SEHK:8373

Stock Analysis Report

Executive Summary

Indigo Star Holdings Limited, an investment holding company, operates as a subcontractor for structural reinforced and concrete works in Singapore.

Snowflake

Fundamentals

Flawless balance sheet and overvalued.

Share Price & News

How has Indigo Star Holdings's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

-7.1%

8373

-0.2%

HK Construction

0.9%

HK Market


1 Year Return

-39.5%

8373

-17.5%

HK Construction

0.6%

HK Market

Return vs Industry: 8373 underperformed the Hong Kong Construction industry which returned -17.5% over the past year.

Return vs Market: 8373 underperformed the Hong Kong Market which returned 0.6% over the past year.


Shareholder returns

8373IndustryMarket
7 Day-7.1%-0.2%0.9%
30 Day-13.3%-4.5%0.5%
90 Day-13.3%-10.5%-4.3%
1 Year-39.5%-39.5%-14.0%-17.5%4.2%0.6%
3 Yearn/a-24.4%-32.9%15.6%4.0%
5 Yearn/a0.9%-14.3%20.0%-0.08%

Price Volatility Vs. Market

How volatile is Indigo Star Holdings's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Indigo Star Holdings undervalued compared to its fair value and its price relative to the market?

1.01x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate 8373's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate 8373's fair value to establish if it is undervalued.


Price To Earnings Ratio

PE vs Industry: 8373 is unprofitable, so we can't compare its PE Ratio to the Construction industry average.

PE vs Market: 8373 is unprofitable, so we can't compare its PE Ratio to the Hong Kong market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 8373's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 8373 is good value based on its PB Ratio (1x) compared to the HK Construction industry average (1.1x).


Next Steps

Future Growth

How is Indigo Star Holdings forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

21.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 8373 is forecast to remain unprofitable over the next 3 years.

Earnings vs Market: 8373 is forecast to remain unprofitable over the next 3 years.

High Growth Earnings: 8373 is forecast to remain unprofitable over the next 3 years.

Revenue vs Market: Insufficient data to determine if 8373's revenue is forecast to grow faster than the Hong Kong market.

High Growth Revenue: Insufficient data to determine if 8373's revenue is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if 8373's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Indigo Star Holdings performed over the past 5 years?

-28.7%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: 8373 is unprofitable, and losses have increased over the past 5 years at a rate of -28.7% per year.

Accelerating Growth: Unable to compare 8373's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: 8373 is unprofitable, making it difficult to compare its past year earnings growth to the Construction industry (-12.3%).


Return on Equity

High ROE: 8373 has a negative Return on Equity (-0.77%), as it is currently unprofitable.


Return on Assets

ROA vs Industry: 8373 is currently unprofitable, so its Return on Assets is negative.


Return on Capital Employed

ROCE Improving: 8373 is currently unprofitable, so its Return on Capital Employed is negative.


Next Steps

Financial Health

How is Indigo Star Holdings's financial position?


Financial Position Analysis

Short Term Liabilities: 8373's short term assets (SGD22.9M) exceeds its short term liabilities (SGD6.9M)

Long Term Liabilities: 8373's short term assets (22.9M) exceeds its long term liabilities (85.0K)


Debt to Equity History and Analysis

Debt Level: 8373 is debt free.

Reducing Debt: 8373 had no debt 5 years ago.

Debt Coverage: 8373 has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: 8373 has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet

Inventory Level: 8373 has a low level of unsold assets or inventory.

Debt Coverage by Assets: Insufficient data to determine if 8373's debt is covered by short term assets.


Next Steps

Dividend

What is Indigo Star Holdings's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

companyn/amarketbottom25%2.3%markettop25%6.3%industryaverage4.7%forecastin3Yearsn/a

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: Unable to evaluate 8373's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate 8373's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.

Stable Dividend: Insufficient data to determine if 8373's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if 8373's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of 8373's dividend in 3 years as they are not forecast to pay a notable one for the Hong Kong market.


