New Risk • Jul 02
New major risk - Share price stability The company's share price has been highly volatile over the past 3 months. It is more volatile than 90% of Saudi stocks, typically moving 7.3% a week. This is considered a major risk. Share price volatility increases the risk of potential losses in the short-term as the stock tends to have larger drops in price more frequently than other stocks. It may also indicate the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. Currently, the following risks have been identified for the company: Major Risks Share price has been highly volatile over the past 3 months (7.3% average weekly change). High level of non-cash earnings (33% accrual ratio). Buy Or Sell Opportunity • Jun 29
Now 21% undervalued Over the last 90 days, the stock has risen 22% to ر.س291. The fair value is estimated to be ر.س367, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 37% over the last 3 years. Earnings per share has grown by 34%. Announcement • May 21
Edarat Communication and Information Technology Co., Annual General Meeting, Jun 14, 2026 Edarat Communication and Information Technology Co., Annual General Meeting, Jun 14, 2026, at 20:30 Arab Standard Time. Location: riyadh Saudi Arabia Valuation Update With 7 Day Price Move • May 12
Investor sentiment improves as stock rises 18% After last week's 18% share price gain to ر.س426, the stock trades at a trailing P/E ratio of 59.1x. Average trailing P/E is 23x in the IT industry in Saudi Arabia. Total returns to shareholders of 571% over the past three years. New Risk • Mar 21
New major risk - Share price stability The company's share price has been highly volatile over the past 3 months. It is more volatile than 90% of Saudi stocks, typically moving 7.6% a week. This is considered a major risk. Share price volatility increases the risk of potential losses in the short-term as the stock tends to have larger drops in price more frequently than other stocks. It may also indicate the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. Currently, the following risks have been identified for the company: Major Risks Share price has been highly volatile over the past 3 months (7.6% average weekly change). High level of non-cash earnings (33% accrual ratio). Buy Or Sell Opportunity • Feb 24
Now 20% undervalued Over the last 90 days, the stock has risen 56% to ر.س350. The fair value is estimated to be ر.س438, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 37% over the last 3 years. Earnings per share has grown by 34%. Reported Earnings • Feb 19
Full year 2025 earnings released: EPS: ر.س7.22 (vs ر.س4.89 in FY 2024) Full year 2025 results: EPS: ر.س7.22 (up from ر.س4.89 in FY 2024). Revenue: ر.س192.4m (up 84% from FY 2024). Net income: ر.س36.3m (up 47% from FY 2024). Profit margin: 19% (down from 24% in FY 2024). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has increased by 34% per year but the company’s share price has increased by 94% per year, which means it is tracking significantly ahead of earnings growth. New Risk • Feb 13
New major risk - Share price stability The company's share price has been highly volatile over the past 3 months. It is more volatile than 90% of Saudi stocks, typically moving 6.7% a week. This is considered a major risk. Share price volatility increases the risk of potential losses in the short-term as the stock tends to have larger drops in price more frequently than other stocks. It may also indicate the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. Currently, the following risks have been identified for the company: Major Risks Share price has been highly volatile over the past 3 months (6.7% average weekly change). High level of non-cash earnings (52% accrual ratio). Valuation Update With 7 Day Price Move • Jan 28
Investor sentiment improves as stock rises 15% After last week's 15% share price gain to ر.س343, the stock trades at a trailing P/E ratio of 60.9x. Average trailing P/E is 23x in the IT industry in Saudi Arabia. Total returns to shareholders of 809% over the past three years. Valuation Update With 7 Day Price Move • Jan 13
Investor sentiment improves as stock rises 18% After last week's 18% share price gain to ر.س295, the stock trades at a trailing P/E ratio of 52.4x. Average trailing P/E is 25x in the IT industry in Saudi Arabia. Total returns to shareholders of 771% over the past three years. New Risk • Aug 29
New minor risk - Financial data availability The company's latest financial reports are more than 6 months old. Last reported fiscal period ended December 2024. This is considered a minor risk. If the company has not reported its earnings on time, it may have been delayed due to audit problems or it may be finding it difficult to reconcile its accounts. Currently, the following risks have been identified for the company: Major Risk High level of non-cash earnings (52% accrual ratio). Minor Risk Latest financial reports are more than 6 months old (reported December 2024 fiscal period end). Valuation Update With 7 Day Price Move • Aug 13
Investor sentiment deteriorates as stock falls 17% After last week's 17% share price decline to ر.س200, the stock trades at a trailing P/E ratio of 40.8x. Average trailing P/E is 29x in the IT industry in Saudi Arabia. Total loss to shareholders of 23% over the past year. New Risk • Jul 13
