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Saudi Aramco Base Oil Company JSC
SAU:2223

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Saudi Aramco Base Oil Company JSC
SAU:2223
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Price: 129.6 SAR 3.02%
Market Cap: ﷼21.9B

EV/OCF

14.1
Current
100%
More Expensive
vs 3-y average of 7

Enterprise Value to Operating Cash Flow (EV/OCF) ratio compares a company`s total enterprise value to its operating cash flow. It shows how much investors are paying for each dollar of the company`s operating cash flow, including both equity and debt.

EV/OCF
14.1
=
Enterprise Value
﷼14B
/
Operating Cash Flow
﷼1.5B

Enterprise Value to Operating Cash Flow (EV/OCF) ratio compares a company`s total enterprise value to its operating cash flow. It shows how much investors are paying for each dollar of the company`s operating cash flow, including both equity and debt.

EV/OCF
14.1
=
Enterprise Value
﷼14B
/
Operating Cash Flow
﷼1.5B

Valuation Scenarios

Saudi Aramco Base Oil Company JSC is trading above its 3-year average

If EV/OCF returns to its 3-Year Average (7), the stock would be worth ﷼64.65 (50% downside from current price).

Statistics
Positive Scenarios
1/4
Maximum Downside
-50%
Maximum Upside
+26%
Average Downside
20%
Scenario EV/OCF Value Implied Price Upside/Downside
Current Multiple 14.1 ﷼129.6
0%
3-Year Average 7 ﷼64.65
-50%
5-Year Average 7 ﷼64.65
-50%
Industry Average 13.5 ﷼124.29
-4%
Country Average 17.7 ﷼162.88
+26%

Forward EV/OCF
Today’s price vs future operating cash flow

Not enough data available to calculate forward EV/OCF

Peer Comparison

All Multiples
EV/OCF
P/E
All Countries
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Market Distribution

In line with most companies in Saudi Arabia
Percentile
40th
Based on 207 companies
40th percentile
14.1
Low
1.1 — 12.3
Typical Range
12.3 — 26.3
High
26.3 —
Distribution Statistics
Saudi Arabia
Min 1.1
30th Percentile 12.3
Median 17.7
70th Percentile 26.3
Max 1 696.8

Saudi Aramco Base Oil Company JSC
Glance View

Market Cap
21.9B SAR
Industry
Chemicals

In the heart of the oil-rich landscape of Saudi Arabia, the Saudi Aramco Base Oil Company JSC—or Luberef, as it is commonly known—operates as a key player in the global energy sector. This enterprise, a subsidiary of the petroleum powerhouse Saudi Aramco, epitomizes the transformation of crude oil into valuable base oils critical for the lubrication of machinery worldwide. Through a meticulous refining process, crude oil is distilled and purified into base oil stocks. These products are indispensable for manufacturing lubricants that minimize friction in engines and industrial equipment—essentially keeping the commercial and transportation sectors running smoothly. Luberef's operations are strategically spread across major facilities, with its Refinery in Yanbu and Jeddah representing state-of-the-art centers that elevate its production capabilities. Profit-generation for Luberef hinges on a finely-tuned strategy that combines efficient operations with the leverage of Aramco’s vast resources and international foothold. By focusing on producing a diverse range of high-quality base oils—ranging from Group I to Group II and III—the company addresses varying market needs, from automotive applications to more specialized industrial-grade lubricants. This enables Luberef to tap into a broad spectrum of economic and industrial activity, responding to the ever-growing demand in both emerging and developed markets. Furthermore, strategic partnerships and a robust distribution network enhance its global reach, allowing Luberef to convert its product outputs into substantial revenue streams. Through these concerted efforts, Luberef not only capitalizes on its intrinsic connection to one of the world's largest oil entities but also strengthens its position as a catalyst of industrial lubrication across the globe.

Intrinsic Value
69.88 SAR
Overvaluation 46%
Intrinsic Value
Price ﷼129.6
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