With EPS Growth And More, Alqemam for Computer Systems (TADAWUL:9558) Makes An Interesting Case
Jul 25
Saudi Arabian (Tadawul) IT Industry Analysis
UpdatedJul 26, 2024
DataAggregated Company Financials
Companies12
- 7D0.7%
- 3M-4.2%
- 1Y10.2%
- YTD3.3%
Over the last 7 days, the IT industry has remained flat, although notably Saudi Networkers Services declined by 3.7%. The past year has been better, since the industry has gained 10% in that time. As for the next few years, earnings are expected to grow by 16% per annum.
Industry Valuation and Performance
Has the Saudi Arabian IT Industry valuation changed over the past few years?
| Date | Market Cap | Revenue | Earnings | PE | Absolute PE | PS |
|---|---|---|---|---|---|---|
| Fri, 26 Jul 2024 | ر.س119.2b | ر.س21.2b | ر.س2.9b | 37x | 40.6x | 5.6x |
| Sun, 23 Jun 2024 | ر.س110.5b | ر.س21.2b | ر.س2.9b | 33.4x | 37.7x | 5.2x |
| Tue, 21 May 2024 | ر.س111.9b | ر.س21.1b | ر.س2.9b | 35.2x | 39x | 5.3x |
| Thu, 18 Apr 2024 | ر.س127.3b | ر.س20.6b | ر.س2.8b | 36.9x | 45.5x | 6.2x |
| Sat, 16 Mar 2024 | ر.س136.1b | ر.س20.5b | ر.س2.9b | 37.9x | 47.4x | 6.6x |
| Mon, 12 Feb 2024 | ر.س126.4b | ر.س19.7b | ر.س2.8b | 34.2x | 45.4x | 6.4x |
| Wed, 10 Jan 2024 | ر.س120.5b | ر.س19.7b | ر.س2.8b | 30.7x | 43.2x | 6.1x |
| Fri, 08 Dec 2023 | ر.س109.2b | ر.س19.7b | ر.س2.8b | 28.9x | 39.2x | 5.5x |
| Sun, 05 Nov 2023 | ر.س100.2b | ر.س18.4b | ر.س2.7b | 26.9x | 36.7x | 5.5x |
| Tue, 03 Oct 2023 | ر.س110.1b | ر.س18.4b | ر.س2.7b | 28.9x | 40.3x | 6x |
| Thu, 31 Aug 2023 | ر.س119.5b | ر.س18.3b | ر.س2.7b | 28.3x | 43.6x | 6.5x |
| Sat, 29 Jul 2023 | ر.س108.1b | ر.س17.1b | ر.س2.5b | 31.1x | 43.9x | 6.3x |
| Mon, 26 Jun 2023 | ر.س94.3b | ر.س17.1b | ر.س2.5b | 32.5x | 38.3x | 5.5x |
| Wed, 24 May 2023 | ر.س80.2b | ر.س16.8b | ر.س2.4b | 27.4x | 33.2x | 4.8x |
| Fri, 21 Apr 2023 | ر.س76.0b | ر.س16.1b | ر.س2.3b | 28.7x | 32.7x | 4.7x |
| Sun, 19 Mar 2023 | ر.س67.8b | ر.س16.0b | ر.س2.2b | 26x | 30.8x | 4.2x |
| Tue, 14 Feb 2023 | ر.س67.2b | ر.س15.8b | ر.س2.1b | 25.1x | 32x | 4.3x |
| Thu, 12 Jan 2023 | ر.س62.4b | ر.س15.7b | ر.س2.1b | 25.6x | 30.2x | 4x |
| Sat, 10 Dec 2022 | ر.س60.1b | ر.س15.7b | ر.س2.1b | 25.2x | 29.1x | 3.8x |
| Mon, 07 Nov 2022 | ر.س60.9b | ر.س14.6b | ر.س1.8b | 29.6x | 33.2x | 4.2x |
| Wed, 05 Oct 2022 | ر.س61.2b | ر.س14.3b | ر.س1.8b | 31.9x | 34.2x | 4.3x |
| Fri, 02 Sep 2022 | ر.س65.8b | ر.س14.3b | ر.س1.8b | 36.1x | 37x | 4.6x |
| Sun, 31 Jul 2022 | ر.س55.5b | ر.س13.5b | ر.س1.7b | 36.6x | 33.6x | 4.1x |
| Tue, 28 Jun 2022 | ر.س47.7b | ر.س13.4b | ر.س1.6b | 30.9x | 29x | 3.5x |
| Thu, 26 May 2022 | ر.س48.1b | ر.س13.3b | ر.س1.6b | 31.2x | 29.5x | 3.6x |
| Sat, 23 Apr 2022 | ر.س48.5b | ر.س12.4b | ر.س1.5b | 32.8x | 32.9x | 3.9x |
| Mon, 21 Mar 2022 | ر.س43.7b | ر.س12.8b | ر.س1.5b | 30.4x | 29.4x | 3.4x |
