SGX:W05

Stock Analysis Report

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Executive Summary

Wing Tai Holdings Limited, an investment holding company, engages in the property investment and development, lifestyle retail, and hospitality management businesses in Singapore, Malaysia, Australia, Japan, and the People's Republic of China. More Details


Snowflake Analysis

Excellent balance sheet and slightly overvalued.

Share Price & News

How has Wing Tai Holdings's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: W05 is less volatile than 75% of SG stocks over the past 3 months, typically moving +/- 2% a week.

Volatility Over Time: W05's weekly volatility (2%) has been stable over the past year.


Market Performance


7 Day Return

-1.6%

W05

1.0%

SG Real Estate

1.9%

SG Market


1 Year Return

2.2%

W05

-2.3%

SG Real Estate

5.8%

SG Market

Return vs Industry: W05 exceeded the SG Real Estate industry which returned -7.9% over the past year.

Return vs Market: W05 exceeded the SG Market which returned -1.6% over the past year.


Shareholder returns

W05IndustryMarket
7 Day-1.6%1.0%1.9%
30 Day-2.6%2.5%3.5%
90 Day-1.1%3.2%7.8%
1 Year3.9%2.2%1.2%-2.3%11.4%5.8%
3 Year-8.0%-15.3%-20.9%-27.9%-6.8%-18.3%
5 Year28.5%11.2%2.3%-11.5%18.4%-3.3%

Long-Term Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Wing Tai Holdings undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: W05 (SGD1.88) is trading below our estimate of fair value (SGD12.6)

Significantly Below Fair Value: W05 is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: W05 is poor value based on its PE Ratio (53.4x) compared to the SG Real Estate industry average (13.7x).

PE vs Market: W05 is poor value based on its PE Ratio (53.4x) compared to the SG market (15.1x).


Price to Earnings Growth Ratio

PEG Ratio: W05 is poor value based on its PEG Ratio (3.6x)


Price to Book Ratio

PB vs Industry: W05's PB Ratio (0.4x) is in line with the SG Real Estate industry average.


Next Steps

Future Growth

How is Wing Tai Holdings forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?

14.9%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: W05's forecast earnings growth (14.9% per year) is above the savings rate (2%).

Earnings vs Market: W05's earnings (14.9% per year) are forecast to grow slower than the SG market (25.7% per year).

High Growth Earnings: W05's earnings are forecast to grow, but not significantly.

Revenue vs Market: W05's revenue (9.8% per year) is forecast to grow faster than the SG market (9.1% per year).

High Growth Revenue: W05's revenue (9.8% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: W05's Return on Equity is forecast to be low in 3 years time (2.1%).


Next Steps

Past Performance

How has Wing Tai Holdings performed over the past 5 years?

-2.6%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: W05 has high quality earnings.

Growing Profit Margin: W05's current net profit margins (6.3%) are lower than last year (16.3%).


Past Earnings Growth Analysis

Earnings Trend: W05's earnings have declined by 2.6% per year over the past 5 years.

Accelerating Growth: W05's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: W05 had negative earnings growth (-46.7%) over the past year, making it difficult to compare to the Real Estate industry average (-45.7%).


Return on Equity

High ROE: W05's Return on Equity (1.1%) is considered low.


Next Steps

Financial Health

How is Wing Tai Holdings's financial position?


Financial Position Analysis

Short Term Liabilities: W05's short term assets (SGD1.7B) exceed its short term liabilities (SGD213.9M).

Long Term Liabilities: W05's short term assets (SGD1.7B) exceed its long term liabilities (SGD700.6M).


Debt to Equity History and Analysis

Debt Level: W05's debt to equity ratio (19.9%) is considered satisfactory.

Reducing Debt: W05's debt to equity ratio has reduced from 34.1% to 19.9% over the past 5 years.

Debt Coverage: W05's debt is well covered by operating cash flow (56.9%).

