Saudi Arabian stock alert
Morning Alert: Al Hassan Ghazi Ibrahim Shaker down 7.0% in 2 days 25 July 2017 11:22 AST
NEWS BITES - MIDDLE EAST & NORTH AFRICA
Al Hassan Ghazi Ibrahim Shaker (TASI:1214) extended its slide on Tuesday, shedding an additional 88.0 hallalah (or 6.4%) to trade at SAR12.78. Trading volume was 2.2 times average so far today. The shares have fallen 96.0 hallalah (or 7.0%) over the past two trading days vs. the All Share Index (TASI) which has fallen 0.4% in the same period.
SECTION 1: Technical indicators
The stock has underperformed 91% of the Saudi Arabian market over the past 6 months.
The price sank 5.1% in the last week and decreased 1.5% in the last month.
The present value of SAR1,000 invested one year ago is SAR548 [vs SAR1,110 for the All Share Index (TASI)], including a capital loss of SAR481 and dividend reinvested of SAR28. The total return to shareholders for 1 year is -45.2%.
The stock is at a discount of 48.3% to the 12-month high of SAR24.70 on 26 Jul, 2016. It is also at a premium of 10.7% to the 12-month low of SAR11.55 on 18 Oct, 2016.
The positive 0.01 MACD (Moving Average Convergence Divergence) indicator suggests a bullish signal (12-day minus 26-day Exponential Moving Averages). Both the 12-day and the 26-day EMA are rising - another bullish signal. In the past week, the stock's MACD has been positive in three days, a reinforcing bullish signal.
SECTION 2: Ranking
|Description||Value||Rank In Market|
|MCap $US million||214.3||In 3rd Quartile|
|52-week Range (in SAR)||11.6-24.7|
|1-month Range (in SAR)||12.6-14.1|
|Price/MAP200||0.84||In Bottom 9%|
|Today's Volatility %||2.2||In Bottom 7%|
SECTION 3: Earnings
FY2016 Annual Report: Al Hassan Ghazi Ibrahim Shaker profits hit by 65% fall
Al Hassan Ghazi Ibrahim Shaker (TASI:1214) reported net profit for the year-ended 31 December 2016 of SAR47.5m ($US12.7m), down 65.2% from SAR137m ($US36.4m) in the previous year.
Major changes compared with previous year:
- Total non-current assets to Total Assets up from 35.1% to 36.4%
- Current Debtors to Total Assets up from 19% to 29.8%
- Long-term investments to Total Assets up from 22.8% to 24.1%
- Net profit slumps 65.2% from SAR136.5m ($US36.4m) to SAR47.5m ($US12.7m)
- EBIT Margin down from 8.0% to 4.8%
- Interest cover down 71.1% from 9.1 to 2.6
- EBIT to total assets down from 6.2% to 3.3%
- Total revenue to total assets down from 0.8 to 0.7
- Operating Cash Flow is negative
- Sales and marketing expenses to Sales up from 9.8% to 11.7%
- Administration expenses to Sales up from 8.4% to 9.5%
- Profit before tax to Sales down from 7.1% to 3%
- Interest expenses to Sales up from 0.9% to 1.8%
- Debt to Equity up 13% from 0.7 to 0.8
- Working capital to total assets down from 13.1% to 11.5%
- Total current assets to Total Assets down from 64.9% to 63.6%
- Total Liabilities to EBITDA of 16.7 compares unfavourably with the Joseph Piotroski benchmark of less than 5. This ratio has deteriorated by 85.9% from the previous year's ratio of 9.0.
- Cost of Goods Sold to Sales down from 76.9% to 75.8%
- Total liabilities to Total assets steady at 0.6
- Current ratio steady at 1.2
- Retained earnings to total assets steady at 11.7%
- Fixed Assets to Total Assets up from 10.6% to 10.7%
SECTION 4: Recent News of Al Hassan Ghazi Ibrahim Shaker
July 24: Al Hassan Ghazi Ibrahim Shaker Co. announces the interim financial results for the period ending on 30-06-2017 (Six Months)
June 01: Al Hassan Ghazi Ibrahim Shaker Managing Director will resign
Al Hassan Ghazi Ibrahim Shaker Jameel Al Molhem, Managing Director will resign. The effective date is Tuesday, July 25.
June 01: Al Hassan Ghazi Ibrahim Shaker Chief Executive Officer will resign
Al Hassan Ghazi Ibrahim Shaker Jameel Al Molhem, Chief Executive Officer will resign. The effective date is Tuesday, July 25.
May 29: Shaker receives 'LG Best After-Sales Service Performance Award'
SHAKER Group, the sole distributor for LG Air Conditioners, and global Home Appliances brands Indesit, Ariston, Maytag, Bissell, Kitchen Aid and Midea in Saudi Arabia, has achieved a new record added to their recognitions in field of after sale service. The Group, for the third time, has attained in March 2017 the Best Performance Award for LG distributors in the Middle East and Africa.
Al Hassan Ghazi Ibrahim Shaker (SA:1214; SAU:1214; AB:1214)