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Singapore Technologies Engineering

OTCPK:SGGK.Y
Snowflake Description

Flawless balance sheet with moderate growth potential.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
SGGK.Y
OTCPK
SGD13B
Market Cap
  1. Home
  2. US
  3. Capital Goods
Company description

Singapore Technologies Engineering Ltd, an investment holding company, operates as a technology, defense, and engineering company worldwide. The last earnings update was 37 days ago. More info.


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SGGK.Y Share Price and Events
7 Day Returns
3.9%
OTCPK:SGGK.Y
2.8%
US Aerospace & Defense
1.2%
US Market
1 Year Returns
-
OTCPK:SGGK.Y
4.2%
US Aerospace & Defense
2.3%
US Market
SGGK.Y Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Singapore Technologies Engineering (SGGK.Y) 3.9% 7.9% 10.3% - - 0.1%
US Aerospace & Defense 2.8% 2.2% 8.3% 4.2% 42.8% 64%
US Market 1.2% 2% 2% 2.3% 37.9% 39.8%
1 Year Return vs Industry and Market
  • No trading data on SGGK.Y.
  • No trading data on SGGK.Y.
Price Volatility
SGGK.Y
Industry
5yr Volatility vs Market
Related Companies

SGGK.Y Value

 Is Singapore Technologies Engineering undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Singapore Technologies Engineering to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Singapore Technologies Engineering.

OTCPK:SGGK.Y Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 14 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 8.4%
Perpetual Growth Rate 10-Year US Government Bond Rate 2.7%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for OTCPK:SGGK.Y
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year US Govt Bond Rate 2.7%
Equity Risk Premium S&P Global 6%
Aerospace & Defense Unlevered Beta Simply Wall St/ S&P Global 0.88
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.877 (1 + (1- 17%) (6.21%))
0.948
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
0.95
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.73% + (0.948 * 5.96%)
8.38%

Discounted Cash Flow Calculation for OTCPK:SGGK.Y using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Singapore Technologies Engineering is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

OTCPK:SGGK.Y DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (SGD, Millions) Source Present Value
Discounted (@ 8.38%)
2019 1,206.00 Analyst x1 1,112.75
2020 609.74 Analyst x7 519.09
2021 716.65 Analyst x8 562.93
2022 802.60 Analyst x2 581.70
2023 885.45 Analyst x2 592.12
2024 953.58 Est @ 7.69% 588.38
2025 1,012.76 Est @ 6.21% 576.57
2026 1,065.04 Est @ 5.16% 559.45
2027 1,112.26 Est @ 4.43% 539.08
2028 1,155.88 Est @ 3.92% 516.90
Present value of next 10 years cash flows SGD6,148.98
OTCPK:SGGK.Y DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2028 × (1 + g) ÷ (Discount Rate – g)
= SGD1,155.88 × (1 + 2.73%) ÷ (8.38% – 2.73%)
SGD21,015.44
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= SGD21,015.44 ÷ (1 + 8.38%)10
SGD9,397.99
OTCPK:SGGK.Y Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= SGD6,148.98 + SGD9,397.99
SGD15,546.97
Equity Value per Share
(SGD)
= Total value / Shares Outstanding
= SGD15,546.97 / 3,120.69
SGD4.98
OTCPK:SGGK.Y Discount to Share Price
Calculation Result
Value per share (USD) From above. $37.03
Current discount Discount to share price of $31.00
= -1 x ($31.00 - $37.03) / $37.03
16.3%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price Singapore Technologies Engineering is available for.
Intrinsic value
16%
Share price is $31 vs Future cash flow value of $37.03
Current Discount Checks
For Singapore Technologies Engineering to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Singapore Technologies Engineering's share price is below the future cash flow value, but not at a moderate discount (< 20%).
  • Singapore Technologies Engineering's share price is below the future cash flow value, but not at a substantial discount (< 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Singapore Technologies Engineering's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Singapore Technologies Engineering's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
OTCPK:SGGK.Y PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-03-31) in SGD SGD0.16
SGX:S63 Share Price ** SGX (2019-06-19) in SGD SGD4.17
United States of America Aerospace & Defense Industry PE Ratio Median Figure of 38 Publicly-Listed Aerospace & Defense Companies 23.08x
United States of America Market PE Ratio Median Figure of 3,092 Publicly-Listed Companies 17.87x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Singapore Technologies Engineering.

