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Riyadh Steel CoSAU:9588 22 ROE % is 8.00% as of Dec. 2025, which is 7% above its 10-year median of 7.47. GuruFocus rates SAU:9588 with a GF Score™ of 22/100. The stock has 3 warning signs investors should review. Among 619 Steel companies, Riyadh Steel Co ranks better than 66.56% on this metric.
The historical rank and industry rank for Riyadh Steel Co's ROE % or its related term are showing as below:
SAU:9588'
s ROE % Range Over the Past 10 Years
Min: 2.68 Med: 7.47 Max: 16.21
Current: 7.17
During the past 5 years, Riyadh Steel Co's highest ROE % was 16.21%. The lowest was 2.68%. And the median was 7.47%.
SAU:9588's ROE % is ranked better than 66.56% of 619
companies
in the Steel industry
Industry Median: 3.87
vs SAU:9588: 7.17
Riyadh Steel Co (SAU:9588) 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 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.
Riyadh Steel Co ROE % Related Terms
Riyadh Steel Co ROE % Historical Data
* Premium members only.
The historical data trend for Riyadh Steel 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 Steel subindustry, Riyadh Steel 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.
Riyadh Steel Co ROE % vs Steel Industry
For the Steel industry and Basic Materials sector, Riyadh Steel Co's ROE % distribution charts can be found below:
* The bar in red indicates where Riyadh Steel 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 two times the semi-annual (Dec. 2025) net income data.
ROE % is displayed in the 30-year financial page.
Riyadh Steel Co (SAU:9588) has a ROE % of 8.00% 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 Riyadh Steel Co and its competitors. This is near median its historical median of 7.47. Over the past decade, Riyadh Steel Co's ROE % has ranged from 2.68 to 16.21. According to the industry distribution chart, Riyadh Steel Co ranks #207 out of 619 companies in the Steel industry, placing it in the top 33.4%.
Is Riyadh Steel Co's ROE % too high?
Riyadh Steel Co's current ROE % of 8.00% is near median its 10-year median of 7.47. Over the past 10 years, this metric has ranged from a low of 2.68 to a high of 16.21. The Steel industry median ROE % is 3.87. Riyadh Steel Co's value of 8.00% is 106.7% above this industry median. Based on the distribution chart, Riyadh Steel Co ranks #207 out of 619 companies in the Steel industry, which is above the industry midpoint. Overall, Riyadh Steel Co has a GF Score™ of 22/100, reflecting its overall financial health beyond just this single metric.
How does Riyadh Steel Co's ROE % compare to NUE and STLD?
According to the Steel industry distribution chart, Riyadh Steel Co ranks #207 out of 619 companies for ROE %. This puts Riyadh Steel Co in the upper half of its industry. The industry median ROE % is 3.87. Riyadh Steel Co's value of 8.00% is 106.7% above this benchmark. Historically, Riyadh Steel Co's own ROE % has ranged from 2.68 to 16.21 over the past decade. While the company's 10-year median is 7.47 vs. the industry median of 3.87, Riyadh Steel 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 Steel company?
The median ROE % among Steel companies is 3.87, based on 619 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. Riyadh Steel Co's current ROE % of 8.00% is 106.7% 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 Riyadh Steel Co and its competitors. For the Steel industry, the median ROE % is 3.87 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Riyadh Steel Co's current ROE % is 8.00%, which is near median its own 10-year median of 7.47. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Riyadh Steel Co stock overvalued right now?
Riyadh Steel Co (SAU:9588) has a current ROE % of 8.00%. The current ROE % is 8.00%, which is near median its 10-year median of 7.47 and 106.7% above the Steel industry median of 3.87. Riyadh Steel Co's overall GF Score™ is 22/100 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 Riyadh Steel Co (SAU:9588), the current ROE % is 8.00% 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.
Riyadh Steel Co Group is a steel manufacturer principally engaged in the production of sheets, plates, strip coils, rods, skewers, corners, wires, and sections. The Company provides steel scrap, billets, and ASTM A36 standard flat and angle bars, and generates revenue from the sale of angled and flat bars and other finished goods, billets, and scrap iron and raw materials. It mainly operates in the Kingdom of Saudi Arabia, which generates the majority of its revenue, and also has a presence in other GCC countries.
22GF Score
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