Knowledge Net Co (SAU:9561) ROE %: 12.80% (As of Dec. 2025) — 131% Above Median

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SAU:9561 Knowledge Net Co SAU:9561
40 GF Score
Price ﷼10.70
GF Value ﷼9.72
Valuation Fairly Valued
! 3 Warning Signs
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What is Knowledge Net Co ROE %?

Knowledge Net Co SAU:9561 +9.18% 40 ROE % is 12.80% as of Dec. 2025, which is 131% above its 10-year median of 5.53. GuruFocus rates SAU:9561 with a GF Score™ of 40/100 and a GF Value™ of ﷼9.72 (Fairly Valued). The stock has 3 warning signs investors should review. Among 2,690 Software companies, Knowledge Net Co ranks worse than 51.9% on this metric.

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Knowledge Net Co's annualized net income for the quarter that ended in Dec. 2025 was ﷼8.37 Mil. Knowledge Net Co's average Total Stockholders Equity over the quarter that ended in Dec. 2025 was ﷼65.41 Mil. Therefore, Knowledge Net Co's annualized ROE % for the quarter that ended in Dec. 2025 was 12.80%.

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

SAU:9561' s ROE % Range Over the Past 10 Years
Min: -12.19   Med: 5.53   Max: 49.79
Current: 4.18

During the past 5 years, Knowledge Net Co's highest ROE % was 49.79%. The lowest was -12.19%. And the median was 5.53%.

SAU:9561's ROE % is ranked worse than
51.9% of 2690 companies
in the Software industry
Industry Median: 4.78 vs SAU:9561: 4.18

Knowledge Net Co  (SAU:9561) 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: Dec. 2025 )
=Net Income/Total Stockholders Equity
=8.374/65.413
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(8.374 / 22.194)*(22.194 / 86.8235)*(86.8235 / 65.413)
=Net Margin %*Asset Turnover*Equity Multiplier
=37.73 %*0.2556*1.3273
=ROA %*Equity Multiplier
=9.64 %*1.3273
=12.80 %

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: Dec. 2025 )
=Net Income/Total Stockholders Equity
=8.374/65.413
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (8.374 / 9.498) * (9.498 / -8.56) * (-8.56 / 22.194) * (22.194 / 86.8235) * (86.8235 / 65.413)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 0.8817 * -1.1096 * -38.57 % * 0.2556 * 1.3273
=12.80 %

Note: The net income data used here is two times the semi-annual (Dec. 2025) net income data. The Revenue data used here is two times the semi-annual (Dec. 2025) 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.


Knowledge Net Co ROE % Related Terms


Knowledge Net Co ROE % Historical Data

* Premium members only.

The historical data trend for Knowledge Net 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.

Knowledge Net Co ROE % Chart

Knowledge Net Co Annual Data
Trend Dec21 Dec22 Dec23 Dec24 Dec25
ROE %
0.00 6.94 -12.19 49.79 4.11

Knowledge Net Co Semi-Annual Data
Dec21 Jun22 Dec22 Jun23 Dec23 Jun24 Dec24 Jun25 Dec25
ROE % Get a 7-Day Free Trial Premium Member Only -6.13 -2.77 102.19 -4.58 12.80

SAU:9561 vs QH, SHOP, UBER: ROE % Comparison

For the Software - Application subindustry, Knowledge Net 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.


Knowledge Net Co ROE % vs Software Industry

For the Software industry and Technology sector, Knowledge Net Co's ROE % distribution charts can be found below:

* The bar in red indicates where Knowledge Net Co's ROE % falls into.


SAU:9561
40GF Score
Knowledge Net Co SAU:9561
ROE % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Knowledge Net Co ROE % Calculation

Knowledge Net 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 )
=2.721/( (64.694+67.598)/ 2 )
=2.721/66.146
=4.11 %

Knowledge Net Co's annualized ROE % for the quarter that ended in Dec. 2025 is calculated as

ROE %=Net Income (Q: Dec. 2025 )/( (Total Stockholders Equity (Q: Jun. 2025 )+Total Stockholders Equity (Q: Dec. 2025 ))/ count )
=8.374/( (63.228+67.598)/ 2 )
=8.374/65.413
=12.80 %

* 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 two times the semi-annual (Dec. 2025) net income data. ROE % is displayed in the 30-year financial page.

