SGX:C31

Stock Analysis Report

Executive Summary

CapitaLand Limited, together with its subsidiaries, develops, owns, and manages real estate properties in Singapore, North America, Europe, Asia, the United Kingdom, and internationally.

Snowflake

Fundamentals

Average dividend payer with acceptable track record.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: C31 has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-0.8%

C31

-1.1%

SG Real Estate

-0.7%

SG Market


1 Year Return

17.2%

C31

0.6%

SG Real Estate

4.0%

SG Market

Return vs Industry: C31 exceeded the SG Real Estate industry which returned 0.6% over the past year.

Return vs Market: C31 exceeded the SG Market which returned 4% over the past year.


Shareholder returns

C31IndustryMarket
7 Day-0.8%-1.1%-0.7%
30 Day0%-1.0%1.3%
90 Day4.9%0.2%2.0%
1 Year21.1%17.2%3.7%0.6%8.2%4.0%
3 Year32.0%20.3%7.0%-1.5%19.0%6.3%
5 Year26.2%9.0%-0.1%-13.3%10.9%-7.6%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

9.43x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: C31 (SGD3.62) is trading above our estimate of fair value (SGD1.56)

Significantly Below Fair Value: C31 is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: C31 is good value based on its PE Ratio (9.4x) compared to the Real Estate industry average (10x).

PE vs Market: C31 is good value based on its PE Ratio (9.4x) compared to the SG market (13.2x).


Price to Earnings Growth Ratio

PEG Ratio: C31 is poor value based on its PEG Ratio (1.9x)


Price to Book Ratio

PB vs Industry: C31 is overvalued based on its PB Ratio (0.8x) compared to the SG Real Estate industry average (0.5x).


Next Steps

Future Growth

How is CapitaLand forecast to perform in the next 1 to 3 years based on estimates from 10 analysts?

5.0%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: C31's forecast earnings growth (5% per year) is above the savings rate (2.3%).

Earnings vs Market: C31's earnings (5% per year) are forecast to grow slower than the SG market (5.5% per year).

High Growth Earnings: C31's earnings are forecast to grow, but not significantly.

Revenue vs Market: C31's revenue (16.7% per year) is forecast to grow faster than the SG market (5.5% per year).

High Growth Revenue: C31's revenue (16.7% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: C31's Return on Equity is forecast to be low in 3 years time (8.9%).


Next Steps

Past Performance

How has CapitaLand performed over the past 5 years?

11.6%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: C31 has large one-off items impacting its financial results.

Growing Profit Margin: C31's current net profit margins (30.7%) are higher than last year (30.1%).


Past Earnings Growth Analysis

Earnings Trend: C31's earnings have grown by 11.6% per year over the past 5 years.

Accelerating Growth: C31's earnings growth over the past year (7.7%) is below its 5-year average (11.6% per year).

Earnings vs Industry: C31 earnings growth over the past year (7.7%) exceeded the Real Estate industry -9.3%.


Return on Equity

High ROE: C31's Return on Equity (7%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is CapitaLand's financial position?


Financial Position Analysis

Short Term Liabilities: C31's short term assets (SGD17.9B) exceeds its short term liabilities (SGD14.8B)

Long Term Liabilities: C31's short term assets (SGD17.9B) do not cover its long term liabilities (29.1B)


Debt to Equity History and Analysis

Debt Level: C31's debt to equity ratio (83.6%) is considered high.

Reducing Debt: C31's debt to equity ratio has increased from 71.8% to 83.6% over the past 5 years.

Debt Coverage: C31's debt is not well covered by operating cash flow (2.3%).

Interest Coverage: C31's interest payments on its debt are well covered by EBIT (3.8x coverage).


Balance Sheet

Inventory Level: C31 has a low level of unsold assets or inventory.

Debt Coverage by Assets: C31's debt is not covered by short term assets (assets are 0.5x debt).


Next Steps

Dividend

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

3.31%

Current Dividend Yield


Dividend Yield vs Market

company3.3%marketbottom25%2.5%markettop25%5.5%industryaverage3.3%forecastin3Years3.5%

Current dividend yield vs market & industry

Notable Dividend: C31's dividend (3.31%) is higher than the bottom 25% of dividend payers in the SG market (2.5%).

High Dividend: C31's dividend (3.31%) is low compared to the top 25% of dividend payers in the SG market (5.5%).


Stability and Growth of Payments

Stable Dividend: C31's dividend payments have been volatile in the past 10 years.

Growing Dividend: C31's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (31.2%), C31's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: C31's dividends in 3 years are forecast to be well covered by earnings (38.3% payout ratio).


