New Risk • May 15
New minor risk - Dividend sustainability The company has an unstable dividend paying track record. The dividend has had an annual drop of over 20% in the past. Dividend yield: 2.8% This is considered a minor risk. If the company has cut or reduced its dividend in the past, it may be a sign that the underlying business is too cyclical to consistently maintain or grow the dividend over the long-term. It may also indicate the company prioritizes other outcomes instead of maintaining the dividend. For dividend paying companies, any reduction in the dividend can significantly impact the share price. Currently, the following risks have been identified for the company: Minor Risks High level of debt (43% net debt to equity). Unstable dividend paying track record with dividend experiencing an annual drop of over 20% in the past. Reported Earnings • May 14
First quarter 2026 earnings released: EPS: ₱17.72 (vs ₱16.41 in 1Q 2025) First quarter 2026 results: EPS: ₱17.72 (up from ₱16.41 in 1Q 2025). Revenue: ₱159.4b (up 4.9% from 1Q 2025). Net income: ₱21.5b (up 7.3% from 1Q 2025). Profit margin: 14% (in line with 1Q 2025). Revenue is forecast to grow 4.7% p.a. on average during the next 3 years, compared to a 3.5% growth forecast for the Industrials industry in Philippines. Over the last 3 years on average, earnings per share has increased by 9% per year but the company’s share price has fallen by 12% per year, which means it is significantly lagging earnings. Price Target Changed • May 05
Price target decreased by 9.9% to ₱924 Down from ₱1,025, the current price target is an average from 9 analysts. New target price is 52% above last closing price of ₱608. Stock is down 31% over the past year. The company is forecast to post earnings per share of ₱77.14 for next year compared to ₱74.17 last year. Declared Dividend • May 01
Dividend of ₱17.00 announced Shareholders will receive a dividend of ₱17.00. Ex-date: 13th May 2026 Payment date: 28th May 2026 Dividend yield will be 2.8%, which is higher than the industry average of 2.2%. Sustainability & Growth Dividend is well covered by both earnings (16% earnings payout ratio) and cash flows (13% cash payout ratio). The dividend has increased by an average of 4.5% per year over the past 10 years. However, payments have been volatile during that time. EPS is expected to grow by 20% over the next 3 years, which should provide support to the dividend and adequate earnings cover. Announcement • Apr 30
SM Investments Corporation announces Annual dividend, payable on May 28, 2026 SM Investments Corporation announced Annual dividend of PHP 17.0000 per share payable on May 28, 2026, ex-date on May 13, 2026 and record date on May 14, 2026. Buy Or Sell Opportunity • Mar 09
Now 23% undervalued after recent price drop Over the last 90 days, the stock has fallen 9.4% to ₱638. The fair value is estimated to be ₱828, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 6.3% over the last 3 years. Earnings per share has grown by 10%. Revenue is forecast to grow by 10% in 2 years. Earnings are forecast to grow by 14% in the next 2 years. Reported Earnings • Mar 02
Full year 2025 earnings: EPS exceeds analyst expectations while revenues lag behind Full year 2025 results: EPS: ₱74.16 (up from ₱67.60 in FY 2024). Revenue: ₱681.7b (up 4.1% from FY 2024). Net income: ₱90.5b (up 9.5% from FY 2024). Profit margin: 13% (in line with FY 2024). Revenue missed analyst estimates by 2.3%. Earnings per share (EPS) exceeded analyst estimates by 1.4%. Revenue is forecast to grow 4.8% p.a. on average during the next 2 years, compared to a 4.9% growth forecast for the Industrials industry in Philippines. Over the last 3 years on average, earnings per share has increased by 10% per year but the company’s share price has fallen by 8% per year, which means it is significantly lagging earnings. Announcement • Jan 21
SM Investments Corporation, Annual General Meeting, Apr 29, 2026 SM Investments Corporation, Annual General Meeting, Apr 29, 2026, at 14:30 W. Australia Standard Time. Location: saffron grand ballroom, lanson place, seaside blvd., mall of asia asia complex, pasay Philippines Reported Earnings • Nov 15
Third quarter 2025 earnings: Revenues exceed analysts expectations while EPS lags behind Third quarter 2025 results: EPS: ₱17.89 (up from ₱16.93 in 3Q 2024). Revenue: ₱163.1b (up 1.3% from 3Q 2024). Net income: ₱21.8b (up 5.5% from 3Q 2024). Profit margin: 13% (in line with 3Q 2024). Revenue exceeded analyst estimates by 1.4%. Earnings per share (EPS) missed analyst estimates by 4.8%. Revenue is forecast to grow 6.5% p.a. on average during the next 3 years, compared to a 5.1% growth forecast for the Industrials industry in Philippines. Over the last 3 years on average, earnings per share has increased by 12% per year but the company’s share price has fallen by 8% per year, which means it is significantly lagging earnings. Recent Insider Transactions • Aug 20
Vice Chairperson of the Board recently bought ₱2.2b worth of stock On the 12th of August, Teresita Sy-Coson bought around 3m shares on-market at roughly ₱793 per share. This transaction amounted to 3.2% of their direct individual holding at the time of the trade. This was the largest purchase by an insider in the last 3 months. This was Teresita's only on-market trade for the last 12 months. Reported Earnings • Aug 15