Frequently Asked Questions Learn more about ROE % →
What does a ROE % of 12.80% mean?
Knowledge Net Co (SAU:9561) has a ROE % of 12.80% as of Dec. 2025. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on Knowledge Net Co and its competitors. This is 131% above median its historical median of 5.53. According to the industry distribution chart, Knowledge Net Co ranks #1396 out of 2690 companies in the Software industry, placing it in the top 51.9%.
Is Knowledge Net Co's ROE % too high?
Knowledge Net Co's current ROE % of 12.80% is 131% above median its 10-year median of 5.53. The Software industry median ROE % is 4.78. Knowledge Net Co's value of 12.80% is 167.8% above this industry median. Based on the distribution chart, Knowledge Net Co ranks #1396 out of 2690 companies in the Software industry, which is below the industry midpoint. Overall, Knowledge Net Co has a GF Score™ of 40/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Knowledge Net Co's ROE % compare to QH and SHOP?
According to the Software industry distribution chart, Knowledge Net Co ranks #1396 out of 2690 companies for ROE %. This places Knowledge Net Co in the lower half of its industry. The industry median ROE % is 4.78. Knowledge Net Co's value of 12.80% is 167.8% above this benchmark. While the company's 10-year median is 5.53 vs. the industry median of 4.78, Knowledge Net 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 Software company?
The median ROE % among Software companies is 4.78, based on 2,690 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. Knowledge Net Co's current ROE % of 12.80% is 167.8% 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 Knowledge Net Co and its competitors. For the Software industry, the median ROE % is 4.78 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Knowledge Net Co's current ROE % is 12.80%, which is 131% above median its own 10-year median of 5.53. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Knowledge Net Co stock overvalued right now?
Based on GuruFocus' analysis, Knowledge Net Co (SAU:9561) is currently considered Fairly Valued. The stock's GF Value™ is ﷼9.72, compared to a current price of ﷼10.70 — trading 10.1% above its estimated fair value. The current ROE % is 12.80%, which is 131% above median its 10-year median of 5.53 and 167.8% above the Software industry median of 4.78. Knowledge Net Co's overall GF Score™ is 40/100 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 Knowledge Net Co (SAU:9561), the current ROE % is 12.80% 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 Knowledge Net Co (SAU:9561) Overvalued in 2026?

Based on GuruFocus' analysis, Knowledge Net Co stock appears to be overvalued. The current stock price of ﷼10.70 is trading 10.1% above its estimated GF Value™ of ﷼9.72. GuruFocus considers Knowledge Net Co to be Fairly Valued.

Key valuation signals for SAU:9561:

  • ROE %: 12.80% (131% above median its 10-year median of 5.53)
  • GF Value™: ﷼9.72 vs. price of ﷼10.70 (10.1% above fair value)
  • GF Score™: 40/100 with 3 warning signs
  • Industry Position: 167.8% above the Software median (#1396 of 2690)

No single metric tells the full story. See the SAU:9561 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Knowledge Net Co Business Description

Address Mecca Road, 2277 Makkah Al Mukarramah, P.O. 12611, Al Olaya District, Riyadh, SAU, 12611
Knowledge Net Co is engaged in wholesale of computers and their accessories, including the sale of printers and toners, wholesale of software, and includes importing, system analysis, designing and programming specific software, maintenance of software and designing websites. It generates revenue from the Sale of program licenses, consulting services, and Maintenance and technical support Services. It offers software solutions to both incumbent financial services companies and emerging, disruptive Fintech companies. Its software solutions encompass three categories: digitalization, data, and core systems.
40GF Score

Get the complete analysis for SAU:9561

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

﷼10.70
Price
﷼9.72
GF Value