Zahrat Al Waha For Trading (SASE:3007) - Share price, News & Analysis

3007 fundamental analysis
Snowflake Score
Valuation	1/6
Future Growth	0/6
Past Performance	2/6
Financial Health	4/6
Dividends	2/6

3007 Stock Overview

Zahrat Al Waha For Trading Company engages in the manufacturing and selling of plastic bottles preforms and plastic caps.

Rewards

Price-To-Earnings ratio (15.4x) is below the SA market (25.2x)

Earnings have grown 10.2% per year over the past 5 years

Risk Analysis

Debt is not well covered by operating cash flow

Dividend of 2.91% is not well covered by earnings

Volatile share price over the past 3 months

Zahrat Al Waha For Trading Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Zahrat Al Waha For Trading
Historical stock prices
Current Share Price	ر.س34.40
52 Week High	ر.س64.13
52 Week Low	ر.س34.40
Beta	0.58
1 Month Change	-23.64%
3 Month Change	-41.96%
1 Year Change	-38.86%
3 Year Change	30.47%
5 Year Change	n/a
Change since IPO	2.06%

Recent News & Updates

Dec 10

Is Now The Time To Put Zahrat Al Waha For Trading (TADAWUL:3007) On Your Watchlist?

For beginners, it can seem like a good idea (and an exciting prospect) to buy a company that tells a good story to...

Shareholder Returns

	3007	SA Packaging	SA Market
7D	-8.8%	-0.1%	-3.9%
1Y	-38.9%	-12.5%	10.8%

Return vs Industry: 3007 underperformed the SA Packaging industry which returned -13.2% over the past year.

Return vs Market: 3007 underperformed the SA Market which returned 12.3% over the past year.

Price Volatility

Is 3007's price volatile compared to industry and market?
3007 volatility
3007 Average Weekly Movement	5.7%
Packaging Industry Average Movement	5.5%
Market Average Movement	4.8%
10% most volatile stocks in SA Market	7.1%
10% least volatile stocks in SA Market	3.0%

Stable Share Price: 3007 is more volatile than 75% of SA stocks over the past 3 months, typically moving +/- 6% a week.

Volatility Over Time: 3007's weekly volatility (6%) has been stable over the past year, but is still higher than 75% of SA stocks.

About the Company

Founded	Employees	CEO	Website
2003	n/a	George Abdul Karim Moussa	https://www.zaoasis.com

Zahrat Al Waha For Trading Company engages in the manufacturing and selling of plastic bottles preforms and plastic caps. It operates in Asia, Africa, the Kingdom of Saudi Arabia, and Gulf countries. The company also exports its products.

Zahrat Al Waha For Trading Fundamentals Summary

How do Zahrat Al Waha For Trading's earnings and revenue compare to its market cap?
3007 fundamental statistics
Market Cap	ر.س774.00m
Earnings (TTM)	ر.س50.16m
Revenue (TTM)	ر.س582.71m

15.4x

P/E Ratio

1.3x

P/S Ratio

Is 3007 overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report
3007 income statement (TTM)
Revenue	ر.س582.71m
Cost of Revenue	ر.س505.12m
Gross Profit	ر.س77.59m
Other Expenses	ر.س27.44m
Earnings	ر.س50.16m

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

n/a

Earnings per share (EPS)	2.23
Gross Margin	13.32%
Net Profit Margin	8.61%
Debt/Equity Ratio	93.6%

How did 3007 perform over the long term?

See historical performance and comparison

Dividends

2.9%

Current Dividend Yield

45%

Payout Ratio

We’ve recently updated our valuation analysis.

Valuation

Is 3007 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

1/6

Valuation Score 1/6

Price-To-Earnings vs Peers
Price-To-Earnings vs Industry
Price-To-Earnings vs Fair Ratio
Below Fair Value
Significantly Below Fair Value
PEG Ratio

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 3007?

Other financial metrics that can be useful for relative valuation.

The above table shows the n/a ratio for 3007. This is calculated by dividing 3007's market cap by their current preferred multiple.
What is 3007's n/a Ratio?
n/a Ratio	0x
n/a	n/a
Market Cap	ر.س774.00m

3007 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/Revenue	1.7x
Enterprise Value/EBITDA	11.1x
PEG Ratio	n/a

Price to Earnings Ratio vs Peers

How does 3007's PE Ratio compare to its peers?