OTCPK:SGGK.Y PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= SGX:S63 Share Price ÷ EPS (both in SGD)

= 4.17 ÷ 0.16

25.64x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Singapore Technologies Engineering is overvalued based on earnings compared to the US Aerospace & Defense industry average.
  • Singapore Technologies Engineering is overvalued based on earnings compared to the United States of America market.
Price based on expected Growth
Does Singapore Technologies Engineering's expected growth come at a high price?
Raw Data
OTCPK:SGGK.Y PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 25.64x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 14 Analysts
12.3%per year
United States of America Aerospace & Defense Industry PEG Ratio Median Figure of 33 Publicly-Listed Aerospace & Defense Companies 1.92x
United States of America Market PEG Ratio Median Figure of 2,128 Publicly-Listed Companies 1.53x

*Line of best fit is calculated by linear regression .

OTCPK:SGGK.Y PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 25.64x ÷ 12.3%

2.08x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Singapore Technologies Engineering is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on Singapore Technologies Engineering's assets?
Raw Data
OTCPK:SGGK.Y PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-03-31) in SGD SGD0.74
SGX:S63 Share Price * SGX (2019-06-19) in SGD SGD4.17
United States of America Aerospace & Defense Industry PB Ratio Median Figure of 55 Publicly-Listed Aerospace & Defense Companies 2.68x
United States of America Market PB Ratio Median Figure of 5,246 Publicly-Listed Companies 1.8x
OTCPK:SGGK.Y PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= SGX:S63 Share Price ÷ Book Value per Share (both in SGD)

= 4.17 ÷ 0.74

5.61x

* Primary Listing of Singapore Technologies Engineering.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Singapore Technologies Engineering is overvalued based on assets compared to the US Aerospace & Defense industry average.
X
Value checks
We assess Singapore Technologies Engineering's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Aerospace & Defense industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Aerospace & Defense industry average (and greater than 0)? (1 check)
  5. Singapore Technologies Engineering has a total score of 0/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

SGGK.Y Future Performance

 How is Singapore Technologies Engineering expected to perform in the next 1 to 3 years based on estimates from 14 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
12.3%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Singapore Technologies Engineering expected to grow at an attractive rate?
  • Singapore Technologies Engineering's earnings growth is expected to exceed the low risk savings rate of 2.7%.
Growth vs Market Checks
  • Singapore Technologies Engineering's earnings growth is positive but not above the United States of America market average.
  • Singapore Technologies Engineering's revenue growth is expected to exceed the United States of America market average.
Annual Growth Rates Comparison
Raw Data
OTCPK:SGGK.Y Future Growth Rates Data Sources
Data Point Source Value (per year)
OTCPK:SGGK.Y Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 14 Analysts 12.3%
OTCPK:SGGK.Y Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 14 Analysts 8.7%
United States of America Aerospace & Defense Industry Earnings Growth Rate Market Cap Weighted Average 10.6%
United States of America Aerospace & Defense Industry Revenue Growth Rate Market Cap Weighted Average 5.1%
United States of America Market Earnings Growth Rate Market Cap Weighted Average 13.9%
United States of America Market Revenue Growth Rate Market Cap Weighted Average 7.4%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
OTCPK:SGGK.Y Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (2 months ago) See Below
Future Estimates Average of up to 14 Analyst Estimates (S&P Global) See Below
All numbers in SGD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
OTCPK:SGGK.Y Future Estimates Data
Date (Data in SGD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2023-12-31 1,163
2022-12-31 1,096
2021-12-31 8,999 1,032 740 11
2020-12-31 8,482 919 672 14
2019-12-31 7,679 758 590 11
OTCPK:SGGK.Y Past Financials Data
Date (Data in SGD Millions) Revenue Cash Flow Net Income *
2019-03-31 6,783 578 508
2018-12-31 6,698 639 494
2018-09-30 6,716 742 547
2018-06-30 6,700 807 540
2018-03-31 6,657 795 520
2017-12-31 6,521 764 503
2017-09-30 6,647 743 505
2017-06-30 6,651 804 454
2017-03-31 6,567 1,038 474
2016-12-31 6,684 759 485
2016-09-30 6,642 592 455
2016-06-30 6,529 538 512