Next Steps

Management

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

1.2yrs

Average management tenure


CEO

Chee Koon Lee (44yo)

1.2yrs

Tenure

S$4,210,958

Compensation

Mr. Chee Koon Lee has been Executive Non Independent Director at CapitaLand Ltd. since January 01, 2019. He has been President & Group Chief Executive Officer at CapitaLand Ltd. since September 15, 2018. M ...


CEO Compensation Analysis

Compensation vs Market: Chee Koon's total compensation ($USD3.09M) is about average for companies of similar size in the SG market ($USD4.16M).

Compensation vs Earnings: Insufficient data to compare Chee Koon's compensation with company performance.


Management Age and Tenure

1.2yrs

Average Tenure

52yo

Average Age

Experienced Management: C31's management team is not considered experienced ( 1.2 years average tenure), which suggests a new team.


Board Age and Tenure

5.2yrs

Average Tenure

64.5yo

Average Age

Experienced Board: C31's board of directors are considered experienced (5.2 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

BuyS$1,841,95612 Sep 19
Fullerton Fund Management Company Ltd.
EntityCompany
Shares519,300
Max PriceS$3.55
SellS$1,613,86424 Apr 19
BlackRock, Inc.
EntityCompany
Shares442,300
Max PriceS$3.65

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 4.2%.


Management Team

  • Seng Tan (56yo)

    Chief Corporate & People Officer

    • Tenure: 1.8yrs
  • Lynette Leong (55yo)

    Chief Sustainability Officer

    • Tenure: 0yrs
  • Jason Leow (52yo)

    President of Singapore & International

    • Tenure: 1.2yrs
  • Lucas Ignatius Loh (52yo)

    President of China

    • Tenure: 1.2yrs
  • Hwee Tin Kng (52yo)

    CEO of Finance & Corporate Services - China

    • Tenure: 0.08yrs
  • Chee Koon Lee (44yo)

    Group CEO & Executive Non Independent Director

    • Tenure: 1.2yrs
    • Compensation: S$4.21m
  • Bee Tan

    Head of Group Communications

    • Tenure: 0yrs
  • Andrew Geoffrey Lim (49yo)

    Group Chief Financial Officer

    • Tenure: 2.8yrs
  • Jihong He

    Chief Corporate Strategy Officer of CapitaLand Group

    • Tenure: 0.3yrs
  • Grace Chen

    Head of Investor Relations & Capital Markets Compliance

    • Tenure: 0yrs

Board Members

  • Kee Ng (75yo)

    Independent Chairman of the Board

    • Tenure: 7.5yrs
    • Compensation: S$750.00k
  • Stephen Lee (72yo)

    Independent Non-Executive Director

    • Tenure: 6.8yrs
    • Compensation: S$180.10k
  • Philip Pillai (71yo)

    Independent Non-Executive Director

    • Tenure: 5.6yrs
    • Compensation: S$168.90k
  • Amirsham Bin Abdul Aziz (68yo)

    Independent Non-Executive Director

    • Tenure: 7.3yrs
    • Compensation: S$228.70k
  • Teck Koon Kee (63yo)

    Independent Non-Executive Director

    • Tenure: 5.2yrs
    • Compensation: S$194.80k
  • Miguel Ko (66yo)

    Non-Executive Deputy Chairman

    • Tenure: 0.3yrs
  • Lynette Leong (55yo)

    Chief Sustainability Officer

    • Tenure: 0yrs
  • Chaly Mah (63yo)

    Independent Non-Executive Director

    • Tenure: 2.8yrs
    • Compensation: S$196.60k
  • Chee Koon Lee (44yo)

    Group CEO & Executive Non Independent Director

    • Tenure: 1.2yrs
    • Compensation: S$4.21m
  • Anthony Lim (61yo)

    Independent Non-Executive Director

    • Tenure: 2.3yrs
    • Compensation: S$162.70k

Company Information

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


Key Information

  • Name: CapitaLand Limited
  • Ticker: C31
  • Exchange: SGX
  • Founded: 1989
  • Industry: Diversified Real Estate Activities
  • Sector: Real Estate
  • Market Cap: S$18.437b
  • Shares outstanding: 5.04b
  • Website: https://www.capitaland.com

Number of Employees


Location

  • CapitaLand Limited
  • No. 30-01, Capital Tower
  • 168 Robinson Road
  • Singapore
  • 68912
  • Singapore

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
CLLD.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDNov 2000
C31SGX (Singapore Exchange)YesOrdinary SharesSGSGDNov 2000
PLFDB (Deutsche Boerse AG)YesOrdinary SharesDEEURNov 2000
CLLD.YOTCPK (Pink Sheets LLC)SPONSORED ADRUSUSDJun 2003

Biography

CapitaLand Limited, together with its subsidiaries, develops, owns, and manages real estate properties in Singapore, North America, Europe, Asia, the United Kingdom, and internationally. The company operat ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/11/21 12:44
End of Day Share Price2019/11/21 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.