Cortina Holdings (SGX:C41) - Share price, News & Analysis

C41 fundamental analysis
Snowflake Score
Valuation	2/6
Future Growth	0/6
Past Performance	5/6
Financial Health	6/6
Dividends	3/6

C41 Stock Overview

Cortina Holdings Limited, an investment holding company, retails and distributes timepieces and accessories in Singapore, Malaysia, Thailand, Indonesia, Hong Kong, Taiwan, and Australia.

Rewards

Trading at 78.1% below our estimate of its fair value

Earnings grew by 44.3% over the past year

Risk Analysis

Latest financial reports are more than 6 months old

Cortina Holdings Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Cortina Holdings
Historical stock prices
Current Share Price	S$4.31
52 Week High	S$4.95
52 Week Low	S$2.36
Beta	0.86
1 Month Change	-0.92%
3 Month Change	5.12%
1 Year Change	72.40%
3 Year Change	262.19%
5 Year Change	419.28%
Change since IPO	1,526.42%

Recent News & Updates

Nov 16

Is Cortina Holdings (SGX:C41) Using Too Much Debt?

Warren Buffett famously said, 'Volatility is far from synonymous with risk.' It's only natural to consider a company's...

Shareholder Returns

	C41	SG Specialty Retail	SG Market
7D	-3.1%	-1.0%	-0.4%
1Y	72.4%	42.8%	-2.4%

Return vs Industry: C41 exceeded the SG Specialty Retail industry which returned 50.6% over the past year.

Return vs Market: C41 exceeded the SG Market which returned -1.2% over the past year.

Price Volatility

Is C41's price volatile compared to industry and market?
C41 volatility
C41 Average Weekly Movement	4.6%
Specialty Retail Industry Average Movement	5.5%
Market Average Movement	5.1%
10% most volatile stocks in SG Market	11.9%
10% least volatile stocks in SG Market	2.4%

Stable Share Price: C41 is not significantly more volatile than the rest of SG stocks over the past 3 months, typically moving +/- 5% a week.

Volatility Over Time: C41's weekly volatility (5%) has been stable over the past year.

About the Company

Founded	Employees	CEO	Website
1972	586	Raymond Lim	https://www.cortina.com.sg

Cortina Holdings Limited, an investment holding company, retails and distributes timepieces and accessories in Singapore, Malaysia, Thailand, Indonesia, Hong Kong, Taiwan, and Australia. The company operates through Wholesale, Retail, and Others segments. The Wholesale segment engages in the wholesale of timepieces and luxury branded accessories.

Cortina Holdings Fundamentals Summary

How do Cortina Holdings's earnings and revenue compare to its market cap?
C41 fundamental statistics
Market Cap	S$713.64m
Earnings (TTM)	S$50.40m
Revenue (TTM)	S$587.46m

14.2x

P/E Ratio

1.2x

P/S Ratio

Is C41 overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report
C41 income statement (TTM)
Revenue	S$587.46m
Cost of Revenue	S$412.47m
Gross Profit	S$174.99m
Other Expenses	S$124.59m
Earnings	S$50.40m

Last Reported Earnings

Sep 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)	0.30
Gross Margin	29.79%
Net Profit Margin	8.58%
Debt/Equity Ratio	9.3%

How did C41 perform over the long term?

See historical performance and comparison

Dividends

1.5%

Current Dividend Yield

7%

Payout Ratio

Valuation

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

Valuation Score

2/6

Valuation Score 2/6

Below Fair Value
Significantly Below Fair Value
PE vs Industry
PE vs Market
PEG Ratio
PB vs Industry

>50%

Undervalued compared to fair value

Share Price vs. Fair Value

Below Fair Value: C41 (SGD4.31) is trading below our estimate of fair value (SGD19.65)

Significantly Below Fair Value: C41 is trading below fair value by more than 20%.

Price To Earnings Ratio

PE vs Industry: C41 is poor value based on its Price-To-Earnings Ratio (14.2x) compared to the SG Specialty Retail industry average (13.1x).