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Singapore Technologies Engineering's earnings are expected to grow by 12.3% yearly, however this is not considered high growth (20% yearly).
  • Singapore Technologies Engineering's revenue is expected to grow by 8.7% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
OTCPK:SGGK.Y Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (2 months ago) See Below
Future Estimates Average of up to 14 Analyst Estimates (S&P Global) See Below

All data from Singapore Technologies Engineering Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

OTCPK:SGGK.Y Future Estimates Data
Date (Data in SGD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2023-12-31
2022-12-31
2021-12-31 0.24 0.28 0.21 10.00
2020-12-31 0.22 0.25 0.20 13.00
2019-12-31 0.19 0.19 0.18 10.00
OTCPK:SGGK.Y Past Financials Data
Date (Data in SGD Millions) EPS *
2019-03-31 0.16
2018-12-31 0.16
2018-09-30 0.18
2018-06-30 0.17
2018-03-31 0.17
2017-12-31 0.16
2017-09-30 0.16
2017-06-30 0.15
2017-03-31 0.15
2016-12-31 0.16
2016-09-30 0.15
2016-06-30 0.17

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Singapore Technologies Engineering is expected to efficiently use shareholders’ funds in the future (Return on Equity greater than 20%).
X
Future performance checks
We assess Singapore Technologies Engineering's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United States of America market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United States of America market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Singapore Technologies Engineering has a total score of 3/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

SGGK.Y Past Performance

  How has Singapore Technologies Engineering performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Singapore Technologies Engineering's growth in the last year to its industry (Aerospace & Defense).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Singapore Technologies Engineering's year on year earnings growth rate was negative over the past 5 years and the most recent earnings are below average.
  • Singapore Technologies Engineering's 1-year earnings growth is negative, it can't be compared to the 5-year average.
  • Singapore Technologies Engineering's 1-year earnings growth is negative, it can't be compared to the US Aerospace & Defense industry average.
Earnings and Revenue History
Singapore Technologies Engineering's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Singapore Technologies Engineering Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

OTCPK:SGGK.Y Past Revenue, Cash Flow and Net Income Data
Date (Data in SGD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-03-31 6,782.67 507.67 718.50
2018-12-31 6,697.93 494.24 710.05
2018-09-30 6,716.49 547.16 668.65
2018-06-30 6,699.65 540.39 651.05
2018-03-31 6,657.11 520.44 643.45
2017-12-31 6,521.06 502.63 643.53
2017-09-30 6,647.21 504.92 655.40
2017-06-30 6,650.86 453.74 662.61
2017-03-31 6,567.19 474.21 664.06
2016-12-31 6,683.74 484.51 658.24
2016-09-30 6,642.02 454.93 676.31
2016-06-30 6,528.97 511.54 678.75
2016-03-31 6,450.70 509.27 663.58
2015-12-31 6,335.02 529.04 648.57
2015-09-30 6,404.77 528.49 635.18
2015-06-30 6,457.71 516.53 621.80
2015-03-31 6,499.07 524.70 635.44
2014-12-31 6,539.43 531.95 648.00
2014-09-30 6,632.31 559.20 649.23
2014-06-30 6,629.27 569.31 653.83
2014-03-31 6,640.17 584.04 645.53
2013-12-31 6,633.15 580.83 642.24
2013-09-30 6,419.18 565.53 665.82
2013-06-30 6,410.95 580.57 671.98
2013-03-31 6,383.51 575.83 682.17
2012-12-31 6,379.87 576.18 678.01
2012-09-30 6,197.49 576.10 647.90
2012-06-30 6,050.34 563.42 625.18

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Singapore Technologies Engineering has efficiently used shareholders’ funds last year (Return on Equity greater than 20%).
  • Singapore Technologies Engineering used its assets less efficiently than the US Aerospace & Defense industry average last year based on Return on Assets.
  • Singapore Technologies Engineering has significantly improved its use of capital last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Singapore Technologies Engineering's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Aerospace & Defense industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Singapore Technologies Engineering has a total score of 2/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

SGGK.Y Health

 How is Singapore Technologies Engineering's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Singapore Technologies Engineering's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Singapore Technologies Engineering is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Singapore Technologies Engineering's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of Singapore Technologies Engineering's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • Debt is covered by short term assets, assets are 5.1x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Singapore Technologies Engineering Company Filings, last reported 2 months ago.