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of Saudi stocks, typically moving 5.7% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. Currently, the following risks have been identified for the company: Major Risk High level of non-cash earnings (52% accrual ratio). Minor Risk Share price has been volatile over the past 3 months (5.7% average weekly change). New Risk • Feb 27
New minor risk - Financial data availability The company's latest financial reports are more than 6 months old. Last reported fiscal period ended June 2024. This is considered a minor risk. If the company has not reported its earnings on time, it may have been delayed due to audit problems or it may be finding it difficult to reconcile its accounts. Currently, the following risks have been identified for the company: Major Risk High level of non-cash earnings (46% accrual ratio). Minor Risks Latest financial reports are more than 6 months old (reported June 2024 fiscal period end). Share price has been volatile over the past 3 months (5.7% average weekly change). Valuation Update With 7 Day Price Move • Nov 24
Investor sentiment improves as stock rises 18% After last week's 18% share price gain to ر.س600, the stock trades at a trailing P/E ratio of 73x. Average trailing P/E is 34x in the IT industry in Saudi Arabia. Total returns to shareholders of 311% over the past year. Valuation Update With 7 Day Price Move • Sep 29
Investor sentiment improves as stock rises 15% After last week's 15% share price gain to ر.س480, the stock trades at a trailing P/E ratio of 58.4x. Average trailing P/E is 29x in the IT industry in Saudi Arabia. Total returns to shareholders of 153% over the past year. Valuation Update With 7 Day Price Move • Sep 09
Investor sentiment deteriorates as stock falls 15% After last week's 15% share price decline to ر.س460, the stock trades at a trailing P/E ratio of 56x. Average trailing P/E is 30x in the IT industry in Saudi Arabia. Total returns to shareholders of 170% over the past year. New Risk • Aug 25
New minor risk - Financial data availability The company's latest financial reports are more than 6 months old. Last reported fiscal period ended December 2023. This is considered a minor risk. If the company has not reported its earnings on time, it may have been delayed due to audit problems or it may be finding it difficult to reconcile its accounts. Currently, the following risks have been identified for the company: Major Risks Share price has been highly volatile over the past 3 months (7.9% average weekly change). High level of non-cash earnings (59% accrual ratio). Minor Risk Latest financial reports are more than 6 months old (reported December 2023 fiscal period end). Valuation Update With 7 Day Price Move • Jul 23
Investor sentiment improves as stock rises 15% After last week's 15% share price gain to ر.س496, the stock trades at a trailing P/E ratio of 72x. Average trailing P/E is 35x in the IT industry in Saudi Arabia. Total returns to shareholders of 113% over the past year. Valuation Update With 7 Day Price Move • Jul 04
Investor sentiment improves as stock rises 21% After last week's 21% share price gain to ر.س437, the stock trades at a trailing P/E ratio of 63.3x. Average trailing P/E is 34x in the IT industry in Saudi Arabia. Total returns to shareholders of 152% over the past year. Valuation Update With 7 Day Price Move • Apr 16
Investor sentiment deteriorates as stock falls 49% After last week's 49% share price decline to ر.س270, the stock trades at a trailing P/E ratio of 19.6x. Average trailing P/E is 38x in the IT industry in Saudi Arabia. Total returns to shareholders of 33% over the past year. Valuation Update With 7 Day Price Move • Feb 19
Investor sentiment improves as stock rises 15% After last week's 15% share price gain to ر.س459, the stock trades at a trailing P/E ratio of 39.6x. Average trailing P/E is 37x in the IT industry in Saudi Arabia. Total returns to shareholders of 155% over the past year. New Risk • Feb 19
New minor risk - Financial data availability The company's latest financial reports are more than 6 months old. Last reported fiscal period ended June 2023. This is considered a minor risk. If the company has not reported its earnings on time, it may have been delayed due to audit problems or it may be finding it difficult to reconcile its accounts. Currently, the following risks have been identified for the company: Major Risks Share price has been highly volatile over the past 3 months (8.4% average weekly change). High level of non-cash earnings (88% accrual ratio). Minor Risk Latest financial reports are more than 6 months old (reported June 2023 fiscal period end). New Risk • Nov 26
