Editor’s Note
Amid heightened geopolitical tensions and market volatility in the Middle East, investors are navigating a complex landscape. This analysis highlights the ongoing search for resilient opportunities even as caution prevails.
As Middle Eastern stock markets face pressure from geopolitical tensions, particularly with the ongoing U.S.-Iran talks, investors are proceeding cautiously amid fluctuating oil prices and regional uncertainties. Despite these challenges, the search for promising opportunities continues, with a focus on identifying stocks that demonstrate resilience and potential growth in such a dynamic environment.
Overview: GRAINTURK Holding A.S. engages in agricultural commodity trading on both national and international platforms, with a market capitalization of TRY32.38 billion.
Operations: GRAINTURK Holding’s revenue primarily comes from agricultural commodity trading across various markets.
The company has experienced impressive earnings growth of 115.5% over the past year, far surpassing the Consumer Retailing industry’s -46.7%. Its debt to equity ratio has significantly decreased from 31.4% to 1.8% over five years, suggesting improved financial health. Recent earnings announcements revealed sales of TRY 7.27 billion and net income of TRY 1.80 billion for the year ending December 2025, both showing substantial growth compared to previous figures. Despite high volatility in its share price recently, GRAINTURK’s financials seem robust with more cash than total debt and no concerns regarding interest coverage or cash runway issues.
Overview: Saudi Steel Pipes Company is engaged in the manufacturing and distribution of steel pipes both within Saudi Arabia and internationally, with a market capitalization of SAR2.02 billion.
Operations: Saudi Steel Pipes generates revenue primarily from its steel pipes segment, amounting to SAR1.29 billion.
Despite negative earnings growth of 21% last year, the company offers good value with a price-to-earnings ratio of 11.9x compared to the SA market’s 17.9x. Its interest payments are well-covered by EBIT at 8.7 times, indicating solid debt management alongside a reduced debt-to-equity ratio from 75.7% to 31.8% over five years. A notable SAR53 million one-off gain recently impacted its results, hinting at potential volatility in earnings quality but also showcasing resilience in managing financial obligations effectively within the industry context.
Overview: Meitav Trade Investments Ltd provides securities trading services both in Israel and internationally, with a market cap of ₪1.14 billion.
Operations: MTRD generates revenue primarily from its asset management segment, which contributed ₪218.44 million.
The company’s revenue for Q3 2025 was ILS 58.18 million, up from ILS 46.12 million in the previous year, while net income rose to ILS 16 million from ILS 11.74 million. Despite shareholder dilution over the past year, Meitav’s high-quality earnings and profitability suggest resilience in its operations amidst sector challenges and opportunities for future growth within Israel’s dynamic market landscape.