Saudi Telecom Valuation
Is 7010 undervalued compared to its fair value, analyst forecasts and its price relative to the market?
Valuation Score
3/6Valuation 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 7010 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.
Below Fair Value: 7010 (SAR38.35) is trading below our estimate of fair value (SAR40.18)
Significantly Below Fair Value: 7010 is trading below fair value, but not by a significant amount.
Key Valuation Metric
Which metric is best to use when looking at relative valuation for 7010?
Other financial metrics that can be useful for relative valuation.
| What is 7010's n/a Ratio? | |
|---|---|
| n/a | 0x |
| n/a | n/a |
| Market Cap | ر.س191.65b |
| Key Statistics | |
|---|---|
| Enterprise Value/Revenue | 2.5x |
| Enterprise Value/EBITDA | 8.6x |
| PEG Ratio | 3.2x |
Price to Earnings Ratio vs Peers
How does 7010's PE Ratio compare to its peers?
| Company | Forward PE | Estimated Growth | Market Cap |
|---|---|---|---|
| Peer Average | 16x | ||
7040 Etihad Atheeb Telecommunication | 19.9x | n/a | ر.س4.1b |
7020 Etihad Etisalat | 18.3x | 11.1% | ر.س39.0b |
728 China Telecom | 12.1x | 7.4% | HK$564.9b |
EAND Emirates Telecommunications Group Company PJSC | 13.8x | 4.1% | د.إ145.9b |
7010 Saudi Telecom | 14.4x | 4.5% | ر.س191.7b |
Price-To-Earnings vs Peers: 7010 is good value based on its Price-To-Earnings Ratio (14.4x) compared to the peer average (16.1x).
Price to Earnings Ratio vs Industry
How does 7010's PE Ratio compare vs other companies in the Asian Telecom Industry?
Price-To-Earnings vs Industry: 7010 is good value based on its Price-To-Earnings Ratio (14.4x) compared to the Asian Telecom industry average (15.6x).
Price to Earnings Ratio vs Fair Ratio
What is 7010'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.
| Fair Ratio | |
|---|---|
| Current PE Ratio | 14.4x |
| Fair PE Ratio | 14.2x |
Price-To-Earnings vs Fair Ratio: 7010 is expensive based on its Price-To-Earnings Ratio (14.4x) compared to the estimated Fair Price-To-Earnings Ratio (14.2x).
Analyst Price Targets
What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?
| Date | Share Price | Average 1Y Price Target | Dispersion | High | Low | 1Y Actual price | Analysts |
|---|---|---|---|---|---|---|---|
| Current | ر.س38.35 | ر.س44.53 +16.1% | 5.5% | ر.س48.40 | ر.س40.00 | n/a | 17 |
| May ’25 | ر.س37.30 | ر.س44.53 +19.4% | 5.5% | ر.س48.40 | ر.س40.00 | n/a | 17 |
| Apr ’25 | ر.س38.90 | ر.س44.86 +15.3% | 5.0% | ر.س48.40 | ر.س40.50 | n/a | 16 |
| Mar ’25 | ر.س42.45 | ر.س44.95 +5.9% | 5.0% | ر.س48.40 | ر.س40.60 | n/a | 16 |
| Feb ’25 | ر.س41.75 | ر.س44.95 +7.7% | 5.0% | ر.س48.40 | ر.س40.60 | n/a | 16 |
| Jan ’25 | ر.س40.40 | ر.س44.04 +9.0% | 7.3% | ر.س48.40 | ر.س36.00 | n/a | 16 |
| Dec ’24 | ر.س38.45 | ر.س43.79 +13.9% | 7.4% | ر.س48.40 | ر.س36.00 | n/a | 16 |
| Nov ’24 | ر.س38.55 | ر.س43.54 +12.9% | 7.7% | ر.س48.40 | ر.س36.00 | n/a | 14 |
| Oct ’24 | ر.س37.55 | ر.س44.57 +18.7% | 9.0% | ر.س50.00 | ر.س36.00 | n/a | 13 |
| Sep ’24 | ر.س39.80 | ر.س44.52 +11.9% | 9.5% | ر.س50.00 | ر.س36.00 | n/a | 13 |
| Aug ’24 | ر.س41.90 | ر.س45.46 +8.5% | 9.9% | ر.س54.00 | ر.س38.40 | n/a | 13 |
| Jul ’24 | n/a | ر.س45.65 0% | 9.9% | ر.س54.00 | ر.س38.40 | n/a | 13 |
| Jun ’24 | ر.س42.25 | ر.س45.35 +7.3% | 10.6% | ر.س54.00 | ر.س38.40 | n/a | 13 |
| May ’24 | ر.س44.45 | ر.س46.54 +4.7% | 11.8% | ر.س56.00 | ر.س38.40 | ر.س37.30 | 13 |
| Apr ’24 | ر.س40.05 | ر.س46.14 +15.2% | 11.8% | ر.س56.00 | ر.س38.40 | ر.س38.90 | 14 |
| Mar ’24 | ر.س35.70 | ر.س46.17 +29.3% | 12.6% | ر.س54.00 | ر.س34.00 | ر.س42.45 | 15 |
| Feb ’24 | ر.س37.00 | ر.س46.29 +25.1% | 11.9% | ر.س54.00 | ر.س34.00 | ر.س41.75 | 15 |
| Jan ’24 | ر.س37.20 | ر.س46.38 +24.7% | 12.0% | ر.س54.00 | ر.س34.00 | ر.س40.40 | 15 |
| Dec ’23 | ر.س37.50 | ر.س47.84 +27.6% | 10.4% | ر.س54.00 | ر.س35.50 | ر.س38.45 | 14 |
| Nov ’23 | ر.س40.20 | ر.س48.01 +19.4% | 10.6% | ر.س54.00 | ر.س35.50 | ر.س38.55 | 14 |
| Oct ’23 | ر.س39.35 | ر.س48.49 +23.2% | 10.5% | ر.س54.60 | ر.س35.44 | ر.س37.55 | 14 |
| Sep ’23 | ر.س40.50 | ر.س48.63 +20.1% | 10.8% | ر.س54.60 | ر.س35.44 | ر.س39.80 | 13 |
| Aug ’23 | ر.س40.48 | ر.س49.31 +21.8% | 8.9% | ر.س55.20 | ر.س41.48 | ر.س41.90 | 12 |
| Jul ’23 | ر.س38.84 | ر.س49.44 +27.3% | 8.5% | ر.س55.20 | ر.س41.48 | n/a | 12 |
| Jun ’23 | ر.س41.28 | ر.س49.67 +20.3% | 8.6% | ر.س55.20 | ر.س41.48 | ر.س42.25 | 12 |
| May ’23 | ر.س46.40 | ر.س49.47 +6.6% | 8.5% | ر.س55.20 | ر.س41.48 | ر.س44.45 | 13 |
Analyst Forecast: Target price is less than 20% higher than the current share price.