Middle East Healthcare Co (SAU:4009) ROE %: 5.45% (As of Mar. 2026) — 44% Below Median

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SAU:4009 Middle East Healthcare Co SAU:4009
79 GF Score
Price ﷼30.28
GF Value ﷼80.23
Valuation Possible Value Trap
! 5 Warning Signs
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What is Middle East Healthcare Co ROE %?

Middle East Healthcare Co SAU:4009 +0.60% 79 ROE % is 5.45% as of Mar. 2026, which is 44% below its 10-year median of 9.66. GuruFocus rates SAU:4009 with a GF Score™ of 79/100 and a GF Value™ of ﷼80.23 (Possible Value Trap). The stock has 5 warning signs investors should review. Among 621 Healthcare Providers & Services companies, Middle East Healthcare Co ranks better than 60.39% on this metric.

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Middle East Healthcare Co's annualized net income for the quarter that ended in Mar. 2026 was ﷼103 Mil. Middle East Healthcare Co's average Total Stockholders Equity over the quarter that ended in Mar. 2026 was ﷼1,885 Mil. Therefore, Middle East Healthcare Co's annualized ROE % for the quarter that ended in Mar. 2026 was 5.45%.

The historical rank and industry rank for Middle East Healthcare Co's ROE % or its related term are showing as below:

SAU:4009' s ROE % Range Over the Past 10 Years
Min: 1.29   Med: 9.66   Max: 26.62
Current: 9.1

During the past 11 years, Middle East Healthcare Co's highest ROE % was 26.62%. The lowest was 1.29%. And the median was 9.66%.

SAU:4009's ROE % is ranked better than
60.39% of 621 companies
in the Healthcare Providers & Services industry
Industry Median: 5.88 vs SAU:4009: 9.10

Middle East Healthcare Co  (SAU:4009) 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:

ROE %(Q: Mar. 2026 )
=Net Income/Total Stockholders Equity
=102.784/1885.264
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(102.784 / 3060.936)*(3060.936 / 5466.8805)*(5466.8805 / 1885.264)
=Net Margin %*Asset Turnover*Equity Multiplier
=3.36 %*0.5599*2.8998
=ROA %*Equity Multiplier
=1.88 %*2.8998
=5.45 %

With this breakdown, it is clear that if a company grows its Net Profit Margin, its Asset Turnover, or its Leverage, it can grow its ROE %.

The factors that affect a company's ROE % can also be illustrated with the five-step DuPont Analysis:

ROE %(Q: Mar. 2026 )
=Net Income/Total Stockholders Equity
=102.784/1885.264
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (102.784 / 119.96) * (119.96 / 297.996) * (297.996 / 3060.936) * (3060.936 / 5466.8805) * (5466.8805 / 1885.264)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 0.8568 * 0.4026 * 9.74 % * 0.5599 * 2.8998
=5.45 %

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.


Middle East Healthcare Co ROE % Related Terms


Middle East Healthcare Co ROE % Historical Data

* Premium members only.

The historical data trend for Middle East Healthcare 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.

Middle East Healthcare Co ROE % Chart

Middle East Healthcare Co Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
ROE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 1.38 5.81 1.29 19.15 17.26

Middle East Healthcare Co Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
ROE % 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 37.54 14.19 8.84 8.14 5.45

SAU:4009 vs HCA, THC, DVA: ROE % Comparison

For the Medical Care Facilities subindustry, Middle East Healthcare 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.


Middle East Healthcare Co ROE % vs Healthcare Providers & Services Industry

For the Healthcare Providers & Services industry and Healthcare sector, Middle East Healthcare Co's ROE % distribution charts can be found below:

* The bar in red indicates where Middle East Healthcare Co's ROE % falls into.


SAU:4009
79GF Score
Middle East Healthcare Co SAU:4009
ROE % is just one metric. See GF Score™, valuation, warning signs, and more.
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Middle East Healthcare Co ROE % Calculation

Middle East Healthcare Co's annualized ROE % for the fiscal year that ended in Dec. 2025 is calculated as

ROE %=Net Income (A: Dec. 2025 )/( (Total Stockholders Equity (A: Dec. 2024 )+Total Stockholders Equity (A: Dec. 2025 ))/ count )
=301.884/( (1626.109+1872.363)/ 2 )
=301.884/1749.236
=17.26 %

Middle East Healthcare Co's annualized ROE % for the quarter that ended in Mar. 2026 is calculated as

ROE %=Net Income (Q: Mar. 2026 )/( (Total Stockholders Equity (Q: Dec. 2025 )+Total Stockholders Equity (Q: Mar. 2026 ))/ count )
=102.784/( (1872.363+1898.165)/ 2 )
=102.784/1885.264
=5.45 %

* 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.