OTCPK:SGGK.Y Past Debt and Equity Data
Date (Data in SGD Millions) Total Equity Total Debt Cash & Short Term Investments
2019-03-31 2,603.35 807.75 609.05
2018-12-31 2,534.61 495.78 414.82
2018-09-30 2,415.95 370.71 351.81
2018-06-30 2,428.37 1,019.04 1,166.44
2018-03-31 2,611.77 1,040.88 1,303.70
2017-12-31 2,496.34 1,116.06 997.97
2017-09-30 2,384.09 1,131.51 791.00
2017-06-30 2,393.71 1,027.46 809.54
2017-03-31 2,530.12 1,040.71 1,282.47
2016-12-31 2,444.20 1,080.28 1,092.52
2016-09-30 2,236.76 1,053.75 972.53
2016-06-30 2,285.46 1,044.89 972.33
2016-03-31 2,498.71 1,175.86 1,199.91
2015-12-31 2,260.93 1,193.23 1,127.09
2015-09-30 2,158.88 1,138.88 920.29
2015-06-30 2,115.11 1,059.19 1,092.25
2015-03-31 2,325.70 1,085.88 1,791.99
2014-12-31 2,264.61 1,018.63 1,604.50
2014-09-30 2,096.82 1,004.89 1,460.38
2014-06-30 2,131.83 983.98 1,613.64
2014-03-31 2,384.59 1,053.82 1,789.82
2013-12-31 2,259.91 1,375.52 2,075.02
2013-09-30 2,058.09 1,530.96 1,774.22
2013-06-30 1,986.46 1,508.73 1,710.76
2013-03-31 2,198.45 1,335.22 2,185.36
2012-12-31 2,012.58 1,281.43 1,742.94
2012-09-30 1,813.33 1,292.04 1,957.88
2012-06-30 1,770.47 1,354.23 1,982.02
  • Singapore Technologies Engineering's level of debt (31%) compared to net worth is satisfactory (less than 40%).
  • The level of debt compared to net worth has been reduced over the past 5 years (44.2% vs 31% today).
  • Debt is well covered by operating cash flow (71.6%, greater than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 23.6x coverage).
X
Financial health checks
We assess Singapore Technologies Engineering's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Singapore Technologies Engineering has a total score of 6/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

SGGK.Y Dividends

 What is Singapore Technologies Engineering's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
3.6%
Current annual income from Singapore Technologies Engineering dividends. Estimated to be 3.84% next year.
If you bought $2,000 of Singapore Technologies Engineering shares you are expected to receive $72 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Singapore Technologies Engineering's pays a higher dividend yield than the bottom 25% of dividend payers in United States of America (1.44%).
  • Singapore Technologies Engineering's dividend is below the markets top 25% of dividend payers in United States of America (3.69%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
OTCPK:SGGK.Y Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 14 Analyst Estimates (S&P Global) See Below
United States of America Aerospace & Defense Industry Average Dividend Yield Market Cap Weighted Average of 22 Stocks 1.9%
United States of America Market Average Dividend Yield Market Cap Weighted Average of 2011 Stocks 2.4%
United States of America Minimum Threshold Dividend Yield 10th Percentile 0.8%
United States of America Bottom 25% Dividend Yield 25th Percentile 1.4%
United States of America Top 25% Dividend Yield 75th Percentile 3.7%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

OTCPK:SGGK.Y Future Dividends Estimate Data
Date (Data in SGD) Dividend per Share (annual) Avg. No. Analysts
2023-12-31
2022-12-31
2021-12-31 0.17 9.00
2020-12-31 0.16 12.00
2019-12-31 0.15 11.00
OTCPK:SGGK.Y Past Annualized Dividends Data
Date (Data in SGD) Dividend per share (annual) Avg. Yield (%)
2019-03-21 0.150 3.837
2019-02-20 0.150 4.005
2018-03-22 0.150 4.314
2018-02-22 0.150 4.366
2017-03-24 0.150 4.261
2017-02-16 0.150 4.100
2016-11-10 0.150 4.538
2016-08-12 0.150 4.638
2016-04-12 0.150 4.646
2016-02-25 0.150 4.787
2015-11-05 0.170 5.861
2015-08-13 0.170 5.528
2015-04-23 0.150 4.412
2014-08-12 0.160 4.546
2014-03-28 0.150 3.909
2013-08-13 0.168 4.249
2013-02-15 0.168 3.999
2012-11-07 0.155 4.115
2012-08-14 0.155 4.466
2012-02-23 0.155 4.976
2011-03-15 0.146 4.984
2011-02-15 0.146 4.526
2010-03-26 0.133 4.068
2010-02-18 0.133 4.175
2009-08-05 0.070 2.378

