Arabian Internet and Communication Services Company (TADAWUL:7202) First-Quarter Results Just Came Out: Here's What Analysts Are Forecasting For This Year
May 18
Saudi Arabian (Tadawul) IT Industry Analysis
UpdatedJun 02, 2023
DataAggregated Company Financials
Companies11
- 7D-1.5%
- 3M21.3%
- 1Y45.2%
- YTD27.5%
Over the last 7 days, the IT industry has dropped 1.5%, driven by a pullback from Elm of 3.0%. In contrast, Edarat Communication and Information Technology has gained 26%. This takes the industry's 12 month performance to a gain of 45%. Earnings are forecast to grow by 13% annually.
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, 02 Jun 2023 | ر.س79.5b | ر.س16.8b | ر.س2.4b | 30.5x | 32.9x | 4.7x |
| Sun, 30 Apr 2023 | ر.س77.0b | ر.س16.1b | ر.س2.3b | 28.4x | 33.2x | 4.8x |
| Tue, 28 Mar 2023 | ر.س70.7b | ر.س16.0b | ر.س2.2b | 25x | 32.1x | 4.4x |
| Thu, 23 Feb 2023 | ر.س66.5b | ر.س15.8b | ر.س2.1b | 24x | 31.7x | 4.2x |
| Sat, 21 Jan 2023 | ر.س62.2b | ر.س15.8b | ر.س2.1b | 22.5x | 30x | 3.9x |
| Mon, 19 Dec 2022 | ر.س62.8b | ر.س15.7b | ر.س2.1b | 25.5x | 30.4x | 4x |
| Wed, 16 Nov 2022 | ر.س56.6b | ر.س14.7b | ر.س1.9b | 27.8x | 29.2x | 3.8x |
| Fri, 14 Oct 2022 | ر.س59.4b | ر.س14.3b | ر.س1.8b | 32.9x | 33.2x | 4.1x |
| Sun, 11 Sep 2022 | ر.س61.3b | ر.س14.3b | ر.س1.8b | 34.9x | 34.4x | 4.3x |
| Tue, 09 Aug 2022 | ر.س53.6b | ر.س13.8b | ر.س1.7b | 35.2x | 32.2x | 3.9x |
| Thu, 07 Jul 2022 | ر.س48.7b | ر.س13.4b | ر.س1.6b | 31x | 29.6x | 3.6x |
| Sat, 04 Jun 2022 | ر.س50.5b | ر.س13.3b | ر.س1.6b | 36.7x | 31.1x | 3.8x |
| Mon, 02 May 2022 | ر.س54.3b | ر.س13.0b | ر.س1.5b | 36.2x | 35x | 4.2x |
| Wed, 30 Mar 2022 | ر.س45.3b | ر.س12.8b | ر.س1.5b | 30.9x | 30.5x | 3.6x |
| Fri, 25 Feb 2022 | ر.س43.2b | ر.س12.5b | ر.س1.5b | 28.9x | 29x | 3.5x |
| Sun, 23 Jan 2022 | ر.س29.2b | ر.س8.5b | ر.س864.1m | 43.8x | 33.8x | 3.4x |
| Tue, 21 Dec 2021 | ر.س25.1b | ر.س8.5b | ر.س864.1m | 37.6x | 29x | 3x |
| Thu, 18 Nov 2021 | ر.س27.3b | ر.س8.5b | ر.س864.1m | 40.6x | 31.6x | 3.2x |
| Sat, 16 Oct 2021 | ر.س28.3b | ر.س8.4b | ر.س850.5m | 41.9x | 33.3x | 3.4x |
| Mon, 13 Sep 2021 | ر.س4.3b | ر.س940.4m | ر.س75.5m | 56.9x | 56.9x | 4.6x |
| Wed, 11 Aug 2021 | ر.س4.0b | ر.س940.4m | ر.س75.5m | 53.1x | 53.1x | 4.3x |
| Sun, 06 Jun 2021 | ر.س2.7b | ر.س1.0b | ر.س89.5m | 30.6x | 30.6x | 2.7x |
| Wed, 10 Mar 2021 | ر.س2.6b | ر.س1.0b | ر.س90.4m | 29x | 29x | 2.6x |
| Tue, 01 Dec 2020 | ر.س1.7b | ر.س1.1b | ر.س100.7m | 17.3x | 17.3x | 1.6x |
| Fri, 04 Sep 2020 | ر.س1.2b | ر.س1.1b | ر.س92.6m | 13x | 13x | 1.1x |
| Mon, 08 Jun 2020 | ر.س891.2m | ر.س1.0b | ر.س81.2m | 11x | 11x | 0.9x |
Price to Earnings Ratio
11x
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 32.9x which is higher than its 3-year average PE of 29.7x.
- The 3-year average PS ratio of 3.2x is lower than the industry's current PS ratio of 4.7x.
Past Earnings Growth
- The earnings for companies in the IT industry have grown 210% per year over the last three years.
- Revenues for these companies have grown 155% 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 | -1.11% | |
| Tech | -1.42% | |
| IT | -1.46% | |
| Internet Services and Infrastructure | 0% | |
| Data Processing Services | 0% | |
| IT Consulting | -1.46% | |
Industry PE
- Investors are most optimistic about the IT Consulting industry which is trading above its 3-year average PE ratio of 29.8x.
- Analysts are expecting annual earnings growth of 12.9%, which is lower than the prior year's growth of 50.4% per year.
- Investors are most pessimistic about the IT Consulting industry, although it looks like investor sentiment has improved given that it's trading above its 3-year average of 29.8x.
Forecasted Growth
- Analysts are most optimistic on the IT Consulting industry, expecting annual earnings growth of 13% over the next 5 years.
- However this is lower than its past earnings growth rate of 50% per year.
- In contrast, the IT Consulting industry is expected to see its earnings grow by 13% 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 | |
|---|---|---|---|---|---|
| 9557 Edarat Communication and Information Technology | ر.س388.00 | 25.7% +ر.س100.0m | n/a | PE38.8x | |
| 7200 Al Moammar Information Systems | ر.س135.20 | 1.8% +ر.س72.0m | 36.1% | PE42.3x | |
| 9550 Sure Global Tech | ر.س70.30 | 13.9% +ر.س44.1m | n/a | n/a | |
| 9543 Saudi Networkers Services | ر.س60.80 | 5.7% +ر.س19.8m | n/a | PE10.9x | |
| 9524 Advance International Company for Communication and Information Technology | ر.س90.90 | 2.1% +ر.س4.8m | -22.2% | PE29.7x |
