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4321

Arabian Centres SASE:4321 Stock Report

Last Price

ر.س19.52

Market Cap

ر.س9.3b

7D

0.6%

1Y

-25.5%

Updated

26 Jun, 2022

Data

Company Financials +
4321 fundamental analysis
Snowflake Score
Valuation5/6
Future Growth4/6
Past Performance2/6
Financial Health2/6
Dividends3/6

4321 Stock Overview

Arabian Centres Company develops, owns, and operates contemporary lifestyle centers in the Kingdom of Saudi Arabia.

Arabian Centres Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Arabian Centres
Historical stock prices
Current Share Priceر.س19.52
52 Week Highر.س26.55
52 Week Lowر.س19.02
Beta0.85
1 Month Change-3.56%
3 Month Change-12.55%
1 Year Change-25.50%
3 Year Change-24.49%
5 Year Changen/a
Change since IPO-21.92%

Recent News & Updates

May 16
Is Now An Opportune Moment To Examine Arabian Centres Company (TADAWUL:4321)?

Is Now An Opportune Moment To Examine Arabian Centres Company (TADAWUL:4321)?

Arabian Centres Company ( TADAWUL:4321 ), is not the largest company out there, but it had a relatively subdued couple...

Shareholder Returns

4321SA Real EstateSA Market
7D0.6%2.0%2.0%
1Y-25.5%-18.9%12.7%

Return vs Industry: 4321 underperformed the SA Real Estate industry which returned -20% over the past year.

Return vs Market: 4321 underperformed the SA Market which returned 11.1% over the past year.

Price Volatility

Is 4321's price volatile compared to industry and market?
4321 volatility
4321 Average Weekly Movement2.7%
Real Estate Industry Average Movement4.7%
Market Average Movement4.8%
10% most volatile stocks in SA Market7.0%
10% least volatile stocks in SA Market3.1%

Stable Share Price: 4321 is less volatile than 75% of SA stocks over the past 3 months, typically moving +/- 3% a week.

Volatility Over Time: 4321's weekly volatility (3%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
2002n/aMohamad Mouradhttps://www.arabiancentres.com

Arabian Centres Company develops, owns, and operates contemporary lifestyle centers in the Kingdom of Saudi Arabia. It operates a portfolio of 23 lifestyle centers. The company also builds, leases, and sells buildings; and engages in the construction of commercial buildings, including demolition, repair, excavation, and maintenance works.

Arabian Centres Fundamentals Summary

How do Arabian Centres's earnings and revenue compare to its market cap?
4321 fundamental statistics
Market Capر.س9.26b
Earnings (TTM)ر.س459.57m
Revenue (TTM)ر.س1.96b

20.2x

P/E Ratio

4.7x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
4321 income statement (TTM)
Revenueر.س1.96b
Cost of Revenueر.س353.39m
Gross Profitر.س1.61b
Other Expensesر.س1.15b
Earningsر.س459.57m

Last Reported Earnings

Dec 31, 2021

Next Earnings Date

n/a

Earnings per share (EPS)0.97
Gross Margin81.98%
Net Profit Margin23.44%
Debt/Equity Ratio126.3%

How did 4321 perform over the long term?

See historical performance and comparison

Dividends

7.7%

Current Dividend Yield

155%

Payout Ratio
We’ve recently updated our valuation analysis.

Valuation

Is 4321 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

5/6

Valuation Score 5/6

  • 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 4321?

Other financial metrics that can be useful for relative valuation.

4321 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/Revenue10.2x
Enterprise Value/EBITDA18.8x
PEG Ratio0.9x

Price to Earnings Ratio vs Peers

How does 4321's PE Ratio compare to its peers?

4321 PE Ratio vs Peers
The above table shows the PE ratio for 4321 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average72.7x
4150 Arriyadh Development
11.8xn/aر.س4.0b
9519 Banan Real Estate
48.4xn/aر.س1.1b
4300 Dar Al Arkan Real Estate Development
45.2xn/aر.س14.3b
4020 Saudi Real Estate
185.7xn/aر.س5.5b
4321 Arabian Centres
20.2x21.6%ر.س9.3b

Price-To-Earnings vs Peers: 4321 is good value based on its Price-To-Earnings Ratio (20.2x) compared to the peer average (72.7x).


Price to Earnings Ratio vs Industry

How does 4321's PE Ratio compare vs other companies in the Asian Real Estate Industry?

Price-To-Earnings vs Industry: 4321 is good value based on its Price-To-Earnings Ratio (20.2x) compared to the SA Real Estate industry average (26.7x)


Price to Earnings Ratio vs Fair Ratio

What is 4321'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.