| Wed, 16 Feb 2022 | ر.س28.2b | ر.س8.5b | ر.س864.1m | 42x | 32.6x | 3.3x |
| Fri, 14 Jan 2022 | ر.س27.5b | ر.س8.5b | ر.س864.1m | 43.2x | 31.8x | 3.2x |
| Sun, 12 Dec 2021 | ر.س25.0b | ر.س8.5b | ر.س864.1m | 37.8x | 28.9x | 2.9x |
| Tue, 09 Nov 2021 | ر.س27.1b | ر.س8.5b | ر.س864.1m | 40.7x | 31.4x | 3.2x |
| Thu, 07 Oct 2021 | ر.س4.1b | ر.س940.4m | ر.س75.5m | 54.7x | 54.7x | 4.4x |
| Sat, 04 Sep 2021 | ر.س4.3b | ر.س940.4m | ر.س75.5m | 57.3x | 57.3x | 4.6x |
| Mon, 02 Aug 2021 | ر.س3.9b | ر.س940.4m | ر.س75.5m | 51.7x | 51.7x | 4.2x |
Price to Earnings Ratio
51.7x
Current Industry PE
- Investors are optimistic on the Saudi IT industry, and appear confident in long term growth rates.
- The industry is trading at a PE ratio of 40.6x which is higher than its 3-year average PE of 36.9x.
- The 3-year average PS ratio of 4.7x is lower than the industry's current PS ratio of 5.6x.
Past Earnings Growth
- The earnings for companies in the IT industry have grown 239% per year over the last three years.
- Revenues for these companies have grown 183% per year.
- This means that more sales are being generated by these companies overall, and subsequently their profits are increasing too.
Industry Trends
Which industries have driven the changes within the Saudi Arabian Tech industry?
| SA Market | -1.45% | |
| Tech | 0.65% | |
| IT | 0.65% | |
| IT Consulting | 0.65% | |
| Internet Services and Infrastructure | 0% | |
| Data Processing Services | 0% | |
Industry PE
- Investors are most optimistic about the IT Consulting industry, which is trading close to its 3-year average PE ratio of 37.0x.
- Analysts expect its future annual earnings growth (16.1%) to be largely in line with prior year's earnings growth.
- Investors are most pessimistic about the IT Consulting industry, which is trading close to its 3-year average of 37.0x.
Forecasted Growth
- Analysts are most optimistic on the IT Consulting industry, expecting annual earnings growth of 16% over the next 5 years.
- This is roughly in line with its past earnings growth rate.
- In contrast, the IT Consulting industry is expected to see its earnings grow by 16% per year over the next few years.
Top Stock Gainers and Losers
Which companies have driven the market over the last 7 days?
| Company | Last Price | 7D | 1Y | Valuation | |
|---|---|---|---|---|---|
| 7202 Arabian Internet and Communication Services | ر.س286.00 | 0.7% +ر.س238.0m | -21.2% | PE27.4x | |
| 9557 Edarat Communication and Information Technology | ر.س522.00 | 21.7% +ر.س234.4m | 117.6% | PE75.7x | |
| 7204 Perfect Presentation for Commercial Services | ر.س16.00 | 5.1% +ر.س234.0m | 45.2% | PE36.8x | |
| 7200 Al Moammar Information Systems | ر.س179.00 | 3.3% +ر.س173.5m | 5.3% | PE132.2x | |
| 7203 Elm | ر.س907.00 | 0.09% +ر.س62.2m | 31.4% | PE51.1x |
