Singapore Medical Group (Catalist:5OT) - Share price, News & Analysis

5OT fundamental analysis
Snowflake Score
Valuation	5/6
Future Growth	1/6
Past Performance	5/6
Financial Health	6/6
Dividends	2/6

5OT Stock Overview

Singapore Medical Group Limited operates medical clinics and provides general medical services in Singapore.

Rewards

Trading at 72% below our estimate of its fair value

Earnings are forecast to grow 7.81% per year

Earnings grew by 78.8% over the past year

Risk Analysis

No risks detected for 5OT from our risk checks.

Singapore Medical Group Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Singapore Medical Group
Historical stock prices
Current Share Price	S$0.31
52 Week High	S$0.35
52 Week Low	S$0.28
Beta	0.84
1 Month Change	-4.61%
3 Month Change	1.64%
1 Year Change	0%
3 Year Change	-25.30%
5 Year Change	-46.09%
Change since IPO	29.17%

Shareholder Returns

	5OT	SG Healthcare	SG Market
7D	0%	-0.8%	-2.4%
1Y	0%	-4.1%	-1.1%

Return vs Industry: 5OT matched the SG Healthcare industry which returned -0.1% over the past year.

Return vs Market: 5OT matched the SG Market which returned -0.1% over the past year.

Price Volatility

Is 5OT's price volatile compared to industry and market?
5OT volatility
5OT Average Weekly Movement	4.3%
Healthcare Industry Average Movement	6.5%
Market Average Movement	5.2%
10% most volatile stocks in SG Market	12.1%
10% least volatile stocks in SG Market	2.4%

Stable Share Price: 5OT is not significantly more volatile than the rest of SG stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: 5OT's weekly volatility (4%) has been stable over the past year.

About the Company

Founded	Employees	CEO	Website
2005	303	Meng Deliang Beng	https://www.smg.sg

Singapore Medical Group Limited operates medical clinics and provides general medical services in Singapore. The company operates through three segments: Health Business, Diagnostic & Aesthetics Business, and Others. The Health Business segment offers obstetrical and gynaecological services for the wellness of women; oncology services, including the prevention, diagnosis, and treatment of cancer, cancer screening and cancer genetic, and risk assessment; endocrinology services; general medicine and health screening services; cardiology services; and paediatrics services.

Singapore Medical Group Fundamentals Summary

How do Singapore Medical Group's earnings and revenue compare to its market cap?
5OT fundamental statistics
Market Cap	S$150.78m
Earnings (TTM)	S$15.61m
Revenue (TTM)	S$100.84m

9.7x

P/E Ratio

1.5x

P/S Ratio

Is 5OT overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report
5OT income statement (TTM)
Revenue	S$100.84m
Cost of Revenue	S$56.65m
Gross Profit	S$44.19m
Other Expenses	S$28.58m
Earnings	S$15.61m

Last Reported Earnings

Dec 31, 2021

Next Earnings Date

n/a

Earnings per share (EPS)	0.032
Gross Margin	43.82%
Net Profit Margin	15.48%
Debt/Equity Ratio	2.2%

How did 5OT perform over the long term?

See historical performance and comparison

Dividends

2.1%

Current Dividend Yield

20%

Payout Ratio

Valuation

Is Singapore Medical Group undervalued compared to its fair value and its price relative to the market?

Valuation Score

5/6

Valuation Score 5/6

Below Fair Value
Significantly Below Fair Value
PE vs Industry
PE vs Market
PEG Ratio
PB vs Industry

>50%

Undervalued compared to fair value

Share Price vs. Fair Value

Below Fair Value: 5OT (SGD0.31) is trading below our estimate of fair value (SGD1.11)

Significantly Below Fair Value: 5OT is trading below fair value by more than 20%.

Price To Earnings Ratio

PE vs Industry: 5OT is good value based on its PE Ratio (9.7x) compared to the SG Healthcare industry average (15.8x).

PE vs Market: 5OT is good value based on its PE Ratio (9.7x) compared to the SG market (11.6x).

Price to Earnings Growth Ratio

PEG Ratio: 5OT is poor value based on its PEG Ratio (1.2x)

Price to Book Ratio

PB vs Industry: 5OT is good value based on its PB Ratio (0.9x) compared to the SG Healthcare industry average (1.7x).

