Mubasher: MubasherTrade Research initiated its coverage on AMOC with a Sell/Moderate Risk rating and a one-year price target (PT) of EGP 40.74 per share.
Growing dividends is one of AMOC's key positives with a solid dividend payout ratio averaging 91% in the last four fiscal years, the research firm said in its report.
MubasherTrade Research expects the high dividend distribution trend to continue, albeit against a lower earnings base.
With an annual growth in domestic oil consumption of 3% and the market's eagerness for high-end petroleum products, AMOC is in a position to maintain in margins as oil prices continue on a recovery path, the report added.
MubasherTrade also expects earnings before interest and tax (EBIT) margin to average 9.65% versus an average of 9.95% over the past 3 years.
