Risk factor
Very high price volatility
Profitability factor
Greatly overvalued vs peers
About
Arab Sea Information Systems Company produces and sells integrated software solutions for commercial and government customers in Saudi Arabia and internationally. The company's products include Saudi Administration and Accounting System, a business accounting program; and SCRIBES System, an enterprise resource planning system for medium and large enterprises. It also offers e-Government Solutions, a management system designed for warehouse management and government departments; and 3S System, a solution for companies with various selling points, such as super markets, clothing and footwear companies, pharmacies, drug stores, and spare parts. Further, the company provides consulting and planning, installation, training, and customization services. Arab Sea Information Systems Company was founded in 1980 and is headquartered in Riyadh, Saudi Arabia.
Company Valuation
Based on key historical and expected multiples, the stock is greatly overvalued relative to its peers. In particular, the stock is 'expensive' on EV/EBITDA.
