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The Saudi British Bank (1060) Fair Value & Analysis

Financial Services · SA · Market cap 67.8B SAR (≈ $18.1B) · ISIN SA0007879089

What is The Saudi British Bank really worth?

TS The Saudi British Bank 1060 · SR
Price34.20 SAR
Fair Value49.94 SAR
Upside+46.0%
Quality50/100

A solid business, trading 32% below our fair value of 49.94 SAR.

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Strengths

Highly profitable · 60.9% net margin
Low debt · generates free cash flow
Ranks above peers (12/14)
Wide moat 68/100

Risks

!Mixed Growth (revenue 5y +26.2 %/yr)
!Weak on future: 22 out of 100

For context

·2.92% dividend yield
Evidence: High Range 37.46 SAR – 62.43 SAR

Fair value as of: Aug 23, 2026

From 6 valuation models · updated 13 days ago

Share price +3.4% over the past month.

What runs behind every stock

69 individual criteria per stock, every one traceable See the method →

What matters now

  • The price is below even our cautious bear case (37.46 SAR). The market is more pessimistic than our downside scenario.
  • Solid quality (50/100) at a price below fair value, the discount is the argument here, not the business quality.
  • For a financial, book-value and earnings-based methods matter more than a cash-flow DCF, which fits banks and insurers poorly.

Price vs Fair Value (5 years)

36.81 SAR 13.84 SAR Fair Value 49.94 SAR Jan 2020 Sep 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Aug 23, 2026.

How to read this chart

60‑month range 13.84 SAR – 36.81 SAR · fair‑value band 37.46 SAR – 62.43 SAR · the 34.20 SAR price screens below the 49.94 SAR fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Aug 23, 2026.

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Analysis

The Saudi British Bank (1060) currently trades at 34.20 SAR, while our model-based Fair Value estimate is 49.94 SAR, implying the stock looks roughly 31.5% undervalued today. The Quality Score stands at 50/100 (solid quality), in the Financial Services sector. Bull case: the Multiples group reads highest at a median of 53.47 SAR per share, and 4 of the 6 models we run sit above the 34.20 SAR price. Bear case: the Asset-Based group reads lowest at 25.87 SAR, and 2 of the 6 models stay below the price. Evidence for this calculation is high.

Over the trailing twelve months, The Saudi British Bank generated revenue of 14.1B SAR at a net margin of 60.9%. Revenue grew 4.4% year over year. It earns a return on equity of 11.1%. Net debt stands at 4.3B SAR. Fundamentals as of Aug 23, 2026

Our scenario range runs from 37.46 SAR (bear case) to 62.43 SAR (bull case); at 34.20 SAR, the current price sits below that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. The share trades about 4% below its 52-week high and 21% above its 52-week low, currently above its 200-day average. For context, the median of 10 Financial Services peers we cover trades at −10% fair-value upside, at 46%, 1060 screens cheaper than that median.

Fair Value models

This estimate rests on fiscal year 2025 figures, and about 8 months have passed since. In that time the company retained roughly 1.91 SAR per share, which is 3.8 % of the fair value. The fair value deliberately does not add this in: the models value reported figures, not a projection.

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted, family-balanced blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small. Every input is real reported data, nothing guessed.

Model Bear Bear = the cautious scenario: the same model computed with conservative anchors (lower growth, margins and valuation multiples). Together with Bull it frames a plausible valuation range, not a price target.BaseBull Bull = the optimistic scenario: the same model computed with favourable anchors (higher growth, margins and valuation multiples). Together with Bear it frames a plausible valuation range, not a price target. Evidence
Highest evidence
Residual Income best evidence 34.61 SAR 38.96 SAR 64.43 SAR 74
Gordon GGM 17.29 SAR 35.95 SAR 57.03 SAR 66
DDM Multi-Stage 17.29 SAR 30.31 SAR 37.73 SAR 66
All 6 models by family
Dividend Discount
Gordon GGM 17.29 SAR 35.95 SAR 57.03 SAR 66
DDM Multi-Stage 17.29 SAR 30.31 SAR 37.73 SAR 66
Multiples
P/E Multiple 40.11 SAR 53.47 SAR 66.84 SAR 63
P/B Multiple 40.54 SAR 54.06 SAR 67.57 SAR 55
Asset-Based
NCAV (Graham) 19.31 SAR 25.87 SAR 38.61 SAR 54
Economic Profit
Residual Income best evidence 34.61 SAR 38.96 SAR 64.43 SAR 74

Widest divergence: Multiples (53.47 SAR) versus Asset-Based (25.87 SAR). Highest evidence: Residual Income (74).