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Dividends per share have been volatile in the past 10 years (annual drop of over 20%).
  • Dividends per share have increased over the past 10 years.
Current Payout to shareholders
What portion of Singapore Technologies Engineering's earnings are paid to the shareholders as a dividend.
  • Dividends paid are not well covered by earnings (1.1x coverage).
Future Payout to shareholders
  • Dividends after 3 years are expected to be covered by earnings (1.4x coverage).
X
Income/ dividend checks
We assess Singapore Technologies Engineering's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.8%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Singapore Technologies Engineering afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Singapore Technologies Engineering has a total score of 3/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

SGGK.Y Management

 What is the CEO of Singapore Technologies Engineering's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Vincent Chong
COMPENSATION SGD4,602,887
AGE 49
TENURE AS CEO 2.7 years
CEO Bio

Mr. Sy Feng Chong, also known as Vincent, has been Chief Executive Officer and President at Singapore Technologies Engineering Ltd since October 1, 2016. Mr. Chong served as Deputy Chief Executive Officer of Corporate Development at Singapore Technologies Engineering Ltd since December 2014 and its Executive Officer. He served as President of Strategic Plans & Business Development at ST Aerospace. Before joining the ST Engineering Group in April 2014, he served as Director of Asia Pacific Lubricants Sales at ExxonMobil Asia Pacific Private Limited, responsible for automotive and industrial lubricants business across more than 20 countries in the region. He spent 20 years with ExxonMobil, where he held various senior positions and served international postings in countries including Singapore, Japan, Hong Kong, United Kingdom and USA. He held a wide span of positions from refinery process engineering, product marketing, industrial and retail operations to strategic planning. Among his appointments was Global Director of Marine Fuels (located in Surrey, UK) where he was responsible for ExxonMobil’s business in more than 200 ports across the world. As Downstream Senior Advisor, Corporate Strategic Planning (located in Irving, Texas), Mr. Chong was involved in the development of ExxonMobil’s global business plans. He has been Director at Singapore Technologies Engineering Ltd since October 1, 2016 and JTC Corporation since April 01, 2017. He serves as Director at Vision Technologies Systems, Inc. since October 2016. Mr. Chong sits on the Government-convened Committee on the Future Economy, made up of 30 members responsible for developing economic strategies for Singapore's future. He holds a Bachelor in Mechanical Engineering (First Class) from the National University of Singapore. He has also attended executive leadership programs at the Thunderbird School of Global Management and the Columbia Business School. His professional experience has been global with postings in Hong Kong, Japan, the United Kingdom and the US. Vincent is a Board member of Jurong Town Corporation and he is also a member of the Ministry of Trade and Industry’s International Advisory Panel for Advanced Manufacturing & Engineering.

CEO Compensation
  • Vincent's compensation has been consistent with company performance over the past year, both up more than 20%.
  • Vincent's remuneration is lower than average for companies of similar size in United States of America.
Management Team Tenure

Average tenure of the Singapore Technologies Engineering management team in years:

2.7
Average Tenure
  • The tenure for the Singapore Technologies Engineering management team is about average.
Management Team

Vincent Chong

TITLE
President
COMPENSATION
SGD5M
AGE
49
TENURE
2.7 yrs

Cedric Foo

TITLE
Chief Financial Officer
AGE
58
TENURE
1.9 yrs

Saik Hay Fong

TITLE
Chief Technology Officer and President of Advanced Engineering Centre

Bernard Chew

TITLE
Chief Information Officer

Lina Poa

TITLE
Head of Corporate Communications & Investor Relations

Meng Wai Low

TITLE
Senior Vice President of Legal

Jit Chek Lim

TITLE
Senior Vice President of Human Resource
TENURE
5.4 yrs

Bak Nguan Goh

TITLE
Chief Procurement Officer

Patrick Choy

TITLE
Executive Vice President of International Marketing

Steven Cheong

TITLE
Senior Vice President of Mergers & Acquisitions
Board of Directors Tenure

Average tenure and age of the Singapore Technologies Engineering board of directors in years:

