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Allied Rental Modaraba

KASE:ARM
Snowflake Description

Good value with adequate balance sheet and pays a dividend.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
ARM
KASE
PKR2B
Market Cap
  1. Home
  2. PK
  3. Capital Goods
Company description

Allied Rental Modaraba primarily engages in the rental/Ijarah/leasing, and operation and maintenance of Caterpillar and other equipment in Pakistan. The last earnings update was 36 days ago. More info.


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ARM Share Price and Events
7 Day Returns
0%
KASE:ARM
14%
PK Trade Distributors
9.6%
PK Market
1 Year Returns
-18.9%
KASE:ARM
-26.6%
PK Trade Distributors
-23.5%
PK Market
ARM Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Allied Rental Modaraba (ARM) 0% -11.4% -11.4% -18.9% -55.5% -73.2%
PK Trade Distributors 14% -10% -13% -26.6% -20.8% -28.2%
PK Market 9.6% -17.9% -26% -23.5% -41.1% -22.6%
1 Year Return vs Industry and Market
  • ARM outperformed the Trade Distributors industry which returned -26.6% over the past year.
  • ARM outperformed the Market in Pakistan which returned -23.5% over the past year.
Price Volatility
ARM
Industry
5yr Volatility vs Market

ARM Value

 Is Allied Rental Modaraba undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Allied Rental Modaraba to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Allied Rental Modaraba.

KASE:ARM Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Extrapolated from most recent financials. See below
Discount Rate (Cost of Equity) See below 29.6%
Perpetual Growth Rate 10-Year PK Government Bond Rate 11.4%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for KASE:ARM
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year PK Govt Bond Rate 11.4%
Equity Risk Premium S&P Global 13.7%
Trade Distributors Unlevered Beta Simply Wall St/ S&P Global 0.86
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.861 (1 + (1- 30%) (104.84%))
1.331
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.33
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 11.38% + (1.331 * 13.68%)
29.58%

Discounted Cash Flow Calculation for KASE:ARM using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Allied Rental Modaraba is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

Note: Free cash flow to equity valuations ignore the company's cash or debt.

KASE:ARM DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (PKR, Millions) Source Present Value
Discounted (@ 29.58%)
2020 717.50 Est @ 84.09% 553.69
2021 1,164.33 Est @ 62.28% 693.37
2022 1,711.65 Est @ 47.01% 786.59
2023 2,333.30 Est @ 36.32% 827.47
2024 3,006.17 Est @ 28.84% 822.70
2025 3,715.63 Est @ 23.6% 784.71
2026 4,456.32 Est @ 19.93% 726.26
2027 5,230.28 Est @ 17.37% 657.79
2028 6,044.72 Est @ 15.57% 586.66
2029 6,909.97 Est @ 14.31% 517.53
Present value of next 10 years cash flows PKR6,956.00
KASE:ARM DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2029 × (1 + g) ÷ (Discount Rate – g)
= PKR6,909.97 × (1 + 11.38%) ÷ (29.58% – 11.38%)
PKR42,276.09
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= PKR42,276.09 ÷ (1 + 29.58%)10
PKR3,166.29
KASE:ARM Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= PKR6,956.00 + PKR3,166.29
PKR10,122.29
Equity Value per Share
(PKR)
= Total value / Shares Outstanding
= PKR10,122.29 / 220.00
PKR46.01
KASE:ARM Discount to Share Price
Calculation Result
Value per share (PKR) From above. PKR46.01
Current discount Discount to share price of PKR9.75
= -1 x (PKR9.75 - PKR46.01) / PKR46.01
78.8%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price Allied Rental Modaraba is available for.
Intrinsic value
>50%
Share price is PKR9.75 vs Future cash flow value of PKR46.01
Current Discount Checks
For Allied Rental Modaraba to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Allied Rental Modaraba's share price is below the future cash flow value, and at a moderate discount (> 20%).
  • Allied Rental Modaraba's share price is below the future cash flow value, and at a substantial discount (> 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Allied Rental Modaraba's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Allied Rental Modaraba's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
KASE:ARM PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-12-31) in PKR PKR1.16
KASE:ARM Share Price ** KASE (2020-04-03) in PKR PKR9.75
Asia Trade Distributors Industry PE Ratio Median Figure of 366 Publicly-Listed Trade Distributors Companies 9.21x
Pakistan Market PE Ratio Median Figure of 275 Publicly-Listed Companies 7.33x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Allied Rental Modaraba.