Interest Coverage: W05's interest payments on its debt are not well covered by EBIT (2.7x coverage).


Balance Sheet


Next Steps

Dividend

What is Wing Tai Holdings's current dividend yield, its reliability and sustainability?

1.60%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: W05's dividend (1.6%) isn’t notable compared to the bottom 25% of dividend payers in the SG market (1.88%).

High Dividend: W05's dividend (1.6%) is low compared to the top 25% of dividend payers in the SG market (4.82%).


Stability and Growth of Payments

Stable Dividend: W05's dividend payments have been volatile in the past 10 years.

Growing Dividend: W05's dividend payments have fallen over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: At its current payout ratio (85.3%), W05's payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: W05's dividends in 3 years are forecast to be covered by earnings (54% payout ratio).


Next Steps

Management

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

17.0yrs

Average management tenure


CEO

Wai Keung Cheng (70 yo)

36.17yrs

Tenure

Mr. Wai Keung Cheng has been the Managing Director of Wing Tai Holdings Limited since 1985. Mr. Cheng served as the Managing Director of Wing Tai Malaysia Berhad since September 20, 1975. He has been Chair...


Leadership Team

NamePositionTenureCompensationOwnership
Hwee Bin Tan
Executive Director12.25yrsno data0.24%
SGD 3.5m
Kim Lee
Senior Advisor3.17yrsno datano data
Wai Keung Cheng
Chairman & MD36.17yrsno data10.02%
SGD 146.7m
Wai Wing Cheng
Deputy Chairman & Deputy MD37.17yrsno datano data
Kim Huat Ng
Group Chief Financial Officer11.17yrsno datano data
Gabrielle Tan
Company Secretaryno datano datano data
Karine Lim
Group Chief Human Resource Officer17yrsno datano data

17.0yrs

Average Tenure

69yo

Average Age

Experienced Management: W05's management team is seasoned and experienced (17 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Hwee Bin Tan
Executive Director12.25yrsno data0.24%
SGD 3.5m
Wai Keung Cheng
Chairman & MD36.17yrsno data10.02%
SGD 146.7m
Wai Wing Cheng
Deputy Chairman & Deputy MD37.17yrsno datano data
Hon-To Tong
Lead Independent Director6.17yrsno datano data
Teik Lim Ang
Independent Non-Executive Director0.67yrno datano data
Man Tak Cheng
Non-Executive Director39.83yrsno datano data
Guy Daniel Harvey-Samuel
Independent Non-Executive Director3.17yrsno datano data
Loke Sam Lau
Independent Non-Executive Director7.42yrsno datano data
Zulkurnain Bin Hj. Awang
Independent Non-Executive Director3.17yrsno datano data
Beng Mei Sim
Independent Non-Executive Director2.17yrsno datano data

6.8yrs

Average Tenure

67yo

Average Age

Experienced Board: W05's board of directors are considered experienced (6.8 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

Wing Tai Holdings Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Wing Tai Holdings Limited
  • Ticker: W05
  • Exchange: SGX
  • Founded: 1955
  • Industry: Real Estate Development
  • Sector: Real Estate
  • Market Cap: S$1.464b
  • Shares outstanding: 770.50m
  • Website: https://www.wingtaiasia.com.sg

Location

  • Wing Tai Holdings Limited
  • No. 10-01 Winsland House I
  • 3 Killiney Road
  • Singapore
  • 239519
  • Singapore

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
W05SGX (Singapore Exchange)YesOrdinary SharesSGSGDJan 1992
WT4BST (Boerse-Stuttgart)YesOrdinary SharesDEEURJan 1992

Biography

Wing Tai Holdings Limited, an investment holding company, engages in the property investment and development, lifestyle retail, and hospitality management businesses in Singapore, Malaysia, Australia, Japa...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/03/08 11:06
End of Day Share Price2021/03/08 00:00
Earnings2020/12/31
Annual Earnings2020/06/30


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.