ARAB REAL ESTATE INVESTMENT CO.-ALICO
RREI

EGX

Current Price
EGP
EGP (%)
Price Upon Recommendation
2.28 EGP
Target Price from Recommendation

2.51 EGP

+10.10%
Holding Period

From 3 to 6 months

Final Recommendation

Buy stock at the current price

Valid Until

July 18, 2025 at 11:59:59 PM

Risk Assessment

Medium

Confidence Score

75.00%

Potential Growth

18.50%

Investment Reason

RREI demonstrates strong momentum with a recent surge in price, supported by Egypt's EGX market resilience and sector-specific demand. The stock's low volatility and strategic positioning in a recovering economy enhance its growth potential.

Overview
Recent Performance

RREI gained 1.32% in the last session, closing at 2.28 EGP, with a 52-week range of 2.23–2.39 EGP. Volume surged 22% above average, signaling institutional interest.

Economic Factors

Egypt's GDP growth (4.5% projected for 2025) and easing inflation support consumer spending. EGX's 2024 bull run (+12% YTD) reflects improving investor sentiment.

Competitive Positioning

RREI operates in Egypt's high-growth real estate sector, leveraging government infrastructure projects and urban expansion. Its low debt-to-equity ratio (0.35) strengthens financial flexibility.

Analysis Summary

RREI's technical breakout above 2.25 EGP resistance, coupled with strong volume and Egypt's macroeconomic tailwinds, suggests 10–15% upside in Q3 2025. Risk-reward ratio favors accumulation near current levels.

Key Points
  • Breakout above 2.25 EGP resistance with 22% volume surge
  • 18.5% growth potential fueled by Egypt's infrastructure boom
  • Medium risk with 75% confidence score from technical/fundamental alignment
  • 10.1% expected return by Q3 2025 target price of 2.51 EGP
Recommendations