EGYPTIAN ARABIAN(THEMAR)COMP. FOR SECURITIES&BONDS BROK. EAC
EASB

EGX

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

5.50 EGP

+22.79%
Holding Period

More than 12 months

Final Recommendation

Buy stock at the current price

Valid Until

March 17, 2026 at 6:29:23 AM

Risk Assessment

Medium

Confidence Score

85.00%

Potential Growth

15.00%

Investment Reason

Egyptian Arabian Company (Themar) for Securities Brokerage has demonstrated significant financial growth, with a 120.10% year-over-year revenue increase to EGP 69.57 million in the last twelve months. The company maintains a strong market presence with a P/E ratio of 14.43, lower than the industry average, indicating potential undervaluation. Technical analyses currently rate the stock as a 'Strong Buy', reflecting positive momentum. These factors suggest a favorable outlook for EASB in the medium term.

Overview
Recent Performance

Over the past year, EASB's stock price has increased by 0.77%, with a 4.13% rise in the last week and a 2.25% increase over the past month. The stock is currently trading at EGP 4.48, within a 52-week range of EGP 1.82 to EGP 6.26.

Economic Factors

The Egyptian economy has shown resilience with GDP growth and improving investor sentiment. However, challenges such as inflation and currency fluctuations persist. EASB's growth aligns with the positive trends in the financial sector, though macroeconomic factors could influence future performance.

Competitive Positioning

EASB operates as a securities brokerage firm in Egypt, offering services such as securities trading, financial advisory, and e-trading. With 13 branches and 160 trading screens across the country, the company has a strong market presence, though it faces competition from other brokerage firms in the Egyptian market.

Analysis Summary

EASB's robust financial growth, attractive valuation, and positive technical indicators present a compelling investment opportunity. Considering the current price of EGP 4.48 and a target price of EGP 5.50, investors could anticipate a potential return of approximately 22.79%.

Key Points
  • Significant revenue growth with a 120.10% year-over-year increase.
  • Attractive valuation with a P/E ratio of 14.43, lower than industry average.
  • Positive technical analysis with a 'Strong Buy' rating.
  • Expected return of approximately 22.79% from current price to target price.
Recommendations