4321 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio20.2x
Fair PE Ration/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate 4321's Price-To-Earnings Fair Ratio for valuation analysis.


Share Price vs Fair Value

What is the Fair Price of 4321 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 4321 (SAR19.52) is trading below our estimate of fair value (SAR35.76)

Significantly Below Fair Value: 4321 is trading below fair value by more than 20%.


Price to Earnings Growth Ratio

PEG Ratio: 4321 is good value based on its PEG Ratio (0.9x)


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Future Growth

How is Arabian Centres forecast to perform in the next 1 to 3 years based on estimates from 6 analysts?

Future Growth Score

4/6

Future Growth Score 4/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


21.6%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 4321's forecast earnings growth (21.6% per year) is above the savings rate (9%).

Earnings vs Market: 4321's earnings (21.6% per year) are forecast to grow faster than the SA market (-1.3% per year).

High Growth Earnings: 4321's earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: 4321's revenue (9.4% per year) is forecast to grow faster than the SA market (-2.9% per year).

High Growth Revenue: 4321's revenue (9.4% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: 4321's Return on Equity is forecast to be low in 3 years time (14.4%).


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Past Performance

How has Arabian Centres 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


-15.4%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: 4321 has high quality earnings.

Growing Profit Margin: 4321's current net profit margins (23.4%) are lower than last year (23.7%).


Past Earnings Growth Analysis

Earnings Trend: 4321's earnings have declined by 15.4% per year over the past 5 years.

Accelerating Growth: 4321's earnings growth over the past year (1%) exceeds its 5-year average (-15.4% per year).

Earnings vs Industry: 4321 earnings growth over the past year (1%) underperformed the Real Estate industry 70.7%.


Return on Equity

High ROE: 4321's Return on Equity (7.5%) is considered low.


Discover strong past performing companies

Financial Health

How is Arabian Centres's financial position?

Financial Health Score

2/6

Financial Health Score 2/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: 4321's short term assets (SAR1.8B) exceed its short term liabilities (SAR1.1B).

Long Term Liabilities: 4321's short term assets (SAR1.8B) do not cover its long term liabilities (SAR11.0B).


Debt to Equity History and Analysis

Debt Level: 4321's net debt to equity ratio (115.3%) is considered high.

Reducing Debt: 4321's debt to equity ratio has increased from 114% to 126.3% over the past 5 years.

Debt Coverage: 4321's debt is not well covered by operating cash flow (17.3%).

Interest Coverage: 4321's interest payments on its debt are well covered by EBIT (5.7x coverage).


Balance Sheet


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Dividend

What is Arabian Centres'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

  • Future Dividend Coverage


7.68%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: 4321's dividend (7.68%) is higher than the bottom 25% of dividend payers in the SA market (1.96%).

High Dividend: 4321's dividend (7.68%) is in the top 25% of dividend payers in the SA market (4.67%)


Stability and Growth of Payments

Stable Dividend: 4321 has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: 4321 has only been paying a dividend for 3 years, and since then payments have fallen.


Earnings Payout to Shareholders

Earnings Coverage: With its high payout ratio (155%), 4321's dividend payments are not well covered by earnings.


Cash Payout to Shareholders

Cash Flow Coverage: With its reasonable cash payout ratio (54.1%), 4321's dividend payments are covered by cash flows.


Discover strong dividend paying companies

Management

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

2.0yrs

Average management tenure


CEO

Mohamad Mourad (47 yo)

0.33

Tenure

Mr. Mohamad Rafic Mourad serves as Managing Director at Arabian Centres Company since January 11, 2022 and serves as its Director since January 01, 2022 and is its Acting Chief Executive Officer since Febr...


Leadership Team

Experienced Management: 4321's management team is considered experienced (2 years average tenure).


Board Members

Experienced Board: 4321's board of directors are considered experienced (5 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.


Top Shareholders

Company Information

Arabian Centres Company's employee growth, exchange listings and data sources


Key Information

  • Name: Arabian Centres Company
  • Ticker: 4321
  • Exchange: SASE
  • Founded: 2002
  • Industry: Real Estate Operating Companies
  • Sector: Real Estate
  • Implied Market Cap: ر.س9.263b
  • Shares outstanding: 475.00m
  • Website: https://www.arabiancentres.com

Number of Employees


Location

  • Arabian Centres Company
  • Nakheel District
  • P.O. Box 341904
  • Riyadh
  • 11333
  • Saudi Arabia

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/06/26 00:00
End of Day Share Price2022/06/26 00:00
Earnings2021/12/31
Annual Earnings2021/03/31


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.