Arabian Cement Valuation

Q: What is the Fair Price of 3010 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

3010 (SAR26) is trading below our estimate of [[fair value]] (SAR39.36)

Is 3010 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

5/6

Valuation Score 5/6

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 3010 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Discounted Cash Flow

Simply Wall St

ر.س39.36

Fair Value

33.9% undervalued

Number of Analysts

Below Fair Value: 3010 (SAR26) is trading below our estimate of fair value (SAR39.36)

Significantly Below Fair Value: 3010 is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 3010?

Key metric: As 3010 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 3010. This is calculated by dividing 3010's market cap by their current earnings.
What is 3010's PE Ratio?
PE Ratio	16.2x
Earnings	ر.س160.10m
Market Cap	ر.س2.60b

3010 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	3.2x
Enterprise Value/EBITDA	7.7x
PEG Ratio	1.8x

Price to Earnings Ratio vs Peers

How does 3010's PE Ratio compare to its peers?

The above table shows the PE ratio for 3010 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	23.5x
3003 City Cement	21.4x	11.7%	ر.س2.8b
3060 Yanbu Cement	25x	10.6%	ر.س3.7b
9601 Mohammed Hadi Al-Rasheed	25.2x	n/a	ر.س1.7b
3002 Najran Cement	22.2x	31.6%	ر.س1.5b
3010 Arabian Cement	16.2x	9.2%	ر.س2.6b

Price-To-Earnings vs Peers: 3010 is good value based on its Price-To-Earnings Ratio (16.2x) compared to the peer average (23.5x).

Price to Earnings Ratio vs Industry

How does 3010's PE Ratio compare vs other companies in the Asian Basic Materials Industry?

1 Company	Price / Earnings	Estimated Growth	Market Cap

1 Company		Estimated Growth	Market Cap

No more companies

Price-To-Earnings vs Industry: 3010 is expensive based on its Price-To-Earnings Ratio (16.2x) compared to the Asian Basic Materials industry average (16.1x).

Price to Earnings Ratio vs Fair Ratio

What is 3010'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.

3010 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	16.2x
Fair PE Ratio	17.7x

Price-To-Earnings vs Fair Ratio: 3010 is good value based on its Price-To-Earnings Ratio (16.2x) compared to the estimated Fair Price-To-Earnings Ratio (17.7x).

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 3010 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.س26.00	ر.س31.83 +22.4%	6.9%	ر.س35.00	ر.س29.60	n/a	4
Feb ’26	ر.س26.95	ر.س33.00 +22.4%	5.8%	ر.س35.00	ر.س30.00	n/a	4
Jan ’26	ر.س25.80	ر.س33.00 +27.9%	5.8%	ر.س35.00	ر.س30.00	n/a	4
Dec ’25	ر.س26.25	ر.س33.25 +26.7%	6.6%	ر.س36.00	ر.س30.00	n/a	4
Nov ’25	ر.س25.20	ر.س33.25 +31.9%	6.6%	ر.س36.00	ر.س30.00	n/a	4
Oct ’25	ر.س25.80	ر.س34.25 +32.8%	3.4%	ر.س36.00	ر.س32.70	n/a	4
Sep ’25	ر.س26.30	ر.س33.40 +27.0%	6.0%	ر.س36.00	ر.س30.00	n/a	5
Aug ’25	ر.س26.90	ر.س33.40 +24.2%	6.0%	ر.س36.00	ر.س30.00	n/a	5
Jul ’25	ر.س28.65	ر.س34.83 +21.6%	10.6%	ر.س42.00	ر.س30.00	n/a	6
Jun ’25	ر.س29.65	ر.س34.83 +17.5%	10.6%	ر.س42.00	ر.س30.00	n/a	6
May ’25	ر.س30.60	ر.س35.10 +14.7%	12.1%	ر.س42.00	ر.س30.00	n/a	6
Apr ’25	ر.س32.25	ر.س35.32 +9.5%	13.1%	ر.س42.00	ر.س30.00	n/a	5
Mar ’25	ر.س32.80	ر.س36.58 +11.5%	11.9%	ر.س42.00	ر.س30.00	n/a	4
Feb ’25	ر.س31.25	ر.س36.00 +15.2%	13.6%	ر.س42.00	ر.س30.00	ر.س26.95	3
Jan ’25	ر.س34.40	ر.س38.05 +10.6%	8.4%	ر.س42.00	ر.س34.00	ر.س25.80	4
Dec ’24	ر.س35.90	ر.س38.23 +6.5%	8.9%	ر.س42.70	ر.س34.00	ر.س26.25	4
Nov ’24	ر.س31.50	ر.س39.98 +26.9%	9.0%	ر.س43.00	ر.س34.00	ر.س25.20	4
Oct ’24	ر.س33.15	ر.س39.98 +20.6%	9.0%	ر.س43.00	ر.س34.00	ر.س25.80	4
Sep ’24	ر.س34.50	ر.س39.98 +15.9%	9.0%	ر.س43.00	ر.س34.00	ر.س26.30	4
Aug ’24	ر.س39.10	ر.س40.98 +4.8%	5.0%	ر.س43.00	ر.س38.00	ر.س26.90	4
Jul ’24	n/a	ر.س40.30 0%	4.8%	ر.س42.70	ر.س38.00	ر.س28.65	3
Jun ’24	ر.س38.10	ر.س38.30 +0.5%	0.8%	ر.س38.60	ر.س38.00	ر.س29.65	2
May ’24	ر.س35.70	ر.س38.30 +7.3%	0.8%	ر.س38.60	ر.س38.00	ر.س30.60	2
Apr ’24	ر.س36.30	ر.س38.30 +5.5%	0.8%	ر.س38.60	ر.س38.00	ر.س32.25	2
Mar ’24	ر.س34.50	ر.س41.38 +19.9%	7.6%	ر.س45.30	ر.س38.00	ر.س32.80	4
Feb ’24	ر.س35.00	ر.س41.38 +18.2%	7.6%	ر.س45.30	ر.س38.00	ر.س31.25	4

Analyst Price Target

Consensus Narrative from 4 Analysts

ر.س31.83

Fair Value

18.3% undervalued

Number of Analysts

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

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Company Analysis and Financial Data Status

Data	Last Updated (UTC time)
Company Analysis	2025/02/21 20:27
End of Day Share Price	2025/02/20 00:00
Earnings	2024/12/31
Annual Earnings	2024/12/31

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

Package	Data	Timeframe	Example US Source ^*
Company Financials	10 years	Income statement Cash flow statement Balance sheet	SEC Form 10-K SEC Form 10-Q
Analyst Consensus Estimates	+3 years	Forecast financials Analyst price targets	Analyst Research Reports Blue Matrix
Market Prices	30 years	Stock prices Dividends, Splits and Actions	ICE Market Data SEC Form S-1
Ownership	10 years	Top shareholders Insider trading	SEC Form 4 SEC Form 13D
Management	10 years	Leadership team Board of directors	SEC Form 10-K SEC Form DEF 14A
Key Developments	10 years	Company announcements	SEC Form 8-K

^* Example for US securities, for non-US equivalent regulatory forms and sources are used.

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.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on Github.

Analyst Sources

Arabian Cement Company is covered by 12 analysts. 3 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

Analyst	Institution
Jassim Al-Jubran	Aljazira Capital Company
Mazen Al-Sudairi	Al Rajhi Capital
Ahmed Abdelmeguid	Beltone Financial