United Securities Lowers Saudi Ground Services Co Price Target After Q2 Revenue, Profit Miss

12:03 PM EDT, 08/20/2026 (MT Newswires) -- United Securities LLC reduced its price target for Saudi Ground Services Co (SASE:4031), d/b/a SGS, to 28.50 Saudi riyals from 33 riyals, following the company's second-quarter financial results that came in below expectations. "Revenue, profitability and overall margins fell short of our projections due to lower-than-expected operational activity. Based on the current results, we reduce our 2026e revenue forecast to SAR 2.7bn and lower our net profit estimate to SAR 118mn (from SAR 345mn). Growth risks remain elevated amid ongoing geopolitical escalation and uncertainty surrounding the resumption of airport operations," analysts said in a Wednesday note. The passenger and aircraft ground-handling services company reported a 7.8% year-over-year fall in revenue to 635 million riyals in the quarter, 8.4% lower than the research firm's forecast. SGS also swung to a net loss of 57 million riyals from a year-ago profit of 99 million riyals, against the expected 81 million riyals in net profit. The hold rating on the stock was maintained.