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Saudi Arabian Oil Company (2222) Fair Value & Analysis

Energy · SA · Market cap 6.3T SAR

SA Saudi Arabian Oil Company 2222 · SR
Price26.50 SAR
Fair Value20.14 SAR
Upside-24.0%
Quality74/100
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Mixed Growth
Highly profitable · 21.8% net margin
Low debt · generates free cash flow
5.13% dividend yield
Ranks above peers (11/15)
Wide moat 93/100
Evidence: Medium Range 14.17 SAR – 25.18 SAR Share as image

Fair value as of: Aug 13, 2026

From 25 valuation models · updated yesterday

Share price +1.3% over the past month.

A solid business, but screening 24% overvalued on our models.

What matters now

  • A high-quality business (quality 74/100), yet the market already pays well above fair value. Quality at a full price, with little margin of safety.
  • The price sits above even our optimistic bull case (25.18 SAR). The favourable scenario is already priced in.
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Price vs Fair Value (5 years)

31.14 SAR 22.26 SAR Fair Value 20.14 SAR Apr 2021 Aug 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Aug 13, 2026.

How to read this chart

60‑month range 22.26 SAR – 31.14 SAR · fair‑value band 14.17 SAR – 25.18 SAR · the 26.50 SAR price screens above the 20.14 SAR fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Aug 13, 2026.

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Analysis

Saudi Arabian Oil Company (2222) currently trades at 26.50 SAR, while our model-based Fair Value estimate is 20.14 SAR, implying the stock looks roughly 24.0% overvalued today. The Quality Score stands at 74/100 (solid quality), in the Energy sector. Bear case: priced above our estimate, the market already discounts strong expectations. Bull case: above-average quality can justify a premium, the entry price still matters most (evidence: medium).

Over the trailing twelve months, Saudi Arabian Oil Company generated revenue of 1.7T SAR at a net margin of 21.8%. Revenue grew 8.8% year over year. It earns a return on equity of 21.9%. Net debt stands at 121B SAR. Fundamentals as of Aug 13, 2026

Our scenario range runs from 14.17 SAR (bear case) to 25.18 SAR (bull case); at 26.50 SAR, the current price sits above 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 19% above its 52-week low, currently above its 200-day average. For context, the median of 10 Energy peers we cover trades at -27% fair-value upside, at -24%, 2222 screens cheaper than that median.

Fair Value models

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted 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.

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
Growth DCF 15.09 SAR 21.18 SAR 29.81 SAR 80
Residual Income 8.96 SAR 10.71 SAR 28.65 SAR 76
Rev-Margin DCF 8.74 SAR 12.01 SAR 15.51 SAR 74
All 25 models by family
DCF Models
FCF DCF 14.56 SAR 20.94 SAR 30.32 SAR 38
Owner Earnings 11.59 SAR 16.66 SAR 24.11 SAR 31
5Y Revenue Exit 8.74 SAR 11.76 SAR 15.34 SAR 39
5Y EBITDA Exit 13.97 SAR 20.92 SAR 28.55 SAR 41
5Y P/E Exit 13.75 SAR 20.54 SAR 27.16 SAR 38
10Y Revenue Exit 10.56 SAR 13.65 SAR 17.20 SAR 36
10Y EBITDA Exit 14.06 SAR 19.93 SAR 26.91 SAR 37
10Y P/E Exit 13.92 SAR 19.67 SAR 25.89 SAR 35
Earnings-Based
Graham-Dodd 9.78 SAR 20.65 SAR 26.17 SAR 54
PEG = 1.0 3.11 SAR 4.45 SAR 5.78 SAR 46
EPV 16.13 SAR 18.95 SAR 21.45 SAR 59
Dividend Discount
Gordon GGM 12.74 SAR 19.76 SAR 27.65 SAR 70
DDM Multi-Stage 12.74 SAR 18.56 SAR 25.50 SAR 61
Multiples
P/E Multiple 15.11 SAR 20.14 SAR 25.18 SAR 63
P/S Multiple 6.22 SAR 8.29 SAR 10.36 SAR 58
P/B Multiple 8.33 SAR 11.10 SAR 13.88 SAR 55
EV/EBIT 23.07 SAR 30.70 SAR 38.34 SAR 53
EV/EBITDA 15.64 SAR 20.81 SAR 25.98 SAR 54
EV/Revenue 5.95 SAR 8.44 SAR 10.92 SAR 43
Asset-Based
NCAV (Graham) 3.08 SAR 4.13 SAR 6.17 SAR 50
Growth DCF
Growth DCF 15.09 SAR 21.18 SAR 29.81 SAR 80
Rev-Margin DCF 8.74 SAR 12.01 SAR 15.51 SAR 74
Economic Profit
Residual Income 8.96 SAR 10.71 SAR 28.65 SAR 76
ROIC Compounder 16.67 SAR 20.32 SAR 24.12 SAR 72
Growth Earnings
Growth-Adj P/E 11.41 SAR 16.30 SAR 21.20 SAR 68

