ر.س2.6b

7D

1.3%

1Y

-28.2%

Updated

10 Aug, 2022

Data

Company Financials +
6001 fundamental analysis
Snowflake Score
Valuation3/6
Future Growth3/6
Past Performance2/6
Financial Health5/6
Dividends2/6

6001 Stock Overview

Halwani Bros. Co. Ltd. produces and distributes a range of food products in the Kingdom of Saudi Arabia, Arab Republic of Egypt, and internationally.

Halwani Bros Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Halwani Bros
Historical stock prices
Current Share Priceر.س72.40
52 Week Highر.س103.60
52 Week Lowر.س61.00
Beta1.21
1 Month Change12.42%
3 Month Change-5.48%
1 Year Change-28.18%
3 Year Change128.15%
5 Year Change86.81%
Change since IPO191.37%

Recent News & Updates

Jun 27
Estimating The Fair Value Of Halwani Bros. Co. Ltd. (TADAWUL:6001)

Estimating The Fair Value Of Halwani Bros. Co. Ltd. (TADAWUL:6001)

Today we'll do a simple run through of a valuation method used to estimate the attractiveness of Halwani Bros. Co. Ltd...

May 14
What Is Halwani Bros. Co. Ltd.'s (TADAWUL:6001) Share Price Doing?

What Is Halwani Bros. Co. Ltd.'s (TADAWUL:6001) Share Price Doing?

Halwani Bros. Co. Ltd. ( TADAWUL:6001 ), might not be a large cap stock, but it saw significant share price movement...

Shareholder Returns

6001SA FoodSA Market
7D1.3%1.2%0.4%
1Y-28.2%-15.6%18.2%

Return vs Industry: 6001 underperformed the SA Food industry which returned -16.8% over the past year.

Return vs Market: 6001 underperformed the SA Market which returned 18.2% over the past year.

Price Volatility

Is 6001's price volatile compared to industry and market?
6001 volatility
6001 Average Weekly Movement5.3%
Food Industry Average Movement5.2%
Market Average Movement5.2%
10% most volatile stocks in SA Market8.0%
10% least volatile stocks in SA Market3.3%

Stable Share Price: 6001 is not significantly more volatile than the rest of SA stocks over the past 3 months, typically moving +/- 5% a week.

Volatility Over Time: 6001's weekly volatility (5%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
1830n/aThamer Temairikhttps://www.halwani.com.sa

Halwani Bros. Co. Ltd. produces and distributes a range of food products in the Kingdom of Saudi Arabia, Arab Republic of Egypt, and internationally. It offers halawa, tahina, maamoul, processed meat, jam, dairy products, salt, sugar, juices, cheese, breaded chicken, burgers, and packaged foods, as well as catering services. The company was founded in 1830 and is headquartered in Jeddah, the Kingdom of Saudi Arabia.

Halwani Bros Fundamentals Summary

How do Halwani Bros's earnings and revenue compare to its market cap?
6001 fundamental statistics
Market Capر.س2.57b
Earnings (TTM)ر.س78.51m
Revenue (TTM)ر.س1.11b

32.6x

P/E Ratio

2.3x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
6001 income statement (TTM)
Revenueر.س1.11b
Cost of Revenueر.س767.10m
Gross Profitر.س339.15m
Other Expensesر.س260.64m
Earningsر.س78.51m

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

n/a

Earnings per share (EPS)2.22
Gross Margin30.66%
Net Profit Margin7.10%
Debt/Equity Ratio46.8%

How did 6001 perform over the long term?

See historical performance and comparison

Dividends

2.1%

Current Dividend Yield

68%

Payout Ratio
We’ve recently updated our valuation analysis.

Valuation

Is 6001 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

3/6

Valuation Score 3/6

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • Analyst Forecast

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 6001?

Other financial metrics that can be useful for relative valuation.

6001 key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue2.5x
Enterprise Value/EBITDA17.8x
PEG Ratio1.9x

Price to Earnings Ratio vs Peers

How does 6001's PE Ratio compare to its peers?

6001 PE Ratio vs Peers
The above table shows the PE ratio for 6001 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average65.8x
2270 Saudia Dairy & Foodstuff
24.3x11.6%ر.س5.0b
2050 Savola Group
53.6x22.5%ر.س18.1b
9536 Arabian Food & Dairy Factories
40.5xn/aر.س242.0m
9515 Fesh Fash Snack Food Production
147.6xn/aر.س203.4m
6001 Halwani Bros
32.6x17.2%ر.س2.6b

Price-To-Earnings vs Peers: 6001 is good value based on its Price-To-Earnings Ratio (32.6x) compared to the peer average (65.8x).


Price to Earnings Ratio vs Industry

How does 6001's PE Ratio compare vs other companies in the Asian Food Industry?

