Arabian Internet and Communications Services Co (SAU:7202) ROA %: 11.38% (As of Mar. 2026) — Near Median

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SAU:7202 Arabian Internet and Communications Services Co SAU:7202
94 GF Score
Price ﷼203.10
GF Value ﷼331.99
Valuation Significantly Undervalued
! 2 Warning Signs
View Full Analysis

What is Arabian Internet and Communications Services Co ROA %?

Arabian Internet and Communications Services Co SAU:7202 +0.05% 94 ROA % is 11.38% as of Mar. 2026, which is 5% below its 10-year median of 12.04. GuruFocus rates SAU:7202 with a GF Score™ of 94/100 and a GF Value™ of ﷼331.99 (Significantly Undervalued). The stock has 2 warning signs investors should review. Among 365 Telecommunication Services companies, Arabian Internet and Communications Services Co ranks better than 92.88% on this metric.

ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Arabian Internet and Communications Services Co's annualized Net Income for the quarter that ended in Mar. 2026 was ﷼1,482 Mil. Arabian Internet and Communications Services Co's average Total Assets over the quarter that ended in Mar. 2026 was ﷼13,021 Mil. Therefore, Arabian Internet and Communications Services Co's annualized ROA % for the quarter that ended in Mar. 2026 was 11.38%.

The historical rank and industry rank for Arabian Internet and Communications Services Co's ROA % or its related term are showing as below:

SAU:7202' s ROA % Range Over the Past 10 Years
Min: 10.92   Med: 12.04   Max: 13.55
Current: 12.56

During the past 6 years, Arabian Internet and Communications Services Co's highest ROA % was 13.55%. The lowest was 10.92%. And the median was 12.04%.

SAU:7202's ROA % is ranked better than
92.88% of 365 companies
in the Telecommunication Services industry
Industry Median: 2.76 vs SAU:7202: 12.56

Arabian Internet and Communications Services Co  (SAU:7202) ROA % Explanation

ROA % measures the rate of return on the total assets (shareholder equity plus liabilities). It measures a firm's efficiency at generating profits from shareholders' equity plus its liabilities. ROA % shows how well a company uses what it has to generate earnings. ROA %s can vary drastically across industries. Therefore, ROA % should not be used to compare companies in different industries. For retailers, a ROA % of higher than 5% is expected. For example, Wal-Mart (WMT) has a ROA % of about 8% as of 2012. For banks, ROA % is close to their interest spread. A bank’s ROA % is typically well under 2%.

Similar to ROE, ROA % is affected by profit margins and asset turnover. This can be seen from the Du Pont Formula:

ROA %(Q: Mar. 2026 )
=Net Income/Total Assets
=1481.632/13020.622
=(Net Income / Revenue)*(Revenue / Total Assets)
=(1481.632 / 12009.908)*(12009.908 / 13020.622)
=Net Margin %*Asset Turnover
=12.34 %*0.9224
=11.38 %

Note: The Net Income data used here is four times the quarterly (Mar. 2026) net income data. The Revenue data used here is four times the quarterly (Mar. 2026) revenue data.

* 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.


Be Aware

Like ROE, ROA % is calculated with only 12 months data. Fluctuations in the company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective. ROA % can be affected by events such as stock buyback or issuance, and by goodwill, a company's tax rate and its interest payment. ROA % may not reflect the true earning power of the assets. A more accurate measurement is ROC % (ROC).

Many analysts argue the higher return the better. Buffett states that really high ROA % may indicate vulnerability in the durability of the competitive advantage.

E.g. Raising $43b to take on KO is impossible, but $1.7b to take on Moody's is. Although Moody's ROA % and underlying economics is far superior to Coca Cola, the durability is far weaker because of lower entry cost.


Arabian Internet and Communications Services Co ROA % Related Terms


Arabian Internet and Communications Services Co ROA % Historical Data

* Premium members only.

The historical data trend for Arabian Internet and Communications Services Co's ROA % 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 Internet and Communications Services Co ROA % Chart

Arabian Internet and Communications Services Co Annual Data
Trend Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
ROA %
Get a 7-Day Free Trial 12.33 12.03 10.92 13.55 12.04

Arabian Internet and Communications Services Co Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
ROA % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 12.16 15.72 14.85 9.16 11.38

SAU:7202 vs TMUS, VZ, T: ROA % Comparison

For the Telecom Services subindustry, Arabian Internet and Communications Services Co's ROA %, along with its competitors' market caps and ROA % 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 Internet and Communications Services Co ROA % vs Telecommunication Services Industry

For the Telecommunication Services industry and Communication Services sector, Arabian Internet and Communications Services Co's ROA % distribution charts can be found below:

* The bar in red indicates where Arabian Internet and Communications Services Co's ROA % falls into.


SAU:7202
94GF Score
Arabian Internet and Communications Services Co SAU:7202
ROA % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Arabian Internet and Communications Services Co ROA % Calculation

Arabian Internet and Communications Services Co's annualized ROA % for the fiscal year that ended in Dec. 2025 is calculated as:

ROA %=Net Income (A: Dec. 2025 )/( (Total Assets (A: Dec. 2024 )+Total Assets (A: Dec. 2025 ))/ count )
=1502.536/( (12042.682+12916.946)/ 2 )
=1502.536/12479.814
=12.04 %

Arabian Internet and Communications Services Co's annualized ROA % for the quarter that ended in Mar. 2026 is calculated as:

ROA %=Net Income (Q: Mar. 2026 )/( (Total Assets (Q: Dec. 2025 )+Total Assets (Q: Mar. 2026 ))/ count )
=1481.632/( (12916.946+13124.298)/ 2 )
=1481.632/13020.622
=11.38 %

* 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 ROA %, the net income of the last fiscal year and the average total assets over the fiscal year are used. In calculating the quarterly data, the Net Income data used here is four times the quarterly (Mar. 2026) net income data. ROA % is displayed in the 30-year financial page.

