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SUNC

Sunway Construction Group BerhadKLSE:SUNCON Stock Report

Last Price

RM1.46

Market Cap

RM1.9b

7D

-2.7%

1Y

-11.5%

Updated

23 Jan, 2022

Data

Company Financials +
SUNCON fundamental analysis
Snowflake Score
Valuation1/6
Future Growth5/6
Past Performance2/6
Financial Health5/6
Dividends3/6

SUNCON Stock Overview

Sunway Construction Group Berhad, an investment holding company, engages in the construction business in Malaysia, Singapore, India, Trinidad and Tobago, the United Arab Emirates, and Myanmar.

Sunway Construction Group Berhad Competitors

IJM Corporation Berhad

KLSE:IJM

RM5.2b

Kerjaya Prospek Group Berhad

KLSE:KERJAYA

RM1.4b

Ekovest Berhad

KLSE:EKOVEST

RM1.2b

MGB Berhad

KLSE:MGB

RM414.2m

Price History & Performance

Summary of all time highs, changes and price drops for Sunway Construction Group Berhad
Historical stock prices
Current Share PriceRM1.46
52 Week HighRM1.90
52 Week LowRM1.46
Beta0.96
1 Month Change-3.95%
3 Month Change-14.12%
1 Year Change-11.52%
3 Year Change-7.60%
5 Year Change-13.61%
Change since IPO23.73%

Recent News & Updates

Aug 24
Sunway Construction Group Berhad's (KLSE:SUNCON) Dividend Will Be RM0.013

Sunway Construction Group Berhad's (KLSE:SUNCON) Dividend Will Be RM0.013

The board of Sunway Construction Group Berhad ( KLSE:SUNCON ) has announced that it will pay a dividend on the 29th of...

Aug 20
Sunway Construction Group Berhad (KLSE:SUNCON) Analysts Are Reducing Their Forecasts For This Year

Sunway Construction Group Berhad (KLSE:SUNCON) Analysts Are Reducing Their Forecasts For This Year

The analysts covering Sunway Construction Group Berhad ( KLSE:SUNCON ) delivered a dose of negativity to shareholders...

Shareholder Returns

SUNCONMY ConstructionMY Market
7D-2.7%-2.3%-1.7%
1Y-11.5%-14.0%-4.4%

Return vs Industry: SUNCON exceeded the MY Construction industry which returned -14% over the past year.

Return vs Market: SUNCON underperformed the MY Market which returned -4.4% over the past year.

Price Volatility

Is SUNCON's price volatile compared to industry and market?
SUNCON volatility
SUNCON Average Weekly Movement3.7%
Construction Industry Average Movement4.9%
Market Average Movement5.5%
10% most volatile stocks in MY Market12.4%
10% least volatile stocks in MY Market2.7%

Stable Share Price: SUNCON is less volatile than 75% of MY stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: SUNCON's weekly volatility (4%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
1981n/aSoo Chunghttps://www.sunwayconstruction.com.my

Sunway Construction Group Berhad, an investment holding company, engages in the construction business in Malaysia, Singapore, India, Trinidad and Tobago, the United Arab Emirates, and Myanmar. It operates in Construction and Precast Concrete segments. The company designs and constructs building projects of special purpose building, including convention center, hotel, studio, theme park, and other projects.

Sunway Construction Group Berhad Fundamentals Summary

How do Sunway Construction Group Berhad's earnings and revenue compare to its market cap?
SUNCON fundamental statistics
Market CapRM1.88b
Earnings (TTM)RM78.06m
Revenue (TTM)RM1.73b

24.1x

P/E Ratio

1.1x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
SUNCON income statement (TTM)
RevenueRM1.73b
Cost of RevenueRM1.45b
Gross ProfitRM275.04m
ExpensesRM196.98m
EarningsRM78.06m

Last Reported Earnings

Sep 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)0.061
Gross Margin15.90%
Net Profit Margin4.51%
Debt/Equity Ratio35.4%

How did SUNCON perform over the long term?

See historical performance and comparison

Dividends

2.7%

Current Dividend Yield

66%

Payout Ratio

Valuation

Is Sunway Construction Group Berhad undervalued compared to its fair value and its price relative to the market?

24.12x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: SUNCON (MYR1.46) is trading above our estimate of fair value (MYR1.07)

Significantly Below Fair Value: SUNCON is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: SUNCON is poor value based on its PE Ratio (24.1x) compared to the MY Construction industry average (19x).