KASE:ARM PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= KASE:ARM Share Price ÷ EPS (both in PKR)

= 9.75 ÷ 1.16

8.43x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Allied Rental Modaraba is good value based on earnings compared to the Asia Trade Distributors industry average.
  • Allied Rental Modaraba is overvalued based on earnings compared to the Pakistan market.
Price based on expected Growth
Does Allied Rental Modaraba's expected growth come at a high price?
Raw Data
KASE:ARM PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 8.43x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 0 Analysts
Not available
Asia Trade Distributors Industry PEG Ratio Median Figure of 47 Publicly-Listed Trade Distributors Companies 0.94x
Pakistan Market PEG Ratio Median Figure of 27 Publicly-Listed Companies 0.43x

*Line of best fit is calculated by linear regression .

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Unable to calculate PEG ratio for Allied Rental Modaraba, we can't assess if its growth is good value.
Price based on value of assets
What value do investors place on Allied Rental Modaraba's assets?
Raw Data
KASE:ARM PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-12-31) in PKR PKR23.92
KASE:ARM Share Price * KASE (2020-04-03) in PKR PKR9.75
Pakistan Trade Distributors Industry PB Ratio Median Figure of 5 Publicly-Listed Trade Distributors Companies 0.73x
Pakistan Market PB Ratio Median Figure of 386 Publicly-Listed Companies 0.59x
KASE:ARM PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= KASE:ARM Share Price ÷ Book Value per Share (both in PKR)

= 9.75 ÷ 23.92

0.41x

* Primary Listing of Allied Rental Modaraba.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Allied Rental Modaraba is good value based on assets compared to the PK Trade Distributors industry average.
X
Value checks
We assess Allied Rental Modaraba's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Trade Distributors industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Trade Distributors industry average (and greater than 0)? (1 check)
  5. Allied Rental Modaraba has a total score of 4/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

ARM Future Performance

 How is Allied Rental Modaraba expected to perform in the next 1 to 3 years based on estimates from 0 analysts?

In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Allied Rental Modaraba has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by Simply Wall St do have past financial data. You can see them here.

Show me the analysis anyway

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
8.9%
Expected Trade Distributors industry annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Allied Rental Modaraba expected to grow at an attractive rate?
  • Unable to compare Allied Rental Modaraba's earnings growth to the low risk savings rate as no estimate data is available.
Growth vs Market Checks
  • Unable to compare Allied Rental Modaraba's earnings growth to the Pakistan market average as no estimate data is available.
  • Unable to compare Allied Rental Modaraba's revenue growth to the Pakistan market average as no estimate data is available.
Annual Growth Rates Comparison
Raw Data
KASE:ARM Future Growth Rates Data Sources
Data Point Source Value (per year)
Asia Trade Distributors Industry Earnings Growth Rate Market Cap Weighted Average 8.9%
Asia Trade Distributors Industry Revenue Growth Rate Market Cap Weighted Average 3.7%
Pakistan Market Earnings Growth Rate Market Cap Weighted Average 14.9%
Pakistan Market Revenue Growth Rate Market Cap Weighted Average 7.5%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
KASE:ARM Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 0 Analyst Estimates (S&P Global) See Below
All numbers in PKR Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
KASE:ARM Past Financials Data
Date (Data in PKR Millions) Revenue Cash Flow Net Income *
2019-12-31 3,700 1,236 255
2019-09-30 3,779 1,120 339
2019-06-30 3,822 1,169 383
2019-03-31 3,849 1,123 405
2018-12-31 3,841 968 429
2018-09-30 3,847 968 415
2018-06-30 3,696 787 395
2018-03-31 3,554 906 464
2017-12-31 3,400 630 500
2017-09-30 3,256 800 491
2017-06-30 3,116 831 458
2017-03-31 3,053 857 393

