Saudi Telecom Co (SAU:7010) 5-Year Yield-on-Cost %: 6.37 (As of Aug. 13, 2026) — 23% Above Median

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Director of Data and Quant Analytics at GuruFocus
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Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

SAU:7010 Saudi Telecom Co SAU:7010
89 GF Score
Price ﷼43.60
GF Value ﷼44.16
Valuation Fairly Valued
! 8 Warning Signs
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What is Saudi Telecom Co 5-Year Yield-on-Cost %?

Saudi Telecom Co SAU:7010 +0.23% 89 5-Year Yield-on-Cost % is 6.37 as of Aug. 13, 2026, which is 23% above its 10-year median of 5.18. GuruFocus rates SAU:7010 with a GF Score™ of 89/100 and a GF Value™ of ﷼44.16 (Fairly Valued). The stock has 8 warning signs investors should review. Among 227 Telecommunication Services companies, Saudi Telecom Co ranks better than 65.64% on this metric.

Saudi Telecom Co's yield on cost for the quarter that ended in Jun. 2026 was 6.37.


The historical rank and industry rank for Saudi Telecom Co's 5-Year Yield-on-Cost % or its related term are showing as below:

SAU:7010' s 5-Year Yield-on-Cost % Range Over the Past 10 Years
Min: 3.65   Med: 5.18   Max: 9.41
Current: 6.37


During the past 13 years, Saudi Telecom Co's highest Yield on Cost was 9.41. The lowest was 3.65. And the median was 5.18.


SAU:7010's 5-Year Yield-on-Cost % is ranked better than
65.64% of 227 companies
in the Telecommunication Services industry
Industry Median: 4.54 vs SAU:7010: 6.37

Saudi Telecom Co  (SAU:7010) 5-Year Yield-on-Cost % Explanation

Of course the risk here is that the company may not raise its dividends as it did before. The key is to select the companies that can consistently raise its dividends. Usually companies with long history of raising dividends tend to do so.


Saudi Telecom Co 5-Year Yield-on-Cost % Related Terms


SAU:7010 vs VZ, TMUS, T: 5-Year Yield-on-Cost % Comparison

For the Telecom Services subindustry, Saudi Telecom Co's 5-Year Yield-on-Cost %, along with its competitors' market caps and 5-Year Yield-on-Cost % 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.


Saudi Telecom Co 5-Year Yield-on-Cost % vs Telecommunication Services Industry

For the Telecommunication Services industry and Communication Services sector, Saudi Telecom Co's 5-Year Yield-on-Cost % distribution charts can be found below:

* The bar in red indicates where Saudi Telecom Co's 5-Year Yield-on-Cost % falls into.


SAU:7010
89GF Score
Saudi Telecom Co SAU:7010
5-Year Yield-on-Cost % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Saudi Telecom Co 5-Year Yield-on-Cost % Calculation

Dividend Yield % and dividend growth of a stock is an important factor for income investors. But if company A raises its dividend constantly faster than company B, company A's future dividend yield might be much higher than Company B's even if their yields are the same now and their stock prices do not change.

Yield on Cost assumes that you buy and the stock today, and hold it for 5 years. If the company raises it dividends at the same rate as it did over the past 5 years, the dividends investors receive annually in 5 years relative to the stock price today.