Frequently Asked Questions Learn more about ROA % →
What does a ROA % of 11.38% mean?
Arabian Internet and Communications Services Co (SAU:7202) has a ROA % of 11.38% as of Mar. 2026. Return on assets is the ratio of current-period net income to average two-period total assets. View historical data on Arabian Internet and Communications Services Co and its competitors. This is near median its historical median of 12.04. Over the past decade, Arabian Internet and Communications Services Co's ROA % has ranged from 10.92 to 13.55. According to the industry distribution chart, Arabian Internet and Communications Services Co ranks #26 out of 365 companies in the Telecommunication Services industry, placing it in the top 7.1%.
Is Arabian Internet and Communications Services Co's ROA % too high?
Arabian Internet and Communications Services Co's current ROA % of 11.38% is near median its 10-year median of 12.04. Over the past 10 years, this metric has ranged from a low of 10.92 to a high of 13.55. The Telecommunication Services industry median ROA % is 2.76. Arabian Internet and Communications Services Co's value of 11.38% is 312.3% above this industry median. Based on the distribution chart, Arabian Internet and Communications Services Co ranks #26 out of 365 companies in the Telecommunication Services industry, which is in the top quartile — a strong position relative to peers. Overall, Arabian Internet and Communications Services Co has a GF Score™ of 94/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Arabian Internet and Communications Services Co's ROA % compare to TMUS and VZ?
According to the Telecommunication Services industry distribution chart, Arabian Internet and Communications Services Co ranks #26 out of 365 companies for ROA %. This places Arabian Internet and Communications Services Co in the top 7% of its industry — outperforming the majority of peers. The industry median ROA % is 2.76. Arabian Internet and Communications Services Co's value of 11.38% is 312.3% above this benchmark. Historically, Arabian Internet and Communications Services Co's own ROA % has ranged from 10.92 to 13.55 over the past decade. While the company's 10-year median is 12.04 vs. the industry median of 2.76, Arabian Internet and Communications Services 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 ROA % for a Telecommunication Services company?
The median ROA % among Telecommunication Services companies is 2.76, based on 365 companies in the industry. Companies in the top quartile (top 25%) have a ROA % significantly above this median, while those in the bottom quartile fall well below. However, ROA % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Arabian Internet and Communications Services Co's current ROA % of 11.38% is 312.3% 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 ROA % mean?
A high ROA % can signal that a stock is expensive relative to its fundamentals. Return on assets is the ratio of current-period net income to average two-period total assets. View historical data on Arabian Internet and Communications Services Co and its competitors. For the Telecommunication Services industry, the median ROA % is 2.76 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Arabian Internet and Communications Services Co's current ROA % is 11.38%, which is near median its own 10-year median of 12.04. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Arabian Internet and Communications Services Co stock overvalued right now?
Based on GuruFocus' analysis, Arabian Internet and Communications Services Co (SAU:7202) is currently considered Significantly Undervalued. The stock's GF Value™ is ﷼331.99, compared to a current price of ﷼203.10 — trading 38.8% below its estimated fair value. The current ROA % is 11.38%, which is near median its 10-year median of 12.04 and 312.3% above the Telecommunication Services industry median of 2.76. Arabian Internet and Communications Services Co's overall GF Score™ is 94/100 with 2 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROA % calculated?
ROA % is calculated from a company's financial statements. For Arabian Internet and Communications Services Co (SAU:7202), the current ROA % is 11.38% as of Mar. 2026. 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 Internet and Communications Services Co (SAU:7202) Overvalued in 2026?

Based on GuruFocus' analysis, Arabian Internet and Communications Services Co stock appears to be undervalued. The current stock price of ﷼203.10 is trading 38.8% below its estimated GF Value™ of ﷼331.99. GuruFocus considers Arabian Internet and Communications Services Co to be Significantly Undervalued.

Key valuation signals for SAU:7202:

  • ROA %: 11.38% (near median its 10-year median of 12.04)
  • GF Value™: ﷼331.99 vs. price of ﷼203.10 (38.8% below fair value)
  • GF Score™: 94/100 with 2 warning signs
  • Industry Position: 312.3% above the Telecommunication Services median (#26 of 365)

No single metric tells the full story. See the SAU:7202 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Arabian Internet and Communications Services Co Business Description

Address Olaya Street, P.O. Box 50, Riyadh, SAU, 11372
Arabian Internet and Communications Services Co is an information and communication company. The company operates in three segments namely, Solutions by STC, GIZA Group, and Contact Center Company. The company's revenue mainly comprises of Solutions by STC segment. The services provided by the company are Core ICT Services, IT Managed and Operational Services, and Digital Services.
94GF Score

Get the complete analysis for SAU:7202

ROA % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

﷼203.10
Price
﷼331.99
GF Value