SGX:5JK

Stock Analysis Report

Executive Summary

Hiap Hoe Limited, an investment holding company, develops luxury and mid-tier residential, and hotel-cum-commercial properties in Australia, Singapore, and the United Kingdom.


Snowflake Analysis

Overvalued with worrying balance sheet.


Similar Companies

Share Price & News

How has Hiap Hoe's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: 5JK has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

0%

5JK

-1.7%

SG Real Estate

-1.4%

SG Market


1 Year Return

-8.1%

5JK

-1.4%

SG Real Estate

0.8%

SG Market

Return vs Industry: 5JK underperformed the SG Real Estate industry which returned 1.1% over the past year.

Return vs Market: 5JK underperformed the SG Market which returned 2.1% over the past year.


Shareholder returns

5JKIndustryMarket
7 Day0%-1.7%-1.4%
30 Day-0.6%0.6%0.3%
90 Day3.9%4.2%1.8%
1 Year-6.4%-8.1%1.7%-1.4%4.9%0.8%
3 Year18.4%12.0%4.4%-3.8%13.7%1.6%
5 Year3.9%-4.2%-2.9%-15.3%10.8%-7.7%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Hiap Hoe undervalued compared to its fair value and its price relative to the market?

0.5x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: 5JK (SGD0.79) is trading above our estimate of fair value (SGD0.2)

Significantly Below Fair Value: 5JK is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: 5JK is unprofitable, so we can't compare its PE Ratio to the Real Estate industry average.

PE vs Market: 5JK is unprofitable, so we can't compare its PE Ratio to the SG market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 5JK's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 5JK is good value based on its PB Ratio (0.5x) compared to the SG Real Estate industry average (0.5x).


Next Steps

Future Growth

How is Hiap Hoe forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

4.8%

Forecasted Real Estate industry annual growth in earnings


In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Hiap Hoe has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.


Next Steps

Past Performance

How has Hiap Hoe performed over the past 5 years?

-36.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 5JK is currently unprofitable.

Growing Profit Margin: 5JK is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: 5JK is unprofitable, and losses have increased over the past 5 years at a rate of -36.5% per year.

Accelerating Growth: Unable to compare 5JK's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: 5JK is unprofitable, making it difficult to compare its past year earnings growth to the Real Estate industry (-7.2%).


Return on Equity

High ROE: 5JK has a negative Return on Equity (-0.98%), as it is currently unprofitable.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Hiap Hoe's financial position?


Financial Position Analysis

Short Term Liabilities: 5JK's short term assets (SGD336.8M) do not cover its short term liabilities (SGD474.7M).

Long Term Liabilities: 5JK's short term assets (SGD336.8M) do not cover its long term liabilities (SGD382.6M).


Debt to Equity History and Analysis

Debt Level: 5JK's debt to equity ratio (95.8%) is considered high.

Reducing Debt: 5JK's debt to equity ratio has reduced from 112% to 95.8% over the past 5 years.

Debt Coverage: 5JK's debt is not well covered by operating cash flow (5.7%).

Interest Coverage: 5JK is unprofitable, therefore interest payments are not well covered by earnings.


Balance Sheet

Inventory Level: 5JK has a high level of physical assets or inventory.

Debt Coverage by Assets: 5JK's debt is not covered by short term assets (assets are 0.5x debt).


Next Steps

Dividend

What is Hiap Hoe's current dividend yield, its reliability and sustainability?

1.89%

Current Dividend Yield


Dividend Yield vs Market

company1.9%marketbottom25%2.5%markettop25%5.5%industryaverage3.1%forecastin3Yearsn/a

Current dividend yield vs market & industry

Notable Dividend: 5JK's dividend (1.9%) isn’t notable compared to the bottom 25% of dividend payers in the SG market (2.5%).

High Dividend: 5JK's dividend (1.9%) is low compared to the top 25% of dividend payers in the SG market (5.41%).


Stability and Growth of Payments

Stable Dividend: 5JK's dividend payments have been volatile in the past 10 years.

Growing Dividend: 5JK's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: 5JK is paying a dividend but the company is unprofitable.


Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.


Next Steps

Management

What is the CEO of Hiap Hoe's salary, the management and board of directors tenure and is there insider trading?

