Exploring Middle East's Hidden Gems Including 3 Promising Small Caps with Solid Potential
The Middle East stock markets have recently shown mixed performance amid global trade tensions, with indices such as Dubai's experiencing declines while Saudi Arabia's saw slight gains. In this environment, identifying promising small-cap stocks requires a focus on companies with strong fundamentals and resilience to external economic pressures, making them potential hidden gems in the region.
Name
Debt To Equity
Revenue Growth
Earnings Growth
Health Rating
Sure Global Tech
NA
13.90%
18.91%
★★★★★★
Nofoth Food Products
NA
14.41%
31.88%
★★★★★★
MOBI Industry
6.50%
5.60%
24.00%
★★★★★★
Baazeem Trading
6.93%
-1.88%
-2.38%
★★★★★★
National Corporation for Tourism and Hotels
15.77%
-3.48%
-12.95%
★★★★★★
Amanat Holdings PJSC
12.00%
34.39%
-9.61%
★★★★★☆
Malam - Team
91.23%
12.11%
-6.38%
★★★★★☆
Y.D. More Investments
72.96%
29.63%
29.48%
★★★★★☆
C. Mer Industries
114.92%
13.32%
73.44%
★★★★☆☆
Polyram Plastic Industries
41.71%
10.42%
9.94%
★★★★☆☆
Click here to see the full list of 243 stocks from our Middle Eastern Undiscovered Gems With Strong Fundamentals screener.
We'll examine a selection from our screener results.
Simply Wall St Value Rating: ★★★★★★
Overview: East Pipes Integrated Company for Industry specializes in the manufacturing and sale of iron and steel pipes, tubes, and hollow shapes in Saudi Arabia, with a market capitalization of SAR4.35 billion.
Operations: East Pipes generates revenue primarily from its Machinery - Pumps segment, amounting to SAR2.15 billion.
East Pipes Integrated Company for Industry, a smaller player in the Middle East's industrial sector, has shown remarkable earnings growth of 281% over the past year, outpacing its industry peers by a significant margin. Its net income for the latest quarter reached SAR 112 million, up from SAR 86 million the previous year. The company's interest payments are comfortably covered with an EBIT coverage ratio of 38 times. Despite recent share price volatility, East Pipes is expanding its production capacity with a new line costing SAR 48 million expected to boost output by an additional 100,000 MTs in coming years.
Click to explore a detailed breakdown of our findings in East Pipes Integrated Company for Industry's health report.
Gain insights into East Pipes Integrated Company for Industry's historical performance by reviewing our past performance report.
Simply Wall St Value Rating: ★★★★★★
Overview: Derayah Financial Company offers brokerage, advisory, and custody services in Saudi Arabia and internationally, with a market capitalization of SAR7.20 billion.
Operations: The primary revenue streams for Derayah Financial include brokerage services generating SAR689.89 million, asset management contributing SAR144.72 million, and investment activities providing SAR42.06 million. The company's financial performance is significantly driven by its brokerage segment, which accounts for the majority of its income.
Derayah Financial, a promising player in the Middle East financial scene, has showcased impressive growth with earnings rising 34.6% last year, outpacing the industry average of 19.6%. The company reported SAR 443.9 million in net income for 2024, up from SAR 329.7 million the previous year, and completed an IPO raising SAR 1.5 billion at a price of SAR 30 per share. With a price-to-earnings ratio of 16x compared to the SA market's average of 22x and no debt on its books for five years now, Derayah seems well-positioned within its sector despite highly illiquid shares.
Navigate through the intricacies of Derayah Financial with our comprehensive health report here.
Assess Derayah Financial's past performance with our detailed historical performance reports.
Simply Wall St Value Rating: ★★★★★★
Overview: One Software Technologies Ltd offers a range of software, hardware, and integration services with a market capitalization of approximately ₪5.11 billion.