3.8
Average Tenure
59.5
Average Age
  • The tenure for the Singapore Technologies Engineering board of directors is about average.
Board of Directors

Chong Seng Kwa

TITLE
Chairman
COMPENSATION
SGD750K
AGE
71
TENURE
6.2 yrs

Vincent Chong

TITLE
President
COMPENSATION
SGD5M
AGE
49
TENURE
2.7 yrs

John Coburn

TITLE
Non-Executive Chairman of VT Systems
AGE
76
TENURE
17.5 yrs

See Tiat Quek

TITLE
Non-Executive & Independent Director
COMPENSATION
SGD165K
AGE
64
TENURE
5.9 yrs

Gim Quek

TITLE
Non-Executive Director
COMPENSATION
SGD23K
AGE
60
TENURE
2.8 yrs

Swan Beh

TITLE
Non-Executive Independent Director
COMPENSATION
SGD11K
AGE
51
TENURE
4.8 yrs

Sim Lim

TITLE
Non-Executive Independent Director
COMPENSATION
SGD168K
AGE
59
TENURE
4.1 yrs

Ah Doo Lim

TITLE
Non-Executive Independent Director
COMPENSATION
SGD162K
AGE
69
TENURE
3.6 yrs

Melvyn Ong

TITLE
Non-Independent Non-Executive Director
COMPENSATION
SGD6K
AGE
43
TENURE
1 yrs

Chin-Hu Lim

TITLE
Independent Non-Executive Director
COMPENSATION
SGD58K
AGE
59
TENURE
0.9 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price ($) Value ($)
X
Management checks
We assess Singapore Technologies Engineering's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Singapore Technologies Engineering has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

SGGK.Y News

Simply Wall St News

SGGK.Y Company Info

Description

Singapore Technologies Engineering Ltd, an investment holding company, operates as a technology, defense, and engineering company worldwide. The company’s Aerospace segment offers aircraft maintenance, engineering, and training services for military and commercial aircraft operators. Its services include airframe, component, and engine maintenance, repair, and overhaul; aircraft design engineering and parts manufacturing; and aviation materials and asset management, as well as pilot training services. The company’s Electronics segment engages in the design, development, and delivery of information communications technologies (ICT) products, solutions, and services for smart cities connectivity, mobility, and security. Its Land Systems segment offers customized land systems, security solutions, and their related through-life support for defense, homeland security, and commercial applications. The company’s Marine segment offers defence and commercial solutions to the marine, offshore, and environmental engineering industries. This segment’s services include shipbuilding, repair and conversion, naval ops, and integrated logistics solution services, as well as environmental engineering services. Its Others segment is involved in the research and development activities; and provision of engineering products and solutions, and treasury services, as well as management, consultancy, and other support services. The company also focuses on healthtech and medical technology business areas. Singapore Technologies Engineering Ltd was incorporated in 1997 and is headquartered in Singapore.

Details
Name: Singapore Technologies Engineering Ltd
SGGK.Y
Exchange: OTCPK
Founded: 1997
SGD9,528,099,113
3,120,692,376
Website: http://www.stengg.com
Address: Singapore Technologies Engineering Ltd
No. 07-01, ST Engineering Hub,
1 Ang Mo Kio Electronics Park Road,
Singapore,
567710,
Singapore
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
SGX S63 Ordinary Shares Singapore Exchange SG SGD 09. Dec 1997
OTCPK SGGK.F Ordinary Shares Pink Sheets LLC US USD 09. Dec 1997
DB SJX Ordinary Shares Deutsche Boerse AG DE EUR 09. Dec 1997
OTCPK SGGK.Y UNSPONSOR ADR Pink Sheets LLC US USD 11. Nov 2008
Number of employees
Current staff
Staff numbers
22,000
Singapore Technologies Engineering employees.
Industry
Aerospace and Defense
Capital Goods
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/06/20 00:20
End of day share price update: 2019/06/19 00:00
Last estimates confirmation: 2019/06/13
Last earnings filing: 2019/05/14
Last earnings reported: 2019/03/31
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

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.