SASE:2020

Stock Analysis Report

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Market Cap

ر.س61.2b

Last Updated

2021/07/30 14:05 UTC

Data Sources

Company Financials +

Executive Summary

SABIC Agri-Nutrients Company engages in the production, conversion, marketing, and trade of fertilizers in Saudi Arabia and internationally. More Details


Snowflake Analysis

Excellent balance sheet second-rate dividend payer.


Similar Companies

Share Price & News

How has SABIC Agri-Nutrients's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: 2020 is not significantly more volatile than the rest of SA stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: 2020's weekly volatility (4%) has been stable over the past year.


Market Performance


7 Day Return

6.5%

2020

1.7%

SA Chemicals

0.3%

SA Market


1 Year Return

64.9%

2020

47.7%

SA Chemicals

14.8%

SA Market

Return vs Industry: 2020 exceeded the SA Chemicals industry which returned 47.7% over the past year.

Return vs Market: 2020 exceeded the SA Market which returned 14.8% over the past year.


Shareholder returns

2020IndustryMarket
7 Day6.5%1.7%0.3%
30 Day7.7%0.6%-1.1%
90 Day22.5%0.2%0.02%
1 Year68.3%64.9%52.0%47.7%19.2%14.8%
3 Year117.7%98.5%18.0%5.6%42.2%29.2%
5 Year138.9%105.8%105.0%70.0%104.7%74.0%

Long-Term Price Volatility Vs. Market

How volatile is SABIC Agri-Nutrients's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is SABIC Agri-Nutrients undervalued compared to its fair value and its price relative to the market?

39.26x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: 2020 (SAR128.6) is trading above our estimate of fair value (SAR65.7)

Significantly Below Fair Value: 2020 is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: 2020 is poor value based on its PE Ratio (39.3x) compared to the SA Chemicals industry average (33.8x).

PE vs Market: 2020 is poor value based on its PE Ratio (39.3x) compared to the SA market (33.9x).


Price to Earnings Growth Ratio

PEG Ratio: 2020 is poor value based on its PEG Ratio (12.9x)


Price to Book Ratio

PB vs Industry: 2020 is overvalued based on its PB Ratio (5.2x) compared to the SA Chemicals industry average (2.5x).


Future Growth

How is SABIC Agri-Nutrients forecast to perform in the next 1 to 3 years based on estimates from 9 analysts?

3.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 2020's forecast earnings growth (3.1% per year) is below the savings rate (8.8%).

Earnings vs Market: 2020's earnings (3.1% per year) are forecast to grow slower than the SA market (6.8% per year).

High Growth Earnings: 2020's earnings are forecast to grow, but not significantly.

Revenue vs Market: 2020's revenue (0.9% per year) is forecast to grow slower than the SA market (3.3% per year).

High Growth Revenue: 2020's revenue (0.9% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: 2020's Return on Equity is forecast to be low in 3 years time (19.2%).


Past Performance

How has SABIC Agri-Nutrients performed over the past 5 years?

4.1%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 2020 has high quality earnings.

Growing Profit Margin: 2020's current net profit margins (34.4%) are lower than last year (43.7%).


Past Earnings Growth Analysis

Earnings Trend: 2020's earnings have grown by 4.1% per year over the past 5 years.

Accelerating Growth: 2020's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: 2020 had negative earnings growth (-2%) over the past year, making it difficult to compare to the Chemicals industry average (40.5%).


Return on Equity

High ROE: 2020's Return on Equity (11.2%) is considered low.


Financial Health

How is SABIC Agri-Nutrients's financial position?


Financial Position Analysis

Short Term Liabilities: 2020's short term assets (SAR4.9B) exceed its short term liabilities (SAR1.4B).

Long Term Liabilities: 2020's short term assets (SAR4.9B) exceed its long term liabilities (SAR1.3B).


Debt to Equity History and Analysis

Debt Level: 2020's debt to equity ratio (1.2%) is considered satisfactory.

Reducing Debt: Insufficient data to determine if 2020's debt to equity ratio has reduced over the past 5 years.

Debt Coverage: 2020's debt is well covered by operating cash flow (1472.4%).

Interest Coverage: 2020 earns more interest than it pays, so coverage of interest payments is not a concern.


Balance Sheet


Dividend

What is SABIC Agri-Nutrients's current dividend yield, its reliability and sustainability?

1.75%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: 2020's dividend (1.75%) is higher than the bottom 25% of dividend payers in the SA market (1.46%).

High Dividend: 2020's dividend (1.75%) is low compared to the top 25% of dividend payers in the SA market (4.32%).


Stability and Growth of Payments

Stable Dividend: 2020's dividend payments have been volatile in the past 10 years.

Growing Dividend: 2020's dividend payments have fallen over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (61.1%), 2020's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: 2020's dividends in 3 years are forecast to be covered by earnings (83.2% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

1.5yrs

Average board tenure


CEO

SABIC Agri-Nutrients has no CEO, or we have no data on them.


Board Members

Experienced Board: 2020's board of directors are not considered experienced ( 1.5 years average tenure), which suggests a new board.


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 been diluted in the past year, with total shares outstanding growing by 14.2%.


Top Shareholders

Company Information

SABIC Agri-Nutrients Company's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: SABIC Agri-Nutrients Company
  • Ticker: 2020
  • Exchange: SASE
  • Founded: 1965
  • Industry: Fertilizers and Agricultural Chemicals
  • Sector: Materials
  • Market Cap: ر.س61.218b
  • Shares outstanding: 476.04m
  • Website: https://www.safco.com.sa

Location

  • SABIC Agri-Nutrients Company
  • Jubail Industrial City
  • PO Box 11044
  • Jubail
  • 31961
  • Saudi Arabia

Listings


Biography

SABIC Agri-Nutrients Company engages in the production, conversion, marketing, and trade of fertilizers in Saudi Arabia and internationally. The company offers urea; ammonia; and nitrogen-based inorganic p...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/07/30 14:05
End of Day Share Price2021/07/29 00:00
Earnings2021/03/31
Annual Earnings2020/12/31


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.