SGX:AVM

Stock Analysis Report

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Executive Summary

Boustead Projects Limited, together with its subsidiaries, provides real estate solutions for multinational corporations and local enterprises in Singapore, Malaysia, China, and Vietnam.


Snowflake Analysis

Flawless balance sheet and slightly overvalued.

Share Price & News

How has Boustead Projects's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: AVM has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-4.4%

AVM

-1.1%

SG Construction

0.5%

SG Market


1 Year Return

-20.9%

AVM

-19.6%

SG Construction

-19.5%

SG Market

Return vs Industry: AVM underperformed the SG Construction industry which returned -19.6% over the past year.

Return vs Market: AVM underperformed the SG Market which returned -19.5% over the past year.


Shareholder returns

AVMIndustryMarket
7 Day-4.4%-1.1%0.5%
30 Day-1.3%-3.9%-3.0%
90 Day-0.7%3.0%-0.2%
1 Year-20.9%-20.9%-17.8%-19.6%-15.3%-19.5%
3 Year-9.4%-12.7%-39.3%-44.1%-14.8%-24.9%
5 Year1.9%-4.4%-33.9%-43.3%-3.3%-20.6%

Price Volatility Vs. Market

How volatile is Boustead Projects's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Boustead Projects undervalued compared to its fair value and its price relative to the market?

10.56x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: AVM (SGD0.76) is trading above our estimate of fair value (SGD0.56)

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


Price To Earnings Ratio

PE vs Industry: AVM is good value based on its PE Ratio (10.6x) compared to the SG Construction industry average (10.8x).

PE vs Market: AVM is good value based on its PE Ratio (10.6x) compared to the SG market (12.6x).


Price to Earnings Growth Ratio

PEG Ratio: AVM is poor value based on its PEG Ratio (15.5x)


Price to Book Ratio

PB vs Industry: AVM is overvalued based on its PB Ratio (0.8x) compared to the SG Construction industry average (0.5x).


Next Steps

Future Growth

How is Boustead Projects forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?

0.7%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: AVM's forecast earnings growth (0.7% per year) is below the savings rate (2.2%).

Earnings vs Market: AVM's earnings (0.7% per year) are forecast to grow slower than the SG market (19.8% per year).

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

Revenue vs Market: AVM's revenue is expected to decline over the next 3 years (-10.3% per year).

High Growth Revenue: AVM's revenue is forecast to decline over the next 3 years (-10.3% per year).


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: AVM's Return on Equity is forecast to be low in 3 years time (6%).


Next Steps

Past Performance

How has Boustead Projects performed over the past 5 years?

1.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: AVM has high quality earnings.

Growing Profit Margin: AVM's current net profit margins (5.2%) are lower than last year (13%).


Past Earnings Growth Analysis

Earnings Trend: AVM's earnings have grown by 1.5% per year over the past 5 years.

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

Earnings vs Industry: AVM had negative earnings growth (-27.2%) over the past year, making it difficult to compare to the Construction industry average (-16.8%).


Return on Equity

High ROE: AVM's Return on Equity (7.4%) is considered low.


Next Steps

Financial Health

How is Boustead Projects's financial position?


Financial Position Analysis

Short Term Liabilities: AVM's short term assets (SGD339.5M) exceed its short term liabilities (SGD249.9M).

Long Term Liabilities: AVM's short term assets (SGD339.5M) exceed its long term liabilities (SGD124.4M).


Debt to Equity History and Analysis

Debt Level: AVM's debt to equity ratio (39.7%) is considered satisfactory.

Reducing Debt: AVM's debt to equity ratio has reduced from 82.4% to 39.7% over the past 5 years.

Debt Coverage: AVM's debt is well covered by operating cash flow (90.9%).

Interest Coverage: AVM's interest payments on its debt are well covered by EBIT (43.7x coverage).


Balance Sheet


Next Steps

Dividend

What is Boustead Projects's current dividend yield, its reliability and sustainability?

1.06%

Current Dividend Yield


Upcoming Dividend Payment


Dividend Yield vs Market

Notable Dividend: AVM's dividend (1.06%) isn’t notable compared to the bottom 25% of dividend payers in the SG market (2.67%).

High Dividend: AVM's dividend (1.06%) is low compared to the top 25% of dividend payers in the SG market (5.97%).


Stability and Growth of Payments

Stable Dividend: AVM is not paying a notable dividend for the SG market, therefore no need to check if payments are stable.

Growing Dividend: AVM is not paying a notable dividend for the SG market, therefore no need to check if payments are increasing.


Current Payout to Shareholders

Dividend Coverage: AVM is not paying a notable dividend for the SG market.


Future Payout to Shareholders

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


Next Steps

Management

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

5.6yrs

Average management tenure


CEO

Thomas Chu (49 yo)

11.58yrs

Tenure

Mr. Kok Hong Chu @ Choo Kok Hong, also known as Thomas, has been Managing Director and Executive Director of Boustead Projects Limited at Boustead Singapore Limited since January 5, 2009. Mr. Chu served as ...


Leadership Team

NamePositionTenureCompensationOwnership
Kok Hong Chu
MD & Executive Director11.58yrsno data0.31%
SGD 728.8k
Yu Wei Wong
Deputy Chairman5.42yrsno data0.27%
SGD 627.4k
Keen Meng Lee
Chief Financial Officer5.58yrsno datano data
Wai-Meng Lum
Chief Operating Officer2.17yrsno datano data
Winson Teo
Manager of Corporate Marketing & Investor Relationsno datano datano data
Steven Koh
Deputy Managing Director of Operations9.58yrsno datano data
Chee Wah Tay
Company Secretary4.67yrsno datano data

5.6yrs

Average Tenure

Experienced Management: AVM's management team is seasoned and experienced (5.6 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Kok Hong Chu
MD & Executive Director11.58yrsno data0.31%
SGD 728.8k
Yu Wei Wong
Deputy Chairman5.42yrsno data0.27%
SGD 627.4k
Lit Cheong Chong
Independent Non-Executive Director5.25yrsno datano data
Kok Min Lim
Independent Chairman5.42yrsno data0.054%
SGD 127.8k
Kwet Yew Yong
Independent Non-Executive Director1.25yrsno datano data
Chee Chong Tam
Independent Non-Executive Director1.25yrsno datano data

5.3yrs

Average Tenure

60.5yo

Average Age

Experienced Board: AVM's board of directors are considered experienced (5.3 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.


Recent Insider Transactions

Ownership Breakdown

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


Top Shareholders

Company Information

Boustead Projects Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Boustead Projects Limited
  • Ticker: AVM
  • Exchange: SGX
  • Founded: 1996
  • Industry: Construction and Engineering
  • Sector: Capital Goods
  • Market Cap: S$235.046m
  • Shares outstanding: 311.32m
  • Website: https://www.bousteadprojects.com

Number of Employees


Location

  • Boustead Projects Limited
  • Edward Boustead Centre
  • No. 07-01, 82 Ubi Avenue 4
  • Singapore
  • 408832
  • Singapore

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
AVMSGX (Singapore Exchange)YesOrinary SharesSGSGDApr 2015
BSTJ.FOTCPK (Pink Sheets LLC)YesOrinary SharesUSUSDApr 2015

Biography

Boustead Projects Limited, together with its subsidiaries, provides real estate solutions for multinational corporations and local enterprises in Singapore, Malaysia, China, and Vietnam. The company operat ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/08/10 12:48
End of Day Share Price2020/08/06 00:00
Earnings2020/03/31
Annual Earnings2020/03/31


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.