Investment Opportunities in Tadawul and Picking the Best Saudi Stocks

Saudi Arabia is one of the biggest economies in the Middle East. Its economy has been growing at a healthy pace over the past few years.

Investment opportunities on Tadawul are diversified and include conventional investments, Islamic investment, foreign securities, and more.

Saudi Arabia’s first stock exchange was established in the early 1990s by a group of Saudi businessmen. In December 1994, it became a public company and began trading on April 23, 1995. The exchange was originally located in Riyadh and was named “The Riyadh Securities Exchange” (“Riyadh Al-Malakiya Al-Tijara”) (RTS). A few years later it was moved to Jeddah. An electronic trading system was introduced in 1996. The RTS Index is calculated and published daily by the Tadawul index department at the close of each business day. It contains all listed shares on the exchange with a minimum value of SAR 100 each.

FinBrain Technologies analyzes the pricing, fundamental and technical data for Saudi stocks using Machine Learning algorithms on a daily basis to generate AI driven forecasts and detailed technical reports. Our algorithms collect the data for every single stock listed under Tadawul TASI index, generate future price predictions and pick the stocks that have the highest upside potential on a daily basis.

We have picked some of the promising stocks on Saudi stock market and explained why these stocks could present great investment opportunities. You can also visit Tadawul TASI section of FinBrain Terminal to explore more in-depth analysis results performed by our AI algorithms on a daily basis.

Here are some of the Top Stocks on Tadawul Stock Market

Saudi Tadawul TASI stocks section of FinBrain Terminal

1- National Shipping Co Of Saudi Arabia (NSC) : NSC is one of the most affordable shipping companies in the world and its price today is around half that of other global shipping companies like Maersk or MSC. The company has a big fleet with more than 100 vessels and it provides seaborne transportation solutions across 15 countries in Asia and Europe. NSC could be a great option for long term investors looking for stable cash flow from a dividend paying company as well as capital gain from growth in share price overtime.

2- Saudi Arabian Mining Company (Maaden): Saudi Arabian Mining Company (SABIC) is now known as Maaden after merging with Aabar Mining Industries (AMID). Maaden has been consistently growing its profits even during times when oil prices were crashing down, which shows that this company is not highly dependent on crude oil price fluctuations and revenues like other mining companies operating in Saudi Arabia.

3- National Commercial Bank: National Commercial Bank (NCB) is one of the most important banks operating in Riyadh with more than 3 million customers and 320 branches throughout Saudi Arabia. The bank pays out massive dividends every year (usually around 10% per year) which make it an attractive choice for income investors looking for consistent cash flow from their investments.

4- Saudi Basic Industries Corp (Sabic) : Sabic is an integrated global manufacturing company operating in more than 40 countries worldwide and it has more than 170K employees across its operations. It represents one of the biggest industrial companies in the world with revenues of US$55 billion. The company sells its products to many industries including oil & gas, automotive, healthcare and construction. The company pays out big dividends every year to its shareholders which makes it really attractive for income investors looking for quality stocks with a strong history of distributing cash flow.

5- National Industrialization Company: National Industrialization Company (TANIA) operates in the petrochemical industry and is the largest producer of ethylene in the Middle East and North Africa region. It currently sells its products to more than 300 customers spread across 25 countries and it has a proven record of growing its profits even during times of declining oil prices. This company can be a great opportunity for long term investors looking for good income producing stocks with high yields but low risk profile.

6- Al Rajhi Bank: Al Rajhi bank represents one of the best banks operating in Saudi Arabia today and it’s considered as one of the most profitable banks in Saudi Arabia. It pays out huge dividends every year (around 15% per year) which make it an attractive choice for income investors looking for safe stocks with consistent dividend payments. The current share price can be reasonable compared to other Arab banks listed on Tadawul stock exchange.

7- Saudi Electricity Company:

Sample AI generated predictions for Saudi Electricity Company on FinBrain Terminal

Saudi Electricity Company (SEC) operates as an integrated power utility company supplying electricity generation, transmission and distribution services across Saudi Arabia since 1954. The company pays out big dividends every year (about 10% each year) which makes it an attractive option for income investors who are seeking some stable cash flow from their investments without too much downside risks involved if there are some downturns in oil prices or other adverse macroeconomic conditions affecting the country economy or even global economy in general. SEC can be considered as very cheap compared to other utilities companies listed on Tadawul stock market today.

8- Savola Group: Savola Group produces food products such as sugar, flour, rice, pasta, vegetable oils, juices and many others that are distributed throughout all regions of Saudi Arabia by more than 2,000 sales agents covering more than 10 million retailers shops nationwide who are part of Savola network all over Kingdom of Saudi Arabia (KSA).

9- Arab National Bank: Arab National Bank (ANB) is one of the largest banks operating in Saudi Arabia with more than 400 branches and around 3.5 million customers. The bank has been consistently growing its profits during the recent years which makes it an attractive option for investors looking for safe stocks with consistent cash flow from dividends payments.

10- Saudi British Bank: Saudi British Bank (SABB) is one of the most important banks in Saudi Arabia today and it’s been paying out consistent dividends every year since 2011.

11- National Shipping Company: National Shipping Company (NSC) is a very stable company that provides seaborne transportation solutions across 15 countries in Asia and Europe. The company pays out consistent dividends every year and represents one of the most attractive shipping companies listed on Tadawul stock exchange today.

Sample SABIC stock predictions generated by FinBrain’s AI algorithms

Our algorithms forecast the future prices of all stocks listed under Saudi stock market and represent most likely movements on the charts for each stock under FinBrain Terminal. The algorithms extract the hidden patterns and relationships between the data better than any other human, therefore generate the most accurate results by processing massive amounts of data every single day.

We also generate in-depth technical reports for every single asset listed under Tadawul market and you can find a sample summary report for SABIC below.

A Sample Technical Analysis Summary For 2010.SR

2010.SR price has changed -1.90 % within the last 3 days and changed -0.80 % yesterday. Saudi Basic Industries Corp. closed the trading day at 124.00, which is 4.19 % above its 200-day moving average. The last close was -9.22 % lower than the last 52-week’s highest close price of 136.60.

The asset price is neutral, but close to the overbought area with RSI at 61.6. 2010.SR’s last close price was between Lower and Middle Bollinger Bands. MACD is in the bullish area and the histogram value has increased compared to the day before.

Insider and Institutional Holders Data for 2010.SR

77.64 % of the company shares are held by the insiders and 2.90 % of the shares are held by the institutions. Top 3 institutional holders of 2010.SR are Vanguard International Stock Index-Emerging Markets Stk (0.41%), Vanguard International Stock Index-Total Intl Stock Indx (0.38%) and iShares Core MSCI Emerging Markets ETF (0.26%).

The next earnings date for the Saudi Basic Industries Corp. is 01/31/2022. Earnings estimate average is $ 1.28, where the estimated values vary between the range [0.98, 1.58]. The revenue estimate average is $ 42.4B, where the estimated values vary between [42.4B, 42.4B].

Explore the cutting edge AI driven predictions and alternative data for Saudi stocks on FinBrain Terminal. You can also retrieve all available data for the stocks listed under Tadawul TASI market through FinBrain API.

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