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Unable to determine if Allied Rental Modaraba is high growth as no earnings estimate data is available.
  • Unable to determine if Allied Rental Modaraba is high growth as no revenue estimate data is available.
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
KASE:ARM Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 0 Analyst Estimates (S&P Global) See Below

All data from Allied Rental Modaraba Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

KASE:ARM Past Financials Data
Date (Data in PKR Millions) EPS *
2019-12-31 1.16
2019-09-30 1.54
2019-06-30 1.74
2019-03-31 1.94
2018-12-31 2.05
2018-09-30 1.98
2018-06-30 1.89
2018-03-31 2.30
2017-12-31 2.33
2017-09-30 2.35
2017-06-30 2.27
2017-03-31 1.92

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Unable to establish if Allied Rental Modaraba will efficiently use shareholders’ funds in the future without estimates of Return on Equity.

Next steps:

  1. Examine whether Allied Rental Modaraba is trading at Allied Rental Modaraba'san attractive price based on how much it is expected to earn in the future, and relative to its industry peers and the wider market.
  2. Allied Rental Modaraba's future outlook can be gauged by looking at industry trends and market size, and determining how well-positioned the company is compared to its competitors. Take a look at other high-growth Capital Goods companies here
  3. Use fundamentals to screen for another stock to analyse from our database of over 75,000 companies worldwide
X
Future performance checks
We assess Allied Rental Modaraba's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the Asia market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the Asia market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Allied Rental Modaraba has a total score of 0/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

ARM Past Performance

  How has Allied Rental Modaraba performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Allied Rental Modaraba's growth in the last year to its industry (Trade Distributors).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Allied Rental Modaraba's year on year earnings growth rate was negative over the past 5 years and the most recent earnings are below average.
  • Allied Rental Modaraba's 1-year earnings growth is negative, it can't be compared to the 5-year average.
  • Allied Rental Modaraba's 1-year earnings growth is negative, it can't be compared to the Asia Trade Distributors industry average.
Earnings and Revenue History
Allied Rental Modaraba's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Allied Rental Modaraba Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

KASE:ARM Past Revenue, Cash Flow and Net Income Data
Date (Data in PKR Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-12-31 3,700.45 254.59 245.15
2019-09-30 3,778.72 338.68 243.49
2019-06-30 3,821.67 382.85 244.95
2019-03-31 3,849.12 404.74 241.92
2018-12-31 3,840.78 428.86 244.44
2018-09-30 3,847.17 414.82 228.59
2018-06-30 3,696.14 395.12 216.11
2018-03-31 3,554.39 464.33 212.51
2017-12-31 3,399.97 500.11 201.15
2017-09-30 3,255.62 490.92 198.49
2017-06-30 3,116.27 457.86 186.90
2017-03-31 3,052.74 393.23 181.24
2016-12-31 2,936.42 353.26 171.39
2016-09-30 2,784.76 338.04 161.98
2016-06-30 2,686.89 294.35 156.22
2016-03-31 2,571.50 322.53 146.91
2015-12-31 2,545.46 290.79 141.08
2015-09-30 2,553.81 298.61 128.92
2015-06-30 2,699.43 403.53 127.31
2015-03-31 2,727.89 503.67 120.87
2014-12-31 2,688.53 555.88 116.40
2014-09-30 2,670.68 606.68 113.04
2014-06-30 2,542.21 651.46 110.53
2014-03-31 2,466.68 662.61 106.84
2013-12-31 2,419.27 701.61 103.42
2013-09-30 2,278.17 702.11 98.09
2013-06-30 2,139.20 631.86 94.35

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Allied Rental Modaraba has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Allied Rental Modaraba used its assets more efficiently than the Asia Trade Distributors industry average last year based on Return on Assets.
  • Allied Rental Modaraba's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Allied Rental Modaraba's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Trade Distributors industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Allied Rental Modaraba has a total score of 1/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

ARM Health

 How is Allied Rental Modaraba's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Allied Rental Modaraba's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Allied Rental Modaraba is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Allied Rental Modaraba's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of Allied Rental Modaraba's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • Low level of unsold assets.
  • Debt is covered by short term assets, assets are 1x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Allied Rental Modaraba Company Filings, last reported 3 months ago.