Operations: One Software Technologies Ltd generates revenue primarily from three segments: Infrastructure and Computing Solutions (₪1.22 billion), Outsourcing of Business Processes and Technological Support Centers (₪316.01 million), and Technological Solutions and Services, Management Consulting, and Value-Added Services (₪2.49 billion). The company's net profit margin is a key financial metric to consider when analyzing its profitability trends over time.
One Software Technologies, a dynamic player in the IT sector, has seen its earnings grow by 26.5% over the past year, outpacing the industry average of 24.5%. The company boasts a strong balance sheet with cash exceeding total debt and a reduced debt-to-equity ratio from 51.2% to 24.8% over five years. Its interest payments are comfortably covered by EBIT at 23.5 times coverage, indicating financial stability. Trading at an attractive valuation of 8.3% below estimated fair value, ONE also reported improved net income of ILS230 million for 2024 compared to ILS182 million the previous year, showcasing robust profitability and growth potential in its market segment.
Click here and access our complete health analysis report to understand the dynamics of One Software Technologies.
Examine One Software Technologies' past performance report to understand how it has performed in the past.
Delve into our full catalog of 243 Middle Eastern Undiscovered Gems With Strong Fundamentals here.
Invested in any of these stocks? Simplify your portfolio management with Simply Wall St and stay ahead with our alerts for any critical updates on your stocks.
Take control of your financial future using Simply Wall St, offering free, in-depth knowledge of international markets to every investor.
Explore high-performing small cap companies that haven't yet garnered significant analyst attention.
Fuel your portfolio with companies showing strong growth potential, backed by optimistic outlooks both from analysts and management.
Find companies with promising cash flow potential yet trading below their fair value.
This article by Simply Wall St is general in nature. We provide commentary 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. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
Companies discussed in this article include SASE:1321 SASE:4084 and TASE:ONE.
Have feedback on this article? Concerned about the content? with us directly. Alternatively, email editorial-team@simplywallst.com
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Yahoo
an hour ago
- Yahoo
Albaraka Türk Katilim Bankasi And 2 Other Undiscovered Gems In Middle East Stocks
As Middle East stock markets continue to show resilience, with many Gulf indices rising and Dubai's main index reaching its highest level in over 17 years, investors are increasingly looking for opportunities beyond the well-trodden paths. In such a dynamic environment, identifying stocks that combine strong fundamentals with strategic market positioning can offer potential growth opportunities amidst the region's evolving economic landscape. Name Debt To Equity Revenue Growth Earnings Growth Health Rating Besler Gida Ve Kimya Sanayi ve Ticaret Anonim Sirketi 40.12% 43.54% 38.87% ★★★★★★ Vakif Gayrimenkul Yatirim Ortakligi 0.00% 50.97% 56.63% ★★★★★★ National General Insurance (P.J.S.C.) NA 14.55% 29.05% ★★★★★☆ Amanat Holdings PJSC 11.28% 31.80% 1.00% ★★★★★☆ Keir International 23.18% 49.21% -17.98% ★★★★★☆ Mackolik Internet Hizmetleri Ticaret 0.14% 25.61% 36.34% ★★★★★☆ Arsan Tekstil Ticaret ve Sanayi Anonim Sirketi 0.53% 7.56% 49.01% ★★★★★☆ MIA Teknoloji Anonim Sirketi 17.80% 49.41% 66.89% ★★★★★☆ Rotshtein Realestate 167.30% 23.48% 15.60% ★★★★☆☆ Dogan Burda Dergi Yayincilik Ve Pazarlama 64.82% 46.23% -12.39% ★★★★☆☆ Click here to see the full list of 224 stocks from our Middle Eastern Undiscovered Gems With Strong Fundamentals screener. Let's explore several standout options from the results in the screener. Simply Wall St Value Rating: ★★★★★★ Overview: Albaraka Türk Katilim Bankasi A.S. is a Turkish bank offering a range of banking products and services, with a market capitalization of TRY17.48 billion. Operations: Albaraka Türk Katilim Bankasi A.S. generates revenue primarily from its Commercial and Corporate segment, contributing