Price-To-Earnings vs Industry: 6001 is good value based on its Price-To-Earnings Ratio (32.6x) compared to the SA Food industry average (52.8x)


Price to Earnings Ratio vs Fair Ratio

What is 6001's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

6001 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio32.6x
Fair PE Ration/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate 6001's Price-To-Earnings Fair Ratio for valuation analysis.


Share Price vs Fair Value

What is the Fair Price of 6001 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 6001 (SAR72.4) is trading below our estimate of fair value (SAR88.48)

Significantly Below Fair Value: 6001 is trading below fair value, but not by a significant amount.


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Target price is lower than the current share price.


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Future Growth

How is Halwani Bros forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?

Future Growth Score

3/6

Future Growth Score 3/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


17.2%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 6001's forecast earnings growth (17.2% per year) is above the savings rate (8.9%).

Earnings vs Market: 6001's earnings (17.2% per year) are forecast to grow faster than the SA market (-0.4% per year).

High Growth Earnings: 6001's earnings are forecast to grow, but not significantly.

Revenue vs Market: 6001's revenue (6% per year) is forecast to grow faster than the SA market (-3.5% per year).

High Growth Revenue: 6001's revenue (6% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: 6001's Return on Equity is forecast to be low in 3 years time (19.8%).


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Past Performance

How has Halwani Bros performed over the past 5 years?

Past Performance Score

2/6

Past Performance Score 2/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


14.9%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: 6001 has high quality earnings.

Growing Profit Margin: 6001's current net profit margins (7.1%) are lower than last year (9.1%).


Past Earnings Growth Analysis

Earnings Trend: 6001's earnings have grown by 14.9% per year over the past 5 years.

Accelerating Growth: 6001's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: 6001 had negative earnings growth (-18.1%) over the past year, making it difficult to compare to the Food industry average (-19.3%).


Return on Equity

High ROE: 6001's Return on Equity (14%) is considered low.


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Financial Health

How is Halwani Bros's financial position?

Financial Health Score

5/6

Financial Health Score 5/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: 6001's short term assets (SAR612.9M) exceed its short term liabilities (SAR486.6M).

Long Term Liabilities: 6001's short term assets (SAR612.9M) exceed its long term liabilities (SAR85.6M).


Debt to Equity History and Analysis

Debt Level: 6001's net debt to equity ratio (28.2%) is considered satisfactory.

Reducing Debt: 6001's debt to equity ratio has reduced from 58.3% to 46.8% over the past 5 years.

Debt Coverage: 6001's debt is not well covered by operating cash flow (16.7%).

Interest Coverage: 6001's interest payments on its debt are well covered by EBIT (20.1x coverage).


Balance Sheet


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Dividend

What is Halwani Bros's current dividend yield, its reliability and sustainability?

Dividend Score

2/6

Dividend Score 2/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Cash Flow Coverage


2.07%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: 6001's dividend (2.07%) is higher than the bottom 25% of dividend payers in the SA market (1.81%).

High Dividend: 6001's dividend (2.07%) is low compared to the top 25% of dividend payers in the SA market (4.34%).


Stability and Growth of Payments

Stable Dividend: 6001's dividend payments have been volatile in the past 10 years.

Growing Dividend: 6001's dividend payments have fallen over the past 10 years.


Earnings Payout to Shareholders

Earnings Coverage: With its reasonable payout ratio (67.6%), 6001's dividend payments are covered by earnings.


Cash Payout to Shareholders

Cash Flow Coverage: With its high cash payout ratio (442%), 6001's dividend payments are not well covered by cash flows.


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Management

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

2.2yrs

Average management tenure


CEO

Thamer Temairik

3.33yrs

Tenure

Mr. Thamer Temairik serves as the Chief Executive Officer at Halwani Bros. Co. Ltd. since April 2019.He served as a Director at Halwani Bros. Co. Ltd. since April 2019. He serves as Director at Halwani Br...


Leadership Team

Experienced Management: 6001's management team is considered experienced (2.2 years average tenure).


Board Members

Experienced Board: 6001's board of directors are not considered experienced ( 2.1 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

Halwani Bros. Co. Ltd.'s employee growth, exchange listings and data sources


Key Information

  • Name: Halwani Bros. Co. Ltd.
  • Ticker: 6001
  • Exchange: SASE
  • Founded: 1830
  • Industry: Packaged Foods and Meats
  • Sector: Food, Beverage & Tobacco
  • Implied Market Cap: ر.س2.574b
  • Shares outstanding: 35.36m
  • Website: https://www.halwani.com.sa

Location

  • Halwani Bros. Co. Ltd.
  • Jeddah Industrial Area
  • 4th Stage
  • Jeddah
  • 21421
  • Saudi Arabia

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/08/10 00:00
End of Day Share Price2022/08/10 00:00
Earnings2022/03/31
Annual Earnings2021/12/31


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.