KASE:ARM Past Debt and Equity Data
Date (Data in PKR Millions) Total Equity Total Debt Cash & Short Term Investments
2019-12-31 5,262.62 2,183.31 76.52
2019-09-30 5,205.68 2,124.12 53.06
2019-06-30 5,333.54 2,414.60 50.64
2019-03-31 5,309.68 2,641.98 75.80
2018-12-31 5,226.64 2,868.40 160.34
2018-09-30 5,092.38 2,938.66 151.02
2018-06-30 5,150.54 3,043.99 91.23
2018-03-31 5,112.10 3,042.69 191.14
2017-12-31 4,734.53 3,282.43 244.75
2017-09-30 4,517.49 3,228.86 181.45
2017-06-30 4,658.59 2,937.50 307.44
2017-03-31 4,550.97 2,648.83 305.85
2016-12-31 4,408.03 2,214.28 90.96
2016-09-30 4,292.74 2,081.81 40.41
2016-06-30 4,382.17 2,000.33 57.35
2016-03-31 4,335.55 1,972.73 130.79
2015-12-31 4,181.50 1,544.16 703.62
2015-09-30 3,456.76 1,666.91 72.21
2015-06-30 3,703.87 1,702.00 74.51
2015-03-31 3,625.44 1,792.72 61.54
2014-12-31 3,555.74 1,954.29 607.57
2014-09-30 2,903.38 1,859.21 133.35
2014-06-30 3,118.69 1,729.19 48.03
2014-03-31
2013-12-31 2,811.00 1,416.66 497.51
2013-09-30 2,255.32 1,375.60 219.55
2013-06-30 2,354.00 1,168.80 205.05
  • Allied Rental Modaraba's level of debt (41.5%) compared to net worth is high (greater than 40%).
  • The level of debt compared to net worth has been reduced over the past 5 years (54.9% vs 41.5% today).
  • Debt is well covered by operating cash flow (56.6%, greater than 20% of total debt).
  • Interest payments on debt are not well covered by earnings (EBIT is 1.7x annual interest expense, ideally 3x coverage).
X
Financial health checks
We assess Allied Rental Modaraba's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Allied Rental Modaraba has a total score of 4/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

ARM Dividends

 What is Allied Rental Modaraba's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
10.26%
Current annual income from Allied Rental Modaraba dividends.
If you bought PKR2,000 of Allied Rental Modaraba shares you are expected to receive PKR205 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Allied Rental Modaraba's pays a higher dividend yield than the bottom 25% of dividend payers in Pakistan (2.67%).
  • Allied Rental Modaraba's dividend is above the markets top 25% of dividend payers in Pakistan (9.2%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
KASE:ARM Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 0 Analyst Estimates (S&P Global) See Below
Asia Trade Distributors Industry Average Dividend Yield Market Cap Weighted Average of 241 Stocks 4.7%
Pakistan Market Average Dividend Yield Market Cap Weighted Average of 214 Stocks 7.4%
Pakistan Minimum Threshold Dividend Yield 10th Percentile 1.5%
Pakistan Bottom 25% Dividend Yield 25th Percentile 2.7%
Pakistan Top 25% Dividend Yield 75th Percentile 9.2%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

KASE:ARM Past Annualized Dividends Data
Date (Data in PKR) Dividend per share (annual) Avg. Yield (%)
2019-10-10 1.000 8.889
2019-08-29 1.000 7.582
2018-08-29 0.909 6.533
2017-08-28 1.364 7.598
2016-10-10 0.909 4.076
2016-08-29 0.909 4.333
2015-08-27 1.818 7.185
2014-09-22 2.727 6.640
2013-09-30 2.597 5.935
2012-10-15 2.361 7.155
2012-07-16 2.361 6.655
2011-08-30 1.448 7.961
2010-09-21 1.417 13.860
2009-09-03 0.945 10.316