Second quarter 2025 earnings: EPS exceeds analyst expectations Second quarter 2025 results: EPS: ₱18.43 (up from ₱17.85 in 2Q 2024). Revenue: ₱167.2b (up 6.0% from 2Q 2024). Net income: ₱22.5b (up 3.2% from 2Q 2024). Profit margin: 14% (in line with 2Q 2024). Revenue was in line with analyst estimates. Earnings per share (EPS) surpassed analyst estimates by 2.2%. Revenue is forecast to grow 5.6% p.a. on average during the next 3 years, compared to a 4.8% growth forecast for the Industrials industry in Philippines. Over the last 3 years on average, earnings per share has increased by 16% per year but the company’s share price has fallen by 3% per year, which means it is significantly lagging earnings. Reported Earnings • May 15
First quarter 2025 earnings released: EPS: ₱16.41 (vs ₱15.05 in 1Q 2024) First quarter 2025 results: EPS: ₱16.41 (up from ₱15.05 in 1Q 2024). Revenue: ₱152.0b (up 5.8% from 1Q 2024). Net income: ₱20.1b (up 9.0% from 1Q 2024). Profit margin: 13% (in line with 1Q 2024). Revenue is forecast to grow 5.7% p.a. on average during the next 3 years, compared to a 5.1% growth forecast for the Industrials industry in Philippines. Over the last 3 years on average, earnings per share has increased by 19% per year but the company’s share price has only increased by 2% per year, which means it is significantly lagging earnings growth. Declared Dividend • May 02
Dividend of ₱13.00 announced Shareholders will receive a dividend of ₱13.00. Ex-date: 15th May 2025 Payment date: 29th May 2025 Dividend yield will be 1.5%, which is lower than the industry average of 2.2%. Payout Ratios Payout ratio: 13%. Cash payout ratio: 12%. Announcement • May 01
SM Investments Corporation announces Annual dividend, payable on May 29, 2025 SM Investments Corporation announced Annual dividend of PHP 2.0000 per share payable on May 29, 2025, ex-date on May 15, 2025 and record date on May 16, 2025. Reported Earnings • Mar 04
Full year 2024 earnings: EPS in line with expectations, revenues disappoint Full year 2024 results: EPS: ₱67.60 (up from ₱63.00 in FY 2023). Revenue: ₱654.8b (up 6.3% from FY 2023). Net income: ₱82.6b (up 7.3% from FY 2023). Profit margin: 13% (in line with FY 2023). Revenue missed analyst estimates by 3.2%. Earnings per share (EPS) were mostly in line with analyst estimates. Revenue is forecast to grow 5.9% p.a. on average during the next 2 years, compared to a 4.8% growth forecast for the Industrials industry in Philippines. Over the last 3 years on average, earnings per share has increased by 22% per year but the company’s share price has fallen by 3% per year, which means it is significantly lagging earnings. Announcement • Jan 22
SM Investments Corporation, Annual General Meeting, Apr 30, 2025 SM Investments Corporation, Annual General Meeting, Apr 30, 2025, at 14:30 W. Australia Standard Time. Location: forbes ballroom 1 & 2, conrad manila, seaside blvd. corner coralway, mall of asia complex, pasay Philippines Reported Earnings • Nov 16
Third quarter 2024 earnings: EPS and revenues exceed analyst expectations Third quarter 2024 results: EPS: ₱16.93 (up from ₱15.83 in 3Q 2023). Revenue: ₱161.0b (up 4.8% from 3Q 2023). Net income: ₱20.7b (up 6.9% from 3Q 2023). Profit margin: 13% (in line with 3Q 2023). Revenue exceeded analyst estimates by 8.0%. Earnings per share (EPS) also surpassed analyst estimates by 4.5%. Revenue is forecast to grow 5.6% p.a. on average during the next 3 years, compared to a 3.7% growth forecast for the Industrials industry in Philippines. Over the last 3 years on average, earnings per share has increased by 26% per year but the company’s share price has fallen by 4% per year, which means it is significantly lagging earnings. Recent Insider Transactions • Oct 15
Executive Director recently sold ₱6.0m worth of stock On the 7th of October, Harley Sy sold around 6k shares on-market at roughly ₱1,005 per share. This transaction amounted to less than 1% of their direct individual holding at the time of the trade. In the last 3 months, they made an even bigger sale worth ₱23m. Insiders have been net sellers, collectively disposing of ₱408m more than they bought in the last 12 months. Recent Insider Transactions • Sep 28
Executive Director recently sold ₱23m worth of stock On the 24th of September, Harley Sy sold around 23k shares on-market at roughly ₱995 per share. This transaction amounted to less than 1% of their direct individual holding at the time of the trade. This was the largest sale by an insider in the last 3 months. Insiders have been net sellers, collectively disposing of ₱402m more than they bought in the last 12 months. Reported Earnings • Aug 15
Second quarter 2024 earnings: EPS and revenues exceed analyst expectations Second quarter 2024 results: EPS: ₱17.85 (up from ₱15.74 in 2Q 2023). Revenue: ₱157.7b (up 6.4% from 2Q 2023). Net income: ₱21.8b (up 13% from 2Q 2023). Profit margin: 14% (in line with 2Q 2023). Revenue exceeded analyst estimates by 10%. Earnings per share (EPS) also surpassed analyst estimates by 13%. Revenue is forecast to grow 5.1% p.a. on average during the next 3 years, compared to a 4.6% growth forecast for the Industrials industry in Philippines. Over the last 3 years on average, earnings per share has increased by 28% per year but the company’s share price has fallen by 3% per year, which means it is significantly lagging earnings. Announcement • Aug 07
