Arabian Cement CoSAU:3010 -0.82%84 ROE % is 9.19% as of Mar. 2026, which is 42% above its 10-year median of 6.45. GuruFocus rates SAU:3010 with a GF Score™ of 84/100 and a GF Value™ of ﷼32.74 (Significantly Undervalued). The stock has 3 warning signs investors should review. Among 402 Building Materials companies, Arabian Cement Co ranks better than 64.93% on this metric.
The historical rank and industry rank for Arabian Cement Co's ROE % or its related term are showing as below:
SAU:3010'
s ROE % Range Over the Past 10 Years
Min: -0.92 Med: 6.45 Max: 15.22
Current: 7.83
During the past 13 years, Arabian Cement Co's highest ROE % was 15.22%. The lowest was -0.92%. And the median was 6.45%.
SAU:3010's ROE % is ranked better than 64.93% of 402
companies
in the Building Materials industry
Industry Median: 4.335
vs SAU:3010: 7.83
Arabian Cement Co (SAU:3010) ROE % Explanation
ROE % measures the rate of return on the ownership interest (shareholder's equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' equity (also known as net assets or assets minus liabilities). ROE % shows how well a company uses investment funds to generate earnings growth. ROE %s between 15% and 20% are considered desirable.
The factors that affect a company's ROE % can be illustrated with the three-step DuPont Analysis:
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. The same rule applies to Pre-Tax Income and Operating Income.
* In the five-step DuPont Analysis, Operating Income is only available for non-financial companies. Thus, for Insurance companies, we use EBIT as a substitution of Operating Income. For Banks, both Operating Income and EBIT is unavailable. Thus we combined Interest Burden and Operating Margin % into Pretax Margin %, and the DuPont Analysis is divided into four components instead.
* 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
Net Income is used.
Because a company can increase its ROE % by having more financial leverage, it is important to watch the equity multiplier when investing in high ROE % companies. Like ROA %, ROE % 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 ROE %s can be extremely high.
Arabian Cement Co ROE % Related Terms
Arabian Cement Co ROE % Historical Data
* Premium members only.
The historical data trend for Arabian Cement Co's ROE % 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.
For the Building Materials subindustry, Arabian Cement Co's ROE %, along with its competitors' market caps and ROE % 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 Cement Co ROE % vs Building Materials Industry
For the Building Materials industry and Basic Materials sector, Arabian Cement Co's ROE % distribution charts can be found below:
* The bar in red indicates where Arabian Cement Co's ROE % falls into.
* 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 ROE %, the net income of the last fiscal year and the average total shareholder equity 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.
ROE % is displayed in the 30-year financial page.
Arabian Cement Co (SAU:3010) has a ROE % of 9.19% as of Mar. 2026. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on Arabian Cement Co and its competitors. This is 42% above median its historical median of 6.45. According to the industry distribution chart, Arabian Cement Co ranks #141 out of 402 companies in the Building Materials industry, placing it in the top 35.1%.
Is Arabian Cement Co's ROE % too high?
Arabian Cement Co's current ROE % of 9.19% is 42% above median its 10-year median of 6.45. The Building Materials industry median ROE % is 4.34. Arabian Cement Co's value of 9.19% is 112% above this industry median. Based on the distribution chart, Arabian Cement Co ranks #141 out of 402 companies in the Building Materials industry, which is above the industry midpoint. Overall, Arabian Cement Co has a GF Score™ of 84/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Arabian Cement Co's ROE % compare to CRH and VMC?
According to the Building Materials industry distribution chart, Arabian Cement Co ranks #141 out of 402 companies for ROE %. This puts Arabian Cement Co in the upper half of its industry. The industry median ROE % is 4.34. Arabian Cement Co's value of 9.19% is 112% above this benchmark. While the company's 10-year median is 6.45 vs. the industry median of 4.34, Arabian Cement 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 ROE % for a Building Materials company?
The median ROE % among Building Materials companies is 4.34, based on 402 companies in the industry. Companies in the top quartile (top 25%) have a ROE % significantly above this median, while those in the bottom quartile fall well below. However, ROE % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Arabian Cement Co's current ROE % of 9.19% is 112% 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 ROE % mean?
A high ROE % can signal that a stock is expensive relative to its fundamentals. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on Arabian Cement Co and its competitors. For the Building Materials industry, the median ROE % is 4.34 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Arabian Cement Co's current ROE % is 9.19%, which is 42% above median its own 10-year median of 6.45. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Arabian Cement Co stock overvalued right now?
Based on GuruFocus' analysis, Arabian Cement Co (SAU:3010) is currently considered Significantly Undervalued. The stock's GF Value™ is ﷼32.74, compared to a current price of ﷼22.91 — trading 30% below its estimated fair value. The current ROE % is 9.19%, which is 42% above median its 10-year median of 6.45 and 112% above the Building Materials industry median of 4.34. Arabian Cement Co's overall GF Score™ is 84/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROE % calculated?
ROE % is calculated from a company's financial statements. For Arabian Cement Co (SAU:3010), the current ROE % is 9.19% 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 Cement Co (SAU:3010) Overvalued in 2026?
Based on GuruFocus' analysis, Arabian Cement Co stock appears to be undervalued.
The current stock price of ﷼22.91 is trading 30% below its estimated GF Value™ of ﷼32.74.
GuruFocus considers Arabian Cement Co to be Significantly Undervalued.
Key valuation signals for SAU:3010:
ROE %: 9.19% (42% above median its 10-year median of 6.45)
GF Value™: ﷼32.74 vs. price of ﷼22.91 (30% below fair value)
Industry Position: 112% above the Building Materials median (#141 of 402)
No single metric tells the full story. See the SAU:3010 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Arabian Cement Co Ltd operates as a cement company in the Kingdom of Saudi Arabia and the Arabian Gulf region. Along with its subsidiaries, the company is engaged in the production of cement, building materials, trading of clinker, cement, construction materials, and other related materials and derivatives. The company's geographical segments include Inside KSA and the Outside Kingdom of Saudi Arabia. It derives a majority of its revenue from Inside KSA.
84GF Score
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