Sembcorp Industries Ltd

SGX:U96 Stock Report

Market Cap: S$9.6b

Sembcorp Industries Valuation

Is U96 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

5/6

Valuation Score 5/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of U96 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Discounted Cash Flow
Simply Wall St
S$30.12
Fair Value
82.0% undervalued intrinsic discount
11
Number of Analysts

Below Fair Value: U96 (SGD5.41) is trading below our estimate of fair value (SGD30.12)

Significantly Below Fair Value: U96 is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for U96?

Key metric: As U96 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for U96. This is calculated by dividing U96's market cap by their current earnings.
What is U96's PE Ratio?
PE Ratio10.1x
EarningsS$952.00m
Market CapS$9.63b

Price to Earnings Ratio vs Peers

How does U96's PE Ratio compare to its peers?

The above table shows the PE ratio for U96 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average18.1x
A2A A2A
7.3x-7.7%€7.0b
CU Canadian Utilities
21.7xn/aCA$9.3b
HER Hera
12.3x2.9%€5.2b
AGL AGL Energy
31.1x16.9%AU$7.2b
U96 Sembcorp Industries
10.1x5.8%S$9.6b

Price-To-Earnings vs Peers: U96 is good value based on its Price-To-Earnings Ratio (10.1x) compared to the peer average (18.1x).

Price to Earnings Ratio vs Industry

How does U96's PE Ratio compare vs other companies in the Global Integrated Utilities Industry?

1 CompanyPrice / EarningsEstimated GrowthMarket Cap
U96 10.1xIndustry Avg. 18.1xNo. of Companies7PE0816243240+
1 CompanyEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: U96 is good value based on its Price-To-Earnings Ratio (10.1x) compared to the Global Integrated Utilities industry average (18.1x).

Price to Earnings Ratio vs Fair Ratio

What is U96's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

U96 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio10.1x
Fair PE Ratio5.9x

Price-To-Earnings vs Fair Ratio: U96 is expensive based on its Price-To-Earnings Ratio (10.1x) compared to the estimated Fair Price-To-Earnings Ratio (5.9x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst U96 forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentS$5.41
S$6.80
+25.8%
7.8%S$7.47S$5.70n/a11
Feb ’26S$5.58
S$6.80
+21.9%
7.8%S$7.47S$5.70n/a11
Jan ’26S$5.52
S$6.85
+24.1%
7.9%S$7.47S$5.70n/a11
Dec ’25S$5.22
S$6.83
+30.9%
8.3%S$7.47S$5.70n/a11
Nov ’25S$4.98
S$6.77
+35.9%
10.5%S$7.47S$5.00n/a11
Oct ’25S$5.51
S$6.77
+22.8%
10.5%S$7.47S$5.00n/a11
Sep ’25S$4.93
S$6.72
+36.4%
11.5%S$7.47S$5.00n/a11
Aug ’25S$4.75
S$6.75
+42.2%
9.8%S$7.49S$5.00n/a12
Jul ’25S$4.86
S$6.75
+39.0%
9.8%S$7.49S$5.00n/a12
Jun ’25S$5.09
S$6.79
+33.4%
9.8%S$7.49S$5.00n/a12
May ’25S$5.37
S$6.79
+26.5%
9.8%S$7.49S$5.00n/a12
Apr ’25S$5.37
S$6.79
+26.5%
9.8%S$7.49S$5.00n/a12
Mar ’25S$5.09
S$6.79
+33.4%
9.8%S$7.49S$5.00n/a12
Feb ’25S$5.65
S$6.75
+19.5%
11.6%S$7.40S$4.50S$5.5812
Jan ’25S$5.31
S$6.62
+24.6%
11.3%S$7.21S$4.50S$5.5212
Dec ’24S$5.20
S$6.62
+27.2%
11.3%S$7.21S$4.50S$5.2212
Nov ’24S$4.79
S$6.64
+38.6%
11.2%S$7.20S$4.50S$4.9812
Oct ’24S$5.09
S$6.64
+30.5%
11.2%S$7.20S$4.50S$5.5112
Sep ’24S$5.35
S$6.60
+23.4%
11.6%S$7.20S$4.50S$4.9311
Aug ’24S$5.58
S$5.79
+3.7%
16.2%S$7.06S$4.31S$4.7511
Jul ’24S$5.75
S$5.50
-4.4%
15.3%S$6.70S$4.31S$4.8610
Jun ’24S$5.19
S$4.83
-6.9%
9.5%S$5.98S$4.31S$5.0910
May ’24S$4.28
S$4.61
+7.7%
6.5%S$5.12S$4.11S$5.3711
Apr ’24S$4.38
S$4.49
+2.6%
8.2%S$5.12S$3.68S$5.3711
Mar ’24S$3.69
S$4.47
+21.1%
8.2%S$5.12S$3.68S$5.0911
Feb ’24S$3.59
S$4.11
+14.5%
9.6%S$5.12S$3.68S$5.6510
Analyst Price Target
Consensus Narrative from 11 Analysts
S$6.80
Fair Value
20.5% undervalued intrinsic discount
11
Number of Analysts

Analyst Forecast: Target price is more than 20% higher than the current share price and analysts are within a statistically confident range of agreement.

Discover undervalued companies

7D

1Y

7D

1Y

7D

1Y

Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2025/02/15 20:44
End of Day Share Price 2025/02/14 00:00
Earnings2024/06/30
Annual Earnings2023/12/31

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* Example for US securities, for non-US equivalent regulatory forms and sources are used.

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.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on Github.

Analyst Sources

Sembcorp Industries Ltd is covered by 37 analysts. 11 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Glenford TanBNP Paribas Securities (Asia)
Nathan GeeBofA Global Research
Pavel MolchanovCGS International