Al Rajhi Banking and Investment
Market Cap
ر.س276.5b
Last Updated
2021/06/17 15:42 UTC
Data Sources
Company Financials +
Executive Summary
Al Rajhi Banking and Investment Corporation, together with its subsidiaries, engages in banking and investment activities in the Kingdom of Saudi Arabia and internationally. More Details
Rewards
Risk Analysis
Snowflake Analysis
Flawless balance sheet with proven track record.
Similar Companies
Share Price & News
How has Al Rajhi Banking and Investment's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: 1120 is not significantly more volatile than the rest of SA stocks over the past 3 months, typically moving +/- 3% a week.
Volatility Over Time: 1120's weekly volatility (3%) has been stable over the past year.
Market Performance
7 Day Return
4.7%
1120
1.9%
SA Banks
-0.07%
SA Market
1 Year Return
87.8%
1120
52.4%
SA Banks
15.5%
SA Market
Return vs Industry: 1120 exceeded the SA Banks industry which returned 52.4% over the past year.
Return vs Market: 1120 exceeded the SA Market which returned 15.5% over the past year.
Shareholder returns
| 1120 | Industry | Market | |
|---|---|---|---|
| 7 Day | 4.7% | 1.9% | -0.07% |
| 30 Day | 7.4% | 3.6% | 0.7% |
| 90 Day | 20.5% | 15.2% | 4.1% |
| 1 Year | 89.8%87.8% | 54.4%52.4% | 19.9%15.5% |
| 3 Year | 120.3%98.8% | 52.9%38.2% | 41.8%28.3% |
| 5 Year | 253.5%190.9% | 163.2%118.2% | 94.7%64.9% |
Long-Term Price Volatility Vs. Market
How volatile is Al Rajhi Banking and Investment's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 month ago | Simply Wall St
Al Rajhi Banking and Investment (TADAWUL:1120) Has Gifted Shareholders With A Fantastic 216% Total Return On Their Investment2 months ago | Simply Wall St
Is Now The Time To Put Al Rajhi Banking and Investment (TADAWUL:1120) On Your Watchlist?5 months ago | Simply Wall St
Could Al Rajhi Banking and Investment Corporation (TADAWUL:1120) Have The Makings Of Another Dividend Aristocrat?Valuation
Is Al Rajhi Banking and Investment undervalued compared to its fair value and its price relative to the market?
23.94x
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: 1120 (SAR110.6) is trading above our estimate of fair value (SAR48.91)
Significantly Below Fair Value: 1120 is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: 1120 is poor value based on its PE Ratio (23.9x) compared to the SA Banks industry average (17.9x).
PE vs Market: 1120 is good value based on its PE Ratio (23.9x) compared to the SA market (32.1x).
Price to Earnings Growth Ratio
PEG Ratio: 1120 is poor value based on its PEG Ratio (2.4x)
Price to Book Ratio
PB vs Industry: 1120 is overvalued based on its PB Ratio (4.7x) compared to the SA Banks industry average (1.5x).
Future Growth
How is Al Rajhi Banking and Investment forecast to perform in the next 1 to 3 years based on estimates from 9 analysts?
10.1%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: 1120's forecast earnings growth (10.1% per year) is above the savings rate (8.8%).
Earnings vs Market: 1120's earnings (10.1% per year) are forecast to grow faster than the SA market (8.2% per year).
High Growth Earnings: 1120's earnings are forecast to grow, but not significantly.
Revenue vs Market: 1120's revenue (10.2% per year) is forecast to grow faster than the SA market (3.9% per year).
High Growth Revenue: 1120's revenue (10.2% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: 1120's Return on Equity is forecast to be high in 3 years time (22.1%)
Past Performance
How has Al Rajhi Banking and Investment performed over the past 5 years?
3.8%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: 1120 has a high level of non-cash earnings.
Growing Profit Margin: 1120's current net profit margins (58.8%) are higher than last year (56.2%).
Past Earnings Growth Analysis
Earnings Trend: 1120's earnings have grown by 3.8% per year over the past 5 years.
Accelerating Growth: 1120's earnings growth over the past year (15.8%) exceeds its 5-year average (3.8% per year).
Earnings vs Industry: 1120 earnings growth over the past year (15.8%) exceeded the Banks industry -9.6%.
Return on Equity
High ROE: 1120's Return on Equity (19.5%) is considered low.
Financial Health
How is Al Rajhi Banking and Investment's financial position? (This company is analysed differently as a bank or financial institution)
Financial Position Analysis
Debt to Equity History and Analysis
Balance Sheet
Financial Institutions Analysis
Asset Level: 1120's Assets to Equity ratio (8.6x) is low.
Allowance for Bad Loans: 1120 has a sufficient allowance for bad loans (318%).
Low Risk Liabilities: 95% of 1120's liabilities are made up of primarily low risk sources of funding.
Loan Level: 1120 has an appropriate level of Loans to Assets ratio (70%).
Low Risk Deposits: 1120's Loans to Deposits ratio (83%) is appropriate.
Level of Bad Loans: 1120 has an appropriate level of bad loans (0.7%).
Dividend
What is Al Rajhi Banking and Investment current dividend yield, its reliability and sustainability?
0.90%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: 1120's dividend (0.9%) isn’t notable compared to the bottom 25% of dividend payers in the SA market (1.51%).
High Dividend: 1120's dividend (0.9%) is low compared to the top 25% of dividend payers in the SA market (4.53%).
Stability and Growth of Payments
Stable Dividend: 1120 is not paying a notable dividend for the SA market, therefore no need to check if payments are stable.
Growing Dividend: 1120 is not paying a notable dividend for the SA market, therefore no need to check if payments are increasing.
Current Payout to Shareholders
Dividend Coverage: 1120 is not paying a notable dividend for the SA market.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of 1120's dividend in 3 years as they are not forecast to pay a notable one for the SA market.
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
4.4yrs
Average board tenure
CEO
Waleed Abdullah Al-Mogbel (44 yo)
1.42yrs
Tenure
Mr. Waleed Abdullah Ali Al-Mogbel serves as Chief Executive Officer of Al Rajhi Banking and Investment Corporation since January1, 2020 and served as its Deputy Chief Executive Officer until Jnauary 1, 202...
Board Members
Experienced Board: 1120's board of directors are considered experienced (4.4 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
Al Rajhi Banking and Investment Corporation's company bio, employee growth, exchange listings and data sources
Key Information
- Name: Al Rajhi Banking and Investment Corporation
- Ticker: 1120
- Exchange: SASE
- Founded: 1957
- Industry: Diversified Banks
- Sector: Banks
- Market Cap: ر.س276.500b
- Shares outstanding: 2.50b
- Website: https://www.alrajhibank.com.sa
Number of Employees
Location
- Al Rajhi Banking and Investment Corporation
- 8467 King Fahd Road
- Unit No 1
- Riyadh
- 12263-2743
- Saudi Arabia
Listings
Biography
Al Rajhi Banking and Investment Corporation, together with its subsidiaries, engages in banking and investment activities in the Kingdom of Saudi Arabia and internationally. The company operates through fo...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2021/06/17 15:42 |
| End of Day Share Price | 2021/06/17 00:00 |
| Earnings | 2021/03/31 |
| Annual Earnings | 2020/12/31 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.