National Gas and Industrialization (TADAWUL:2080) Is Looking To Continue Growing Its Returns On Capital
Apr 24
Saudi Arabian (Tadawul) Utilities Sector Analysis
UpdatedApr 24, 2024
DataAggregated Company Financials
Companies6
- 7D8.0%
- 3M58.5%
- 1Y90.3%
- YTD54.1%
Over the last 7 days, the Utilities industry has risen 8.0%, driven by gains from ACWA Power of 12%. In the last 12 months, the industry was up 90%. As for the next few years, earnings are expected to grow by 32% per annum.
Sector Valuation and Performance
Has the Saudi Arabian Utilities Sector valuation changed over the past few years?
| Date | Market Cap | Revenue | Earnings | PE | Absolute PE | PS |
|---|---|---|---|---|---|---|
| Wed, 24 Apr 2024 | ر.س451.0b | ر.س92.1b | ر.س5.2b | 35.8x | 87.5x | 4.9x |
| Fri, 22 Mar 2024 | ر.س369.3b | ر.س91.8b | ر.س5.2b | 39x | 71.6x | 4x |
| Sun, 18 Feb 2024 | ر.س299.1b | ر.س89.5b | ر.س7.1b | 37.9x | 41.9x | 3.3x |
| Tue, 16 Jan 2024 | ر.س272.4b | ر.س89.5b | ر.س7.1b | 31.7x | 38.1x | 3x |
| Thu, 14 Dec 2023 | ر.س284.5b | ر.س89.5b | ر.س7.1b | 29.4x | 39.8x | 3.2x |
| Sat, 11 Nov 2023 | ر.س248.7b | ر.س88.3b | ر.س7.7b | 24.7x | 32.2x | 2.8x |
| Mon, 09 Oct 2023 | ر.س235.7b | ر.س87.8b | ر.س7.8b | 23.9x | 30.3x | 2.7x |
| Wed, 06 Sep 2023 | ر.س255.2b | ر.س87.8b | ر.س7.8b | 26.7x | 32.8x | 2.9x |
| Fri, 04 Aug 2023 | ر.س245.7b | ر.س87.1b | ر.س9.0b | 29.4x | 27.2x | 2.8x |
| Sun, 02 Jul 2023 | ر.س242.5b | ر.س87.1b | ر.س9.0b | 28.6x | 26.9x | 2.8x |
| Tue, 30 May 2023 | ر.س228.2b | ر.س86.9b | ر.س8.9b | 27.4x | 25.6x | 2.6x |
| Thu, 27 Apr 2023 | ر.س238.8b | ر.س86.9b | ر.س10.0b | 27.6x | 23.8x | 2.8x |
| Sat, 25 Mar 2023 | ر.س219.4b | ر.س86.6b | ر.س10.0b | 25x | 22x | 2.5x |
| Mon, 20 Feb 2023 | ر.س219.0b | ر.س85.8b | ر.س8.0b | 25x | 27.3x | 2.6x |
| Wed, 18 Jan 2023 | ر.س234.4b | ر.س85.8b | ر.س8.0b | 26.4x | 29.2x | 2.7x |
| Fri, 16 Dec 2022 | ر.س227.5b | ر.س85.8b | ر.س8.0b | 24.8x | 28.4x | 2.7x |
| Sun, 13 Nov 2022 | ر.س223.0b | ر.س78.4b | ر.س8.0b | 27.6x | 28x | 2.8x |
| Tue, 11 Oct 2022 | ر.س231.9b | ر.س78.3b | ر.س7.6b | 32x | 30.4x | 3x |
| Thu, 08 Sep 2022 | ر.س227.6b | ر.س78.3b | ر.س7.6b | 28.4x | 29.8x | 2.9x |
| Sat, 06 Aug 2022 | ر.س241.0b | ر.س77.4b | ر.س7.8b | 29.9x | 30.9x | 3.1x |
| Mon, 04 Jul 2022 | ر.س216.8b | ر.س77.4b | ر.س7.8b | 28.3x | 27.8x | 2.8x |
| Wed, 01 Jun 2022 | ر.س224.1b | ر.س77.4b | ر.س7.8b | 29.3x | 28.7x | 2.9x |
| Fri, 29 Apr 2022 | ر.س224.6b | ر.س77.3b | ر.س7.9b | 27.3x | 28.3x | 2.9x |
| Sun, 27 Mar 2022 | ر.س202.5b | ر.س77.3b | ر.س15.5b | 24.3x | 13.1x | 2.6x |
| Tue, 22 Feb 2022 | ر.س189.6b | ر.س82.0b | ر.س13.2b | 20.6x | 14.4x | 2.3x |
| Thu, 20 Jan 2022 | ر.س188.0b | ر.س82.0b | ر.س13.2b | 22.2x | 14.3x | 2.3x |
| Sat, 18 Dec 2021 | ر.س167.4b | ر.س82.0b | ر.س13.2b | 22.4x | 12.7x | 2x |
| Mon, 15 Nov 2021 | ر.س171.5b | ر.س82.0b | ر.س15.1b | 22.2x | 11.4x | 2.1x |
| Wed, 13 Oct 2021 | ر.س120.0b | ر.س75.4b | ر.س9.5b | 19x | 12.7x | 1.6x |
| Fri, 10 Sep 2021 | ر.س121.6b | ر.س75.4b | ر.س9.5b | 20.5x | 12.9x | 1.6x |
| Sun, 08 Aug 2021 | ر.س113.8b | ر.س75.4b | ر.س9.5b | 15.8x | 12x | 1.5x |
| Sat, 01 May 2021 | ر.س114.0b | ر.س73.1b | ر.س4.7b | 25x | 24.5x | 1.6x |
Price to Earnings Ratio
24.5x
Current Industry PE
- Investors are optimistic on the Saudi Utilities industry, and appear confident in long term growth rates.
- The industry is trading at a PE ratio of 87.5x which is higher than its 3-year average PE of 27.0x.
- The 3-year average PS ratio of 2.6x is lower than the industry's current PS ratio of 4.9x.
Past Earnings Growth
- The earnings for companies in the Utilities industry have grown 3.5% per year over the last three years.
- Revenues for these companies have grown 8.0% 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 Utilities sector?
| SA Market | 0.39% | |
| Utilities | 8.03% | |
| Renewable Energy | 11.94% | |
| Gas Utilities | 3.98% | |
| Water Utilities | -2.10% | |
| Other Utilities | -2.79% | |
| Electric Utilities | -2.86% | |
Industry PE
- Investors are most optimistic about the Renewable Energy industry which is trading above its 3-year average PE ratio of 116x.
- Analysts are expecting annual earnings growth of 30.2%, which is higher than its past year's earnings growth of 26.4% per year.
- Investors are most pessimistic about the Gas Utilities industry, although it looks like investor sentiment has improved given that it's trading above its 3-year average of 20.3x.
Forecasted Growth
- Analysts are most optimistic on the Electric Utilities industry, expecting annual earnings growth of 42% over the next 5 years.
- This is better than its past earnings decline of 66% per year.
- In contrast, the Other Utilities industry is expected to see its earnings grow by 18% 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 | |
|---|---|---|---|---|---|
| 2082 ACWA Power | ر.س466.80 | 11.9% +ر.س36.4b | 197.3% | PE204.2x | |
| 2080 National Gas and Industrialization | ر.س87.60 | 4.4% +ر.س277.5m | 41.1% | PE28.9x |
