Top Saudi Listed Companies: Key Picks for 2025’s Market Movers

Looking through a busy stock exchange and trying to pick winners can feel a bit like standing at a bustling market—not unlike a Friday evening at Souq Al Thumairi—trying to decide which stall has the tastiest snacks. Plenty on offer, but choosing wisely takes a bit of savvy and research. That's exactly the challenge facing investors eyeing Saudi stocks in 2025.

Industry analysts have identified some promising stocks to watch over the coming year, though—of course—no prediction is foolproof. Aramco, the oil and gas giant, initially dazzled the world with its record-breaking IPO in 2019, and remains a heavyweight on the Tadawul today. Investors value its reliable dividends—earning a solid yield of 5.65%, quite appealing considering the current market. However, analysts expect Aramco’s share price to dip slightly, to around 29.694 SAR by the end of 2024.

Turning towards the Saudi banking sector, Al Rajhi Bank—a cornerstone in Islamic banking—continues to perform strongly. Al Rajhi offers diversified financial products that appeal both domestically and internationally. Analysts forecast promising yearly growth rates of 11.2% in earnings and 11% in revenue. Though expected to dip a bit next year to around 78.578 SAR, Al Rajhi shares could rally impressively to about 137.336 SAR by 2028.

Saudi National Bank (SNB), known locally as Alahli, is another long-standing pillar of the Kingdom’s economy. Despite modest predicted annual earnings growth of 1.9%, it's estimated to offer steady dividends, yielding nearly 4.74%. That said, SNB shares might see a small drop next year, closing 2024 around 15.934 SAR per share.

Elsewhere, investors are eyeing up SABIC, the chemical manufacturing giant. This company—driven by strategic global partnerships—has actually seen rapid earnings growth projections, a whopping estimated 58.3% annually. The dividends aren't shabby either, with a yield around 4.06%. Still, analysts predict a share price decline in 2024 to approximately 79.701 SAR.

When it comes to telecommunications, Saudi Telecom (STC) remains a stalwart. Pioneering the digital shift with 5G advances, STC has clear growth ahead, with revenue expected to rise by roughly 5.8% a year. STC shares— currently boasting a decent dividend yield of 4.28%—may slip slightly in 2024 to an average of 10.239 SAR.

Meanwhile, mining big-hitter Ma'aden enjoys increasing global attention. Ma'aden, with its leadership in minerals and metals, is predicted to enjoy robust earnings growth (30.2% per annum), but analysts still think there might be a short-term price slow-down, predicting an end-2024 close price at around 43.496 SAR before bouncing back to 66.618 SAR by 2028.

Riyad Bank—the Kingdom’s fourth-largest in terms of assets—is seen as a dependable, steady-growth bank stock, providing investors with an appealing dividend yield of 5.41%. Interestingly, it's one of the few expected to actually rise next year, aiming towards an average of 30.136 SAR by late 2024.

Bank Albilad continues to attract investors for its solid track record of growth and innovation in Saudi's banking world, forecasting 11.7% annual earnings gains. Analysts see a healthy upside for its share price, predicting a steady rise to 47.310 SAR by the close of next year.

Another strong banking name, Alinma Bank, recently grabbed headlines after its stunning 200% price hike a few years back. Growth here remains promising, with earnings up 10.5% a year. Shares could end 2024 at approximately 40.466 SAR—highlighting optimism among market analysts looking forward.

Lastly, let's not overlook Saudi Electricity Company, crucial to powering the Kingdom's infrastructure ambitions. Forecast predict earnings to grow roughly 42.4% each year. Investors might see share prices holding firm, ending next year around 20.694 SAR.

Choosing the right combination of these Saudi shares—a collection Arageek readers might appreciate—ultimately depends on each investor's goals, risk tolerence and trading horizons. As always, no single 'hot pick' is perfect for everyone.

Ultimately, whether investing aggressively or more cautiously, it's crucial to do your homework, take care with investment decisions and, above all, clearly understand every opportunity—as unpredictable as the markets often prove to be.

So, what's lurking around the corner for the Saudi stock market in 2025? If only anyone had that crystal ball handy. However, whichever investments Arageek's readers consider, always keep in mind: investing wisely isn’t about perfectly timing the market, but rather about time in the market itself.