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Key figures & financial health

P/E ratio 9.0
P/S ratio 2.66 P/E × margin
EPS (TTM) 3.82 SAR price ÷ EPS = P/E 9.0
Dividend yield 2.9% payout 26.2%
Net margin 29.7% FY2025
Return on equity 11.1% TTM
More key figures
Profitability
Return on assets (EBIT) 2.0% avg 5y
Operating margin 69.7% TTM
Growth
Revenue (TTM) 14.1B SAR TTM
Revenue growth (YoY) +4.4% 3y avg +43.3%
EPS growth (YoY) +4.9%
Balance sheet & cash flow
Free cash flow 7.6B SAR FY2025
Net debt 4.3B SAR FY2025 · ≈ 0.6 yrs of FCF

Figures from reported company fundamentals · as of Aug 23, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 50/100

Of which business quality 42 · Market factors (momentum, volatility) 67

Profitability 36
Margins and returns on capital today
Quality Growth 42
Are margins and returns improving?
Cashflow 50
Earnings quality: real cash, not paper profit
Fin. Strength 7
Balance sheet, leverage, solvency risk
Investment 55
Disciplined investing over empire-building
Low Volatility 96
Calm price path (market factor)
Momentum 50
Price trend over the last 3–12 months (market factor)
52W Momentum 63
Distance to the 52-week high (market factor)
Net Issuance 82
Buybacks instead of dilution

Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.

All values are scores from 0 to 100 (100 = best against fixed, research-based bands), not percentages. The three market factors (momentum, 52-week proximity, low volatility) are displayed but carry zero weight in the headline number: market sentiment is not a business property.

About the company

Saudi Awwal Bank, together with its subsidiaries, provides banking and financial services in the Kingdom of Saudi Arabia. The company operates through Wealth & Personal Banking, Corporate and Institutional Banking, Treasury, Capital Markets, and Others segments.

Full company description

Saudi Awwal Bank, together with its subsidiaries, provides banking and financial services in the Kingdom of Saudi Arabia. The company operates through Wealth & Personal Banking, Corporate and Institutional Banking, Treasury, Capital Markets, and Others segments. It offers personal and business savings, current, commodity investment, wafer accounts, and green deposit account; personal and home financing; credit, debit, business, and prepaid cards; wealth management solutions; investment solutions; payments and transfer services; e-statement, treasury, and private banking services; safe deposit lockers; and online, mobile, and phone banking services. The company also provides liquidity and cash management services, including liquidity, collection, and payment management services, merchant payment acceptance solutions, and point of sale services; and trade and receivables finance services, which include export and import services, guarantees, cash backed letter of credit, and structured trade solutions; and foreign exchange, derivative solutions, deposits and loans, bonds, fixed income, structured products, and Islamic solutions, as well as economic research and market analysis. In addition, it engages in the real estate activities. The company was formerly known as Saudi British Bank and changed its name to Saudi Awwal Bank in June 2023. Saudi Awwal Bank was founded in 1978 and is headquartered in Riyadh, the Kingdom of Saudi Arabia.

Company description, as reported by the company or data provider.

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

The Saudi British Bank reported revenue of 28.4B SAR in FY2025 versus 7.7B SAR in FY2021, a compound +38.7%/yr. Reported net income was 8.5B SAR in FY2025, compounding +27.4%/yr from FY2021.

