Saudi Arabian stock alert

SAARAB

CLOSING UPDATE: Saudi Basic Industries increases a further 0.3%, led market higher 12 June 2018 16:51 AST

NEWS BITES - MIDDLE EAST & NORTH AFRICA

This is an end of day Alert, produced after today's Saudi Arabian market close. It concludes the BSS News Bites intra-day Alert series (summaries below).

Saudi Basic Industries, Saudi Arabia's largest petrochemical industries company by market capitalisation, has increased 0.8% to trade at SAR126.60 vs. the All Share Index (TASI) which strengthened 43.3 points (or 0.5%) to 8,270.5. Representing a weighting of about 21.7% of the index, the stock accounted for 32.6% of today's gain. The shares have outperformed 92% of the market in the past month. Trading volume was 57% of average at the end of the day. Compared with the All Share Index (TASI) which rose 43.3 points (or 0.5%) in the day, this represented a relative price increase of 0.3%.

Technical indicators complementing today's significant uptrend:

+ The positive 2.9 MACD (Moving Average Convergence Divergence) indicator suggests a bullish signal.

+ The 3.6% discount to 12-month high of SAR131.40 against the 33.4% premium to 12-month low of SAR94.90 suggests the stock continues to push for new highs.

+ In the Saudi Arabian market, the stock's relative price strength percentile is rising at 88 for 6 months, 88 for 3 months and 92 for 1 month.

+ In the last three months the stock has hit a new 52-week high twelve times, pointing to a significant uptrend.

Fundamental measures by comparison with the sector average [in brackets] indicate:

Undervaluation:

+ Return on Equity 11.2% [7.8%]

+ Return on Assets 5.7% [3.6%]

+ Return on Capital Employed 7.7% [4.7%]

Other Bullish Signals include:

+ Tobin's Q Ratio is 1.2. Compared with the rest of the market the stock is undervalued.

+ As per the Du Pont analysis, Return on Equity of 11.2% is better than sector average of 7.8%.

Note

Bearish Signals:

The price dropped 2.2% in the last week.

Net profit margin has averaged 12.8% in the last 3 years. This is lower than the sector average of 13.6% and suggests a low margin of safety.

Fundamental measures by comparison with the sector average [in brackets] indicate:

Overvaluation:

Price to Book of 2.3 [1.6]

TODAY'S ALERTS

Afternoon Alert: Saudi Basic Industries increases 0.5%, leads market higher

12 June 2018 14:38 AST

Saudi Basic Industries Corp. (TASI:2010) has increased 0.5% to trade at SAR126.20 vs. the All Share Index (TASI) which strengthened 33.3 points (or 0.4%) to 8,260.5. Representing a weighting of about 21.7% of the index, the stock accounted for 25.3% of today's gain. Trading volume was 65% of average so far today.

Morning Alert: Saudi Basic Industries increases 0.5%, leads market higher

12 June 2018 11:27 AST

Saudi Basic Industries Corp. (TASI:2010) has increased 0.5% to trade at SAR126.20 vs. the All Share Index (TASI) which strengthened 11.9 points (or 0.1%) to 8,239.0. Representing a weighting of about 21.7% of the index, the stock accounted for 74.2% of today's gain. The shares have outperformed 94% of the market in the past month. Trading volume was 53% of average so far today.

RECENT ALERTS

CLOSING UPDATE: Saudi Basic Industries increases 0.3%, led Petrochemical industries sector higher all day

11 June 2018 16:49 AST

Saudi Basic Industries, Saudi Arabia's largest petrochemical industries company by market capitalisation, has increased 0.3% to trade at SAR125.60 vs. the Petrochemical industries sector which strengthened 17.4 points (or 0.2%) to 7,365.0. Representing a weighting of about 67.9% of the sector, the stock accounted for 90.4% of today's gain. Trading volume was 60% of average at the end of the day. Compared with the All Share Index (TASI) which fell 51.4 points (or 0.6%) in the day, this represented a relative price increase of 0.9%.

Afternoon Alert: Saudi Basic Industries increases 0.3%, leads Petrochemical industries sector higher

11 June 2018 14:38 AST

Saudi Basic Industries Corp. (TASI:2010) has increased 0.3% to trade at SAR125.60 vs. the Petrochemical industries sector which strengthened 19.9 points (or 0.3%) to 7,367.5. Representing a weighting of about 67.9% of the sector, the stock accounted for 80.4% of today's gain. Trading volume was 65% of average so far today.

Saudi Basic Industries Corp. (SA:2010; SAU:2010; AB:2010)

ISIN: SA0007879121

PermID: 4295887293

Source: www.BuySellSignals.com