Next Steps

Management

What is the CEO of Indigo Star Holdings's salary, the management and board of directors tenure and is there insider trading?

2.8yrs

Average management tenure


CEO

Cheng Seng Goh (49yo)

2.6yrs

Tenure

S$1,010,000

Compensation

Mr. Cheng Seng Goh founded Indigo Star Holdings Limited in 1996 and serves as its Chief Executive Officer and Chairman since March 08, 2017. Mr. Goh serves as Managing Director of IEPL. He serves as Co-Own ...


CEO Compensation Analysis

Compensation vs. Market: Insufficient data to establish whether Cheng Seng's total compensation is reasonable compared to companies of similar size in the Hong Kong market.

Compensation vs Earnings: Cheng Seng's compensation has been consistent with company performance over the past year.


Management Age and Tenure

2.8yrs

Average Tenure

47.5yo

Average Age

Experienced Management: 8373's management team is considered experienced (2.8 years average tenure).


Board Age and Tenure

2.0yrs

Average Tenure

48yo

Average Age

Experienced Board: 8373's board of directors are not considered experienced ( 2 years average tenure), which suggests a new board.


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown


Management Team

  • Sai Cheong Ng (42yo)

    Compliance Officer & Executive Director

    • Tenure: 2.5yrs
    • Compensation: S$275.00k
  • Cheng Seng Goh (49yo)

    Founder

    • Tenure: 2.6yrs
    • Compensation: S$1.01m
  • Soh Kuan Tan (48yo)

    Executive Director

    • Tenure: 2.6yrs
    • Compensation: S$750.00k
  • KY Tan (70yo)

    Operation Director

    • Tenure: 9.5yrs
  • Sally Tan (47yo)

    Human Resource & Administrative Director

    • Tenure: 2.9yrs
  • Jianye Wang (47yo)

    Executive Director

    • Tenure: 1.3yrs
    • Compensation: S$76.00k

Board Members

  • Peter Ma (54yo)

    Independent Non-Executive Director

    • Tenure: 2yrs
    • Compensation: S$41.00k
  • Luke Yip (53yo)

    Independent Non-Executive Director

    • Tenure: 2yrs
    • Compensation: S$41.00k
  • Sai Cheong Ng (42yo)

    Compliance Officer & Executive Director

    • Tenure: 2.5yrs
    • Compensation: S$275.00k
  • Guangguo Zhou (43yo)

    Independent Non-Executive Director

    • Tenure: 1.7yrs
    • Compensation: S$37.00k
  • Cheng Seng Goh (49yo)

    Founder

    • Tenure: 2.6yrs
    • Compensation: S$1.01m
  • Soh Kuan Tan (48yo)

    Executive Director

    • Tenure: 2.6yrs
    • Compensation: S$750.00k
  • Jianye Wang (47yo)

    Executive Director

    • Tenure: 1.3yrs
    • Compensation: S$76.00k

Company Information

Indigo Star Holdings Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Indigo Star Holdings Limited
  • Ticker: 8373
  • Exchange: SEHK
  • Founded: 1996
  • Industry: Construction and Engineering
  • Sector: Capital Goods
  • Market Cap: HK$104.000m
  • Shares outstanding: 400.00m
  • Website: https://www.indigostar.sg

Number of Employees


Location

  • Indigo Star Holdings Limited
  • No. 03–08 Quartz Industrial Building
  • 5, Upper Aljunied Link
  • Singapore
  • 367903
  • Singapore

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
8373SEHK (The Stock Exchange of Hong Kong Ltd.)YesOrdinary SharesHKHKDNov 2017

Biography

Indigo Star Holdings Limited, an investment holding company, operates as a subcontractor for structural reinforced and concrete works in Singapore. It undertakes reinforced concrete works, including steel  ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/21 12:58
End of Day Share Price2019/10/18 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.