SM Investments Corporation Approves Executive Promotion The Board of Directors of SM Investments Corporation at its regular Board meeting held August 7, 2024, approved Promotion of Ms. Elizabeth Anne C. Uychaco from Senior Vice President to Executive Vice President and Promotion of Mr. Franklin C. Gomez from Senior Vice President to Executive Vice President. Effective from August 07, 2024. Reported Earnings • May 16
First quarter 2024 earnings: EPS misses analyst expectations First quarter 2024 results: EPS: ₱15.05 (up from ₱14.16 in 1Q 2023). Revenue: ₱143.7b (up 3.9% from 1Q 2023). Net income: ₱18.4b (up 6.3% from 1Q 2023). Profit margin: 13% (in line with 1Q 2023). Revenue was in line with analyst estimates. Earnings per share (EPS) missed analyst estimates by 4.4%. Revenue is forecast to grow 5.7% p.a. on average during the next 3 years, compared to a 3.5% growth forecast for the Industrials industry in Philippines. Over the last 3 years on average, earnings per share has increased by 32% per year but the company’s share price has fallen by 1% per year, which means it is significantly lagging earnings. Announcement • May 03
SM Investments Corporation Announces Executive and Board Changes SM Investments Corporation announced that at the Organizational Board Meeting of held on April 24, 2024, following were elected/appointed: Ulysses C. Naguit as SVP - Information Technology Shared Services. The members of the Board of Directors appointed Joseph Phi as Independent Adviser to the Board. Declared Dividend • Apr 26
Dividend increased to ₱9.00 Dividend of ₱9.00 is 20% higher than last year. Ex-date: 8th May 2024 Payment date: 23rd May 2024 Dividend yield will be 0.9%, which is lower than the industry average of 2.2%. Payout Ratios Payout ratio: 12%. Cash payout ratio: 12%. Announcement • Apr 25
SM Investments Corporation Elects Elects Lily K. Gruba as Independent Director SM Investments Corporation at the AGM held on April 24, 2024 elected Lily K. Gruba as Independent Director which shall be effective upon approval of the Securities and Exchange Commission of the increase in number of directors of SMIC from eight (8) to nine (9). Announcement • Apr 24
SM Investments Corporation Declares Dividend for 2023, Payable on May 23, 2024 SM Investments declared an increase in dividend payout to PHP 11.0 billion or PHP 9.00 per share of stockholders on record as of May 9, 2024. The dividends are payable on May 23, 2024. The dividend declaration represents a 20% increase from the previous year's PHP 7.50 per share. Recent Insider Transactions • Apr 06
Executive Director recently sold ₱7.4m worth of stock On the 2nd of April, Harley Sy sold around 7k shares on-market at roughly ₱1,004 per share. This transaction amounted to less than 1% of their direct individual holding at the time of the trade. In the last 3 months, they made an even bigger sale worth ₱148m. Insiders have been net sellers, collectively disposing of ₱738m more than they bought in the last 12 months. Announcement • Mar 28
SM Investments Corporation (PSE:SM) acquired 28.79% stake in Citicore Energy REIT Corp. (PSE:CREIT) from Citicore Renewable Energy Corporation (PSE:CREC) for PHP5 billion. SM Investments Corporation (PSE:SM) acquired 28.79% stake in Citicore Energy REIT Corp. (PSE:CREIT) from Citicore Renewable Energy Corporation (PSE:CREC) for PHP5 billion on March 27, 2024.SM Investments Corporation (PSE:SM) completed the acquisition of 28.79% stake in Citicore Energy REIT Corp. (PSE:CREIT) from Citicore Renewable Energy Corporation (PSE:CREC) for PHP5 billion on March 27, 2024. Recent Insider Transactions • Mar 19
Executive Director recently sold ₱148m worth of stock On the 12th of March, Harley Sy sold around 150k shares on-market at roughly ₱986 per share. This transaction amounted to less than 1% of their direct individual holding at the time of the trade. This was the largest sale by an insider in the last 3 months. Insiders have been net sellers, collectively disposing of ₱620m more than they bought in the last 12 months. Major Estimate Revision • Mar 12
Consensus EPS estimates increase by 11% The consensus outlook for fiscal year 2024 has been updated. 2024 EPS estimate increased from ₱70.77 to ₱78.26. Revenue forecast steady at ₱625.1b. Net income forecast to grow 24% next year vs 25% growth forecast for Industrials industry in Philippines. Consensus price target broadly unchanged at ₱1,167. Share price rose 2.1% to ₱983 over the past week. Recent Insider Transactions • Mar 09
Executive Director recently sold ₱114m worth of stock On the 5th of March, Harley Sy sold around 120k shares on-market at roughly ₱952 per share. This transaction amounted to less than 1% of their direct individual holding at the time of the trade. This was the largest sale by an insider in the last 3 months. Insiders have been net sellers, collectively disposing of ₱472m more than they bought in the last 12 months. Reported Earnings • Mar 01
Full year 2023 earnings: Revenues and EPS in line with analyst expectations Full year 2023 results: EPS: ₱63.00 (up from ₱50.88 in FY 2022). Revenue: ₱616.3b (up 11% from FY 2022). Net income: ₱77.0b (up 25% from FY 2022). Profit margin: 13% (up from 11% in FY 2022). The increase in margin was driven by higher revenue. Revenue was in line with analyst estimates. Earnings per share (EPS) were also in line with analyst expectations. Revenue is forecast to grow 4.6% p.a. on average during the next 2 years, compared to a 4.0% growth forecast for the Industrials industry in Philippines. Over the last 3 years on average, earnings per share has increased by 36% per year but the company’s share price has fallen by 3% per year, which means it is significantly lagging earnings. Announcement • Jan 24