TRY32.66 billion, followed by the Treasury segment at TRY21.81 billion. The Individual banking segment adds TRY7.04 billion to the total revenue stream. Albaraka Türk Katilim Bankasi, with total assets of TRY352.5 billion and equity of TRY20.4 billion, stands out due to its robust earnings growth of 159.8% over the past year, significantly outpacing the industry average of 0.8%. The bank's liabilities are primarily low-risk customer deposits, comprising 65% of its funding sources. It maintains an appropriate level of non-performing loans at 1.4%, backed by a sufficient allowance for bad loans at 163%. With a price-to-earnings ratio at just 1.4x compared to the market's 17.7x, it appears undervalued despite recent challenges in net interest income performance. Get an in-depth perspective on Albaraka Türk Katilim Bankasi's performance by reading our health report here. Explore historical data to track Albaraka Türk Katilim Bankasi's performance over time in our Past section. Simply Wall St Value Rating: ★★★★★★ Overview: Tukas Gida Sanayi ve Ticaret A.S., along with its subsidiaries, operates in the manufacture and sale of food products both in Turkey and internationally, with a market capitalization of TRY11.12 billion. Operations: Tukas derives its revenue primarily from the food processing segment, which generated TRY6.60 billion. The company's financial performance is characterized by its focus on this core segment, contributing significantly to overall sales. Tukas Gida Sanayi ve Ticaret, a nimble player in the food industry, showcases high-quality earnings with a price-to-earnings ratio of 8.1x, significantly lower than Turkey's market average of 17.7x. Despite reporting TRY 2 billion in sales for Q1 2025, down from TRY 2.24 billion the previous year, net income improved to TRY 488 million from a loss of TRY 108 million. The company is debt-free and saw its earnings grow by 5.1%, outpacing the industry growth rate of just 0.05%. However, free cash flow remains negative despite these positive indicators. Take a closer look at Tukas Gida Sanayi ve Ticaret's potential here in our health report. Gain insights into Tukas Gida Sanayi ve Ticaret's historical performance by reviewing our past performance report. Simply Wall St Value Rating: ★★★★☆☆ Overview: Africa Israel Residences Ltd focuses on the development and sale of residential units under the Savyonim brand in Israel, with a market capitalization of ₪2.92 billion. Operations: Africa Israel Residences Ltd generates revenue primarily from the promotion of projects, contributing ₪1.15 billion, and initiation of rental housing at ₪22.29 million. The company experiences a segment adjustment cost of -₪176.86 million impacting overall financials. Africa Israel Residences, a notable player in the real estate sector, has seen its debt to equity ratio improve significantly from 196.9% to 76.6% over five years. Despite high net debt levels at 67.1%, earnings grew by an impressive 34.2%, outpacing the industry average of 30.6%. Recent financials show sales rising to ₪246.58M for Q1 2025 from ₪208.17M last year, with net income increasing to ₪34.85M from ₪22.93M in the same period, reflecting strong operational performance despite large one-off gains impacting results by ₪80.3M recently reported for March-end financials this year. Delve into the full analysis health report here for a deeper understanding of Africa Israel Residences. Gain insights into Africa Israel Residences' past trends and performance with our Past report. Click through to start exploring the rest of the 221 Middle Eastern Undiscovered Gems With Strong Fundamentals now. Already own these companies? Link your portfolio to Simply Wall St and get alerts on any new warning signs to your stocks. Take control of your financial future using Simply Wall St, offering free, in-depth knowledge of international markets to every investor. Explore high-performing small cap companies that haven't yet garnered significant analyst attention. Fuel your portfolio with companies showing strong growth potential, backed by optimistic outlooks both from analysts and management. Find companies with promising cash flow potential yet trading below their fair value. This article by Simply Wall St is general in nature. We provide commentary 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. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Companies discussed in this article include IBSE:ALBRK IBSE:TUKAS and TASE:AFRE. Have feedback on this article? Concerned about the content? with us directly. Alternatively, email editorial-team@ Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
