SGX:C52

Stock Analysis Report

Executive Summary

ComfortDelGro Corporation Limited, an investment holding company, operates as a land transportation company.

Rewards

Trading at 24.1% below its fair value

Earnings are forecast to grow 4.08% per year

Pays a high and reliable dividend of 4.92%

Risk Analysis

No risks detected for C52 from our risk checks.


Snowflake Analysis

Flawless balance sheet established dividend payer.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: C52 has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-4.8%

C52

-1.7%

SG Transportation

-2.0%

SG Market


1 Year Return

-18.8%

C52

-8.6%

SG Transportation

-4.8%

SG Market

Return vs Industry: C52 underperformed the SG Transportation industry which returned -7.6% over the past year.

Return vs Market: C52 underperformed the SG Market which returned -3.7% over the past year.


Shareholder returns

C52IndustryMarket
7 Day-4.8%-1.7%-2.0%
30 Day-10.4%-5.7%-3.4%
90 Day-16.7%-10.0%-2.6%
1 Year-15.4%-18.8%-6.9%-8.6%-1.0%-4.8%
3 Year-7.3%-18.4%6.8%1.0%7.5%-3.9%
5 Year-19.3%-33.2%6.5%-3.3%7.7%-10.5%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

24.1%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: C52 (SGD1.99) is trading below our estimate of fair value (SGD2.62)

Significantly Below Fair Value: C52 is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: C52 is poor value based on its PE Ratio (16.3x) compared to the Transportation industry average (14.1x).

PE vs Market: C52 is poor value based on its PE Ratio (16.3x) compared to the SG market (13.5x).


Price to Earnings Growth Ratio

PEG Ratio: C52 is poor value based on its PEG Ratio (4x)


Price to Book Ratio

PB vs Industry: C52 is overvalued based on its PB Ratio (1.7x) compared to the XA Transportation industry average (0.9x).


Next Steps

Future Growth

How is ComfortDelGro forecast to perform in the next 1 to 3 years based on estimates from 13 analysts?

4.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: C52's forecast earnings growth (4.1% per year) is above the savings rate (1.8%).

Earnings vs Market: C52's earnings (4.1% per year) are forecast to grow slower than the SG market (5.5% per year).

High Growth Earnings: C52's earnings are forecast to grow, but not significantly.

Revenue vs Market: C52's revenue (1.5% per year) is forecast to grow slower than the SG market (5.4% per year).

High Growth Revenue: C52's revenue (1.5% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: C52's Return on Equity is forecast to be low in 3 years time (10.2%).


Next Steps

Past Performance

How has ComfortDelGro performed over the past 5 years?

-0.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: C52 has high quality earnings.

Growing Profit Margin: C52's current net profit margins (6.8%) are lower than last year (8%).


Past Earnings Growth Analysis

Earnings Trend: C52's earnings have declined by -0.5% per year over the past 5 years.

Accelerating Growth: C52's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: C52 had negative earnings growth (-12.6%) over the past year, making it difficult to compare to the Transportation industry average (4.9%).


Return on Equity

High ROE: C52's Return on Equity (10.6%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is ComfortDelGro's financial position?


Financial Position Analysis

Short Term Liabilities: C52's short term assets (SGD1.3B) exceed its short term liabilities (SGD1.1B).

Long Term Liabilities: C52's short term assets (SGD1.3B) exceed its long term liabilities (SGD1.3B).


Debt to Equity History and Analysis

Debt Level: C52's debt to equity ratio (17.6%) is considered satisfactory.

Reducing Debt: C52's debt to equity ratio has reduced from 21.5% to 17.6% over the past 5 years.

Debt Coverage: C52's debt is well covered by operating cash flow (115.1%).

Interest Coverage: C52's interest payments on its debt are well covered by EBIT (45.2x coverage).


Balance Sheet

Inventory Level: C52 has a high level of physical assets or inventory.

Debt Coverage by Assets: C52's debt is covered by short term assets (assets are 2.5x debt).


Next Steps

Dividend

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

4.92%

Current Dividend Yield


Upcoming Dividend Payment

Purchase ComfortDelGro before the 'Buy Limit' to receive their next dividend payment.


Dividend Yield vs Market

company4.9%marketbottom25%2.6%markettop25%5.7%industryaverage2.0%forecastin3Years5.2%

Current dividend yield vs market & industry

Notable Dividend: C52's dividend (4.92%) is higher than the bottom 25% of dividend payers in the SG market (2.69%).

High Dividend: C52's dividend (4.92%) is low compared to the top 25% of dividend payers in the SG market (5.66%).


Stability and Growth of Payments

Stable Dividend: C52's dividends per share have been stable in the past 10 years.

Growing Dividend: C52's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: At its current payout ratio (80%), C52's payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: C52's dividends in 3 years are forecast to be covered by earnings (76.7% payout ratio).


Next Steps

Management

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

5.5yrs

Average management tenure


CEO

Ban Seng Yang (62yo)

2.8yrs

Tenure

S$2,195,681

Compensation

Mr. Ban Seng Yang has been the Chief Executive Officer and Managing Director of ComfortDelGro Corporation Limited since May 1, 2017. Mr. Yang served as Chief Executive Officer of Taxi Business at ComfortDe ...