Frequently Asked Questions Learn more about ROE % →
What does a ROE % of 5.45% mean?
Middle East Healthcare Co (SAU:4009) has a ROE % of 5.45% 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 Middle East Healthcare Co and its competitors. This is 44% below median its historical median of 9.66. Over the past decade, Middle East Healthcare Co's ROE % has ranged from 1.29 to 26.62. According to the industry distribution chart, Middle East Healthcare Co ranks #246 out of 621 companies in the Healthcare Providers & Services industry, placing it in the top 39.6%.
Is Middle East Healthcare Co's ROE % too high?
Middle East Healthcare Co's current ROE % of 5.45% is 44% below median its 10-year median of 9.66. Over the past 10 years, this metric has ranged from a low of 1.29 to a high of 26.62. The Healthcare Providers & Services industry median ROE % is 5.88. Middle East Healthcare Co's value of 5.45% is 7.3% below this industry median. Based on the distribution chart, Middle East Healthcare Co ranks #246 out of 621 companies in the Healthcare Providers & Services industry, which is above the industry midpoint. Overall, Middle East Healthcare Co has a GF Score™ of 79/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Middle East Healthcare Co's ROE % compare to HCA and THC?
According to the Healthcare Providers & Services industry distribution chart, Middle East Healthcare Co ranks #246 out of 621 companies for ROE %. This puts Middle East Healthcare Co in the upper half of its industry. The industry median ROE % is 5.88. Middle East Healthcare Co's value of 5.45% is 7.3% below this benchmark. Historically, Middle East Healthcare Co's own ROE % has ranged from 1.29 to 26.62 over the past decade. While the company's 10-year median is 9.66 vs. the industry median of 5.88, Middle East Healthcare Co has consistently been below 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 Healthcare Providers & Services company?
The median ROE % among Healthcare Providers & Services companies is 5.88, based on 621 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. Middle East Healthcare Co's current ROE % of 5.45% is 7.3% below 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 Middle East Healthcare Co and its competitors. For the Healthcare Providers & Services industry, the median ROE % is 5.88 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Middle East Healthcare Co's current ROE % is 5.45%, which is 44% below median its own 10-year median of 9.66. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Middle East Healthcare Co stock overvalued right now?
Based on GuruFocus' analysis, Middle East Healthcare Co (SAU:4009) is currently considered Possible Value Trap. The stock's GF Value™ is ﷼80.23, compared to a current price of ﷼30.28 — trading 62.3% below its estimated fair value. The current ROE % is 5.45%, which is 44% below median its 10-year median of 9.66 and 7.3% below the Healthcare Providers & Services industry median of 5.88. Middle East Healthcare Co's overall GF Score™ is 79/100 with 5 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 Middle East Healthcare Co (SAU:4009), the current ROE % is 5.45% 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 Middle East Healthcare Co (SAU:4009) Overvalued in 2026?

Based on GuruFocus' analysis, Middle East Healthcare Co stock appears to be undervalued. The current stock price of ﷼30.28 is trading 62.3% below its estimated GF Value™ of ﷼80.23. GuruFocus considers Middle East Healthcare Co to be Possible Value Trap.

Key valuation signals for SAU:4009:

  • ROE %: 5.45% (44% below median its 10-year median of 9.66)
  • GF Value™: ﷼80.23 vs. price of ﷼30.28 (62.3% below fair value)
  • GF Score™: 79/100 with 5 warning signs
  • Industry Position: 7.3% below the Healthcare Providers & Services median (#246 of 621)

No single metric tells the full story. See the SAU:4009 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Middle East Healthcare Co Business Description

Address 4, Batterjee Road, P.O.Box 2550, Al-Zahra District, Jeddah, SAU, 21461
Middle East Healthcare Co is a Saudi Arabia-based company engaged in the business of managing, operating and maintaining hospitals, medical centers, educational centers, rehabilitation centers, physiotherapy, laboratories and radiology centers, pharmacies, construction, and to buy land for the purpose of constructing medical projects and to establish, manage and organize exhibitions for the company. The company's reportable segments are Inpatient Services, Outpatient Services, Pharmacy Sales and Others. The majority of revenue is derived from the Inpatient Services segment.
79GF Score

Get the complete analysis for SAU:4009

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

﷼30.28
Price
﷼80.23
GF Value