SM Investments Corporation, Annual General Meeting, Apr 24, 2024 SM Investments Corporation, Annual General Meeting, Apr 24, 2024, at 14:30 Singapore Standard Time. Location: Forbes Ballroom 1 & 2, Conrad Manila, Seaside Blvd. corner Coral way Mall of Asia Complex Pasay City Philippines Reported Earnings • Nov 15
Third quarter 2023 earnings: EPS and revenues exceed analyst expectations Third quarter 2023 results: EPS: ₱15.83 (up from ₱12.47 in 3Q 2022). Revenue: ₱154.0b (up 10% from 3Q 2022). Net income: ₱19.4b (up 28% from 3Q 2022). Profit margin: 13% (up from 11% in 3Q 2022). The increase in margin was driven by higher revenue. Revenue exceeded analyst estimates by 4.9%. Earnings per share (EPS) also surpassed analyst estimates by 3.6%. Revenue is forecast to grow 6.0% p.a. on average during the next 3 years, compared to a 2.9% growth forecast for the Industrials industry in Philippines. Over the last 3 years on average, earnings per share has increased by 37% per year but the company’s share price has fallen by 7% per year, which means it is significantly lagging earnings. Announcement • Nov 09
SM Investments Corporation Announces Change in Officers SM Investments Corporation approved the resignation of Mr. Anastacio C. Balubar II as Vice President of Internal Audit, effective November 4, 2023 and appointment of Ms. Shiela Alarcio as Chief Audit Executive, effective December 1, 2023. Recent Insider Transactions • Sep 22
Independent Director recently bought ₱872k worth of stock On the 14th of September, Ramon Lopez bought around 1k shares on-market at roughly ₱807 per share. This transaction increased Ramon's direct individual holding by 11x at the time of the trade. This was the largest purchase by an insider in the last 3 months. Despite this recent purchase, insiders have collectively sold ₱274m more in shares than they bought in the last 12 months. Reported Earnings • Aug 12
Second quarter 2023 earnings: EPS and revenues exceed analyst expectations Second quarter 2023 results: EPS: ₱15.74 (up from ₱12.22 in 2Q 2022). Revenue: ₱148.2b (up 15% from 2Q 2022). Net income: ₱19.2b (up 31% from 2Q 2022). Profit margin: 13% (up from 11% in 2Q 2022). The increase in margin was driven by higher revenue. Revenue exceeded analyst estimates by 14%. Earnings per share (EPS) also surpassed analyst estimates by 31%. Revenue is forecast to grow 5.2% p.a. on average during the next 3 years, compared to a 2.6% growth forecast for the Industrials industry in Philippines. Over the last 3 years on average, earnings per share has increased by 36% per year but the company’s share price has fallen by 1% per year, which means it is significantly lagging earnings. Recent Insider Transactions • Aug 01
Executive Director recently sold ₱7.5m worth of stock On the 26th of July, Harley Sy sold around 8k shares on-market at roughly ₱936 per share. This transaction amounted to less than 1% of their direct individual holding at the time of the trade. In the last 3 months, they made an even bigger sale worth ₱93m. Insiders have been net sellers, collectively disposing of ₱274m more than they bought in the last 12 months. Recent Insider Transactions • Jul 25
Executive Director recently sold ₱2.3m worth of stock On the 17th of July, Harley Sy sold around 2k shares on-market at roughly ₱942 per share. This transaction amounted to less than 1% of their direct individual holding at the time of the trade. In the last 3 months, they made an even bigger sale worth ₱93m. Insiders have been net sellers, collectively disposing of ₱238m more than they bought in the last 12 months. Recent Insider Transactions • Jul 20
Executive Director recently sold ₱79m worth of stock On the 14th of July, Harley Sy sold around 83k shares on-market at roughly ₱946 per share. This transaction amounted to less than 1% of their direct individual holding at the time of the trade. In the last 3 months, they made an even bigger sale worth ₱93m. Insiders have been net sellers, collectively disposing of ₱227m more than they bought in the last 12 months. Recent Insider Transactions • Jul 11
Executive Director recently sold ₱16m worth of stock On the 6th of July, Harley Sy sold around 17k shares on-market at roughly ₱939 per share. This transaction amounted to less than 1% of their direct individual holding at the time of the trade. In the last 3 months, they made an even bigger sale worth ₱93m. Insiders have been net sellers, collectively disposing of ₱101m more than they bought in the last 12 months. Recent Insider Transactions • Jul 05
Executive Director recently sold ₱9.3m worth of stock On the 26th of June, Harley Sy sold around 10k shares on-market at roughly ₱930 per share. This transaction amounted to less than 1% of their direct individual holding at the time of the trade. In the last 3 months, they made an even bigger sale worth ₱70m. Insiders have been net sellers, collectively disposing of ₱43m more than they bought in the last 12 months. Recent Insider Transactions • Jun 28
Executive Director recently sold ₱4.9m worth of stock On the 21st of June, Harley Sy sold around 5k shares on-market at roughly ₱924 per share. This transaction amounted to less than 1% of their direct individual holding at the time of the trade. In the last 3 months, they made an even bigger sale worth ₱70m. Insiders have been net sellers, collectively disposing of ₱33m more than they bought in the last 12 months. Recent Insider Transactions • Jun 22