an hour ago
- Yahoo
Exploring Three Undiscovered Gems in Middle Eastern Markets
As Middle Eastern markets, particularly in the UAE, experience upward momentum with indices like Dubai's reaching their highest levels since 2008, investors are closely watching global economic developments such as the US-China trade talks for further cues. In this dynamic environment, identifying promising stocks involves looking for companies that can capitalize on regional growth trends and demonstrate resilience amid global uncertainties. Name Debt To Equity Revenue Growth Earnings Growth Health Rating Amir Marketing and Investments in Agriculture 17.44% 5.21% 5.41% ★★★★★★ Formula Systems (1985) 33.74% 8.44% 11.96% ★★★★★★ Payton Industries NA 7.02% 14.80% ★★★★★★ Besler Gida Ve Kimya Sanayi ve Ticaret Anonim Sirketi 40.12% 43.54% 38.87% ★★★★★★ Y.D. More Investments 62.65% 28.86% 32.05% ★★★★★☆ C. Mer Industries 109.27% 13.77% 72.47% ★★★★★☆ Keir International 23.18% 49.21% -17.98% ★★★★★☆ Alfa Solar Enerji Sanayi ve Ticaret 38.29% -32.50% -4.61% ★★★★★☆ Waja 23.81% 98.44% 14.54% ★★★★☆☆ Izmir Firça Sanayi ve Ticaret Anonim Sirketi 43.01% 40.80% -34.83% ★★★★☆☆ Click here to see the full list of 223 stocks from our Middle Eastern Undiscovered Gems With Strong Fundamentals screener. Let's review some notable picks from our screened stocks. Simply Wall St Value Rating: ★★★★★☆ Overview: Gür-Sel Turizm Tasimacilik ve Servis Ticaret A.S. is a company engaged in transportation services, with a market capitalization of TRY27.29 billion. Operations: GRSEL generates revenue primarily from its transportation services, with a focus on railroads, contributing TRY8.43 billion. Gür-Sel Turizm Tasimacilik ve Servis Ticaret, a dynamic player in the transportation sector, recently reported first-quarter sales of TRY 2.42 billion, a slight increase from TRY 2.32 billion last year. Despite this growth in sales, net income dipped to TRY 583.8 million from TRY 594.71 million previously. With its earnings growth at -19.3%, matching the industry average, it trades at an attractive valuation—61% below estimated fair value—and boasts robust interest coverage with EBIT covering interest payments by 68 times. The company seems well-positioned financially with more cash than total debt and positive free cash flow prospects ahead. Click to explore a detailed breakdown of our findings in Gür-Sel Turizm Tasimacilik ve Servis Ticaret's health report. Assess Gür-Sel Turizm Tasimacilik ve Servis Ticaret's past performance with our detailed historical performance reports. Simply Wall St Value Rating: ★★★★★★ Overview: Ashot Ashkelon Industries Ltd. is a company that manufactures and sells systems and components for aerospace and defense sectors both in Israel and internationally, with a market cap of ₪1.27 billion. Operations: The company's revenue is primarily derived from its military segment, contributing ₪286.72 million, and its aviation and complex assemblies segment, adding ₪115.23 million. The subsidiary in the USA generates an additional ₪50.44 million in revenue. Ashot Ashkelon Industries, a notable player in the Aerospace & Defense sector, has demonstrated robust financial health with its debt to equity ratio decreasing from 14.1% to 12.8% over five years. Its earnings growth of 45.6% outpaces industry standards, highlighting strong performance. The company reported first-quarter sales of ILS 121 million and net income of ILS 14 million, reflecting solid financial results compared to last year's figures. Despite recent share price volatility, Ashot's interest coverage by EBIT is a reassuring 9x, indicating well-managed debt obligations and promising future prospects in its niche market space. Click here and access our complete health analysis report to understand the dynamics of Ashot Ashkelon Industries. Review our historical performance report to gain insights into Ashot Ashkelon Industries''s