Widest divergence: DCF Models (19.67 SAR) versus Asset-Based (4.13 SAR). Highest evidence: Growth DCF (80).

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Key figures & financial health

Revenue (TTM) 1.7T SAR
Revenue growth (YoY) +8.8%
Net margin 21.8%
Return on equity 21.9%
Free cash flow 317B SAR FY2025
P/E ratio 17.2
More key figures
Operating margin 47.7%
EPS (TTM) 1.54 SAR
Dividend yield 5.1%
EPS growth (YoY) +25.0%
Net debt 121B SAR FY2025

Figures from reported company fundamentals · as of Aug 13, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 74/100

Of which business quality 70 · Market factors (momentum, volatility) 68

Profitability 70
Margins and returns on capital today
Quality Growth 26
Are margins and returns improving?
Cashflow 72
Earnings quality: real cash, not paper profit
Fin. Strength 82
Balance sheet, leverage, solvency risk
Investment 80
Disciplined investing over empire-building
Low Volatility 100
Calm price path (market factor)
Momentum 48
Price trend over the last 3–12 months (market factor)
52W Momentum 65
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.

About the company

Saudi Arabian Oil Company operates as an integrated energy and chemical company in the Kingdom of Saudi Arabia and internationally. The company operates through two segments, Upstream and Downstream. The Upstream segment explores, develops, produces, and sells crude oil, condensate, natural gas, and natural gas liquids (NGLs).

Full company description

Saudi Arabian Oil Company operates as an integrated energy and chemical company in the Kingdom of Saudi Arabia and internationally. The company operates through two segments, Upstream and Downstream. The Upstream segment explores, develops, produces, and sells crude oil, condensate, natural gas, and natural gas liquids (NGLs). The Downstream segment produces various chemicals, such as aromatics, olefins, and polyolefins; polyols, isocyanates, and synthetic rubber; methanol, MTBE, glycols, linear alpha olefins, polyethylene, polypropylene, polyethylene terephthalate, polyvinyl chloride, polystyrene, polycarbonate, and engineering thermoplastics and their blends; and lubricants and base oils, as well as engages in the refining and petrochemicals, retail operations, distribution, supply and trading, and power generation. It also markets and distributes hydrocarbons, petroleum products; and trades crude oil, refined petroleum, and liquid chemical products. In addition, the company develops, manufactures, and markets high-performance rubber; and provides crude oil storage, investment, consulting, information technology, personnel and other support, agri-nutrients, purchasing, engineering, benefits administration, oil field, insurance, pipeline transport, vendor sourcing, marketing and sales support, financing, support, and marine management and transportation services. Further, it engages in aircraft operations and leasing; aviation; sports club; retail fuel marketing and operations; investment management of post-employment benefit plans; wholesale fuel operations; importing and exporting refined products and crude oil; and real estate holdings. Additionally, the company engages in prospecting, exploring, drilling, processing, manufacturing, refining, extracting, and marketing hydrocarbon substances. The company was founded in 1933 and is headquartered in Dhahran, the Kingdom of Saudi Arabia.

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

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Saudi Arabian Oil Company reported revenue of 1.7T SAR in FY2025 versus 1.5T SAR in FY2021, a compound +2.7%/yr. Reported net income was 348B SAR in FY2025, compounding −3.1%/yr from FY2021.

