Rasan Shares Hit Record High Since Listing on Saudi Exchange

Rasan shares touched their highest level since the company's market debut on Sunday, June 15, data compiled by Argaam showed. The stock climbed to 68.90 riyals during the session, surpassing the previous high set shortly after the initial public offering.

The rally extends a run that began in late May, when the insurance technology firm reported first-quarter earnings that beat analyst estimates. Revenue rose 22% year-over-year to 187 million riyals, driven by growth in its motor and health insurance segments. Net profit came in at 34 million riyals, up from 28 million riyals in the same period last year.

Rasan, which operates the Tameeni and Jeem platforms, listed on the Saudi Stock Exchange in December 2024 at an IPO price of 45 riyals per share. The stock has gained roughly 53% from the offer price through Friday's close, giving the company a market capitalization of about 3.4 billion riyals.

The company's digital insurance marketplace has benefited from Saudi Arabia's push to increase insurance penetration under Vision 2030. Mandatory health insurance for expatriates and motor insurance requirements have expanded the addressable market for insurtech firms like Rasan.

Trading volumes on Sunday were roughly double the three-month daily average, suggesting institutional interest in the name, traders said. The stock closed at 68.40 riyals, up 2.7% on the session.

Rasan's next catalyst is the second-quarter earnings report, due in August. Analysts at Al Rajhi Capital and SNB Capital have buy ratings on the stock, with price targets ranging from 72 to 78 riyals.