Executive Director recently sold ₱22m worth of stock On the 15th of June, Harley Sy sold around 24k shares on-market at roughly ₱930 per share. This transaction amounted to less than 1% of their direct individual holding at the time of the trade. In the last 3 months, they made an even bigger sale worth ₱70m. Insiders have been net sellers, collectively disposing of ₱19m more than they bought in the last 12 months. Announcement • Jun 17
Sm Investments Corporation Announces Executive Changes Board of Directors of SM Investments Corporation, at its special Board Meeting held, June 16, 2023, approved the following: (1) Acceptance of the retirement of Mr. Jose T. Sio as Chairman and Director, (2) Designation of Mr. Jose T. Sio as Chairman Emeritus, (3) Election of Mr. Amando M. Tetangco, Jr. as Independent Director, (4) Appointment of Mr. Amando M. Tetangco, Jr. as Chairman, and (5) Appointment of Mr. Amando M. Tetangco, Jr. as member of the Audit Committee Compensation Committee, Related Party Transactions Committee and Ris Management Committee. Mr. Tetangco, 70, was a career central banker for over four decades. He served as the Governor of the Bangko Sentral ng Pilipinas and Chairman of the Monetary Board for two consecutive terms (July 2005 - July 2017). As Governor, he held other government positions, such as Chairman of the Anti-Money Laundering Council, the Financial Stability Coordination Council and the Philippine International Convention Center. Overseas, he served as Alternate Executive Director of the International Monetary Fund in 1992 - 1994. He also chaired various international groups such as the Bank for International Settlements Asian Consultative Council, Financial Stability Board Regional Consultative Group for Asia and the Alliance for Financial Inclusion Steering Committee. Prior to joining the Central Bank in 1974, he worked at the ManagementServices Division of SGV and Co. in 1973 -1974. He is Vice Chairman of SM Prime Holdings Inc., and is currently, an independent director of Belle Corporation, Converge ICT Solutions Inc. and Shell Pilipinas Corporation. He also sits on the board of Toyota Motor Corporation, CIBI Information Inc. and The Manila Hotel. He is a Trustee of the St. Luke's Medical Center, Tan Yan Kee Foundation Inc., and Foundation for Liberty and Prosperity. He is also a member of the international advisory board of the Graduate Institute for Policy Studies in Tokyo, Japan and the Asia School of Business in Kuala Lumpur, Malaysia. He is the recipient of various awards, among which are the Order of Lakandula with the rank of Bayani conferred by the President of the Philippines in 2009 and the Order of the Rising Sun, Gold and Silver Star given by the Emperor of Japan in 2019. Recent Insider Transactions • May 31
Executive Director recently sold ₱22m worth of stock On the 26th of May, Harley Sy sold around 25k shares on-market at roughly ₱882 per share. This transaction amounted to less than 1% of their direct individual holding at the time of the trade. This was the largest sale by an insider in the last 3 months. Despite this recent sale, insiders have collectively bought ₱104m more than they sold in the last 12 months. Reported Earnings • May 16
First quarter 2023 earnings released: EPS: ₱14.16 (vs ₱9.96 in 1Q 2022) First quarter 2023 results: EPS: ₱14.16 (up from ₱9.96 in 1Q 2022). Revenue: ₱138.2b (up 23% from 1Q 2022). Net income: ₱17.3b (up 44% from 1Q 2022). Profit margin: 13% (up from 11% in 1Q 2022). The increase in margin was driven by higher revenue. Revenue is forecast to grow 4.2% p.a. on average during the next 3 years, compared to a 3.0% growth forecast for the Industrials industry in Philippines. Over the last 3 years on average, earnings per share has increased by 27% per year but the company’s share price has only increased by 5% per year, which means it is significantly lagging earnings growth. Upcoming Dividend • May 02
Upcoming dividend of ₱7.50 per share at 0.7% yield Eligible shareholders must have bought the stock before 08 May 2023. Payment date: 25 May 2023. Payout ratio is a comfortable 14% and this is well supported by cash flows. Trailing yield: 0.7%. Lower than top quartile of Filipino dividend payers (5.7%). Lower than average of industry peers (2.2%). Major Estimate Revision • Mar 08
Consensus EPS estimates increase by 21% The consensus outlook for earnings per share (EPS) in fiscal year 2023 has improved. 2023 revenue forecast increased from ₱532.3b to ₱552.5b. EPS estimate increased from ₱52.55 to ₱63.81 per share. Net income forecast to grow 25% next year vs 9.6% growth forecast for Industrials industry in Philippines. Consensus price target broadly unchanged at ₱1,092. Share price was steady at ₱880 over the past week. Reported Earnings • Mar 02
Full year 2022 earnings released: EPS: ₱50.88 (vs ₱31.96 in FY 2021) Full year 2022 results: EPS: ₱50.88 (up from ₱31.96 in FY 2021). Revenue: ₱553.8b (up 29% from FY 2021). Net income: ₱61.7b (up 60% from FY 2021). Profit margin: 11% (up from 9.0% in FY 2021). The increase in margin was driven by higher revenue. Revenue is forecast to grow 2.1% p.a. on average during the next 2 years, compared to a 7.8% growth forecast for the Industrials industry in Philippines. Over the last 3 years on average, earnings per share has increased by 17% per year but the company’s share price has fallen by 2% per year, which means it is significantly lagging earnings. Announcement • Jan 19
