OTCPK:SNGN.F

Stock Analysis Report

Singapore Telecommunications

Executive Summary

Singapore Telecommunications Limited provides communication, infotainment, and technology services to consumers and small businesses in Singapore, Australia, the United States, Europe, and internationally.

Snowflake

Fundamentals

Established dividend payer with mediocre balance sheet.


Similar Companies

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

-1.1%

OTCPK:SNGN.F

-2.9%

US Telecom

-0.02%

US Market


1 Year Return

2.4%

OTCPK:SNGN.F

7.9%

US Telecom

1.6%

US Market

SNGN.F underperformed the Telecom industry which returned 7% over the past year.

SNGN.F matched the United States of America Market (1.9%) over the past year.


Share holder returns

SNGN.FIndustryMarket
7 Day-1.1%-2.9%-0.02%
30 Day0.4%4.4%2.7%
90 Day-6.3%8.4%1.4%
1 Year2.4%2.4%13.6%7.9%3.8%1.6%
3 Year-20.4%-20.4%15.6%-1.2%45.2%35.8%
5 Year-22.8%-22.8%33.5%2.9%61.8%44.1%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

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

36%

Discount to future cash flow value


Intrinsic Value Based on Future Cash Flows

Singapore Telecommunications's share price is below the future cash flow value, and at a moderate discount (> 20%).

Singapore Telecommunications's share price is below the future cash flow value, but not at a substantial discount (< 40%).


Price Based on Earnings

Singapore Telecommunications is overvalued based on earnings compared to the US Telecom industry average.

Singapore Telecommunications is overvalued based on earnings compared to the United States of America market.


Price Based on Expected Growth

Singapore Telecommunications is poor value based on expected growth next year.


Price Based on Value of Assets

Singapore Telecommunications is overvalued based on assets compared to the US Telecom industry average.


Next Steps

Future Growth

How is Singapore Telecommunications expected to perform in the next 1 to 3 years based on estimates from 19 analysts?

10.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Singapore Telecommunications's revenue is expected to grow by 0.8% yearly, however this is not considered high growth (20% yearly).

Singapore Telecommunications's earnings are expected to grow by 10.8% yearly, however this is not considered high growth (20% yearly).

Singapore Telecommunications's revenue growth is positive but not above the United States of America market average.

Singapore Telecommunications's earnings growth is positive but not above the United States of America market average.

Singapore Telecommunications's earnings growth is expected to exceed the low risk savings rate of 2.7%.


Earnings per Share Growth Estimates


Future Return on Equity

Singapore Telecommunications is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).


Next Steps

Past Performance

How has Singapore Telecommunications performed over the past 5 years?

1.1%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Singapore Telecommunications's year on year earnings growth rate has been positive over the past 5 years, however the most recent earnings are below average.

Singapore Telecommunications's 1-year earnings growth is negative, it can't be compared to the 5-year average.

Singapore Telecommunications's 1-year earnings growth is negative, it can't be compared to the US Telecom industry average.


Return on Equity

Singapore Telecommunications has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

Singapore Telecommunications used its assets more efficiently than the US Telecom industry average last year based on Return on Assets.


Return on Capital Employed

Singapore Telecommunications's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).


Next Steps

Financial Health

How is Singapore Telecommunications's financial position?


Financial Position Analysis

Singapore Telecommunications's short term (1 year) commitments are greater than its holdings of cash and other short term assets.

Singapore Telecommunications's long term commitments exceed its cash and other short term assets.


Debt to Equity History and Analysis

Singapore Telecommunications's level of debt (34.8%) compared to net worth is satisfactory (less than 40%).

The level of debt compared to net worth has increased over the past 5 years (27.8% vs 34.8% today).

Debt is well covered by operating cash flow (49.8%, greater than 20% of total debt).

Interest payments on debt are well covered by earnings (EBIT is 7.4x coverage).


Balance Sheet

High level of physical assets or inventory.

Debt is not covered by short term assets, assets are 0.7x debt.


Next Steps

Dividend

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

5.45%

Expected Dividend Yield


Dividend Yield and Payments Analysis

Singapore Telecommunications's pays a higher dividend yield than the bottom 25% of dividend payers in United States of America (1.44%).

Singapore Telecommunications's dividend is above the markets top 25% of dividend payers in United States of America (3.69%).

Dividends per share have been stable in the past 10 years.

Dividends per share have increased over the past 10 years.


Current Payout to Shareholders

Dividends paid are not well covered by earnings (1x coverage).


Future Payout to Shareholders

Dividends after 3 years are expected to be covered by earnings (1.2x coverage).


Next Steps

Management

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

4.4yrs

Average management tenure


CEO

Sock Koong Chua (62yo)

12.4yrs

Tenure

S$3,537,301

Compensation

Ms. Sock Koong Chua has been the Chief Executive Officer of SingTel Optus Pty Ltd since April 1, 2007. Ms. Chua has been the Chief Executive Officer of Singapore Telecommunications Limited since April 1, 2 ...


