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F&N

Fraser & Neave Holdings Bhd KLSE:F&N Stock Report

Last Price

RM21.08

Market Cap

RM7.8b

7D

2.4%

1Y

-19.8%

Updated

01 Jul, 2022

Data

Company Financials +
F&N fundamental analysis
Snowflake Score
Valuation4/6
Future Growth2/6
Past Performance2/6
Financial Health6/6
Dividends2/6

F&N Stock Overview

Fraser & Neave Holdings Bhd, an investment holding company, manufactures and sells soft drinks, dairy, and food products in South East Asia, the Middle East, Africa, China, and internationally.

Fraser & Neave Holdings Bhd Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Fraser & Neave Holdings Bhd
Historical stock prices
Current Share PriceRM21.08
52 Week HighRM28.82
52 Week LowRM19.24
Beta0.17
1 Month Change7.44%
3 Month Change-1.95%
1 Year Change-19.79%
3 Year Change-39.70%
5 Year Change-17.01%
Change since IPO394.84%

Recent News & Updates

Jun 20
Here's What To Make Of Fraser & Neave Holdings Bhd's (KLSE:F&N) Decelerating Rates Of Return

Here's What To Make Of Fraser & Neave Holdings Bhd's (KLSE:F&N) Decelerating Rates Of Return

Finding a business that has the potential to grow substantially is not easy, but it is possible if we look at a few key...

Shareholder Returns

F&NMY BeverageMY Market
7D2.4%-1.3%0.5%
1Y-19.8%-6.8%-7.1%

Return vs Industry: F&N underperformed the MY Beverage industry which returned -7.1% over the past year.

Return vs Market: F&N underperformed the MY Market which returned -7.1% over the past year.

Price Volatility

Is F&N's price volatile compared to industry and market?
F&N volatility
F&N Average Weekly Movement4.9%
Beverage Industry Average Movement3.8%
Market Average Movement5.5%
10% most volatile stocks in MY Market11.2%
10% least volatile stocks in MY Market2.8%

Stable Share Price: F&N is not significantly more volatile than the rest of MY stocks over the past 3 months, typically moving +/- 5% a week.

Volatility Over Time: F&N's weekly volatility (5%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
18832,454Yew Hoe Limhttps://www.fn.com.my

Fraser & Neave Holdings Bhd, an investment holding company, manufactures and sells soft drinks, dairy, and food products in South East Asia, the Middle East, Africa, China, and internationally. The company operates through Food & Beverages (F&B) Malaysia; F&B Thailand; and Property and Others segments. It offers sweetened condensed, evaporated, packaged, pasteurized, UHT, canned, and sterilized milk; juice products; malt drinks; and mineral, sparkling, and drinking water.

Fraser & Neave Holdings Bhd Fundamentals Summary

How do Fraser & Neave Holdings Bhd's earnings and revenue compare to its market cap?
F&N fundamental statistics
Market CapRM7.78b
Earnings (TTM)RM341.67m
Revenue (TTM)RM4.17b

22.6x

P/E Ratio

1.9x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
F&N income statement (TTM)
RevenueRM4.17b
Cost of RevenueRM3.06b
Gross ProfitRM1.11b
Other ExpensesRM767.66m
EarningsRM341.67m

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

n/a

Earnings per share (EPS)0.93
Gross Margin26.60%
Net Profit Margin8.19%
Debt/Equity Ratio0.03%

How did F&N perform over the long term?

See historical performance and comparison

Dividends

2.8%

Current Dividend Yield

64%

Payout Ratio
We’ve recently updated our valuation analysis.

Valuation

Is F&N undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

4/6

Valuation Score 4/6

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • PEG Ratio

Key Valuation Metric

Which metric is best to use when looking at relative valuation for F&N?

Other financial metrics that can be useful for relative valuation.

F&N key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue1.8x
Enterprise Value/EBITDA14.9x
PEG Ratio1.7x

Price to Earnings Ratio vs Peers

How does F&N's PE Ratio compare to its peers?

F&N PE Ratio vs Peers
The above table shows the PE ratio for F&N vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average24.3x
PWROOT Power Root Berhad
26.4x17.7%RM690.7m
SPRITZER Spritzer Bhd
16.5x25.3%RM409.4m
HEIM Heineken Malaysia Berhad
24.1x10.3%RM7.0b
CARLSBG Carlsberg Brewery Malaysia Berhad
30.1x13.6%RM6.9b
F&N Fraser & Neave Holdings Bhd
22.6x13.3%RM7.8b

Price-To-Earnings vs Peers: F&N is good value based on its Price-To-Earnings Ratio (22.6x) compared to the peer average (24.3x).


Price to Earnings Ratio vs Industry

How does F&N's PE Ratio compare vs other companies in the Asian Beverage Industry?