SM Investments Corporation, Annual General Meeting, Apr 26, 2023 SM Investments Corporation, Annual General Meeting, Apr 26, 2023, at 14:30 Singapore Standard Time. Major Estimate Revision • Dec 03
Consensus EPS estimates fall by 10% The consensus outlook for earnings per share (EPS) in 2022 has deteriorated. 2022 revenue forecast decreased from ₱506.0b to ₱490.0b. EPS estimate also fell from ₱47.21 per share to ₱42.35 per share. Net income forecast to grow 13% next year vs 6.5% growth forecast for Industrials industry in Philippines. Consensus price target broadly unchanged at ₱1,077. Share price was steady at ₱902 over the past week. Major Estimate Revision • Nov 23
Consensus EPS estimates increase by 16% The consensus outlook for earnings per share (EPS) in 2022 has improved. 2022 revenue forecast increased from ₱463.4b to ₱502.4b. EPS estimate increased from ₱40.34 to ₱46.92 per share. Net income forecast to grow 15% next year vs 6.5% growth forecast for Industrials industry in Philippines. Consensus price target broadly unchanged at ₱1,050. Share price was steady at ₱869 over the past week. Board Change • Nov 16
Less than half of directors are independent There is 1 new director who has joined the board in the last 3 years. The new board member was an independent director. The company's board is composed of: 1 new director. 3 experienced directors. 4 highly experienced directors. 3 independent directors (5 non-independent directors). Independent Director Ramon Lopez was the last independent director to join the board, commencing their role in 2022. The following issues are considered to be risks according to the Simply Wall St Risk Model: Minority of independent directors. Insufficient board refreshment. Announcement • Aug 27
SM Investments Corporation (PSE:SM) completed the acquisition of 16% stake in Airspeed International Corporation from AIC Group Of Companies Holding Corp. SM Investments Corporation (PSE:SM) agreed to acquire 16% stake in Airspeed International Corporation from AIC Group Of Companies Holding Corp. on August 24, 2022. The transaction will increase SMIC’s shareholdings in Airspeed from the existing 35% to 51% of the outstanding voting capital stock of Airspeed, making Airspeed a subsidiary of SMIC. Board of Directors of SM Investments Corporation approved the deal. The transaction is approved by board of director of SM Investments Corporation (PSE:SM).
SM Investments Corporation (PSE:SM) completed the acquisition of 16% stake in Airspeed International Corporation from AIC Group Of Companies Holding Corp. on August 25, 2022. Announcement • Aug 25
SM Investments Corporation (PSE:SM) agreed to acquire 16% stake in Airspeed International Corporation from AIC Group Of Companies Holding Corp.. SM Investments Corporation (PSE:SM) agreed to acquire 16% stake in Airspeed International Corporation from AIC Group Of Companies Holding Corp. on August 24, 2022. The transaction will increase SMIC’s shareholdings in Airspeed from the existing 35% to 51% of the outstanding voting capital stock of Airspeed, making Airspeed a subsidiary of SMIC. Board of Directors of SM Investments Corporation approved the deal. Reported Earnings • Aug 12
Second quarter 2022 earnings released: EPS: ₱11.22 (vs ₱8.82 in 2Q 2021) Second quarter 2022 results: EPS: ₱11.22 (up from ₱8.82 in 2Q 2021). Revenue: ₱126.3b (up 31% from 2Q 2021). Net income: ₱13.5b (up 27% from 2Q 2021). Profit margin: 11% (in line with 2Q 2021). Over the next year, revenue is forecast to grow 2.5%, compared to a 6.5% growth forecast for the industry in Philippines. Over the last 3 years on average, earnings per share has fallen by 2% per year whereas the company’s share price has fallen by 6% per year. Recent Insider Transactions • Aug 10
Executive Director recently bought ₱5.2b worth of stock On the 1st of August, Harley Sy bought around 6m shares on-market at roughly ₱904 per share. This was the largest purchase by an insider in the last 3 months. Insiders have collectively bought ₱5.4b more in shares than they have sold in the last 12 months. Recent Insider Transactions • Aug 02
Vice Chairperson of the Board recently bought ₱2.3m worth of stock On the 26th of July, Teresita Sy-Coson bought around 3k shares on-market at roughly ₱781 per share. In the last 3 months, they made an even bigger purchase worth ₱50m. Teresita has been a buyer over the last 12 months, purchasing a net total of ₱126m worth in shares. Recent Insider Transactions • Jul 27
Vice Chairperson of the Board recently bought ₱8.2m worth of stock On the 21st of July, Teresita Sy-Coson bought around 11k shares on-market at roughly ₱776 per share. In the last 3 months, they made an even bigger purchase worth ₱50m. Teresita has been a buyer over the last 12 months, purchasing a net total of ₱124m worth in shares. Recent Insider Transactions • Jul 21
Vice Chairperson of the Board recently bought ₱48m worth of stock On the 15th of July, Teresita Sy-Coson bought around 62k shares on-market at roughly ₱771 per share. In the last 3 months, they made an even bigger purchase worth ₱50m. Teresita has been a buyer over the last 12 months, purchasing a net total of ₱116m worth in shares. Buying Opportunity • Jul 14