CEO Compensation Analysis

Sock Koong's remuneration is lower than average for companies of similar size in United States of America.

Sock Koong's compensation has been consistent with company performance over the past year, both up more than 20%.


Management Age and Tenure

4.4yrs

Average Tenure

56yo

Average Age

The tenure for the Singapore Telecommunications management team is about average.


Board Age and Tenure

4.4yrs

Average Tenure

63.5yo

Average Age

The tenure for the Singapore Telecommunications board of directors is about average.


Insider Trading

No 3 month open market individual insider trading information.


Ownership Breakdown


Management Team

  • Sock Koong Chua (62yo)

    Group CEO

    • Tenure: 12.4yrs
    • Compensation: S$3.54m
  • Weng Hui (64yo)

    President & Chief Operating Officer of AIS

    • Tenure: 0yrs
    • Compensation: S$1.80m
  • Allen Lew (64yo)

    Chief Executive Officer of Consumer Australia & Optus

    • Tenure: 7.4yrs
    • Compensation: S$3.66m
  • Kuan Moon Yuen (52yo)

    CEO of Consumer Singapore & Group Chief Digital Officer

    • Tenure: 1.1yrs
    • Compensation: S$1.92m
  • Bill Chang (52yo)

    CEO of Group Enterprise & Country Chief Officer of Singapore

    • Tenure: 13.8yrs
    • Compensation: S$1.86m
  • Jeann Low (58yo)

    Group Chief Corporate Officer

    • Tenure: 4.4yrs
    • Compensation: S$1.46m
  • Mark Chong (56yo)

    Group Chief Technology Officer

    • Tenure: 2.4yrs
  • William Woo (55yo)

    Group Chief Information Officer

    • Tenure: 2.1yrs
  • Cheng Cheng Lim (47yo)

    Group Chief Financial Officer

    • Tenure: 4.4yrs
  • Yang Sin

    Vice President of Investor Relations

    • Tenure: 0yrs

Board Members

  • Venky Ganesan (46yo)

    Non-Executive & Independent Director and Chairman of Technology Advisory Panel

    • Tenure: 0yrs
    • Compensation: S$294.67k
  • Simon Claude Israel (66yo)

    Non-Executive Chairman & Member of Optus Advisory Committee

    • Tenure: 8.2yrs
    • Compensation: S$984.56k
  • John Morschel (76yo)

    Member of Optus Advisory Committee

    • Tenure: 0yrs
    • Compensation: S$68.21k
  • Paul O’Sullivan (58yo)

    Member of Optus Advisory Committee

    • Tenure: 0yrs
    • Compensation: S$3.01m
  • David Gonski (65yo)

    Member of Optus Advisory Committee

    • Tenure: 0yrs
    • Compensation: S$158.11k
  • Sock Koong Chua (62yo)

    Group CEO

    • Tenure: 12.4yrs
    • Compensation: S$3.54m
  • Swee Lian Teo (59yo)

    Non-Executive & Independent Director

    • Tenure: 4.4yrs
    • Compensation: S$195.00k
  • Check Kian Low (60yo)

    Non-Executive & Lead Independent Director

    • Tenure: 4.2yrs
    • Compensation: S$227.00k
  • Boon Hwee Koh (68yo)

    Member of Technology Advisory Panel

    • Tenure: 5.4yrs
  • Gautam Banerjee (65yo)

    Non-Executive & Independent Director

    • Tenure: 1.5yrs

Company Information

Singapore Telecommunications Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Singapore Telecommunications Limited
  • Ticker: SNGN.F
  • Exchange: OTCPK
  • Founded:
  • Industry: Integrated Telecommunication Services
  • Sector: Telecom
  • Market Cap: S$51.914b
  • Listing Market Cap: S$37.790b
  • Shares outstanding: 16.33b
  • Website: https://www.singtel.com

Number of Employees


Location

  • Singapore Telecommunications Limited
  • 31 Exeter Road
  • No. 19-00 Comcentre
  • Singapore
  • 239732
  • Singapore

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
SNGN.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDNov 1993
Z74SGX (Singapore Exchange)YesOrdinary SharesSGSGDNov 1993
SIT4DB (Deutsche Boerse AG)YesOrdinary SharesDEEURNov 1993
Z77SGX (Singapore Exchange)YesOrdinary SharesSGSGDNov 1993
SGAP.YOTCPK (Pink Sheets LLC)SPON ADR NEW06USUSDAug 1995

Biography

Singapore Telecommunications Limited provides communication, infotainment, and technology services to consumers and small businesses in Singapore, Australia, the United States, Europe, and internationally. ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/09/18 23:49
End of Day Share Price2019/09/18 00:00
Earnings2019/06/30
Annual Earnings2019/03/31


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.