Price-To-Earnings vs Industry: F&N is good value based on its Price-To-Earnings Ratio (22.6x) compared to the MY Beverage industry average (24.4x)


Price to Earnings Ratio vs Fair Ratio

What is F&N's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

F&N PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio22.6x
Fair PE Ratio22.9x

Price-To-Earnings vs Fair Ratio: F&N is good value based on its Price-To-Earnings Ratio (22.6x) compared to the estimated Fair Price-To-Earnings Ratio (22.9x).


Share Price vs Fair Value

What is the Fair Price of F&N when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: F&N (MYR21.08) is trading below our estimate of fair value (MYR24.33)

Significantly Below Fair Value: F&N is trading below fair value, but not by a significant amount.


Price to Earnings Growth Ratio

PEG Ratio: F&N is poor value based on its PEG Ratio (1.7x)


Discover undervalued companies

Future Growth

How is Fraser & Neave Holdings Bhd forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?

Future Growth Score

2/6

Future Growth Score 2/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


13.3%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: F&N's forecast earnings growth (13.3% per year) is above the savings rate (3.6%).

Earnings vs Market: F&N's earnings (13.3% per year) are forecast to grow faster than the MY market (10% per year).

High Growth Earnings: F&N's earnings are forecast to grow, but not significantly.

Revenue vs Market: F&N's revenue (4.5% per year) is forecast to grow slower than the MY market (5.2% per year).

High Growth Revenue: F&N's revenue (4.5% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: F&N's Return on Equity is forecast to be low in 3 years time (14.4%).


Discover growth companies

Past Performance

How has Fraser & Neave Holdings Bhd performed over the past 5 years?

Past Performance Score

2/6

Past Performance Score 2/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


3.2%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: F&N has high quality earnings.

Growing Profit Margin: F&N's current net profit margins (8.2%) are lower than last year (10.4%).


Past Earnings Growth Analysis

Earnings Trend: F&N's earnings have grown by 3.2% per year over the past 5 years.

Accelerating Growth: F&N's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: F&N had negative earnings growth (-18.7%) over the past year, making it difficult to compare to the Beverage industry average (-7.8%).


Return on Equity

High ROE: F&N's Return on Equity (11.8%) is considered low.


Discover strong past performing companies

Financial Health

How is Fraser & Neave Holdings Bhd's financial position?

Financial Health Score

6/6

Financial Health Score 6/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: F&N's short term assets (MYR1.9B) exceed its short term liabilities (MYR751.7M).

Long Term Liabilities: F&N's short term assets (MYR1.9B) exceed its long term liabilities (MYR164.3M).


Debt to Equity History and Analysis

Debt Level: F&N has more cash than its total debt.

Reducing Debt: F&N's debt to equity ratio has reduced from 18.4% to 0.04% over the past 5 years.

Debt Coverage: F&N's debt is well covered by operating cash flow (21602.7%).

Interest Coverage: F&N earns more interest than it pays, so coverage of interest payments is not a concern.


Balance Sheet


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Dividend

What is Fraser & Neave Holdings Bhd current dividend yield, its reliability and sustainability?

Dividend Score

3/6

Dividend Score 3/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Future Dividend Coverage


2.85%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: F&N's dividend (2.85%) is higher than the bottom 25% of dividend payers in the MY market (2.08%).

High Dividend: F&N's dividend (2.85%) is low compared to the top 25% of dividend payers in the MY market (4.91%).


Stability and Growth of Payments

Stable Dividend: F&N's dividend payments have been volatile in the past 10 years.

Growing Dividend: F&N's dividend payments have fallen over the past 10 years.


Earnings Payout to Shareholders

Earnings Coverage: With its reasonable payout ratio (64.4%), F&N's dividend payments are covered by earnings.


Cash Payout to Shareholders

Cash Flow Coverage: With its high cash payout ratio (2739.2%), F&N's dividend payments are not well covered by cash flows.


Discover strong dividend paying companies

Management

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

2.4yrs

Average management tenure


CEO

Yew Hoe Lim (56 yo)

7.5yrs

Tenure

Mr. Yew Hoe Lim has been the Chief Executive Officer of Fraser & Neave Holdings Bhd at Fraser and Neave, Limited since December 1, 2014 where he is responsible for overseeing and driving the growth strateg...


Leadership Team

Experienced Management: F&N's management team is considered experienced (2.4 years average tenure).


Board Members

Experienced Board: F&N's board of directors are considered experienced (4.4 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

Fraser & Neave Holdings Bhd's employee growth, exchange listings and data sources


Key Information

  • Name: Fraser & Neave Holdings Bhd
  • Ticker: F&N
  • Exchange: KLSE
  • Founded: 1883
  • Industry: Soft Drinks
  • Sector: Food, Beverage & Tobacco
  • Implied Market Cap: RM7.776b
  • Shares outstanding: 366.78m
  • Website: https://www.fn.com.my

Number of Employees


Location

  • Fraser & Neave Holdings Bhd
  • F&N Point
  • Level 3A
  • Kuala Lumpur
  • Wilayah Persekutuan
  • 55100
  • Malaysia

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/07/01 00:00
End of Day Share Price2022/07/01 00:00
Earnings2022/03/31
Annual Earnings2021/09/30


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.