Riyad Cap issues Q4 forecasts for telcos; STC seen 12% higher

Riyad Capital has issued its Q4 2017 earnings forecasts and recommendations for Tadawul-listed telecom companies under its coverage.

Saudi Telecom Co. (STC) is expected to record a 12 percent year-on-year (YoY) increase in net income to SAR 2.404 billion.

Etihad Etisalat Co. (Mobily) will likely report a net loss of SAR 161 million in Q4, the brokerage firm said.

Meanwhile, Mobile Telecommunications Co. Saudi Arabia (Zain Saudi) is seen posting a net profit of SAR 2 million for the same period.

Riyad Capital kept its recommendations on STC and Zain unchanged. The brokerage issued a “neutral” rating on Mobily, with a target price of SAR 18 per share.