SGX:AWI

Stock Analysis Report

Executive Summary

Thakral Corporation Ltd, an investment holding company, markets and distributes beauty, wellness, and lifestyle products.

Snowflake

Fundamentals

Excellent balance sheet and fair value.

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

9.1%

AWI

-0.7%

SG Retail Distributors

1.1%

SG Market


1 Year Return

11.6%

AWI

4.4%

SG Retail Distributors

2.6%

SG Market

Return vs Industry: AWI exceeded the SG Retail Distributors industry which returned 4.4% over the past year.

Return vs Market: AWI exceeded the SG Market which returned 2.6% over the past year.


Shareholder returns

AWIIndustryMarket
7 Day9.1%-0.7%1.1%
30 Day10.3%-2.4%-0.3%
90 Day3.2%-16.6%-5.9%
1 Year22.1%11.6%8.2%4.4%6.7%2.6%
3 Year256.0%159.5%-22.3%-29.3%15.5%3.2%
5 Year31.7%-4.0%-9.4%-24.2%12.0%-6.6%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

26.0%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: AWI (SGD0.48) is trading below our estimate of fair value (SGD0.65)

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


Price To Earnings Ratio

PE vs Industry: AWI is good value based on its PE Ratio (7.8x) compared to the Retail Distributors industry average (10.6x).

PE vs Market: AWI is good value based on its PE Ratio (7.8x) compared to the SG market (13.4x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: AWI is overvalued based on its PB Ratio (0.5x) compared to the SG Retail Distributors industry average (0.5x).


Next Steps

Future Growth

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

6.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: AWI's forecast earnings growth (6.3% per year) is above the savings rate (2.3%).

Earnings vs Market: AWI's earnings (6.3% per year) are forecast to grow faster than the SG market (5.7% per year).

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

Revenue vs Market: Insufficient data to determine if AWI's revenue is forecast to grow faster than the SG market.

High Growth Revenue: Insufficient data to determine if AWI's revenue is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if AWI's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Thakral performed over the past 5 years?

42.4%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: AWI has become profitable over the past 5 years, growing earnings by 42.4% per year.

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

Earnings vs Industry: AWI had negative earnings growth (-79.4%) over the past year, making it difficult to compare to the Retail Distributors industry average (-35.6%).


Return on Equity

High ROE: AWI's Return on Equity (9.9%) is considered low.


Return on Assets

ROA vs Industry: AWI has a higher Return on Assets than the Retail Distributors industry average last year.


Return on Capital Employed

ROCE Improving: AWI has significantly improved its Return on Capital Employed over the past 3 years.


Next Steps

Financial Health

How is Thakral's financial position?


Financial Position Analysis

Short Term Liabilities: AWI's short term assets (SGD90.9M) exceeds its short term liabilities (SGD67.7M)

Long Term Liabilities: AWI's short term assets (90.9M) exceeds its long term liabilities (25.7M)


Debt to Equity History and Analysis

Debt Level: AWI's debt to equity ratio (30.7%) is considered satisfactory

Reducing Debt: AWI's debt to equity ratio has reduced from 102.7% to 30.7% over the past 5 years.

Debt Coverage: AWI's operating cash flow is negative, therefore debt is not well covered.

Interest Coverage: AWI's interest payments on its debt are well covered by EBIT (4.5x coverage).


Balance Sheet

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

Debt Coverage by Assets: AWI's debt is covered by short term assets (assets are 1.562880x debt).


Next Steps

Dividend

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

8.33%

Current Dividend Yield


Dividend Yield vs Market

company8.3%marketbottom25%2.5%markettop25%5.7%industryaverage4.0%forecastin3Yearsn/a

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: AWI's dividend (8.33%) is higher than the bottom 25% of dividend payers in the SG market (2.54%).

High Dividend: AWI's dividend (8.33%) is in the top 25% of dividend payers in the SG market (5.69%)

Stable Dividend: AWI has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: AWI has only been paying a dividend for 8 years, and since then payments have fallen.


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (65.1%), AWI's dividend payments are covered by earnings.