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Dividends per share have been volatile in the past 10 years (annual drop of over 20%).
  • Dividends per share have increased over the past 10 years.
Current Payout to shareholders
What portion of Allied Rental Modaraba's earnings are paid to the shareholders as a dividend.
  • Dividends paid are covered by earnings (1.2x coverage).
Future Payout to shareholders
  • Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.
X
Income/ dividend checks
We assess Allied Rental Modaraba's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 1.5%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Allied Rental Modaraba afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Allied Rental Modaraba has a total score of 4/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

ARM Management

 What is the CEO of Allied Rental Modaraba's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Murtaza Ali
CEO Bio

Mr. Murtaza Ahmed Ali serves as the Chief Executive Officer of Allied Rental Modaraba. Mr. Ali has been an Executive Director of Allied Engineering Management Company (Private) Limited, the management Company of Allied Rental Modarabab.

CEO Compensation
  • Insufficient data for Murtaza to compare compensation growth.
  • Insufficient data for Murtaza to establish whether their remuneration is reasonable compared to companies of similar size in .
Management Team

Murtaza Ali

TITLE
Chief Executive & Executive Director of Allied Engineering Management Company (Private) Limited

Muhammad Siddiqui

TITLE
Head of Human Rescource & Administration

Ali Ammar

TITLE
Head of Business Administration & Compliance

Rashid Jehangiri

TITLE
Business Unit Head of Machines & Cranes

Ali Ahsan

TITLE
Business Unit Head of Logistics & MHE

Abid Altaf

TITLE
Head of Internal Audit

Syed Jafri

TITLE
Business Unit Head of Power

Muhammad Farooq

TITLE
Head of Information Technology

Muhammad Tariq

TITLE
Company Secretary
TENURE
1.5 yrs

Mufti Aijaz

TITLE
Shari'ah Advisor
Board of Directors

Syed Ali

TITLE
Chairman & Director of Allied Engineering Management Company (Pvt) Ltd
TENURE
1.3 yrs

Murtaza Ali

TITLE
Chief Executive & Executive Director of Allied Engineering Management Company (Private) Limited

Abdul Suriya

TITLE
Independent Non Executive Director & Director of Allied Engineering Management Company (Pvt) Ltd.

Ali Akbar

TITLE
Non-Executive Director & Director of Allied Engineering Management Company (Pvt) Ltd

Hassan Abidi

TITLE
Non-Executive Director & Director of Allied Engineering Management Company (Pvt) Ltd

Khwaja Rahman

TITLE
Non-Executive Director

Saira Nasir

TITLE
Independent Non-Executive Director
TENURE
0.5 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month open market individual insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (PKR) Value (PKR)
X
Management checks
We assess Allied Rental Modaraba's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Allied Rental Modaraba has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

ARM News

Simply Wall St News

ARM Company Info

Description

Allied Rental Modaraba primarily engages in the rental/Ijarah/leasing, and operation and maintenance of Caterpillar and other equipment in Pakistan. The company rents a range of power generation equipment, such as gas and diesel fired generators; load banks; concrete pumps; construction machines, including motor graders, wheel loaders, soil compactors, and dozers; cranes; and lighting towers. It also provides powerhouse operation and maintenance services to national and multinational corporations/organizations in the fields of textiles, spinning, pharmaceuticals, oil and gas, petrochemical, process and chemical plants, hotels, institutes, hospitals, etc. In addition, it offers inbound logistics/material handling solutions; and trucking logistics solutions. Allied Rental Modaraba was founded in 2007 and is headquartered in Karachi, Pakistan.

Details
Name: Allied Rental Modaraba
ARM
Exchange: KASE
Founded: 2007
PKR2,145,000,000
220,000,000
Website: http://www.arm.com.pk
Address: Allied Rental Modaraba
21/3 Sector No. 22,
Korangi Industrial Area,
Karachi,
74900,
Pakistan
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
KASE ARM Modaraba Certificates Pakistan Stock Exchange Limited PK PKR 06. Feb 2007
Number of employees
Current staff
Staff numbers
471
Allied Rental Modaraba employees.
Industry
Trading Companies and Distributors
Capital Goods
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2020/04/04 16:58
End of day share price update: 2020/04/03 00:00
Last earnings filing: 2020/02/28
Last earnings reported: 2019/12/31
Last annual earnings reported: 2019/06/30


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.