New minor risk - Market cap size The company's market capitalization is less than US$100m. Market cap: ر.س368.4m (US$98.2m) This is considered a minor risk. Companies with a small market capitalization are most likely businesses that have not yet released a product to market or are simply a very small company without a wide reach. Either way, risk is elevated with these companies because there is a chance the product may not come to fruition or the company's addressable market or demand may not be as large as expected. In addition, if the company's size is the main factor, it is less likely to have many investors and analysts following it and scrutinizing its performance and outlook. Currently, the following risks have been identified for the company: Major Risks Share price has been highly volatile over the past 3 months (11% average weekly change). High level of non-cash earnings (88% accrual ratio). Minor Risk Market cap is less than US$100m (ر.س368.4m market cap, or US$98.2m). Valuation Update With 7 Day Price Move • Nov 12
Investor sentiment deteriorates as stock falls 19% After last week's 19% share price decline to ر.س315, the stock trades at a trailing P/E ratio of 27.2x. Average trailing P/E is 27x in the IT industry in Saudi Arabia. New Risk • Sep 30
New major risk - Earnings quality The company has a high level of non-cash earnings. Accrual ratio: 88% This is considered a major risk. Non-cash earnings can arise from many different things. However, if a company consistently has a high level of non-cash earnings, it may be a sign that they are recognizing revenue from customers before the full value of the sales are received as cash or they are not depreciating the value of their assets appropriately. These are practices that inflate earnings, while not providing a similar increase to cash flows. Companies in some select industries naturally have a high level of non-cash earnings and it is not a major concern. However, in the worst case scenario it can be an early sign of performance manipulation by management. Currently, the following risks have been identified for the company: Major Risks Share price has been highly volatile over the past 3 months (13% average weekly change). High level of non-cash earnings (88% accrual ratio). Valuation Update With 7 Day Price Move • Sep 27
Investor sentiment improves as stock rises 23% After last week's 23% share price gain to ر.س380, the stock trades at a trailing P/E ratio of 38x. Average trailing P/E is 24x in the IT industry in Saudi Arabia. Valuation Update With 7 Day Price Move • Sep 12
Investor sentiment deteriorates as stock falls 18% After last week's 18% share price decline to ر.س302, the stock trades at a trailing P/E ratio of 30.2x. Average trailing P/E is 28x in the IT industry in Saudi Arabia. New Risk • Aug 13
New minor risk - Financial data availability The company's latest financial reports are more than 6 months old. Last reported fiscal period ended December 2022. This is considered a minor risk. If the company has not reported its earnings on time, it may have been delayed due to audit problems or it may be finding it difficult to reconcile its accounts. Currently, the following risks have been identified for the company: Major Risk Share price has been highly volatile over the past 3 months (15% average weekly change). Minor Risk Latest financial reports are more than 6 months old (reported December 2022 fiscal period end). Valuation Update With 7 Day Price Move • Jul 20
Investor sentiment improves as stock rises 18% After last week's 18% share price gain to ر.س399, the stock trades at a trailing P/E ratio of 39.9x. Average trailing P/E is 30x in the IT industry in Saudi Arabia. Valuation Update With 7 Day Price Move • Jun 14
Investor sentiment improves as stock rises 22% After last week's 22% share price gain to ر.س395, the stock trades at a trailing P/E ratio of 39.5x. Average trailing P/E is 30x in the IT industry in Saudi Arabia. Valuation Update With 7 Day Price Move • May 29
Investor sentiment improves as stock rises 58% After last week's 58% share price gain to ر.س390, the stock trades at a trailing P/E ratio of 39x. Average trailing P/E is 30x in the IT industry in Saudi Arabia. Valuation Update With 7 Day Price Move • May 09
Investor sentiment improves as stock rises 28% After last week's 28% share price gain to ر.س494, the stock trades at a trailing P/E ratio of 24.7x. Average trailing P/E is 28x in the IT industry in Saudi Arabia. Valuation Update With 7 Day Price Move • Mar 26
Investor sentiment deteriorates as stock falls 11% After last week's 11% share price decline to ر.س445, the stock trades at a trailing P/E ratio of 23.5x. Average trailing P/E is 26x in the IT industry in Saudi Arabia. Valuation Update With 7 Day Price Move • Mar 10
Investor sentiment improves as stock rises 26% After last week's 26% share price gain to ر.س503, the stock trades at a trailing P/E ratio of 26.6x. Average trailing P/E is 28x in the IT industry in Saudi Arabia. Valuation Update With 7 Day Price Move • Feb 23
Investor sentiment improves as stock rises 16% After last week's 16% share price gain to ر.س389, the stock trades at a trailing P/E ratio of 20.6x. Average trailing P/E is 24x in the IT industry in Saudi Arabia. Announcement • Dec 28
Edarat Communication and Information Technology Co. has completed an IPO in the amount of SAR 37.8 million. Edarat Communication and Information Technology Co. has completed an IPO in the amount of SAR 37.8 million.
Security Name: Shares
Security Type: Common Stock
Securities Offered: 126,000
Price\Range: SAR 300
Transaction Features: Direct Listing