Arabian Food and Dairy Factories Co (SAU:9536) Return-on-Tangible-Equity: 9.84% (As of Dec. 2025) — 38% Below Median

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SAU:9536 Arabian Food and Dairy Factories Co SAU:9536
54 GF Score
Price ﷼40.00
GF Value ﷼91.41
Valuation Significantly Undervalued
! 3 Warning Signs
View Full Analysis

What is Arabian Food and Dairy Factories Co Return-on-Tangible-Equity?

Arabian Food and Dairy Factories Co SAU:9536 54 Return-on-Tangible-Equity is 9.84% as of Dec. 2025, which is 38% below its 10-year median of 15.95. GuruFocus rates SAU:9536 with a GF Score™ of 54/100 and a GF Value™ of ﷼91.41 (Significantly Undervalued). The stock has 3 warning signs investors should review. Among 1,880 Consumer Packaged Goods companies, Arabian Food and Dairy Factories Co ranks worse than 61.38% on this metric.

Return-on-Tangible-Equity is calculated as Net Income divided by its average total shareholder tangible equity. Total shareholder tangible equity equals to Total Stockholders Equity minus Intangible Assets. Arabian Food and Dairy Factories Co's annualized net income for the quarter that ended in Dec. 2025 was ﷼3.27 Mil. Arabian Food and Dairy Factories Co's average shareholder tangible equity for the quarter that ended in Dec. 2025 was ﷼33.26 Mil. Therefore, Arabian Food and Dairy Factories Co's annualized Return-on-Tangible-Equity for the quarter that ended in Dec. 2025 was 9.84%.

The historical rank and industry rank for Arabian Food and Dairy Factories Co's Return-on-Tangible-Equity or its related term are showing as below:

SAU:9536' s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 4.82   Med: 15.95   Max: 21.41
Current: 4.82

During the past 5 years, Arabian Food and Dairy Factories Co's highest Return-on-Tangible-Equity was 21.41%. The lowest was 4.82%. And the median was 15.95%.

SAU:9536's Return-on-Tangible-Equity is ranked worse than
61.38% of 1880 companies
in the Consumer Packaged Goods industry
Industry Median: 7.87 vs SAU:9536: 4.82

Arabian Food and Dairy Factories Co  (SAU:9536) Return-on-Tangible-Equity Explanation

Return-on-Tangible-Equity measures the rate of return on the ownership interest (shareholder's tangible equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' tangible equity (shareholders equity minus intangibles). Return-on-Tangible-Equity shows how well a company uses investment funds to generate earnings growth. Return-on-Tangible-Equitys between 15% and 20% are considered desirable.


Be Aware

Net Income is used.

Because a company can increase its Return-on-Tangible-Equity by having more financial leverage, it is important to watch the leverage ratio when investing in high Return-on-Tangible-Equity companies. Like Return-on-Tangible-Asset, Return-on-Tangible-Equity is calculated with only 12 months data. Fluctuations in company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective.

Asset light businesses require very few assets to generate very high earnings. Their Return-on-Tangible-Equitys can be extremely high.


Arabian Food and Dairy Factories Co Return-on-Tangible-Equity Related Terms


Arabian Food and Dairy Factories Co Return-on-Tangible-Equity Historical Data

* Premium members only.

The historical data trend for Arabian Food and Dairy Factories Co's Return-on-Tangible-Equity can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Arabian Food and Dairy Factories Co Return-on-Tangible-Equity Chart

Arabian Food and Dairy Factories Co Annual Data
Trend Dec21 Dec22 Dec23 Dec24 Dec25
Return-on-Tangible-Equity
21.41 13.27 19.92 15.95 4.85

Arabian Food and Dairy Factories Co Semi-Annual Data
Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24 Dec24 Jun25 Dec25
Return-on-Tangible-Equity Get a 7-Day Free Trial Premium Member Only Premium Member Only 25.78 18.30 12.89 -0.13 9.84

SAU:9536 vs KHC, GIS, HRL: Return-on-Tangible-Equity Comparison

For the Packaged Foods subindustry, Arabian Food and Dairy Factories Co's Return-on-Tangible-Equity, along with its competitors' market caps and Return-on-Tangible-Equity data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Arabian Food and Dairy Factories Co Return-on-Tangible-Equity vs Consumer Packaged Goods Industry

For the Consumer Packaged Goods industry and Consumer Defensive sector, Arabian Food and Dairy Factories Co's Return-on-Tangible-Equity distribution charts can be found below:

* The bar in red indicates where Arabian Food and Dairy Factories Co's Return-on-Tangible-Equity falls into.


SAU:9536
54GF Score
Arabian Food and Dairy Factories Co SAU:9536
Return-on-Tangible-Equity is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Arabian Food and Dairy Factories Co Return-on-Tangible-Equity Calculation

Arabian Food and Dairy Factories Co's annualized Return-on-Tangible-Equity for the fiscal year that ended in Dec. 2025 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(A: Dec. 2025 )  (A: Dec. 2024 )(A: Dec. 2025 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets )/ count )
(A: Dec. 2025 )  (A: Dec. 2024 )(A: Dec. 2025 )
=1.614/( (33.935+32.591 )/ 2 )
=1.614/33.263
=4.85 %

Arabian Food and Dairy Factories Co's annualized Return-on-Tangible-Equity for the quarter that ended in Dec. 2025 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(Q: Dec. 2025 )  (Q: Jun. 2025 )(Q: Dec. 2025 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets)/ count )
(Q: Dec. 2025 )  (Q: Jun. 2025 )(Q: Dec. 2025 )
=3.272/( (33.923+32.591)/ 2 )
=3.272/33.257
=9.84 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

In the calculation of annual Return-on-Tangible-Equity, the net income of the last fiscal year and the average total shareholder tangible equity over the fiscal year are used. In calculating the quarterly data, the net income data used here is two times the semi-annual (Dec. 2025) net income data. Return-on-Tangible-Equity is displayed in the 10-year financial page.