Future Growth

How is Singapore Medical Group forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?

Future Growth Score

1/6

Future Growth Score 1/6

Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Future ROE

7.8%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts

Analyst Future Growth Forecasts

Earnings vs Savings Rate: 5OT's forecast earnings growth (7.8% per year) is above the savings rate (1.8%).

Earnings vs Market: 5OT's earnings (7.8% per year) are forecast to grow slower than the SG market (11.8% per year).

High Growth Earnings: 5OT's earnings are forecast to grow, but not significantly.

Revenue vs Market: 5OT's revenue (5.8% per year) is forecast to grow slower than the SG market (7.5% per year).

High Growth Revenue: 5OT's revenue (5.8% per year) is forecast to grow slower than 20% per year.

Earnings per Share Growth Forecasts

Future Return on Equity

Future ROE: 5OT's Return on Equity is forecast to be low in 3 years time (9.9%).

Past Performance

How has Singapore Medical Group performed over the past 5 years?

Past Performance Score

5/6

Past Performance Score 5/6

Quality Earnings
Growing Profit Margin
Earnings Trend
Accelerating Growth
Earnings vs Industry
High ROE

14.8%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: 5OT has high quality earnings.

Growing Profit Margin: 5OT's current net profit margins (15.5%) are higher than last year (10%).

Past Earnings Growth Analysis

Earnings Trend: 5OT's earnings have grown by 14.8% per year over the past 5 years.

Accelerating Growth: 5OT's earnings growth over the past year (78.8%) exceeds its 5-year average (14.8% per year).

Earnings vs Industry: 5OT earnings growth over the past year (78.8%) exceeded the Healthcare industry 44%.

Return on Equity

High ROE: 5OT's Return on Equity (9.4%) is considered low.

Financial Health

How is Singapore Medical Group'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: 5OT's short term assets (SGD36.0M) exceed its short term liabilities (SGD26.5M).

Long Term Liabilities: 5OT's short term assets (SGD36.0M) exceed its long term liabilities (SGD8.8M).

Debt to Equity History and Analysis

Debt Level: 5OT has more cash than its total debt.

Reducing Debt: 5OT's debt to equity ratio has reduced from 4.9% to 2.2% over the past 5 years.

Debt Coverage: 5OT's debt is well covered by operating cash flow (664.5%).

Interest Coverage: 5OT's interest payments on its debt are well covered by EBIT (34.6x coverage).

Balance Sheet

Dividend

What is Singapore Medical Group current dividend yield, its reliability and sustainability?

Dividend Score

1/6

Dividend Score 1/6

Notable Dividend
High Dividend
Stable Dividend
Growing Dividend
Earnings Coverage
Future Dividend Coverage

2.10%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: 5OT's dividend (2.1%) isn’t notable compared to the bottom 25% of dividend payers in the SG market (2.22%).

High Dividend: 5OT's dividend (2.1%) is low compared to the top 25% of dividend payers in the SG market (5.91%).

Stability and Growth of Payments

Stable Dividend: Whilst dividend payments have been stable, 5OT has been paying a dividend for less than 10 years.

Growing Dividend: 5OT's dividend payments have increased, but the company has only paid a dividend for 2 years.

Earnings Payout to Shareholders

Earnings Coverage: With its low payout ratio (20.1%), 5OT's dividend payments are well covered by earnings.

Cash Payout to Shareholders

Cash Flow Coverage: With its low cash payout ratio (15.6%), 5OT's dividend payments are well covered by cash flows.

Next Steps

Explore strong dividend paying companies in the Healthcare industry.

Management

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

8.4yrs

Average management tenure

CEO

Meng Deliang Beng (50 yo)

8.42yrs

Tenure

Dr. Teck Liang Beng, also known as Meng Deliang, has been the Chief Executive Officer at Singapore Medical Group Limited since December 2, 2013 and serves as its Executive Director. Dr. Beng served as Gene...

Leadership Team

Experienced Management: 5OT's management team is seasoned and experienced (8.4 years average tenure).

Board Members

Experienced Board: 5OT's board of directors are considered experienced (8.4 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.

Data	Last Updated (UTC time)
Company Analysis	2022/05/16 00:00
End of Day Share Price	2022/05/14 00:00
Earnings	2021/12/31
Annual Earnings	2021/12/31