PE vs Market: SUNCON is poor value based on its PE Ratio (24.1x) compared to the MY market (15.5x).


Price to Earnings Growth Ratio

PEG Ratio: SUNCON is good value based on its PEG Ratio (0.8x)


Price to Book Ratio

PB vs Industry: SUNCON is overvalued based on its PB Ratio (3x) compared to the MY Construction industry average (0.8x).


Future Growth

How is Sunway Construction Group Berhad forecast to perform in the next 1 to 3 years based on estimates from 12 analysts?

31.5%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: SUNCON's forecast earnings growth (31.5% per year) is above the savings rate (3.6%).

Earnings vs Market: SUNCON's earnings (31.5% per year) are forecast to grow faster than the MY market (12.1% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: SUNCON's revenue (21.4% per year) is forecast to grow faster than the MY market (7.1% per year).

High Growth Revenue: SUNCON's revenue (21.4% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: SUNCON's Return on Equity is forecast to be low in 3 years time (19.7%).


Past Performance

How has Sunway Construction Group Berhad performed over the past 5 years?

-10.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: SUNCON has high quality earnings.

Growing Profit Margin: SUNCON's current net profit margins (4.5%) are lower than last year (5.3%).


Past Earnings Growth Analysis

Earnings Trend: SUNCON's earnings have declined by 10.5% per year over the past 5 years.

Accelerating Growth: SUNCON's earnings growth over the past year (5.2%) exceeds its 5-year average (-10.5% per year).

Earnings vs Industry: SUNCON earnings growth over the past year (5.2%) underperformed the Construction industry 11%.


Return on Equity

High ROE: SUNCON's Return on Equity (11.7%) is considered low.


Financial Health

How is Sunway Construction Group Berhad's financial position?


Financial Position Analysis

Short Term Liabilities: SUNCON's short term assets (MYR1.1B) exceed its short term liabilities (MYR876.0M).

Long Term Liabilities: SUNCON's short term assets (MYR1.1B) exceed its long term liabilities (MYR152.5M).


Debt to Equity History and Analysis

Debt Level: SUNCON has more cash than its total debt.

Reducing Debt: SUNCON's debt to equity ratio has increased from 16% to 35.5% over the past 5 years.

Debt Coverage: SUNCON's debt is well covered by operating cash flow (60.9%).

Interest Coverage: SUNCON's interest payments on its debt are well covered by EBIT (36.5x coverage).


Balance Sheet


Dividend

What is Sunway Construction Group Berhad current dividend yield, its reliability and sustainability?

2.74%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: SUNCON's dividend (2.74%) is higher than the bottom 25% of dividend payers in the MY market (1.69%).

High Dividend: SUNCON's dividend (2.74%) is low compared to the top 25% of dividend payers in the MY market (4.44%).


Stability and Growth of Payments

Stable Dividend: SUNCON has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: SUNCON has only been paying a dividend for 6 years, and since then payments have not increased.


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (66.1%), SUNCON's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: SUNCON's dividends in 3 years are forecast to be covered by earnings (55.5% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

2.8yrs

Average management tenure


CEO

Soo Chung (54 yo)

6.17yrs

Tenure

Mr. Chung Soo Kiong serves as the Group Managing Director of Sunway Construction Group Berhad since January 7, 2020. He had been the Managing Director of Sunway Construction Group Berhad since November 1,...


CEO Compensation Analysis

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

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


Leadership Team

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


Board Members

Experienced Board: SUNCON's board of directors are considered experienced (6.7 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

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


Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Sunway Construction Group Berhad's employee growth, exchange listings and data sources


Key Information

  • Name: Sunway Construction Group Berhad
  • Ticker: SUNCON
  • Exchange: KLSE
  • Founded: 1981
  • Industry: Construction and Engineering
  • Sector: Capital Goods
  • Implied Market Cap: RM1.882b
  • Shares outstanding: 1.29b
  • Website: https://www.sunwayconstruction.com.my

Location

  • Sunway Construction Group Berhad
  • Menara Sunway
  • Level 8
  • Subang Jaya
  • Selangor
  • 47500
  • Malaysia

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/01/23 11:02
End of Day Share Price2022/01/21 00:00
Earnings2021/09/30
Annual Earnings2020/12/31


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.