Etihad Etisalat Valuation

Is 7020 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

6/6

Valuation Score 6/6

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 7020 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 7020 (SAR52.3) is trading below our estimate of fair value (SAR80.89)

Significantly Below Fair Value: 7020 is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 7020?

Key metric: As 7020 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 7020. This is calculated by dividing 7020's market cap by their current earnings.
What is 7020's PE Ratio?
PE Ratio	14x
Earnings	ر.س2.87b
Market Cap	ر.س40.27b

7020 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	2.6x
Enterprise Value/EBITDA	7.3x
PEG Ratio	1.3x

Price to Earnings Ratio vs Peers

How does 7020's PE Ratio compare to its peers?

The above table shows the PE ratio for 7020 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	31.3x
7030 Mobile Telecommunications Company Saudi Arabia	34.3x	22.6%	ر.س9.2b
7010 Saudi Telecom	15x	6.8%	ر.س200.0b
VOD Vodacom Group	13.2x	18.5%	R194.9b
BHARTIHEXA Bharti Hexacom	62.7x	32.3%	₹751.8b
7020 Etihad Etisalat	14x	10.8%	ر.س40.3b

Price-To-Earnings vs Peers: 7020 is good value based on its Price-To-Earnings Ratio (14x) compared to the peer average (31.3x).

Price to Earnings Ratio vs Industry

How does 7020's PE Ratio compare vs other companies in the Asian Wireless Telecom Industry?

0 Companies	Price / Earnings	Estimated Growth	Market Cap

0 Companies		Estimated Growth	Market Cap

No more companies

Price-To-Earnings vs Industry: 7020 is good value based on its Price-To-Earnings Ratio (14x) compared to the Asian Wireless Telecom industry average (18.4x).

Price to Earnings Ratio vs Fair Ratio

What is 7020'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.

7020 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	14x
Fair PE Ratio	22.2x

Price-To-Earnings vs Fair Ratio: 7020 is good value based on its Price-To-Earnings Ratio (14x) compared to the estimated Fair Price-To-Earnings Ratio (22.2x).

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 7020 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.س52.30	ر.س63.33 +21.1%	5.5%	ر.س70.00	ر.س58.36	n/a	13
Dec ’25	ر.س53.50	ر.س61.20 +14.4%	8.3%	ر.س70.00	ر.س48.00	n/a	13
Nov ’25	ر.س51.80	ر.س60.43 +16.7%	8.6%	ر.س70.00	ر.س48.00	n/a	13
Oct ’25	ر.س51.60	ر.س60.35 +17.0%	8.5%	ر.س70.00	ر.س48.00	n/a	13
Sep ’25	ر.س51.40	ر.س60.32 +17.4%	8.4%	ر.س70.00	ر.س48.00	n/a	13
Aug ’25	ر.س51.20	ر.س60.44 +18.0%	8.6%	ر.س72.00	ر.س48.00	n/a	14
Jul ’25	ر.س52.30	ر.س60.63 +15.9%	8.6%	ر.س72.00	ر.س48.00	n/a	14
Jun ’25	ر.س46.75	ر.س59.61 +27.5%	7.4%	ر.س65.00	ر.س48.00	n/a	12
May ’25	ر.س51.70	ر.س59.71 +15.5%	7.7%	ر.س65.00	ر.س48.00	n/a	11
Apr ’25	ر.س51.50	ر.س59.71 +16.0%	7.7%	ر.س65.00	ر.س48.00	n/a	11
Mar ’25	ر.س55.30	ر.س57.15 +3.3%	9.9%	ر.س65.00	ر.س48.00	n/a	10
Feb ’25	ر.س52.50	ر.س55.89 +6.5%	10.6%	ر.س65.00	ر.س48.00	n/a	10
Jan ’25	ر.س50.00	ر.س53.07 +6.1%	6.6%	ر.س60.00	ر.س48.00	n/a	9
Dec ’24	ر.س46.20	ر.س51.83 +12.2%	9.7%	ر.س60.00	ر.س40.00	ر.س53.50	10
Nov ’24	ر.س47.75	ر.س51.54 +7.9%	9.0%	ر.س57.10	ر.س40.00	ر.س51.80	10
Oct ’24	ر.س44.45	ر.س50.62 +13.9%	9.4%	ر.س57.10	ر.س40.00	ر.س51.60	11
Sep ’24	ر.س45.15	ر.س50.56 +12.0%	9.3%	ر.س56.10	ر.س40.00	ر.س51.40	10
Aug ’24	ر.س45.80	ر.س50.48 +10.2%	10.4%	ر.س59.10	ر.س40.00	ر.س51.20	10
Jul ’24	n/a	ر.س48.82 0%	10.1%	ر.س56.10	ر.س40.00	ر.س52.30	10
Jun ’24	ر.س43.00	ر.س48.61 +13.0%	9.8%	ر.س56.10	ر.س40.00	ر.س46.75	10
May ’24	ر.س44.45	ر.س45.12 +1.5%	13.3%	ر.س56.10	ر.س32.40	ر.س51.70	11
Apr ’24	ر.س41.25	ر.س43.99 +6.6%	12.3%	ر.س53.90	ر.س32.40	ر.س51.50	11
Mar ’24	ر.س39.95	ر.س42.95 +7.5%	12.6%	ر.س53.90	ر.س32.40	ر.س55.30	11
Feb ’24	ر.س35.75	ر.س42.34 +18.4%	12.0%	ر.س50.70	ر.س32.40	ر.س52.50	10
Jan ’24	ر.س34.85	ر.س42.23 +21.2%	11.5%	ر.س50.70	ر.س32.40	ر.س50.00	10
Dec ’23	ر.س37.00	ر.س42.66 +15.3%	11.8%	ر.س50.70	ر.س32.40	ر.س46.20	11

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	2024/12/20 20:29
End of Day Share Price	2024/12/19 00:00
Earnings	2024/09/30
Annual Earnings	2023/12/31

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 here.

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 .

Analyst Sources

Etihad Etisalat Company is covered by 24 analysts. 11 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
Pritish Devassy	Al Rajhi Capital
Ziad Itani	Arqaam Capital Research Offshore S.A.L.