Risk factor
Low price volatility
Profitability factor
Weak growth
About
Scientific and Medical Equipment House Company, established in 1979 and headquartered in Riyadh, Saudi Arabia, operates as a multifaceted enterprise with a significant presence in the healthcare, contracting, and diversified services sectors. The company's core activities revolve around medical equipment and services. It specializes in the maintenance, contracting, and trade of medical devices, materials, and supplies, including laboratory and scientific instruments with their related accessories. Its comprehensive medical service offerings extend to the upkeep, cleaning, management, and operation of medical centers and hospitals. Furthermore, the company provides repair and maintenance services for a broad spectrum of specialized equipment, such as radiological, electronic, medical, and therapeutic devices. It also plays a crucial role in supplying essential medical personnel, including doctors, specialists, nurses, technicians, and general labor, as well as administrative and technical cadres for hospitals, and distributes vital medical products like pacemakers, ECG devices, and various tubes. Beyond its healthcare focus, Scientific and Medical Equipment House Company undertakes general contracting for diverse infrastructure projects, encompassing buildings, roads, bridges, and dams. Its engineering capabilities cover electrical, electronic, and mechanical works, along with the installation and servicing of firefighting and fire alarm systems, including the refilling and maintenance of fire extinguishers. The company also trades in a variety of electrical, electronic, and mechanical equipment, as well as specialized machinery for laundries, incinerators, and pumps. Additional infrastructure services include the maintenance and operation of industrial, water, and sewer facilities; the installation and upkeep of security and lighting systems; and the extension of electrical, communication, television, satellite, computer, and telecommunications networks. Moreover, it offers installation and maintenance services for cooling and air conditioning systems, irrigation pipes, and various piping systems for gas, steam, and fire, alongside gas and oil heating systems. To further diversify its portfolio, the company provides a range of auxiliary services, such as the sale of safety equipment, urban cleaning, catering, and the supply of various food products, including meat, frozen vegetables, dry foods, and both cooked and uncooked rations. Security guard services also fall within its operational scope.
Company Valuation
Based on key historical and expected multiples, the stock is fairly valued relative to its peers. Specifically, the stock is fairly valued on P/E, neutral on EV/EBITDA, o