Now 21% undervalued after recent price drop Over the last 90 days, the stock is down 11%. The fair value is estimated to be ₱977, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has declined by 6.6% over the last 3 years. Earnings per share has declined by 6.7%. Revenue is forecast to grow by 17% in 2 years. Earnings is forecast to grow by 46% in the next 2 years. Recent Insider Transactions • Jul 06
Vice Chairperson of the Board recently bought ₱385k worth of stock On the 1st of July, Teresita Sy-Coson bought around 500 shares on-market at roughly ₱770 per share. In the last 3 months, they made an even bigger purchase worth ₱50m. Teresita has been a buyer over the last 12 months, purchasing a net total of ₱68m worth in shares. Announcement • Jul 02
SM Investments Corporation Announces Resignation of Alfredo E. Pascual as Independent Director SM Investments Corporation announced that Mr. Alfredo E. Pascual, Independent Director of SM Investments Corporation, has tendered his resignation effective June 30, 2022. Mr. Pascual has been appointed as Secretary of the Department of Trade and Industry. Recent Insider Transactions • Jun 29
Vice Chairperson of the Board recently bought ₱17m worth of stock On the 22nd of June, Teresita Sy-Coson bought around 22k shares on-market at roughly ₱767 per share. In the last 3 months, they made an even bigger purchase worth ₱50m. Teresita has been a buyer over the last 12 months, purchasing a net total of ₱67m worth in shares. Recent Insider Transactions • Jun 22
Vice Chairperson of the Board recently bought ₱50m worth of stock On the 17th of June, Teresita Sy-Coson bought around 64k shares on-market at roughly ₱789 per share. This was the largest purchase by an insider in the last 3 months. This was Teresita's only on-market trade for the last 12 months. Reported Earnings • May 16
First quarter 2022 earnings: EPS exceeds analyst expectations while revenues lag behind First quarter 2022 results: EPS: ₱9.96 (up from ₱7.86 in 1Q 2021). Revenue: ₱112.1b (up 16% from 1Q 2021). Net income: ₱12.0b (up 27% from 1Q 2021). Profit margin: 11% (in line with 1Q 2021). Revenue missed analyst estimates by 3.3%. Earnings per share (EPS) exceeded analyst estimates by 12%. Over the next year, revenue is forecast to grow 10%, compared to a 13% growth forecast for the industry in Philippines. Over the last 3 years on average, earnings per share has fallen by 7% per year whereas the company’s share price has fallen by 4% per year. Upcoming Dividend • May 03
Upcoming dividend of ₱6.25 per share Eligible shareholders must have bought the stock before 10 May 2022. Payment date: 26 May 2022. Payout ratio is a comfortable 13% and this is well supported by cash flows. Trailing yield: 0.5%. Lower than top quartile of Filipino dividend payers (4.7%). Lower than average of industry peers (1.6%). Board Change • Apr 27
Less than half of directors are independent No new directors have joined the board in the last 3 years. The company's board is composed of: No new directors. 4 experienced directors. 4 highly experienced directors. 3 independent directors (5 non-independent directors). Independent Director Robert Vergara was the last independent director to join the board, commencing their role in 2019. The following issues are considered to be risks according to the Simply Wall St Risk Model: Minority of independent directors. Insufficient board refreshment. Recent Insider Transactions • Apr 09
Senior Vice President of Finance recently bought ₱3.6m worth of stock On the 6th of April, Franklin Gomez bought around 4k shares on-market at roughly ₱878 per share. This was the largest purchase by an insider in the last 3 months. Franklin has been a buyer over the last 12 months, purchasing a net total of ₱8.4m worth in shares. Reported Earnings • Mar 02
Full year 2021 earnings: EPS exceeds analyst expectations while revenues lag behind Full year 2021 results: EPS: ₱31.96 (up from ₱19.42 in FY 2020). Revenue: ₱428.1b (up 8.6% from FY 2020). Net income: ₱38.5b (up 65% from FY 2020). Profit margin: 9.0% (up from 5.9% in FY 2020). The increase in margin was driven by higher revenue. Revenue missed analyst estimates by 4.8%. Earnings per share (EPS) exceeded analyst estimates by 12%. Over the next year, revenue is forecast to grow 13%, compared to a 9.5% growth forecast for the industry in Philippines. Over the last 3 years on average, earnings per share has fallen by 9% per year but the company’s share price has only fallen by 1% per year, which means it has not declined as severely as earnings. Reported Earnings • Nov 17
Third quarter 2021 earnings released: EPS ₱5.93 (vs ₱6.74 in 3Q 2020) The company reported a soft third quarter result with weaker earnings and profit margins, although revenues improved. Third quarter 2021 results: Revenue: ₱95.9b (up 5.5% from 3Q 2020). Net income: ₱7.15b (down 12% from 3Q 2020). Profit margin: 7.5% (down from 8.9% in 3Q 2020). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has fallen by 11% per year but the company’s share price has increased by 2% per year, which means it is well ahead of earnings. Announcement • Aug 06
SM Investments Corporation (PSE:SM) agreed to acquire an additional unknown majority stake in Goldilocks Bakeshop, Inc. SM Investments Corporation (PSE:SM) agreed to acquire an additional unknown majority stake in Goldilocks Bakeshop, Inc., on August 4, 2021. As a result of the transaction, stake of SM Investments Corporation, in Goldilocks Bakeshop, Inc., increased to 74%. The transaction has been approved by the Board of Directors of SM Investments Corporation, in a meeting held on August 4, 2021. Recent Insider Transactions • May 29
