SGX:BSL

Stock Analysis Report

Raffles Medical Group

Executive Summary

Raffles Medical Group Ltd provides integrated private healthcare services primarily in Singapore, Greater China, Vietnam, Cambodia, and Japan.

Snowflake

Fundamentals

Excellent balance sheet with moderate growth potential.


Similar Companies

Share Price & News

How has Raffles Medical Group's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

1.0%

BSL

-1.1%

SG Healthcare

1.1%

SG Market


1 Year Return

-3.8%

BSL

-11.1%

SG Healthcare

2.6%

SG Market

Return vs Industry: BSL exceeded the SG Healthcare industry which returned -11.1% over the past year.

Return vs Market: BSL underperformed the SG Market which returned 2.6% over the past year.


Shareholder returns

BSLIndustryMarket
7 Day1.0%-1.1%1.1%
30 Day1.0%-1.3%-0.3%
90 Day-1.0%-5.7%-5.9%
1 Year-1.4%-3.8%-9.6%-11.1%6.7%2.6%
3 Year-28.7%-32.9%-19.6%-24.5%15.5%3.2%
5 Year-14.4%-21.5%-14.3%-23.4%12.0%-6.6%

Price Volatility Vs. Market

How volatile is Raffles Medical Group's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

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

10.2%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: BSL (SGD1.01) is trading below our estimate of fair value (SGD1.13)

Significantly Below Fair Value: BSL is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: BSL is poor value based on its PE Ratio (27.4x) compared to the Healthcare industry average (26.4x).

PE vs Market: BSL is poor value based on its PE Ratio (27.4x) compared to the SG market (13.4x).


Price to Earnings Growth Ratio

PEG Ratio: BSL is poor value based on its PEG Ratio (4.7x)


Price to Book Ratio

PB vs Industry: BSL is overvalued based on its PB Ratio (2.3x) compared to the SG Healthcare industry average (2.2x).


Next Steps

Future Growth

How is Raffles Medical Group forecast to perform in the next 1 to 3 years based on estimates from 12 analysts?

5.9%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: BSL's forecast earnings growth (5.9% per year) is above the savings rate (2.3%).

Earnings vs Market: BSL's earnings (5.9% per year) are forecast to grow faster than the SG market (5.7% per year).

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

Revenue vs Market: BSL's revenue (9.4% per year) is forecast to grow faster than the SG market (5.5% per year).

High Growth Revenue: BSL's revenue (9.4% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: BSL's Return on Equity is forecast to be low in 3 years time (7.6%).


Next Steps

Past Performance

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

-2.2%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: BSL's earnings have declined by -2.2% per year over the past 5 years.

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

Earnings vs Industry: BSL had negative earnings growth (-6.9%) over the past year, making it difficult to compare to the Healthcare industry average (-13.3%).


Return on Equity

High ROE: BSL's Return on Equity (7.9%) is considered low.


Return on Assets

ROA vs Industry: BSL's Return on Assets is below or equal to the Healthcare industry average last year.


Return on Capital Employed

ROCE Improving: BSL's Return on Capital Employed has declined over the past 3 years.


Next Steps

Financial Health

How is Raffles Medical Group's financial position?


Financial Position Analysis

Short Term Liabilities: BSL's short term assets (SGD204.6M) exceeds its short term liabilities (SGD200.1M)

Long Term Liabilities: BSL's short term assets (204.6M) exceeds its long term liabilities (151.4M)


Debt to Equity History and Analysis

Debt Level: BSL's debt to equity ratio (15%) is considered satisfactory

Reducing Debt: BSL's debt to equity ratio has increased from 1% to 15% over the past 5 years.

Debt Coverage: BSL's debt is well covered by operating cash flow (71.1%).

Interest Coverage: BSL's interest payments on its debt are well covered by EBIT (362x coverage).


Balance Sheet

Inventory Level: BSL has a high level of physical assets or inventory.

Debt Coverage by Assets: BSL's debt is covered by short term assets (assets are 1.6x debt).


Next Steps

Dividend

What is Raffles Medical Group's current dividend yield, its reliability and sustainability?

2.48%

Current Dividend Yield


Dividend Yield vs Market

company2.5%marketbottom25%2.5%markettop25%5.7%industryaverage2.9%forecastin3Years2.2%

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: BSL's dividend (2.48%) isn’t notable compared to the bottom 25% of dividend payers in the SG market (2.54%).

