OQ Gas Networks SAOC Valuation

Q: What is the Fair Price of OQGN when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

OQGN (OMR0.13) is trading above our estimate of [[fair value]] (OMR0.13)

Is OQGN undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

3/6

Valuation Score 3/6

Below Fair Value
Significantly Below Fair Value
Price-To-Earnings vs Peers
Price-To-Earnings vs Industry
Price-To-Earnings vs Fair Ratio
Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of OQGN when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: OQGN (OMR0.13) is trading above our estimate of fair value (OMR0.13)

Significantly Below Fair Value: OQGN is trading above our estimate of fair value.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for OQGN?

Key metric: As OQGN is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for OQGN. This is calculated by dividing OQGN's market cap by their current earnings.
What is OQGN's PE Ratio?
PE Ratio	11.8x
Earnings	ر.ع48.78m
Market Cap	ر.ع575.97m

OQGN key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue	5.5x
Enterprise Value/EBITDA	11.2x
PEG Ratio	1.7x

Price to Earnings Ratio vs Peers

How does OQGN's PE Ratio compare to its peers?

The above table shows the PE ratio for OQGN vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
Company	Forward PE	Estimated Growth	Market Cap
Peer Average	14.6x
ABRJ Abraj Energy Services SAOG	10.4x	7.9%	ر.ع214.1m
MHAS Al Maha Petroleum Products Marketing Company SAOG	12.3x	4.9%	ر.ع71.6m
SOMS Shell Oman Marketing Company SAOG	25.1x	n/a	ر.ع71.7m
SFL SFL	10.3x	-20.0%	US$1.4b
OQGN OQ Gas Networks SAOC	11.8x	6.9%	ر.ع576.0m

Price-To-Earnings vs Peers: OQGN is good value based on its Price-To-Earnings Ratio (11.8x) compared to the peer average (14.6x).

Price to Earnings Ratio vs Industry

How does OQGN's PE Ratio compare vs other companies in the Asian Oil and Gas Industry?

8 Companies	Price / Earnings	Estimated Growth	Market Cap

8 Companies		Estimated Growth	Market Cap

No more companies

Price-To-Earnings vs Industry: OQGN is expensive based on its Price-To-Earnings Ratio (11.8x) compared to the Asian Oil and Gas industry average (10.5x).

Price to Earnings Ratio vs Fair Ratio

What is OQGN's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

OQGN PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	11.8x
Fair PE Ratio	12x

Price-To-Earnings vs Fair Ratio: OQGN is good value based on its Price-To-Earnings Ratio (11.8x) compared to the estimated Fair Price-To-Earnings Ratio (12x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst OQGN forecast and predictions for the stock price in 12 month’s time.
Date	Share Price	Average 1Y Price Target	Dispersion	High	Low	1Y Actual price	Analysts
Current	ر.ع0.13	ر.ع0.17 +24.2%	5.7%	ر.ع0.18	ر.ع0.15	n/a	4
Nov ’25	ر.ع0.14	ر.ع0.17 +20.6%	5.7%	ر.ع0.18	ر.ع0.15	n/a	4
Oct ’25	ر.ع0.14	ر.ع0.17 +15.1%	5.3%	ر.ع0.18	ر.ع0.16	n/a	4
Sep ’25	ر.ع0.15	ر.ع0.17 +12.8%	5.3%	ر.ع0.18	ر.ع0.16	n/a	4
Aug ’25	ر.ع0.14	ر.ع0.17 +15.9%	5.3%	ر.ع0.18	ر.ع0.16	n/a	4
Jul ’25	ر.ع0.14	ر.ع0.17 +18.8%	5.0%	ر.ع0.18	ر.ع0.16	n/a	3
Jun ’25	ر.ع0.14	ر.ع0.17 +18.0%	5.0%	ر.ع0.18	ر.ع0.16	n/a	3
May ’25	ر.ع0.14	ر.ع0.17 +17.1%	5.0%	ر.ع0.18	ر.ع0.16	n/a	3
Apr ’25	ر.ع0.14	ر.ع0.17 +17.1%	5.0%	ر.ع0.18	ر.ع0.16	n/a	3
Mar ’25	ر.ع0.15	ر.ع0.17 +14.2%	4.9%	ر.ع0.18	ر.ع0.16	n/a	3
Feb ’25	ر.ع0.15	ر.ع0.17 +13.4%	4.9%	ر.ع0.18	ر.ع0.16	n/a	3
Jan ’25	ر.ع0.15	ر.ع0.17 +9.7%	4.9%	ر.ع0.18	ر.ع0.16	n/a	3
Dec ’24	ر.ع0.15	ر.ع0.17 +9.4%	3.7%	ر.ع0.17	ر.ع0.16	n/a	3

Analyst Forecast: Target price is more than 20% higher than the current share price and analysts are within a statistically confident range of agreement.