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

3.9yrs

Average management tenure


CEO

Inderbethal Thakral (59yo)

3.8yrs

Tenure

S$803,000

Compensation

Mr. Inderbethal Singh Thakral, also known as Bethal, has been Group Chief Executive Officer of Thakral Corporation Limited since February 02, 2016. Mr. Thakral served as Managing Director of Lifestyle Busi ...


CEO Compensation Analysis

Compensation vs. Market: Inderbethal's total compensation ($USD589.80K) is about average for companies of similar size in the SG market ($USD269.41K).

Compensation vs Earnings: Inderbethal's compensation has been consistent with company performance over the past year.


Management Age and Tenure

3.9yrs

Average Tenure

60yo

Average Age

Experienced Management: AWI's management team is considered experienced (3.9 years average tenure).


Board Age and Tenure

15.8yrs

Average Tenure

72.5yo

Average Age

Experienced Board: AWI's board of directors are seasoned and experienced ( 15.8 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$2,391,37707 May 19
China Yuchai International Limited
EntityCompany
Shares4,782,764
Max PriceS$0.50
BuyS$13,255,00830 Apr 19
Prime Trade Enterprises Limited
EntityCompany
Shares26,510,000
Max PriceS$0.50

Ownership Breakdown


Management Team

  • Kartar Thakral (85yo)

    Executive Director

    • Tenure: 26yrs
    • Compensation: S$315.40k
  • Kanwaljeet Dhillon

    Managing Director of Thakral Corporation (HK) Limited

    • Tenure: 0yrs
  • Inderbethal Thakral (59yo)

    Group CEO & Executive Director

    • Tenure: 3.8yrs
    • Compensation: S$803.00k
  • Anil Moolchand Daryanani (55yo)

    Chief Financial Officer

    • Tenure: 6.2yrs
  • Vivian But

    Financial Controller

    • Tenure: 0yrs
  • Lai Yin Chan

    Company Secretary

    • Tenure: 3.9yrs
  • Patrick Lau (61yo)

    Assistant Financial Controller

    • Tenure: 0yrs
  • Wan Chan

    Company Secretary

    • Tenure: 5.9yrs
  • Torsten Stocker

    Chief Operating Officer of Lifestyle Division

    • Tenure: 3.8yrs
  • Indergopal Thakral

    Managing Director of Thakral China Ltd.

    • Tenure: 0yrs

Board Members

  • Kartar Thakral (85yo)

    Executive Director

    • Tenure: 26yrs
    • Compensation: S$315.40k
  • Ying Cheun Lee (77yo)

    Independent Non-Executive Director

    • Tenure: 23.9yrs
    • Compensation: S$131.00k
  • Inderbethal Thakral (59yo)

    Group CEO & Executive Director

    • Tenure: 3.8yrs
    • Compensation: S$803.00k
  • Natarajan Subramaniam (80yo)

    Independent Non-Executive Chairman & Lead Independent Director

    • Tenure: 7.8yrs
    • Compensation: S$320.30k
  • Bikram Thakral (43yo)

    Alternate Director

    • Tenure: 6.3yrs
  • Dileep Nair (68yo)

    Independent Non-Executive Director

    • Tenure: 4.8yrs
    • Compensation: S$127.00k

Company Information

Thakral Corporation Ltd's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Thakral Corporation Ltd
  • Ticker: AWI
  • Exchange: SGX
  • Founded: 1993
  • Industry: Distributors
  • Sector: Retail
  • Market Cap: S$62.813m
  • Shares outstanding: 130.86m
  • Website: https://www.thakralcorp.com

Location

  • Thakral Corporation Ltd
  • No 03-06 The Riverwalk
  • 20 Upper Circular Road
  • Singapore
  • 58416
  • Singapore

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
AWISGX (Singapore Exchange)YesOrdinary SharesSGSGDJan 1996
THK1DB (Deutsche Boerse AG)YesOrdinary SharesDEEURJan 1996

Biography

Thakral Corporation Ltd, an investment holding company, markets and distributes beauty, wellness, and lifestyle products. The company’s Lifestyle division distributes beauty, wellness, and lifestyle produc ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/22 12:38
End of Day Share Price2019/10/22 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.