4.3yrs

Average management tenure


CEO

Ho Beng Teo (64yo)

14yrs

Tenure

S$517,512

Compensation

Mr. Ho Beng Teo has been the Director, Chief Executive Officer at Hiap Hoe Limited since January 16, 2006 and had been its Executive Chairman from May 11, 2012 to 11 May 2017. Mr. Teo serves as an Executiv ...


Management Age and Tenure

4.3yrs

Average Tenure

48yo

Average Age

Experienced Management: 5JK's management team is considered experienced (4.3 years average tenure).


Board Age and Tenure

4.7yrs

Average Tenure

53yo

Average Age

Experienced Board: 5JK's board of directors are considered experienced (4.7 years average tenure).


Insider Trading

Insider Buying: 5JK insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

BuyS$53,47515 Jan 20
Boon Sui Gui
EntityIndividual
Shares67,800
Max PriceS$0.79

Ownership Breakdown

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


Management Team

  • Ho Beng Teo (64yo)

    CEO & Director

    • Tenure: 14yrs
    • Compensation: S$517.51k
  • Roland Teo (55yo)

    MD & Director

    • Tenure: 17yrs
    • Compensation: S$224.29k
  • Andrew Teo

    Executive Director of Subsidiaries

    • Agnes Teo (48yo)

      Head of HR & Admin

      • Marc Teo (33yo)

        Head of Project Management & Contracts and Executive Director

        • Tenure: 2.7yrs
      • Irene Cheah (45yo)

        Financial Controller

        • Tenure: 4.6yrs
      • Beng Hong Ong

        Joint Company Secretary

        • Tenure: 3.9yrs
      • Swee Tan

        Joint Company Secretary

        • Tenure: 3.9yrs
      • Josephine Teo

        Executive Officer

        • Jocelyn Teo

          Executive Officer


          Board Members

          • Ho Beng Teo (64yo)

            CEO & Director

            • Tenure: 14yrs
            • Compensation: S$517.51k
          • Roland Teo (55yo)

            MD & Director

            • Tenure: 17yrs
            • Compensation: S$224.29k
          • Boon Hui Chan (51yo)

            Lead Independent & Non-Executive Director

            • Tenure: 4.7yrs
            • Compensation: S$32.00k
          • Marc Teo (33yo)

            Head of Project Management & Contracts and Executive Director

            • Tenure: 2.7yrs
          • Ronald Lim (72yo)

            Independent Non-Executive Chairman of the Board

            • Tenure: 2.7yrs
          • Leslie Koh (50yo)

            Non-Executive Independent Director

            • Tenure: 4.8yrs

          Company Information

          Hiap Hoe Limited's company bio, employee growth, exchange listings and data sources


          Key Information

          • Name: Hiap Hoe Limited
          • Ticker: 5JK
          • Exchange: SGX
          • Founded: 1994
          • Industry: Real Estate Development
          • Sector: Real Estate
          • Market Cap: S$374.093m
          • Shares outstanding: 470.56m
          • Website: https://www.hiaphoe.com

          Location

          • Hiap Hoe Limited
          • Hiap Hoe Building At Zhongshan Park
          • No. 13-51, 18 Ah Hood Road
          • Singapore
          • 329983
          • Singapore

          Listings

          TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
          5JKSGX (Singapore Exchange)YesOrdinary SharesSGSGDJan 2003

          Biography

          Hiap Hoe Limited, an investment holding company, develops luxury and mid-tier residential, and hotel-cum-commercial properties in Australia, Singapore, and the United Kingdom. The company's Development Properties segment acquires land/property and develops them into residential/industrial/commercial properties for sales. Its Rental segment engages in the business of renting space under the investment properties, property plant and equipment, and completed properties. The company's Leisure segment provides leisure and recreational facilities, including bowling, billiard, and amusement centers under the SuperBowl brand. Its Hotel Operations segment operates hotels under the Ramada Singapore, Days Hotel Singapore, Holiday Inn Express Trafford City, and Four Points by Sheraton Melbourne brands. It also involved in the civil engineering, general road construction, and sub-contractor works. The company was incorporated in 1994 and is based in Singapore. Hiap Hoe Limited is a subsidiary of Hiap Hoe Holdings Pte Ltd. 


          Company Analysis and Financial Data Status

          All financial data provided by Standard & Poor's Capital IQ.
          DataLast Updated (UTC time)
          Company Analysis2020/01/27 12:47
          End of Day Share Price2020/01/24 00:00
          Earnings2019/09/30
          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.