KINGDOM

Kingdom Holding Co.

12.35 SAR / Share

As of: May 28, 2026

23.4x P/E Ratio Trailing 12 Months

0.8x P/B Ratio Price to Book Value

2.3% Dividend Yield Annual Dividend / Share

45.77B SAR Market Cap Total Valuation

0.89 Beta Systematic Risk Index

79.6% Net Margin Net Profit / Revenue

The Story

A diversified investment powerhouse blending operational hospitality assets with a global equity portfolio, currently navigating a gap between capital costs and historical returns.

Source: Q1 2026 (2026-04-29)

Value Creation -5.2% Excess Return on Capital (Spread between ROIC/ROE and Cost of Capital)

Cash Flow Payback — Estimated years of operating cash flows required to cover Enterprise Value

Performance & Distributions

Dividend Yield Trailing annual dividends paid relative to share price

2.3%

Sustainable Growth Rate Rate at which company can grow internally using reinvested profits

+0.2%

Payout Ratio Percent of net profits distributed as dividends

53.0%

Net Margin Net profit margin generated from total operational revenue

79.6%

ROIC Return on Invested Capital

2.5%

Market Pricing Multiples

P/E Ratio Market value compared to corporate net earnings

23.4x

P/B Ratio Market capitalization compared to corporate book value

0.8x

EV / EBITDA Operating multiple reflecting core operational leverage

24.0x

EV / SALES Asset pricing multiple relative to total topline revenue

22.9x

Growth Story

Revenue has shown fluctuations over recent periods, moving from 2.70 billion SAR in fiscal 2023 to 2.63 billion SAR in fiscal 2025. This trajectory is heavily influenced by dividend income, which grew from 786 million SAR in fiscal 2024 to 948 million SAR in fiscal 2025, partially offsetting shifts in service-based revenue. However, the company's internal capacity for compounding growth appears constrained; with a five-year average ROIC of 2.5% and a modest reinvestment rate of 8.3%, the sustainable growth rate is calculated at a marginal 0.21%. This suggests that while the group maintains a massive asset base of 74.9 billion SAR, long-term expansion is more dependent on the appreciation and payouts of its underlying investments than on aggressive internal reinvestment.

Profitability Dynamics

Kingdom Holding operates with exceptionally high margins, characterized by a TTM operating margin of 87.1% and a profit margin of 79.6%. These figures are bolstered by the fact that dividend income flows directly to the bottom line with minimal associated operating costs. Despite these robust margins, the company faces a significant value creation challenge. The five-year average ROIC of 2.5% trails the WACC of 9.2%, resulting in a negative gap of 6.7%. This indicates that, historically, the returns generated on invested capital have not met the cost of the capital deployed. While TTM NOPAT reached 1.95 billion SAR, the primary narrative remains one of high-margin income that has yet to translate into a positive spread over the company's weighted average cost of capital.

Risk & Capital Structure

Beta Systematic market risk indicator relative to the TASI index

0.89

Cost of Equity Minimum required rate of return demanded by shareholders

8.2%

WACC Weighted average cost of total debt and equity funding

7.7%

Debt-to-Equity Ratio Proportion of corporate funding financed by debt creditors

28.6%

Risk Factors

The risk profile is defined by a re-levered beta of 1.37, indicating that the company's stock is significantly more volatile than the broader market. Financial risk is present in the form of 13.07 billion SAR in total debt against a cash position of 2.66 billion SAR. As a holding company, Kingdom is exposed to the cyclicality of the global hospitality sector and the market volatility of its equity investments, which are often measured at fair value. The concentration of control under a majority shareholder and the reliance on external dividend distributions for cash flow add layers of governance and liquidity considerations to its overall risk framework.