Senior Vice President of Finance recently bought ₱4.8m worth of stock On the 21st of May, Franklin Gomez bought around 5k shares on-market at roughly ₱905 per share. This was the largest purchase by an insider in the last 3 months. This was Franklin's only on-market trade for the last 12 months. Reported Earnings • May 15
First quarter 2021 earnings released: EPS ₱7.86 (vs ₱7.48 in 1Q 2020) The company reported a decent first quarter result with improved earnings and profit margins, although revenues were weaker. First quarter 2021 results: Revenue: ₱96.9b (down 13% from 1Q 2020). Net income: ₱9.47b (up 5.1% from 1Q 2020). Profit margin: 9.8% (up from 8.1% in 1Q 2020). The increase in margin was driven by lower expenses. Over the last 3 years on average, earnings per share has fallen by 10% per year but the company’s share price has increased by 3% per year, which means it is well ahead of earnings. Upcoming Dividend • May 03
Upcoming dividend of ₱4.25 per share Eligible shareholders must have bought the stock before 10 May 2021. Payment date: 27 May 2021. Trailing yield: 0.4%. Lower than top quartile of Filipino dividend payers (4.2%). Lower than average of industry peers (1.2%). Announcement • Apr 29
SM Investments Corporation Announces Regular Cash Dividend, Payable on May 27, 2021 SM Investments Corporation announced regular cash dividend per share of PHP 4.25 in favor of all stockholders of record as of May 13, 2021, payable on May 27, 2021. Announcement • Mar 20
SM Investments Corporation (PSE:SM) signed an agreement to acquire an additional 31.7% stake in 2GO Group, Inc. (PSE:2GO) from Chelsea Logistics and Infrastructure Holdings Corp. (PSE:C) for PHP 4.9 billion. SM Investments Corporation (PSE:SM) signed an agreement to acquire an additional 31.7% stake in 2GO Group, Inc. (PSE:2GO) from Chelsea Logistics and Infrastructure Holdings Corp. (PSE:C) for PHP 4.9 billion on March 18, 2021. Chelsea Logistics and Infrastructure Holdings Corp. will sell shares at PHP 8.5 per share. Post completion, Chelsea Logistics and Infrastructure Holdings Corp. will hold no stake in 2GO Group, Inc. while SM Investments Corporation will have majority ownership of 2GO Group, Inc. The Board of Directors of SM Investments Corporation has approved the transaction. Completion will take place in next three months. Reported Earnings • Mar 02
Full year 2020 earnings released: EPS ₱19.42 (vs ₱37.00 in FY 2019) The company reported a poor full year result with weaker earnings, revenues and profit margins. Full year 2020 results: Revenue: ₱394.2b (down 22% from FY 2019). Net income: ₱23.4b (down 48% from FY 2019). Profit margin: 5.9% (down from 8.9% in FY 2019). The decrease in margin was driven by lower revenue. Over the last 3 years on average, earnings per share has fallen by 4% per year but the company’s share price has increased by 3% per year, which means it is well ahead of earnings. Analyst Estimate Surprise Post Earnings • Mar 02
Earnings beat expectations, revenue disappoints Revenue missed analyst estimates by 1.7%. Earnings per share (EPS) exceeded analyst estimates by 10%. Over the next year, revenue is forecast to grow 14%, compared to a 3.9% growth forecast for the Industrials industry in Philippines. Announcement • Jan 21
SM Investments Corporation, Annual General Meeting, Apr 28, 2021 SM Investments Corporation, Annual General Meeting, Apr 28, 2021, at 14:30 Singapore Standard Time. Analyst Estimate Surprise Post Earnings • Nov 14
Revenue beats expectations Revenue exceeded analyst estimates by 4.1%. Earnings per share (EPS) were mostly in line with analyst estimates. Over the next year, revenue is forecast to grow 2.5% compared to a 4.0% decline forecast for the Industrials industry in Philippines. Reported Earnings • Nov 14
Third quarter 2020 earnings released: EPS ₱6.74 The company reported a poor third quarter result with weaker earnings, revenues and profit margins. Third quarter 2020 results: Revenue: ₱101.1b (down 14% from 3Q 2019). Net income: ₱8.13b (down 19% from 3Q 2019). Profit margin: 8.0% (down from 8.6% in 3Q 2019). The decrease in margin was driven by lower revenue. Over the last 3 years on average, earnings per share has increased by 2% per year and the company’s share price has also increased by 2% per year. Is New 90 Day High Low • Nov 10
New 90-day high: ₱1,100 The company is up 26% from its price of ₱870 on 12 August 2020. The Filipino market is up 12% over the last 90 days, indicating the company outperformed over that time. It also outperformed the Industrials industry, which is up 14% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is ₱272 per share. Is New 90 Day High Low • Oct 23
New 90-day high: ₱945 The company is up 5.0% from its price of ₱901 on 24 July 2020. The Filipino market is up 6.0% over the last 90 days, indicating the company underperformed over that time. However, it outperformed the Industrials industry, which is up 4.0% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is ₱269 per share. Announcement • Sep 07
SM Investments Corporation to Report Q2, 2020 Results on Aug 13, 2020 SM Investments Corporation announced that they will report Q2, 2020 results on Aug 13, 2020 
