Saudi Arabian stock alert

SAARAB

CLOSING UPDATE: Saudi Basic Industries recovers losses by 0.2%, led market lower 18 January 2018 16:47 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 decreased 0.6% to trade at SAR106.40 vs. the All Share Index (TASI) which weakened 0.7 points (or 0.01%) to 7,539.0. Representing a weighting of about 20.2% of the index, the stock accounted for the loss. Trading volume was 77% of average at the end of the day. Compared with the All Share Index (TASI) which fell 0.7 points (or 0.01%) in the day, this represented a relative price change of -0.6%.

Technical indicators complementing today's significant downtrend:

+ The 1.7% discount to 12-month high of SAR108.20 against the 17.7% premium to 12-month low of SAR90.38 suggests the climb might be peaking.

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

Overvaluation:

+ Price/Sales of 3 [2.4]

+ Return on Equity 10.9% [22.7%]

Bearish Signals:

+ Net profit margin has averaged 12.8% in the last 3 years. This is lower than the sector average of 13.8% and suggests a low margin of safety.

+ As per the Du Pont analysis, Return on Equity of 10.9% is lower than sector average of 22.7%.

Note

Bullish Signals:

The positive 1.31 MACD (Moving Average Convergence Divergence) indicator suggests a bullish signal.

In the last three months the stock has hit a new 52-week high thrice.

The price climbed 4.7% in the last week and 4.5% in the last month.

Tobin's Q Ratio is 1. Compared with the rest of the market the stock is undervalued.

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

Undervaluation:

Dividend yield of 3.8% [3.4%]

Return on Assets 5.6% [3.3%]

Return on Capital Employed 7.6% [5.7%]

TODAY'S ALERTS

Afternoon Alert: Saudi Basic Industries decreases 0.7%, leads market lower

18 January 2018 14:39 AST

Saudi Basic Industries Corp. (TASI:2010) has decreased 0.7% to trade at SAR106.20 vs. the All Share Index (TASI) which weakened 9.2 points (or 0.1%) to 7,530.5. Representing a weighting of about 20.2% of the index, the stock accounted for the loss. Trading volume was 78% of average so far today.

Morning Alert: Saudi Basic Industries increases 0.4%, leads Petrochemical industries sector higher

18 January 2018 11:30 AST

Saudi Basic Industries Corp. (TASI:2010) has increased 0.4% to trade at SAR107.40 vs. the Petrochemical industries sector which strengthened 11.1 points (or 0.2%) to 6,269.7. Representing a weighting of about 68.2% of the sector, the stock accounted for the gain. The shares have outperformed 93% of the market in the past week. Trading volume was 46% of average so far today.

RECENT ALERTS

CLOSING UPDATE: Saudi Basic Industries decreases gains by 0.2%, led market higher

17 January 2018 16:47 AST

Saudi Basic Industries, Saudi Arabia's largest petrochemical industries company by market capitalisation, has increased 0.8% to trade at SAR107.0 vs. the All Share Index (TASI) which strengthened 8.2 points (or 0.1%) to 7,539.7. Representing a weighting of about 20.3% of the index, the stock accounted for the gain. The shares have outperformed 86% of the market in the past week. Trading volume was 93% of average at the end of the day. Compared with the All Share Index (TASI) which rose 8.2 points (or 0.1%) in the day, this represented a relative price increase of 0.6%.

Afternoon Alert: Saudi Basic Industries increases 0.9%, leads market higher

17 January 2018 14:38 AST

Saudi Basic Industries Corp. (TASI:2010) has increased 0.9% to trade at SAR107.20 vs. the All Share Index (TASI) which strengthened 13.9 points (or 0.2%) to 7,545.5. Representing a weighting of about 20.4% of the index, the stock accounted for the gain. The shares have outperformed 88% of the market in the past week. Trading volume was 91% of average so far today.

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

ISIN: SA0007879121

PermID: 4295887293

Source: www.BuySellSignals.com