Fourth Milling Co. (2286) — Financial Analysis & Intrinsic Value · TASIV

Fourth Milling Co. intrinsic value and dividend analysis using DCF, P/B, PEG and PSG models. Includes dividend yield, payout ratio, and dividend sustainability assessment. Sector: Food & Beverages. Listed on Saudi Exchange Tadawul.

Company Overview

Fourth Milling Company produces flour, animal feed, bran, and other wheat, corn, and grain derivatives in Saudi Arabia and internationally, and also manufactures bakery products such as bread, cakes, and biscuits through automated production lines. It additionally provides grain storage, warehousing, and road freight transport services. Founded in 1972, it is based in Dammam.

Valuation Model

TASIV estimates this company's intrinsic value using a DCF (Discounted Cash Flow) model. As of TASIV's most recent data refresh, the estimated intrinsic value is SAR 8.00 compared to a market price of SAR 3.99 (Trading significantly below DCF model value). This is an analytical estimate, not investment advice.

Financial Performance

Revenue increased by about 17% over the three-year period, while net income and operating cash flow both grew considerably faster, up about 41% and 40% respectively, meaning profitability and cash generation both increased at more than double the rate of sales. Overall, the company's historical financial performance shows revenue growth outpaced by considerably higher and closely matched growth in both profitability and cash flow.

Dividends

Dividend per share rose every year over the 3-year recorded period, from SAR 0.11 to SAR 0.26, an increase of about 136%. Payments have been made on an Annual basis throughout this period. Overall, dividend per share has grown consistently across the recorded period. Current dividend yield is approximately 6.52%, with a payout ratio of approximately 69.92%.

Business Fundamentals

TASIV's Competitive Advantage assessment for this company is High (91/100), based on profitability, predictability, financial strength, and growth resilience.

Screener Qualification

This company currently meets the following TASIV screener criteria: Value Screener.

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Frequently Asked Questions

What is the estimated intrinsic value of Fourth Milling Co. (2286) according to TASIV's model?

Based on TASIV's DCF (Discounted Cash Flow) model, the estimated intrinsic value of Fourth Milling Co. is approximately SAR 8.00, compared to a current market price of SAR 3.99. This is an analytical estimate based on the company's financial data, not investment advice or a recommendation to buy or sell.

How does Fourth Milling Co.'s current market price compare to TASIV's model value?

According to TASIV's model, Fourth Milling Co. is currently "Trading significantly below DCF model value".

What is the dividend yield for Fourth Milling Co. (2286)?

Fourth Milling Co.'s dividend yield is approximately 6.52%, with a payout ratio of approximately 69.92%, based on TASIV's most recent verified data.

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