Albilad Capital ‘neutral’ on Almarai; ups TP to SAR 96

Albilad Capital has raised the target price of Almarai Company to SAR 96 per share with a “neutral” recommendation, as its second quarter earnings at SAR 530.4 million exceeded estimates.

Net profit at the region’s largest dairy producer jumped 22.4 percent compared to the same quarter of 2014 on the back of high demand due to the month of Ramadan, and a decline in losses for the poultry sector, the investment bank said.  

Net profit in second quarter was also 73 percent higher quarter-on-quarter due to higher seasonal demand and Ramadan starting earlier.