Stock Analysis
- Saudi Arabia
- /
- Wireless Telecom
- /
- SASE:7030
Mobile Telecommunications Company Saudi Arabia Just Beat EPS By 45%: Here's What Analysts Think Will Happen Next
Investors in Mobile Telecommunications Company Saudi Arabia (TADAWUL:7030) had a good week, as its shares rose 9.0% to close at ر.س11.40 following the release of its annual results. It looks like a credible result overall - although revenues of ر.س10b were what the analysts expected, Mobile Telecommunications Company Saudi Arabia surprised by delivering a (statutory) profit of ر.س0.66 per share, an impressive 45% above what was forecast. Earnings are an important time for investors, as they can track a company's performance, look at what the analysts are forecasting for next year, and see if there's been a change in sentiment towards the company. With this in mind, we've gathered the latest statutory forecasts to see what the analysts are expecting for next year.
Check out our latest analysis for Mobile Telecommunications Company Saudi Arabia
Taking into account the latest results, the current consensus from Mobile Telecommunications Company Saudi Arabia's seven analysts is for revenues of ر.س10.8b in 2025. This would reflect a credible 3.8% increase on its revenue over the past 12 months. Statutory earnings per share are expected to descend 18% to ر.س0.55 in the same period. In the lead-up to this report, the analysts had been modelling revenues of ر.س10.7b and earnings per share (EPS) of ر.س0.55 in 2025. The consensus analysts don't seem to have seen anything in these results that would have changed their view on the business, given there's been no major change to their estimates.
It will come as no surprise then, to learn that the consensus price target is largely unchanged at ر.س11.15. The consensus price target is just an average of individual analyst targets, so - it could be handy to see how wide the range of underlying estimates is. There are some variant perceptions on Mobile Telecommunications Company Saudi Arabia, with the most bullish analyst valuing it at ر.س15.30 and the most bearish at ر.س8.50 per share. This is a fairly broad spread of estimates, suggesting that analysts are forecasting a wide range of possible outcomes for the business.
Of course, another way to look at these forecasts is to place them into context against the industry itself. We would highlight that Mobile Telecommunications Company Saudi Arabia's revenue growth is expected to slow, with the forecast 3.8% annualised growth rate until the end of 2025 being well below the historical 6.0% p.a. growth over the last five years. By way of comparison, the other companies in this industry with analyst coverage are forecast to grow their revenue at 5.2% per year. Factoring in the forecast slowdown in growth, it seems obvious that Mobile Telecommunications Company Saudi Arabia is also expected to grow slower than other industry participants.
The Bottom Line
The most important thing to take away is that there's been no major change in sentiment, with the analysts reconfirming that the business is performing in line with their previous earnings per share estimates. On the plus side, there were no major changes to revenue estimates; although forecasts imply they will perform worse than the wider industry. The consensus price target held steady at ر.س11.15, with the latest estimates not enough to have an impact on their price targets.
Keeping that in mind, we still think that the longer term trajectory of the business is much more important for investors to consider. We have estimates - from multiple Mobile Telecommunications Company Saudi Arabia analysts - going out to 2027, and you can see them free on our platform here.
Don't forget that there may still be risks. For instance, we've identified 3 warning signs for Mobile Telecommunications Company Saudi Arabia that you should be aware of.
New: Manage All Your Stock Portfolios in One Place
We've created the ultimate portfolio companion for stock investors, and it's free.
• Connect an unlimited number of Portfolios and see your total in one currency
• Be alerted to new Warning Signs or Risks via email or mobile
• Track the Fair Value of your stocks
Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.
This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
About SASE:7030
Mobile Telecommunications Company Saudi Arabia
Provides mobile telecommunication services in the Kingdom of Saudi Arabia.