CEO Compensation Analysis

Compensation vs Market: Ban Seng's total compensation ($USD1.57M) is about average for companies of similar size in the SG market ($USD1.86M).

Compensation vs Earnings: Insufficient data to compare Ban Seng's compensation with company performance.


Leadership Team

NamePositionTenureCompensationOwnership
Ban Seng Yang
Group CEO2.8yrsS$2.20m0.0012% SGD51.2k
Thong Hean Koh
Group Chief Special Projects Officer & Acting Group CFO0.3yrsno datano data
Eng Hoe Neo
Group Chief Technology Officer4.8yrsno datano data
Peng Yen Choo
Group Chief Transformation Officer & Group Chief Investor Relations Officer9.3yrsno datano data
Tee Yeok Yeo
Group Legal Vice-President & Joint Company Secretary6.1yrsno datano data
I-Lin Tan
Group Chief Corporate Communications Officer15.9yrsno datano data
Mui Wah Chan
Group Chief Human Resource Officer0yrsno datano data
Soon Hua Yap
Chief Executive Officer of Australia Business Unit6.1yrsno datano data
Wei Neng Ang
Chief Executive Officer of Taxi Business2.8yrsno datano data
Yew Fui Chong
Group Chief Internal Audit Officer0yrsno datano data

5.5yrs

Average Tenure

Experienced Management: C52's management team is seasoned and experienced (5.5 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Ban Seng Yang
Group CEO2.8yrsS$2.20m0.0012% SGD51.2k
Jit Poh Lim
Independent Chairman of the Board17.1yrsS$683.28k0.011% SGD493.6k
Ah Heng Ong
Non-Executive & Independent Director17yrsS$115.20k0.035% SGD1.5m
Kai Yuen Wang
Non-Executive & Independent Director17yrsS$92.96k0.0024% SGD105.9k
Wai Fun Sum
Non-Executive & Independent Director13.1yrsS$107.33k0.011% SGD484.8k
Khai Fatt Lee
Non-Executive & Independent Director2.8yrsS$95.20k0.0078% SGD343.5k
Ee Mern Tham
Independent Non-Executive Director2.5yrsS$96.13kno data
Chie-Foo Chiang
Independent Non-Executive Director1.8yrsS$63.90kno data
Beng Chin Ooi
Independent Non-Executive Director1.8yrsS$55.76kno data
Jessica Cheam
Non-Executive & Independent Director1.1yrsno datano data

2.8yrs

Average Tenure

62yo

Average Age

Experienced Board: C52's board of directors are not considered experienced ( 2.8 years average tenure), which suggests a new board.


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

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


Key Information

  • Name: ComfortDelGro Corporation Limited
  • Ticker: C52
  • Exchange: SGX
  • Founded: 2003
  • Industry: Trucking
  • Sector: Transportation
  • Market Cap: S$4.376b
  • Shares outstanding: 2.17b
  • Website: https://www.comfortdelgro.com

Number of Employees


Location

  • ComfortDelGro Corporation Limited
  • 205 Braddell Road
  • Singapore
  • 579701
  • Singapore

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
CDGL.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDApr 2003
C52SGX (Singapore Exchange)YesOrdinary SharesSGSGDApr 2003
VZ1BST (Boerse-Stuttgart)YesOrdinary SharesDEEURApr 2003
VZ1DB (Deutsche Boerse AG)YesOrdinary SharesDEEURApr 2003
CDGL.YOTCPK (Pink Sheets LLC)UNSPONSORD ADRUSUSDNov 2008

Biography

ComfortDelGro Corporation Limited, an investment holding company, operates as a land transportation company. It operates through seven divisions: Public Transport Services, Taxi, Automotive Engineering Services, Inspection and Testing Services, Driving Centre, Car Rental and Leasing, and Bus Station. The company offers public bus and charter, and rail services to commuters; coach and taxi rental, terminal, taxi bureau, taxi booking, and outdoor advertisement services; and motor vehicle inspection and evaluation, as well as non-vehicle testing, inspection, consultancy, and other related services. It also engages in the construction of specialized vehicles; assembly of bus bodies; provision of crash repair and engineering services; operating driving schools; the rental and leasing of cars; and operation of workshops for repairing, servicing, and general maintenance of motor vehicles. In addition, the company offers insurance broking, risk management, claims management, and other services; charge card facilities; accident and other repair and maintenance services; and nonemergency transportation services to patients, as well as acts as dealer in diesel for motor vehicles. As of February 13, 2019, it operated a fleet of 43,300 buses, taxis, and rental vehicles. The company has operations in Singapore, the United Kingdom, Ireland, Australia, China, Vietnam, and Malaysia. ComfortDelGro Corporation Limited was incorporated in 2003 and is headquartered in Singapore. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/24 12:48
End of Day Share Price2020/02/24 00:00
Earnings2019/12/31
Annual Earnings2019/12/31


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.