What does a Return-on-Tangible-Equity of 9.84% mean?
Arabian Food and Dairy Factories Co (SAU:9536) has a Return-on-Tangible-Equity of 9.84% as of Dec. 2025. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on Arabian Food and Dairy Factories Co and its competitors. This is 38% below median its historical median of 15.95. Over the past decade, Arabian Food and Dairy Factories Co's Return-on-Tangible-Equity has ranged from 4.82 to 21.41. According to the industry distribution chart, Arabian Food and Dairy Factories Co ranks #1154 out of 1880 companies in the Consumer Packaged Goods industry, placing it in the top 61.4%.
Is Arabian Food and Dairy Factories Co's Return-on-Tangible-Equity too high?
Arabian Food and Dairy Factories Co's current Return-on-Tangible-Equity of 9.84% is 38% below median its 10-year median of 15.95. Over the past 10 years, this metric has ranged from a low of 4.82 to a high of 21.41. The Consumer Packaged Goods industry median Return-on-Tangible-Equity is 7.87. Arabian Food and Dairy Factories Co's value of 9.84% is 25% above this industry median. Based on the distribution chart, Arabian Food and Dairy Factories Co ranks #1154 out of 1880 companies in the Consumer Packaged Goods industry, which is below the industry midpoint. Overall, Arabian Food and Dairy Factories Co has a GF Score™ of 54/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Arabian Food and Dairy Factories Co's Return-on-Tangible-Equity compare to KHC and GIS?
According to the Consumer Packaged Goods industry distribution chart, Arabian Food and Dairy Factories Co ranks #1154 out of 1880 companies for Return-on-Tangible-Equity. This places Arabian Food and Dairy Factories Co in the lower half of its industry. The industry median Return-on-Tangible-Equity is 7.87. Arabian Food and Dairy Factories Co's value of 9.84% is 25% above this benchmark. Historically, Arabian Food and Dairy Factories Co's own Return-on-Tangible-Equity has ranged from 4.82 to 21.41 over the past decade. While the company's 10-year median is 15.95 vs. the industry median of 7.87, Arabian Food and Dairy Factories Co has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Return-on-Tangible-Equity for a Consumer Packaged Goods company?
The median Return-on-Tangible-Equity among Consumer Packaged Goods companies is 7.87, based on 1,880 companies in the industry. Companies in the top quartile (top 25%) have a Return-on-Tangible-Equity significantly above this median, while those in the bottom quartile fall well below. However, Return-on-Tangible-Equity should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Arabian Food and Dairy Factories Co's current Return-on-Tangible-Equity of 9.84% is 25% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Return-on-Tangible-Equity mean?
A high Return-on-Tangible-Equity can signal that a stock is expensive relative to its fundamentals. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on Arabian Food and Dairy Factories Co and its competitors. For the Consumer Packaged Goods industry, the median Return-on-Tangible-Equity is 7.87 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Arabian Food and Dairy Factories Co's current Return-on-Tangible-Equity is 9.84%, which is 38% below median its own 10-year median of 15.95. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Arabian Food and Dairy Factories Co stock overvalued right now?
Based on GuruFocus' analysis, Arabian Food and Dairy Factories Co (SAU:9536) is currently considered Significantly Undervalued. The stock's GF Value™ is ﷼91.41, compared to a current price of ﷼40.00 — trading 56.2% below its estimated fair value. The current Return-on-Tangible-Equity is 9.84%, which is 38% below median its 10-year median of 15.95 and 25% above the Consumer Packaged Goods industry median of 7.87. Arabian Food and Dairy Factories Co's overall GF Score™ is 54/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Return-on-Tangible-Equity calculated?
Return-on-Tangible-Equity is calculated from a company's financial statements. For Arabian Food and Dairy Factories Co (SAU:9536), the current Return-on-Tangible-Equity is 9.84% as of Dec. 2025. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Arabian Food and Dairy Factories Co (SAU:9536) Overvalued in 2026?

Based on GuruFocus' analysis, Arabian Food and Dairy Factories Co stock appears to be undervalued. The current stock price of ﷼40.00 is trading 56.2% below its estimated GF Value™ of ﷼91.41. GuruFocus considers Arabian Food and Dairy Factories Co to be Significantly Undervalued.

Key valuation signals for SAU:9536:

  • Return-on-Tangible-Equity: 9.84% (38% below median its 10-year median of 15.95)
  • GF Value™: ﷼91.41 vs. price of ﷼40.00 (56.2% below fair value)
  • GF Score™: 54/100 with 3 warning signs
  • Industry Position: 25% above the Consumer Packaged Goods median (#1154 of 1880)

No single metric tells the full story. See the SAU:9536 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Arabian Food and Dairy Factories Co Business Description

Address Dammam Industrial City, P.O.Box 195, Dammam, SAU, 31952
Arabian Food and Dairy Factories Co is engaged in the production and sale of ice cream and related food and dairy products within the Kingdom of Saudi Arabia, operating in a single geographical segment.
54GF Score

Get the complete analysis for SAU:9536

Return-on-Tangible-Equity is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

﷼40.00
Price
﷼91.41
GF Value