3007 PE Ratio vs Peers

The above table shows the PE ratio for 3007 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
Company	PE	Estimated Growth	Market Cap
Peer Average	19x

Forward PE

Price-To-Earnings vs Peers: 3007 is good value based on its Price-To-Earnings Ratio (15.4x) compared to the peer average (19x).

Price to Earnings Ratio vs Industry

How does 3007's PE Ratio compare vs other companies in the Packaging Industry?

Price-To-Earnings vs Industry: 3007 is expensive based on its Price-To-Earnings Ratio (15.4x) compared to the Asian Packaging industry average (13x)

Price to Earnings Ratio vs Fair Ratio

What is 3007'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.

3007 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	15.4x
Fair PE Ratio	n/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate 3007's Price-To-Earnings Fair Ratio for valuation analysis.

Share Price vs Fair Value

What is the Fair Price of 3007 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 3007 (SAR34.4) is trading above our estimate of fair value (SAR23.16)

Significantly Below Fair Value: 3007 is trading above our estimate of fair value.

Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 3007's PEG Ratio to determine if it is good value.

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Future Growth

How is Zahrat Al Waha For Trading forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

Future Growth Score

0/6

Future Growth Score 0/6

Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Future ROE

20.3%

Forecasted Materials industry annual growth in earnings

In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Zahrat Al Waha For Trading has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.

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Examine Zahrat Al Waha For Trading's financial health to determine how well-positioned it is against times of financial stress by looking at its level of debt over time and how much cash it has left.

Past Performance

How has Zahrat Al Waha For Trading 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

10.2%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: 3007 has high quality earnings.

Growing Profit Margin: 3007's current net profit margins (8.6%) are lower than last year (11.4%).

Past Earnings Growth Analysis

Earnings Trend: 3007's earnings have grown by 10.2% per year over the past 5 years.

Accelerating Growth: 3007's earnings growth over the past year (4.5%) is below its 5-year average (10.2% per year).

Earnings vs Industry: 3007 earnings growth over the past year (4.5%) underperformed the Packaging industry 9.6%.

Return on Equity

High ROE: 3007's Return on Equity (16.3%) is considered low.

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Financial Health

How is Zahrat Al Waha For Trading's financial position?

Financial Health Score

4/6

Financial Health Score 4/6

Short Term Liabilities
Long Term Liabilities
Debt Level
Reducing Debt
Debt Coverage
Interest Coverage

Financial Position Analysis

Short Term Liabilities: 3007's short term assets (SAR423.1M) exceed its short term liabilities (SAR318.8M).

Long Term Liabilities: 3007's short term assets (SAR423.1M) exceed its long term liabilities (SAR14.4M).

Debt to Equity History and Analysis

Debt Level: 3007's net debt to equity ratio (77.5%) is considered high.

Reducing Debt: 3007's debt to equity ratio has reduced from 138.2% to 93.6% over the past 5 years.

Debt Coverage: 3007's operating cash flow is negative, therefore debt is not well covered.

Interest Coverage: 3007's interest payments on its debt are well covered by EBIT (8.2x coverage).

Balance Sheet

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Dividend

What is Zahrat Al Waha For Trading 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
Future Dividend Coverage

2.91%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: 3007's dividend (2.91%) is higher than the bottom 25% of dividend payers in the SA market (1.96%).

High Dividend: 3007's dividend (2.91%) is low compared to the top 25% of dividend payers in the SA market (4.48%).

Stability and Growth of Payments

Stable Dividend: 3007 has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: 3007's dividend payments have increased, but the company has only paid a dividend for 4 years.

Earnings Payout to Shareholders

Earnings Coverage: With its reasonably low payout ratio (44.9%), 3007's dividend payments are well covered by earnings.

Cash Payout to Shareholders

Cash Flow Coverage: 3007 is paying a dividend but the company has no free cash flows.

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Management

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

5.4yrs

Average management tenure

CEO

George Abdul Karim Moussa (53 yo)

5.42yrs

Tenure

Mr. George Abdul Karim George Moussa has been Chief Executive Officer of Zahrat Al Waha For Trading Company since 2017. Mr. Moussa served as Sales Manager of Zahrat Al Waha For Trading Company from 2012 to...

Leadership Team

Experienced Management: 3007's management team is seasoned and experienced (5.4 years average tenure).

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.

Data	Last Updated (UTC time)
Company Analysis	2022/06/23 00:00
End of Day Share Price	2022/06/23 00:00
Earnings	2022/03/31
Annual Earnings	2021/12/31