NTG Clarity Networks: Positioned for Growth in Saudi Market with Strong Customer Retention and Expanding SaaS Offerings

Canaccord Genuity analyst Aravinda Galappatthige maintained a Buy rating on NTG Clarity Networks (NCI – Research Report) today and set a price target of C$3.30.

Aravinda Galappatthige has given his Buy rating due to a combination of factors that highlight NTG Clarity Networks’ potential for growth and profitability. The company is well-positioned to capitalize on opportunities in the Saudi Arabian market, where it has established strong relationships and a growing presence. With the Saudi market projected to expand significantly by 2030, NTG’s current market share leaves substantial room for growth.
Another factor supporting the Buy rating is the high level of customer satisfaction, evidenced by a 90% retention rate and a significant portion of clients returning with larger contracts. NTG’s proprietary SaaS product, NTPapps, is also gaining traction, contributing to revenue growth and holding potential for high margins. Additionally, NTG is investing in talent to support its expansion, particularly by leveraging Egyptian talent for the Middle East market. The company’s asset-light model and potential M&A activities further strengthen its growth prospects, while its valuation remains attractive compared to industry peers.