Sheng Siong Group
Market Cap
S$2.3b
Last Updated
2021/04/18 11:04 UTC
Data Sources
Company Financials +
Executive Summary
Sheng Siong Group Ltd, an investment holding company, operates supermarket retail stores in Singapore. More Details
Rewards
Risk Analysis
Earnings are forecast to decline by an average of 6.2% per year for the next 3 years
Snowflake Analysis
Solid track record with excellent balance sheet.
Share Price & News
How has Sheng Siong Group's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: OV8 is less volatile than 75% of SG stocks over the past 3 months, typically moving +/- 3% a week.
Volatility Over Time: OV8's weekly volatility (3%) has been stable over the past year.
Market Performance
7 Day Return
0.6%
OV8
-1.5%
SG Consumer Retailing
0.4%
SG Market
1 Year Return
6.2%
OV8
0.9%
SG Consumer Retailing
22.1%
SG Market
Return vs Industry: OV8 exceeded the SG Consumer Retailing industry which returned 0.8% over the past year.
Return vs Market: OV8 underperformed the SG Market which returned 22.1% over the past year.
Shareholder returns
| OV8 | Industry | Market | |
|---|---|---|---|
| 7 Day | 0.6% | -1.5% | 0.4% |
| 30 Day | 3.3% | 1.1% | 2.8% |
| 90 Day | -0.6% | 0.7% | 6.3% |
| 1 Year | 9.5%6.2% | 5.3%0.9% | 27.7%22.1% |
| 3 Year | 67.1%52.0% | -26.6%-34.8% | -0.2%-12.0% |
| 5 Year | 111.0%78.2% | -2.2%-17.9% | 20.9%-0.3% |
Long-Term Price Volatility Vs. Market
How volatile is Sheng Siong Group's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 week ago | Simply Wall St
Shareholders Of Sheng Siong Group (SGX:OV8) Must Be Happy With Their 117% Total Return3 weeks ago | Simply Wall St
Who Has Been Buying Sheng Siong Group Ltd (SGX:OV8) Shares?1 month ago | Simply Wall St
Returns On Capital - An Important Metric For Sheng Siong Group (SGX:OV8)Valuation
Is Sheng Siong Group undervalued compared to its fair value and its price relative to the market?
14.1%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: OV8 (SGD1.55) is trading below our estimate of fair value (SGD1.8)
Significantly Below Fair Value: OV8 is trading below fair value, but not by a significant amount.
Price To Earnings Ratio
PE vs Industry: OV8 is good value based on its PE Ratio (16.8x) compared to the SG Consumer Retailing industry average (21.1x).
PE vs Market: OV8 is poor value based on its PE Ratio (16.8x) compared to the SG market (16.3x).
Price to Earnings Growth Ratio
PEG Ratio: OV8's earnings are forecast to decline next year, so we can't calculate its PEG ratio.
Price to Book Ratio
PB vs Industry: OV8 is overvalued based on its PB Ratio (6.3x) compared to the SG Consumer Retailing industry average (0.9x).
Future Growth
How is Sheng Siong Group forecast to perform in the next 1 to 3 years based on estimates from 7 analysts?
-6.2%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: OV8's earnings are forecast to decline over the next 3 years (-6.2% per year).
Earnings vs Market: OV8's earnings are forecast to decline over the next 3 years (-6.2% per year).
High Growth Earnings: OV8's earnings are forecast to decline over the next 3 years.
Revenue vs Market: OV8's revenue is expected to decline over the next 3 years (-0.8% per year).
High Growth Revenue: OV8's revenue is forecast to decline over the next 3 years (-0.8% per year).
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: OV8's Return on Equity is forecast to be high in 3 years time (27.8%)
Past Performance
How has Sheng Siong Group performed over the past 5 years?
14.7%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: OV8 has a large one-off gain of SGD34.8M impacting its December 31 2020 financial results.
Growing Profit Margin: OV8's current net profit margins (9.9%) are higher than last year (7.6%).
Past Earnings Growth Analysis
Earnings Trend: OV8's earnings have grown by 14.7% per year over the past 5 years.
Accelerating Growth: OV8's earnings growth over the past year (82.8%) exceeds its 5-year average (14.7% per year).
Earnings vs Industry: OV8 earnings growth over the past year (82.8%) exceeded the Consumer Retailing industry 16.4%.
Return on Equity
High ROE: OV8's Return on Equity (37.1%) is considered high.
Financial Health
How is Sheng Siong Group's financial position?
Financial Position Analysis
Short Term Liabilities: OV8's short term assets (SGD351.8M) exceed its short term liabilities (SGD275.2M).
Long Term Liabilities: OV8's short term assets (SGD351.8M) exceed its long term liabilities (SGD41.7M).
Debt to Equity History and Analysis
Debt Level: OV8's debt to equity ratio (8%) is considered satisfactory.
Reducing Debt: Insufficient data to determine if OV8's debt to equity ratio has reduced over the past 5 years.
Debt Coverage: OV8's debt is well covered by operating cash flow (913.8%).
Interest Coverage: OV8's interest payments on its debt are well covered by EBIT (127.3x coverage).
Balance Sheet
Dividend
What is Sheng Siong Group current dividend yield, its reliability and sustainability?
4.19%
Current Dividend Yield
Upcoming Dividend Payment
Dividend Yield vs Market
Notable Dividend: OV8's dividend (4.19%) is higher than the bottom 25% of dividend payers in the SG market (1.87%).
High Dividend: OV8's dividend (4.19%) is low compared to the top 25% of dividend payers in the SG market (4.62%).
Stability and Growth of Payments
Stable Dividend: OV8 has been paying a dividend for less than 10 years and during this time payments have been volatile.
Growing Dividend: OV8's dividend payments have increased, but the company has only paid a dividend for 9 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonable payout ratio (70.5%), OV8's dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: OV8's dividends in 3 years are forecast to be covered by earnings (70.1% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
10.4yrs
Average management tenure
CEO
Hock Chee Lim (58 yo)
no data
Tenure
S$3,523,000
Compensation
Mr. Hock Chee Lim, BBM, serves as the Chief Executive Officer of Sheng Siong Group Ltd. Mr. Lim is instrumental in CMM Marketing and SS Supermarket Group's growth and has been leading the expansion of its ...
CEO Compensation Analysis
Compensation vs Market: Hock Chee's total compensation ($USD2.64M) is above average for companies of similar size in the SG market ($USD1.06M).
Compensation vs Earnings: Hock Chee's compensation has been consistent with company performance over the past year.
Leadership Team
Experienced Management: OV8's management team is seasoned and experienced (10.4 years average tenure).
Board Members
Experienced Board: OV8's board of directors are considered experienced (9.8 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
Sheng Siong Group Ltd's company bio, employee growth, exchange listings and data sources
Key Information
- Name: Sheng Siong Group Ltd
- Ticker: OV8
- Exchange: SGX
- Founded: 1985
- Industry: Food Retail
- Sector: Consumer Retailing
- Market Cap: S$2.331b
- Shares outstanding: 1.50b
- Website: https://www.shengsiong.com.sg
Number of Employees
Location
- Sheng Siong Group Ltd
- 6 Mandai Link
- Singapore
- 728652
- Singapore
Listings
Biography
Sheng Siong Group Ltd, an investment holding company, operates supermarket retail stores in Singapore. The company’s stores offer an assortment of live, fresh, and chilled produce, such as seafood, meat, a...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2021/04/18 11:04 |
| End of Day Share Price | 2021/04/16 00:00 |
| Earnings | 2020/12/31 |
| Annual Earnings | 2020/12/31 |
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.