Growth Quality 83/100
Revenue is growing, but margins or cash flow do not fully confirm the trend.
Latest Revenue (FY 2025)
28.4B SAR
Latest YoY
+101.1%
Avg. revenue growth/yr (3Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+43.3%
Avg. revenue growth/yr (5Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+26.2%
Avg. revenue growth/yr (19Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+10.4%
Value creation/yr (5Y) Earnings growth per share (CAGR 5 years) plus dividend yield: value created per share and year.
+24.5% (21.6 + 2.9)
Revenue +38.7%/yr
FY21 7.7B SAR
FY22 9.7B SAR
FY23 12.8B SAR
FY24 14.1B SAR
FY25 28.4B SAR
Net income +27.4%/yr
FY21 3.2B SAR
FY22 4.8B SAR
FY23 7.0B SAR
FY24 8.1B SAR
FY25 8.5B SAR
Character of growth · EPS growth decomposed (2014-2025) +3.6 % p.a.
Revenue per share +8.1 %

of which total revenue +12.0 % · buybacks/dilution −3.4 %

EBIT margin −2.5 %
Tax rate −1.6 %
Residual (interest, one-offs) −0.1 %

Annual growth per factor. These are factors, not summands: multiplied they give the EPS growth rate, added they do not quite. Start and end points are 3-year averages (details on hover).

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Cite: Fair Value Calculator (2026). "The Saudi British Bank Fair Value". https://www.fairvalue-calculator.com/stock/1060

Peer Group

Banks - Regional · 1071 stocks

How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.

Quality Score 48 · Below median
Fair Value upside +46% · Top 25%
Return on equity (TTM) 11% · Above median
Return on assets 2% · Top 25%
Net margin (TTM) 61% · Top 25%
Operating margin (TTM) 70% · Top 25%
Revenue growth 4% · Below median
Dividend yield (TTM) 2.9% · Above median
Debt / equity 0.06× · Lower than 75% of peers

Valuation Multiples vs Banks - Regional median · lower = cheaper

P/E (TTM) 9.0× · Cheaper than 75% of peers
P/B 0.23× · Cheaper than 75% of peers
P/S (TTM) 1.28× · Cheaper than 75% of peers
P/FCF 2.4× · Cheaper than median
EV/EBITDA 1.4× · Cheaper than 75% of peers

Strength profile in five axes (Snowflake)

Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.

VALUEFUTUREPASTHEALTHDIVIDEND
This stock
VALUEFUTUREPASTHEALTHDIVIDEND
Sector peers
VALUE95 · sector 33
FUTURE22 · sector 45
PAST44 · sector 41
HEALTH97 · sector 85
DIVIDEND58 · sector 51

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

None of the checked exposures detected

Similar stocks

10 more Banks - Regional stocks, each showing price versus our Fair Value estimate (as of Aug 23, 2026).

Stock Price Fair Value vs Fair Value
DBS Group D05 75.65 SGD 40.48 SGD −46%
China Merchants Bank Co 3968 HK$47.96 HK$76.51 +60%
Intesa Sanpaolo S.p.A ISP €6.78 €5.66 −17%
HDFC Bank Limited HDB $23.17 $24.12 +4%
BNP Paribas SA BNP €102.56 €144.64 +41%
UniCredit S.p.A UCG €84.71 €77.62 −8%
Mizuho Financial Group MFG $10.74 $9.69 −10%
ICICI Bank Limited ICICIBANK ₹1,443 ₹835.21 −42%
Oversea-Chinese Banking Corporation O39 31.07 SGD 19.80 SGD −36%
CaixaBank, S.A CABK €13.52 €8.85 −35%

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Frequently asked questions

Is The Saudi British Bank (1060) overvalued or undervalued?
As of Aug 23, 2026, our model estimates a fair value of 49.94 SAR versus a price of 34.20 SAR, about +46% upside (undervalued).
What is the fair value of 1060?
Our model-based fair value for The Saudi British Bank is 49.94 SAR (as of Aug 23, 2026), built from audited fundamentals. The current price: 34.20 SAR.
What is the quality score of 1060?
The Saudi British Bank has a Quality Score of 50/100. It measures business quality (profitability, growth, cash flow, balance-sheet strength, investment discipline, share issuance). Market factors such as price momentum and volatility do not enter the number; they are shown separately in the detail view.
What is the revenue of The Saudi British Bank (1060)?
The Saudi British Bank reported trailing-twelve-month revenue of about 14.1B SAR (latest available figure, as of Aug 23, 2026).
What is the net profit margin of 1060?
The net profit margin of The Saudi British Bank is about 60.9%, meaning it keeps roughly 60.9% of revenue as net income. Based on the latest reported figures.
Does The Saudi British Bank pay a dividend?
The Saudi British Bank currently shows a dividend yield of about 2.92% relative to its recent price (as of Aug 23, 2026).
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