Therefore, Yield-on-Cost of Saudi Telecom Co is calculated as

Yield-on-Cost=Dividend Yield %*(1+Dividend Growth Rate)^5
Frequently Asked Questions Learn more about 5-Year Yield-on-Cost % →
What does a 5-Year Yield-on-Cost % of 6.37 mean?
Saudi Telecom Co (SAU:7010) has a 5-Year Yield-on-Cost % of 6.37 as of Aug. 13, 2026. 5-Year Yield on Cost measures the expected yield based on a company's current yield and 5-year dividend growth. View historical data on Saudi Telecom Co and its competitors. This is 23% above median its historical median of 5.18. Over the past decade, Saudi Telecom Co's 5-Year Yield-on-Cost % has ranged from 3.65 to 9.41. According to the industry distribution chart, Saudi Telecom Co ranks #78 out of 227 companies in the Telecommunication Services industry, placing it in the top 34.4%.
Is Saudi Telecom Co's 5-Year Yield-on-Cost % too high?
Saudi Telecom Co's current 5-Year Yield-on-Cost % of 6.37 is 23% above median its 10-year median of 5.18. Over the past 10 years, this metric has ranged from a low of 3.65 to a high of 9.41. The Telecommunication Services industry median 5-Year Yield-on-Cost % is 4.54. Saudi Telecom Co's value of 6.37 is 40.3% above this industry median. Based on the distribution chart, Saudi Telecom Co ranks #78 out of 227 companies in the Telecommunication Services industry, which is above the industry midpoint. Overall, Saudi Telecom Co has a GF Score™ of 89/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Saudi Telecom Co's 5-Year Yield-on-Cost % compare to VZ and TMUS?
According to the Telecommunication Services industry distribution chart, Saudi Telecom Co ranks #78 out of 227 companies for 5-Year Yield-on-Cost %. This puts Saudi Telecom Co in the upper half of its industry. The industry median 5-Year Yield-on-Cost % is 4.54. Saudi Telecom Co's value of 6.37 is 40.3% above this benchmark. Historically, Saudi Telecom Co's own 5-Year Yield-on-Cost % has ranged from 3.65 to 9.41 over the past decade. While the company's 10-year median is 5.18 vs. the industry median of 4.54, Saudi Telecom 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 5-Year Yield-on-Cost % for a Telecommunication Services company?
The median 5-Year Yield-on-Cost % among Telecommunication Services companies is 4.54, based on 227 companies in the industry. Companies in the top quartile (top 25%) have a 5-Year Yield-on-Cost % significantly above this median, while those in the bottom quartile fall well below. However, 5-Year Yield-on-Cost % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Saudi Telecom Co's current 5-Year Yield-on-Cost % of 6.37 is 40.3% 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 5-Year Yield-on-Cost % mean?
A high 5-Year Yield-on-Cost % can signal that a stock is expensive relative to its fundamentals. 5-Year Yield on Cost measures the expected yield based on a company's current yield and 5-year dividend growth. View historical data on Saudi Telecom Co and its competitors. For the Telecommunication Services industry, the median 5-Year Yield-on-Cost % is 4.54 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Saudi Telecom Co's current 5-Year Yield-on-Cost % is 6.37, which is 23% above median its own 10-year median of 5.18. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Saudi Telecom Co stock overvalued right now?
Based on GuruFocus' analysis, Saudi Telecom Co (SAU:7010) is currently considered Fairly Valued. The stock's GF Value™ is ﷼44.16, compared to a current price of ﷼43.60 — trading 1.3% below its estimated fair value. The current 5-Year Yield-on-Cost % is 6.37, which is 23% above median its 10-year median of 5.18 and 40.3% above the Telecommunication Services industry median of 4.54. Saudi Telecom Co's overall GF Score™ is 89/100 with 8 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is 5-Year Yield-on-Cost % calculated?
5-Year Yield-on-Cost % is calculated from a company's financial statements. For Saudi Telecom Co (SAU:7010), the current 5-Year Yield-on-Cost % is 6.37 as of Aug. 13, 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 Saudi Telecom Co (SAU:7010) Overvalued in 2026?

Based on GuruFocus' analysis, Saudi Telecom Co stock appears to be undervalued. The current stock price of ﷼43.60 is trading 1.3% below its estimated GF Value™ of ﷼44.16. GuruFocus considers Saudi Telecom Co to be Fairly Valued.

Key valuation signals for SAU:7010:

  • 5-Year Yield-on-Cost %: 6.37 (23% above median its 10-year median of 5.18)
  • GF Value™: ﷼44.16 vs. price of ﷼43.60 (1.3% below fair value)
  • GF Score™: 89/100 with 8 warning signs
  • Industry Position: 40.3% above the Telecommunication Services median (#78 of 227)

No single metric tells the full story. See the SAU:7010 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Saudi Telecom Co Business Description

Address King Abdulaziz Complex, Imam Mohammed Bin Saud Street, Al Mursalat Area, Riyadh, SAU, 11652
Saudi Telecom Co offers telecommunications, information and media services that establish, manage, operates and maintains fixed and mobile telecommunication networks and systems to customers. The company manufactures and markets devices, equipment, and components of different telecommunication networks including fixed, moving and special networks, and computer programs and the other intellectual properties. It is also engaged in real estate investment activities. The company principally earns its revenue from airtime usage, messaging, data services, interconnect fees, connection fees and device sales. Its reportable segments include: stc; Channels; Solutions; stc Kuwait; stc Bahrain; Center 3; STC Bank; Sirar; Specialized; iot2; and Other operating segments.
89GF Score

Get the complete analysis for SAU:7010

5-Year Yield-on-Cost % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

﷼43.60
Price
﷼44.16
GF Value