Operating Margin

Watchlist Manager

Watchlist

Price: 105.8 SAR -1.86% Market Closed

Market Cap: ﷼10.6B

2.4%

Declining

by 0.4%

Operating Margin shows how much profit a company makes from its regular business activities after covering operating costs. It helps measure how efficiently the company turns sales into profit.

Operating Margin

2.4%

Operating Income

﷼578.6m

Revenue

﷼24.1B

Operating Margin shows how much profit a company makes from its regular business activities after covering operating costs. It helps measure how efficiently the company turns sales into profit.

Operating Margin

2.4%

Operating Income

﷼578.6m

Revenue

﷼24.1B

Peer Comparison

Country		Company	Market Cap	Operating Margin
SA		Aldrees Petroleum and Transport Services Company SJSC SAU:4200	10.6B SAR	Loading...
JP		Fuji Oil Co Ltd F:ACK	77.2T EUR	Loading...
IN		Reliance Industries Ltd NSE:RELIANCE	18.9T INR	Loading...
US		Phillips 66 NYSE:PSX	56.9B USD	Loading...
US		Valero Energy Corp NYSE:VLO	55.7B USD	Loading...
US		Marathon Petroleum Corp NYSE:MPC	53.2B USD	Loading...
PL		Polski Koncern Naftowy Orlen SA WSE:PKN	120.8B PLN	Loading...
PL	O	Orlen SA PSE:PKN	691.8B CZK	Loading...
IN		Indian Oil Corporation Ltd NSE:IOC	2.2T INR	Loading...
JP		ENEOS Holdings Inc TSE:5020	3.3T JPY	Loading...
FI		Neste Oyj OMXH:NESTE	16.3B EUR	Loading...

Market Distribution

Min	-6 039.4%
30th Percentile	4.5%
Median	10.2%
70th Percentile	19.3%
Max	3 330.3%

Other Profitability Ratios

Aldrees Petroleum and Transport Services Company SJSC
Glance View

Market Cap

10.6B SAR

Industry

Energy

Aldrees Petroleum and Transport Services Company SJSC has carved a niche for itself as a pivotal player in Saudi Arabia's petroleum and logistics landscape. Founded in 1962, the company has steadily evolved, leveraging its expertise in fuel retailing and transport services to capture a substantial share of the market. At its core, Aldrees operates a widespread network of fuel stations across the country, serving millions of consumers who depend on their reliable access to gasoline and diesel. These stations act as the company's lifeline, generating steady revenue through the sale of fuel as well as complementary goods and services available at their convenience stores. This strategic combination not only increases foot traffic but also enhances customer loyalty, as Aldrees seeks to provide a comprehensive service experience to its clientele. Parallel to its petroleum endeavors, Aldrees thrives on its robust transport services division, a backbone of its diversified income stream. Specializing in the efficient and systematic delivery of goods, this segment caters to a broad range of industries including agriculture, construction, and consumer goods, making it indispensable to the supply chain operations within the region. By maintaining a fleet of well-managed vehicles and an expansive network, Aldrees ensures timely and dependable logistics services, which have helped cement its reputation as a trustworthy partner in the transport sector. This dual-engine business model, combining fuel distribution with logistics services, not only fortifies the company's financial standing but also contributes substantially to its growth trajectory and market resilience.

View Aldrees Petroleum and Transport Services Company SJSC Analysis

Intrinsic Value

Undervaluation 24%

Intrinsic Value

Price

What is Intrinsic Value?

Economic Moat is a concept popularized by Warren Buffett to describe a company's durable competitive advantage. It represents the 'moat' that protects a company from competitors and helps it sustain profitability over the long term. Our analysis of the past 10 years showed that companies with a wide economic moat significantly outperformed the market, delivering +645% returns compared to +189% for the S&P 500.

Our research into Economic Moat performance spans the past 10 years and focuses on companies with a wide economic moat. For this analysis, we calculated the average stock price returns of these companies, comparing them to the performance of the S&P 500 index over the same period.

The results were compelling: wide moat stocks achieved a remarkable +645% average return, compared to +188% for the broader market. This difference highlights the long-term benefits of investing in businesses that can maintain their market position and pricing power over time.

Note: This research does not account for survivorship bias. Past performance is not indicative of future results.

Determining whether a company has an economic moat requires both a deep dive into financial metrics and a qualitative assessment of its competitive position. Our analysts conduct a rigorous evaluation that focuses on identifying structural advantages that enable a company to sustain profitability and defend its market share over the long term.

The process begins with an analysis of a company’s historical financial performance. We assess how consistently the company has generated returns above its cost of capital and whether those returns have been stable or improving. However, financial performance alone doesn’t reveal the full picture. To understand the sources of these advantages, we evaluate five key drivers of economic moats:

Network Effect: We analyze whether the value of a company’s product or service grows as its user base expands. Platforms like payment systems or marketplaces benefit from this self-reinforcing.

Switching Costs: We assess whether customers face significant costs or disruptions when switching to a competitor’s product or service. High switching costs create customer stickiness and provide pricing power.

Intangible Assets: Strong brands, patents, and regulatory licenses can protect a company’s market position by creating barriers for competitors or enabling premium pricing. For example, a well-recognized consumer brand may command higher customer loyalty and margins.

Efficient scale: Occurs when a market is optimally served by one or a few players, making it unprofitable for new entrants to compete. This typically happens in industries with high fixed costs or geographic constraints, such as utilities or pipelines.

Cost Advantage: Companies with structural cost advantages can produce goods or services at a lower cost than their competitors, enabling them to offer competitive pricing or maintain higher margins. These advantages often arise from economies of scale, superior supply chain management, or proprietary technology. Firms like Walmart leverage their massive scale to negotiate better terms with suppliers, allowing them to undercut competitors on price.

By examining these factors in combination with a company’s financial performance and market positioning, we classify each company into one of three categories:

This rigorous evaluation ensures that our moat ratings are both comprehensive and reliable, giving investors the tools they need to make well-informed, long-term decisions.

The AI Assistant may sometimes provide inaccurate information.

Make your own investment decisions or consult a licensed financial advisor.

Aldrees Petroleum and Transport Services Company SJSC
SAU:4200

Peer Comparison

Market Distribution

Other Profitability Ratios

Aldrees Petroleum and Transport Services Company SJSC
Glance View

See Also

Company

Help

Tools

Stocks

52 Week Range	N/A N/A
Price Target

Aldrees Petroleum and Transport Services Company SJSC SAU:4200