REDtone Digital Berhad, an investment holding company, provides integrated telecommunications and digital infrastructure services to governments, enterprises, small and medium enterprises, and healthcare industries in Malaysia. More Details
Flawless balance sheet and fair value.
Share Price & News
How has REDtone Digital Berhad's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: REDTONE is not significantly more volatile than the rest of MY stocks over the past 3 months, typically moving +/- 5% a week.
Volatility Over Time: REDTONE's weekly volatility (5%) has been stable over the past year.
7 Day Return
1 Year Return
Return vs Industry: REDTONE underperformed the MY Telecom industry which returned 41.5% over the past year.
Return vs Market: REDTONE exceeded the MY Market which returned -1.6% over the past year.
Long-Term Price Volatility Vs. Market
How volatile is REDtone Digital Berhad's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 month ago | Simply Wall StREDtone Digital Berhad (KLSE:REDTONE) Stock Is Going Strong But Fundamentals Look Uncertain: What Lies Ahead ?
2 months ago | Simply Wall StREDtone Digital Berhad (KLSE:REDTONE) Shareholders Booked A 66% Gain In The Last Three Years
3 months ago | Simply Wall StIs REDtone Digital Berhad (KLSE:REDTONE) At Risk Of Cutting Its Dividend?
Is REDtone Digital Berhad undervalued compared to its fair value and its price relative to the market?
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: REDTONE (MYR0.44) is trading below our estimate of fair value (MYR3.37)
Significantly Below Fair Value: REDTONE is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: REDTONE is poor value based on its PE Ratio (32x) compared to the MY Telecom industry average (24.2x).
PE vs Market: REDTONE is poor value based on its PE Ratio (32x) compared to the MY market (17x).
Price to Earnings Growth Ratio
PEG Ratio: Insufficient data to calculate REDTONE's PEG Ratio to determine if it is good value.
Price to Book Ratio
PB vs Industry: REDTONE is good value based on its PB Ratio (2x) compared to the MY Telecom industry average (2.9x).
How is REDtone Digital Berhad forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?
Forecasted Telecom industry annual growth in earnings
In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as REDtone Digital Berhad has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.
This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.
How has REDtone Digital Berhad performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: REDTONE has a large one-off loss of MYR24.6M impacting its March 31 2021 financial results.
Growing Profit Margin: REDTONE's current net profit margins (6.7%) are higher than last year (5.5%).
Past Earnings Growth Analysis
Earnings Trend: REDTONE has become profitable over the past 5 years, growing earnings by 55.6% per year.
Accelerating Growth: REDTONE's earnings growth over the past year (9%) is below its 5-year average (55.6% per year).
Earnings vs Industry: REDTONE earnings growth over the past year (9%) exceeded the Telecom industry 0.6%.
Return on Equity
High ROE: REDTONE's Return on Equity (7.2%) is considered low.
How is REDtone Digital Berhad's financial position?
Financial Position Analysis
Short Term Liabilities: REDTONE's short term assets (MYR207.9M) exceed its short term liabilities (MYR77.8M).
Long Term Liabilities: REDTONE's short term assets (MYR207.9M) exceed its long term liabilities (MYR4.3M).
Debt to Equity History and Analysis
Debt Level: REDTONE's debt to equity ratio (0.8%) is considered satisfactory.
Reducing Debt: REDTONE's debt to equity ratio has reduced from 15.2% to 0.8% over the past 5 years.
Debt Coverage: REDTONE's debt is well covered by operating cash flow (4435.8%).
Interest Coverage: REDTONE earns more interest than it pays, so coverage of interest payments is not a concern.
What is REDtone Digital Berhad current dividend yield, its reliability and sustainability?
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: REDTONE's dividend (4.09%) is higher than the bottom 25% of dividend payers in the MY market (1.51%).
High Dividend: REDTONE's dividend (4.09%) is low compared to the top 25% of dividend payers in the MY market (4.22%).
Stability and Growth of Payments
Stable Dividend: REDTONE has been paying a dividend for less than 10 years and during this time payments have been volatile.
Growing Dividend: REDTONE's dividend payments have increased, but the company has only paid a dividend for 8 years.
Current Payout to Shareholders
Dividend Coverage: With its high payout ratio (130.8%), REDTONE's dividend payments are not well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Bik Lau (51 yo)
Mr. Bik Soon Lau has been the Group Chief Executive Officer of REDtone International Bhd since July 08, 2011. Mr. Lau served as Chief Executive Officer of REDtone Telecommunications of REDtone Internationa...
CEO Compensation Analysis
Compensation vs Market: Insufficient data to establish whether Bik's total compensation is reasonable compared to companies of similar size in the MY market.
Compensation vs Earnings: Insufficient data to compare Bik's compensation with company performance.
Experienced Management: REDTONE's management team is seasoned and experienced (7.2 years average tenure).
Experienced Board: REDTONE's board of directors are considered experienced (6.5 years average tenure).
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.
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
REDtone Digital Berhad's company bio, employee growth, exchange listings and data sources
- Name: REDtone Digital Berhad
- Ticker: REDTONE
- Exchange: KLSE
- Founded: 1996
- Industry: Alternative Carriers
- Sector: Telecom
- Market Cap: RM340.099m
- Shares outstanding: 772.95m
- Website: https://www.redtone.com
- REDtone Digital Berhad
- IOI Business Park
- 5th Floor
REDtone Digital Berhad, an investment holding company, provides integrated telecommunications and digital infrastructure services to governments, enterprises, small and medium enterprises, and healthcare i...
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2021/08/05 15:35|
|End of Day Share Price||2021/08/05 00:00|
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.