past performance. Simply Wall St Value Rating: ★★★★★★ Overview: Delta Israel Brands Ltd. is a company that designs, develops, markets, and sells various clothing products in Israel with a market cap of ₪2.13 billion. Operations: Delta Israel Brands generates revenue primarily through the sale of clothing products in Israel. The company's market cap stands at ₪2.13 billion. Delta Israel Brands, a nimble player in the Specialty Retail sector, showcases a solid financial backbone with no debt compared to five years ago when its debt-to-equity ratio was 12.8%. The company's earnings have consistently grown at 8.7% annually over the past five years, although recent earnings growth of 15.4% lagged behind the industry's impressive 61%. Despite this, Delta maintains high-quality earnings and offers an attractive price-to-earnings ratio of 14.3x, undercutting the industry average of 15x. However, recent first-quarter results showed sales climbing to ILS 315 million from ILS 260 million last year while net income dipped slightly to ILS 29 million from ILS 33 million previously. Navigate through the intricacies of Delta Israel Brands with our comprehensive health report here. Evaluate Delta Israel Brands' historical performance by accessing our past performance report. Unlock more gems! Our Middle Eastern Undiscovered Gems With Strong Fundamentals screener has unearthed 220 more companies for you to here to unveil our expertly curated list of 223 Middle Eastern Undiscovered Gems With Strong Fundamentals. Are you invested in these stocks already? Keep abreast of every twist and turn by setting up a portfolio with Simply Wall St, where we make it simple for investors like you to stay informed and proactive. Invest smarter with the free Simply Wall St app providing detailed insights into every stock market around the globe. Explore high-performing small cap companies that haven't yet garnered significant analyst attention. Fuel your portfolio with companies showing strong growth potential, backed by optimistic outlooks both from analysts and management. Find companies with promising cash flow potential yet trading below their fair value. This article by Simply Wall St is general in nature. We provide commentary 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. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Companies discussed in this article include IBSE:GRSEL TASE:ASHO and TASE:DLTI. Have feedback on this article? Concerned about the content? with us directly. Alternatively, email editorial-team@
Yahoo
2 hours ago
- Yahoo
Ihlas Holding Leads These 3 Middle Eastern Penny Stocks
The Middle Eastern stock markets have recently shown mixed results, influenced by global trade discussions and regional economic shifts. In such a landscape, penny stocks—though often considered niche investments—can still offer unique growth opportunities when backed by strong financials. These smaller or newer companies may provide value and potential that larger firms might overlook, making them an intriguing option for investors seeking hidden gems with promising prospects. Name Share Price Market Cap Financial Health Rating Terminal X Online (TASE:TRX) ₪4.26 ₪541.04M ★★★★★★ Menara Ventures Xl - Limited Partnership (TASE:MNRA) ₪2.719 ₪12.49M ★★★★★★ Thob Al Aseel (SASE:4012) SAR4.01 SAR1.6B ★★★★★★ Alarum Technologies (TASE:ALAR) ₪4.081 ₪286.31M ★★★★★★ E7 Group PJSC (ADX:E7) AED1.09 AED2.16B ★★★★★★ Katmerciler Arac Üstü Ekipman Sanayi ve Ticaret (IBSE:KATMR) TRY1.81 TRY1.95B ★★★★★☆ Dubai National Insurance & Reinsurance (P.S.C.) (DFM:DNIR) AED3.59 AED414.64M ★★★★★★ Dubai Investments PJSC (DFM:DIC) AED2.51 AED10.67B ★★★★☆☆ Sharjah Cement and Industrial Development (PJSC) (ADX:SCIDC) AED0.767 AED466.53M ★★★★★★ Tgi Infrastructures (TASE:TGI) ₪2.292 ₪170.39M ★★★★★★ Click here to see the full list of 93 stocks from our Middle Eastern Penny Stocks screener. Let's review some notable picks from our screened stocks. Simply Wall St Financial Health Rating: ★★★★☆☆ Overview: Ihlas Holding A.S. operates in construction and real estate, media, manufacturing and trading, healthcare, and education sectors both in Turkey and internationally, with a market cap of TRY3.43 billion. Operations: The company's revenue is primarily derived from its marketing