High Dividend: BSL's dividend (2.48%) is low compared to the top 25% of dividend payers in the SG market (5.69%).

Stable Dividend: BSL's dividend payments have been volatile in the past 10 years.

Growing Dividend: BSL's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (67.8%), BSL's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: BSL's dividends in 3 years are forecast to be covered by earnings (60.4% payout ratio).


Next Steps

Management

What is the CEO of Raffles Medical Group's salary, the management and board of directors tenure and is there insider trading?

3.7yrs

Average management tenure


CEO

Choon Yong Loo (70yo)

0yrs

Tenure

0

Dr. Loo Choon Yong co-founded Raffles Medical Group Ltd in 1976 and has been its Executive Chairman since 1997. Dr. Loo serves as Chief Executive Officer at Raffles Medical Group Ltd. In the area of public ...


Management Age and Tenure

3.7yrs

Average Tenure

70yo

Average Age

Experienced Management: BSL's management team is considered experienced (3.7 years average tenure).


Board Age and Tenure

7.1yrs

Average Tenure

67.5yo

Average Age

Experienced Board: BSL's board of directors are considered experienced (7.1 years average tenure).


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

SellS$1,257,19827 Feb 19
Standard Life Aberdeen plc
EntityCompany
Shares1,122,500
Max PriceS$1.12
SellS$47,30002 Jan 19
Standard Life Aberdeen plc
EntityCompany
Shares43,000
Max PriceS$1.10

Ownership Breakdown


Management Team

  • Kenneth Wu

    General Manager of Raffles Hospital

    • Tenure: 0yrs
  • Walter Tan

    Medical Director of Raffles Hospital

    • Tenure: 0yrs
  • Soo Nan Tan (70yo)

    Executive & Non-Independent Director

    • Tenure: 19.3yrs
  • Alfred Loh

    Senior Clinical Director of Raffles Medical

    • Tenure: 0yrs
  • Choon Yong Loo (70yo)

    Co-Founder

    • Tenure: 0yrs
  • Kimmy Goh

    Group Financial Controller & Company Secretary

    • Tenure: 14.8yrs
  • Ann Goh (59yo)

    Chief Financial Officer

    • Tenure: 3.7yrs
  • Kah Teo

    Chief ?Information ?Officer

    • Tenure: 1.8yrs
  • Yih Yong

    General Manager of Raffles Medical

    • Tenure: 0yrs
  • Magdalene Lee

    Senior Manager of Corporate Communications

    • Tenure: 0yrs

Board Members

  • Pin Lim (82yo)

    Non-Executive & Independent Director

    • Tenure: 18.7yrs
  • Poh Tiong Koh (73yo)

    Lead Independent Director

    • Tenure: 5.8yrs
  • Eric Ang (65yo)

    Non-Executive & Independent Director

    • Tenure: 4.5yrs
  • Soo Nan Tan (70yo)

    Executive & Non-Independent Director

    • Tenure: 19.3yrs
  • Choon Yong Loo (70yo)

    Co-Founder

    • Tenure: 0yrs
  • Beng Geok Wee (71yo)

    Non-Executive & Independent Director

    • Tenure: 18.9yrs
  • Olivier Lim (54yo)

    Non-Executive & Non-Independent Director

    • Tenure: 5yrs
  • Teck Koon Kee (63yo)

    Non-Executive & Independent Director

    • Tenure: 7.8yrs
  • Raymond Lim (60yo)

    Non-Executive & Independent Director

    • Tenure: 6.5yrs
  • Sarah Lu (37yo)

    Non-Executive & Non-Independent Director

    • Tenure: 1.7yrs

Company Information

Raffles Medical Group Ltd's company bio, employee growth, exchange listings and data sources


Key Information


Number of Employees


Location

  • Raffles Medical Group Ltd
  • 585 North Bridge Road
  • Raffles Hospital, No. 11-00
  • Singapore
  • 188770
  • Singapore

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
RAFL.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDApr 1997
BSLSGX (Singapore Exchange)YesOrdinary SharesSGSGDApr 1997

Biography

Raffles Medical Group Ltd provides integrated private healthcare services primarily in Singapore, Greater China, Vietnam, Cambodia, and Japan. The company operates in three segments: Healthcare services, H ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/23 12:34
End of Day Share Price2019/10/23 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


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.