- Abdullah Al Othaim’s third-quarter profit was 17.5 million riyals, which is a 75% decrease compared to the previous year.
- The reported profit was significantly below the estimate of 49.7 million riyals.
- Revenue for the third quarter increased by 5.8% year-over-year to 2.71 billion riyals, surpassing the estimate of 2.68 billion riyals.
- Operating profit fell by 43% year-over-year to 47 million riyals, missing the estimate of 88 million riyals.
- The company attributed the profit margin decrease to offering promotional discounts and campaigns.
- Higher operating costs across various sales channels and increased expenses from opening new branches also impacted the results.
- Analyst opinions on the company’s stock include 1 buy, 7 holds, and 3 sells.
A look at Abdullah Al Othaim Markets Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 2 | |
| Dividend | 4 | |
| Growth | 4 | |
| Resilience | 2 | |
| Momentum | 4 | |
| OVERALL SMART SCORE | 3.2 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Abdullah Al Othaim Markets Co., known for operating commercial wholesale and retail sale centers and supermarkets, shows a promising long-term outlook based on the Smartkarma Smart Scores. With a strong Dividend score of 4, investors could potentially benefit from regular dividend payouts. Additionally, the Growth and Momentum scores both standing at 4 suggest a positive trajectory for the company’s future expansion and stock performance. However, aspects such as Value and Resilience with scores of 2 each indicate areas where improvement could enhance overall stability and attractiveness for investors.
In summary, Abdullah Al Othaim Markets Co. appears well-positioned for growth and income generation in the long run, supported by favorable Dividend, Growth, and Momentum scores. While there is room for enhancement in terms of Value and Resilience, the company’s core operations in retail and wholesale sectors provide a solid foundation for potential investment opportunities in the foreseeable future.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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