segment, which generated TRY4.51 billion, followed by media at TRY2.23 billion and construction at TRY1.01 billion. Market Cap: TRY3.43B Ihlas Holding A.S., with a market cap of TRY3.43 billion, operates across various sectors including construction and media. Despite being unprofitable, the company has made strides in reducing its losses by 9.6% annually over the past five years and reported a net loss of TRY216.31 million for Q1 2025, an improvement from TRY789.37 million a year ago. Its seasoned management team has maintained financial stability by ensuring short-term assets exceed liabilities and reducing debt levels significantly over five years to a debt-to-equity ratio of 4.8%. However, negative operating cash flow indicates challenges in covering debt through operations alone. Get an in-depth perspective on Ihlas Holding's performance by reading our balance sheet health report here. Assess Ihlas Holding's previous results with our detailed historical performance reports. Simply Wall St Financial Health Rating: ★★★★★★ Overview: Imed Infinity Medical-Limited Partnership is a research and development entity that invests in medical field projects, primarily focusing on digital health, with a market cap of ₪5.43 million. Operations: The company generates revenue from its venture capital activities, amounting to $0.041 million. Market Cap: ₪5.43M Imed Infinity Medical-Limited Partnership, with a market cap of ₪5.43 million, focuses on digital health projects but remains pre-revenue with only $0.041 million in revenue. Despite its unprofitability and a net loss of US$0.575 million for 2024, the company has improved its financial position by reducing losses from the previous year and maintaining sufficient cash runway for over a year without debt obligations. Its short-term assets significantly exceed liabilities, providing some stability amidst volatile share prices and an experienced management team averaging two years in tenure supports strategic continuity. Click to explore a detailed breakdown of our findings in Imed Infinity Medical-Limited Partnership's financial health report. Gain insights into Imed Infinity Medical-Limited Partnership's historical outcomes by reviewing our past performance report. Simply Wall St Financial Health Rating: ★★★★☆☆ Overview: Oil Refineries Ltd., with a market cap of ₪2.81 billion, is involved in the production and sale of fuel products, intermediate materials, and aromatic products both in Israel and internationally through its subsidiaries. Operations: The company generates revenue primarily from its refining segment, which accounts for $6.19 billion, followed by the polymers segment at $806 million. Market Cap: ₪2.81B Oil Refineries Ltd., with a market cap of ₪2.81 billion, faces challenges as it reported a net loss of US$31 million for Q1 2025, compared to a net income of US$49 million the previous year. The company's financials show reduced debt levels over five years and sufficient short-term assets to cover liabilities. However, its interest coverage remains low at 1.3 times EBIT, and profit margins have declined from the previous year. Despite trading below estimated fair value and having stable weekly volatility, negative earnings growth and large one-off items affect its profitability outlook in the penny stock landscape. Click here and access our complete financial health analysis report to understand the dynamics of Oil Refineries. Gain insights into Oil Refineries' past trends and performance with our report on the company's historical track record. Investigate our full lineup of 93 Middle Eastern Penny Stocks right here. Ready To Venture Into Other Investment Styles? This technology could replace computers: discover the 23 stocks are working to make quantum computing a reality. This article by Simply Wall St is general in nature. We provide commentary 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. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Companies discussed in this article include IBSE:IHLAS TASE:IMED and TASE:ORL. This article was originally published by Simply Wall St. Have feedback on this article? Concerned about the content? with us directly. Alternatively, email editorial-team@ Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