PE vs Market: C41 is poor value based on its Price-To-Earnings Ratio (14.2x) compared to the SG market (11.9x).

Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate C41's PEG Ratio to determine if it is good value.

Price to Book Ratio

PB vs Industry: C41 is overvalued based on its Price-To-Book Ratio (2.6x) compared to the SG Specialty Retail industry average (1.3x).

Future Growth

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

Future Growth Score

0/6

Future Growth Score 0/6

Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Future ROE

16.5%

Forecasted Retail 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 Cortina Holdings 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.

Past Performance

How has Cortina Holdings performed over the past 5 years?

Past Performance Score

5/6

Past Performance Score 5/6

Quality Earnings
Growing Profit Margin
Earnings Trend
Accelerating Growth
Earnings vs Industry
High ROE

27.0%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: C41 has high quality earnings.

Growing Profit Margin: C41's current net profit margins (8.6%) are higher than last year (8.1%).

Past Earnings Growth Analysis

Earnings Trend: C41's earnings have grown significantly by 27% per year over the past 5 years.

Accelerating Growth: C41's earnings growth over the past year (44.3%) exceeds its 5-year average (27% per year).

Earnings vs Industry: C41 earnings growth over the past year (44.3%) exceeded the Specialty Retail industry 12.8%.

Return on Equity

High ROE: C41's Return on Equity (19.1%) is considered low.

Financial Health

How is Cortina Holdings's financial position?

Financial Health Score

6/6

Financial Health Score 6/6

Short Term Liabilities
Long Term Liabilities
Debt Level
Reducing Debt
Debt Coverage
Interest Coverage

Financial Position Analysis

Short Term Liabilities: C41's short term assets (SGD410.5M) exceed its short term liabilities (SGD149.1M).

Long Term Liabilities: C41's short term assets (SGD410.5M) exceed its long term liabilities (SGD100.7M).

Debt to Equity History and Analysis

Debt Level: C41 has more cash than its total debt.

Reducing Debt: C41's debt to equity ratio has reduced from 54.8% to 9.3% over the past 5 years.

Debt Coverage: C41's debt is well covered by operating cash flow (432%).

Interest Coverage: C41's interest payments on its debt are well covered by EBIT (28.5x coverage).

Balance Sheet

Dividend

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

Dividend Score

2/6

Dividend Score 2/6

Notable Dividend
High Dividend
Stable Dividend
Growing Dividend
Earnings Coverage
Future Dividend Coverage

1.51%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: C41's dividend (1.51%) isn’t notable compared to the bottom 25% of dividend payers in the SG market (2.23%).

High Dividend: C41's dividend (1.51%) is low compared to the top 25% of dividend payers in the SG market (5.96%).

Stability and Growth of Payments

Stable Dividend: C41's dividend payments have been volatile in the past 10 years.

Growing Dividend: C41's dividend payments have increased over the past 10 years.

Earnings Payout to Shareholders

Earnings Coverage: With its low payout ratio (6.6%), C41's dividend payments are thoroughly covered by earnings.

Cash Payout to Shareholders

Cash Flow Coverage: With its low cash payout ratio (9.9%), C41's dividend payments are thoroughly covered by cash flows.

Discover strong dividend paying companies

Management

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

0.9yrs

Average management tenure

CEO

Raymond Lim (61 yo)

0.92

Tenure

Mr. Jit Ming Lim, also known as Raymond, serves as the Group Chief Executive Officer at Cortina Holdings Limited since June 01, 2021. He had been the Deputy Chairman since 2011 until 2021 and had been the...

Leadership Team

Experienced Management: C41's management team is not considered experienced ( 0.9 years average tenure), which suggests a new team.

Board Members

Experienced Board: C41's board of directors are seasoned and experienced ( 19.9 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.

Ownership Breakdown

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

Data	Last Updated (UTC time)
Company Analysis	2022/05/24 00:00
End of Day Share Price	2022/05/20 00:00
Earnings	2021/09/30
Annual Earnings	2021/03/31