Growth Quality 94/100
Revenue is growing, but margins or cash flow do not fully confirm the trend.
Latest Revenue (FY 2025)
1.7T SAR
Latest YoY
−7.2%
Avg. 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.
−9.7%
Avg. 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.
+14.2%
Avg. growth/yr (9Y) 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.
+14.2%
Revenue +2.7%/yr
FY21 1.5T SAR
FY22 2.3T SAR
FY23 1.9T SAR
FY24 1.8T SAR
FY25 1.7T SAR
Net income −3.1%/yr
FY21 395B SAR
FY22 597B SAR
FY23 453B SAR
FY24 394B SAR
FY25 348B SAR

2222 screens 24% overvalued. Compare with Exxon Mobil Corporation →

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Cite: Fair Value Calculator (2026). "Saudi Arabian Oil Company Fair Value". https://www.fairvalue-calculator.com/stock/2222

Recent news

External third-party headlines (Yahoo Finance, Reuters and others), not an editorial selection.

Peer Group

Oil & Gas Integrated · 54 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 74 · Top 25%
Fair Value upside −24% · Below median
Return on equity (TTM) 22% · Top 25%
Return on assets 19% · Top 25%
Net margin (TTM) 22% · Top 25%
Operating margin (TTM) 48% · Top 25%
Revenue growth 9% · Top 25%
Dividend yield (TTM) 5.1% · Above median
Debt / equity 0.14× · Lower than median

Valuation Multiples vs Oil & Gas Integrated median · lower = cheaper

P/E (TTM) 17.2× · Pricier than median
P/B 1.13× · Cheaper than median
P/S (TTM) 0.99× · Pricier than median
P/FCF 5.3× · Cheaper than median
EV/EBITDA 1.9× · Cheaper than 75% of peers
PEG 4.27× · Pricier than 75% of peers

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.

VALUE 1 · sector 15
FUTURE 44 · sector 12
PAST 88 · sector 43
HEALTH 93 · sector 87
DIVIDEND 100 · sector 79

Values & ESG

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

Oil & gas

ESG scores are not available for this stock yet. Values and ESG data are contextual and can differ between providers.

Similar stocks

10 more Oil & Gas Integrated stocks, each showing price versus our Fair Value estimate (as of Aug 13, 2026).

Stock Price Fair Value vs Fair Value
Exxon Mobil Corporation XOM $159.80 $88.98 -44%
Chevron Corporation CHEV C$23.84 C$8.30 -65%
PetroChina Company 601857 ¥10.66 ¥15.47 +45%
Shell plc SHELL €39.04 €46.09 +18%
TotalEnergies SE TTE C$14.29 C$8.20 -43%
Petróleo Brasileiro S.A PBRN 314.50 MXN 1,240 MXN +294%
BP p.l.c., an integrated energy company, BP $42.93 $8.99 -79%
China Petroleum & Chemical Corporation 600028 ¥5.05 ¥3.67 -27%
Equinor ASA EQNR $40.93 $34.53 -16%
Suncor Energy Inc SU C$88.25 C$59.11 -33%

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Frequently asked questions

Is Saudi Arabian Oil Company (2222) overvalued or undervalued?
As of Aug 13, 2026, our model estimates a fair value of 20.14 SAR versus a price of 26.50 SAR, about −24% (overvalued).
What is the fair value of 2222?
Our model-based fair value for Saudi Arabian Oil Company is 20.14 SAR (as of Aug 13, 2026), built from audited fundamentals. The current price is 26.50 SAR.
What is the quality score of 2222?
Saudi Arabian Oil Company has a Quality Score of 74/100. 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 Saudi Arabian Oil Company (2222)?
Saudi Arabian Oil Company reported trailing-twelve-month revenue of about 1.7T SAR (latest available figure, as of Aug 13, 2026).
What is the net profit margin of 2222?
The net profit margin of Saudi Arabian Oil Company is about 21.8%, meaning it keeps roughly 21.8% of revenue as net income. Based on the latest reported figures.
Does Saudi Arabian Oil Company pay a dividend?
Saudi Arabian Oil Company currently shows a dividend yield of about 5.13% relative to its recent price (as of Aug 13, 2026).

How we calculate Fair Value

Each company is valued through a stack of independent intrinsic-value models (DCF variants, residual-income, multiples and more), blended into one family-balanced consensus and weighted by how much trustworthy data backs it. A separate quality layer scores the fundamentals. Every input is real reported data, nothing guessed.

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