#11 Growing at 43% CAGR Since 2017: A Play on Saudi Arabia’s Vision 2030
The next big thematic: Saudi Arabia
Valuation: Trades at 13.32x PE.
Balance Sheet: SAR 715M in NCAV.
Cashflows: Strong FCF generation.
Potential: Long term high quality compounder.
Ideal For: Open-minded, aggressive value investors.
Narrative: Riding the Vision 2030 wave.
While value investing can be found in a wide array of forms, in this write-up I come back to the traditional PE view of value investing.
I think I’ve found a great company, at a great valuation, with a great narrative for the future. This combination, I’m sure, will excite a lot of you.
While it’s quite a straightforward thesis, it’s very compelling, and there’s a real chance for Saudi companies to become a strong thematic in the coming years, as Vision 2030 government spending starts flowing into corporate profits.
It’s not a risk-free investment, but the risk-reward, in my view, is quite compelling.
I was looking for something different, and I’ve found it.
Hope you all like it.