Thanh Thanh Cong - Bien Hoa (HOSE:SBT) - Share price, News & Analysis

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

SBT (₫18650) is trading below our estimate of [[fair value]] (₫117610.51)

SBT fundamental analysis
Snowflake Score
Valuation	5/6
Future Growth	3/6
Past Performance	2/6
Financial Health	4/6
Dividends	1/6

SBT Stock Overview

Thanh Thanh Cong - Bien Hoa Joint Stock Company produces and trades in sugar and its by-products in Vietnam and internationally.

Rewards

Trading at 84.1% below our estimate of its fair value

Earnings are forecast to grow 33.65% per year

Earnings have grown 18.1% per year over the past 5 years

Risk Analysis

Debt is not well covered by operating cash flow

Dividend of 5.93% is not well covered by earnings or forecast to be in the next 3 years

Thanh Thanh Cong - Bien Hoa Competitors

KIDO Group

HOSE:KDC

₫16.3t

Vinh Hoan

HOSE:VHC

₫17.1t

Dabaco Group

HOSE:DBC

₫4.7t

Nam Viet

HOSE:ANV

₫6.7t

Price History & Performance

Summary of all time highs, changes and price drops for Thanh Thanh Cong - Bien Hoa
Historical stock prices
Current Share Price	₫18,650.00
52 Week High	₫28,000.00
52 Week Low	₫14,250.00
Beta	0.87
1 Month Change	6.57%
3 Month Change	-23.25%
1 Year Change	-12.65%
3 Year Change	8.75%
5 Year Change	-44.00%
Change since IPO	43.57%

Shareholder Returns

	SBT	VN Food	VN Market
7D	18.4%	5.3%	4.0%
1Y	-12.6%	0.9%	-13.5%

Return vs Industry: SBT underperformed the VN Food industry which returned 0.9% over the past year.

Return vs Market: SBT matched the VN Market which returned -13.5% over the past year.

Price Volatility

Is SBT's price volatile compared to industry and market?
SBT volatility
SBT Average Weekly Movement	7.9%
Food Industry Average Movement	8.5%
Market Average Movement	8.3%
10% most volatile stocks in VN Market	11.1%
10% least volatile stocks in VN Market	4.7%

Stable Share Price: SBT is not significantly more volatile than the rest of VN stocks over the past 3 months, typically moving +/- 8% a week.

Volatility Over Time: SBT's weekly volatility (8%) has been stable over the past year.

About the Company

Founded	Employees	CEO	Website
1995	3,022	Nguyen Ngu	https://www.ttcsugar.com.vn

Thanh Thanh Cong - Bien Hoa Joint Stock Company produces and trades in sugar and its by-products in Vietnam and internationally. The company is also involved in the production, transmission, and distribution of electricity; planting sugarcane and industrial crops; and producing and trading fertilizers and agricultural materials, alcohol and non-alcoholic beverages, mineral and bottled water, soft drinks, fruit juice, and soy milk. In addition, it engages in constructing civil engineering projects and industrial park infrastructure; hotels and restaurants businesses; trading of real estate properties, agricultural machines and tools, and petroleum and gas; the rental of houses, warehouses, offices, and apartments; investment activities; and the wholesale of consumer goods.

Thanh Thanh Cong - Bien Hoa Fundamentals Summary

How do Thanh Thanh Cong - Bien Hoa's earnings and revenue compare to its market cap?
SBT fundamental statistics
Market Cap	₫11.73t
Earnings (TTM)	₫715.52b
Revenue (TTM)	₫16.99t

16.4x

P/E Ratio

0.7x

P/S Ratio

Is SBT overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report
SBT income statement (TTM)
Revenue	₫16.99t
Cost of Revenue	₫14.50t
Gross Profit	₫2.49t
Other Expenses	₫1.77t
Earnings	₫715.52b

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

n/a

Earnings per share (EPS)	1.14k
Gross Margin	14.65%
Net Profit Margin	4.21%
Debt/Equity Ratio	116.3%

How did SBT perform over the long term?

See historical performance and comparison

Dividends

5.9%

Current Dividend Yield

96%

Payout Ratio

We’ve recently updated our valuation analysis.

Valuation

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

Valuation Score

5/6

Valuation Score 5/6

Price-To-Earnings vs Peers
Price-To-Earnings vs Industry
Price-To-Earnings vs Fair Ratio
Below Fair Value
Significantly Below Fair Value
PEG Ratio

Key Valuation Metric

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

Other financial metrics that can be useful for relative valuation.

The above table shows the n/a ratio for SBT. This is calculated by dividing SBT's market cap by their current preferred multiple.
What is SBT's n/a Ratio?
n/a Ratio	0x
n/a	n/a
Market Cap	₫11.73t

SBT key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue	1.3x
Enterprise Value/EBITDA	13.8x
PEG Ratio	0.5x

Price to Earnings Ratio vs Peers

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

SBT PE Ratio vs Peers

The above table shows the PE ratio for SBT vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
Company	PE	Estimated Growth	Market Cap
Peer Average	18.1x
KDC KIDO Group	26.3x	n/a	₫16.3t
VHC Vinh Hoan	11.3x	18.8%	₫17.1t
DBC Dabaco Group	10x	n/a	₫4.7t
ANV Nam Viet	24.8x	n/a	₫6.7t
SBT Thanh Thanh Cong - Bien Hoa	16.4x	33.7%	₫11.7t

Forward PE

Price-To-Earnings vs Peers: SBT is good value based on its Price-To-Earnings Ratio (16.4x) compared to the peer average (18.1x).

Price to Earnings Ratio vs Industry

How does SBT's PE Ratio compare vs other companies in the VN Food Industry?

Price-To-Earnings vs Industry: SBT is expensive based on its Price-To-Earnings Ratio (16.4x) compared to the VN Food industry average (15.4x)

Price to Earnings Ratio vs Fair Ratio

What is SBT'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.

SBT PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	16.4x
Fair PE Ratio	22.9x

Price-To-Earnings vs Fair Ratio: SBT is good value based on its Price-To-Earnings Ratio (16.4x) compared to the estimated Fair Price-To-Earnings Ratio (22.9x).

Share Price vs Fair Value

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

Below Fair Value: SBT (₫18650) is trading below our estimate of fair value (₫117610.51)

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

Price to Earnings Growth Ratio

PEG Ratio: SBT is good value based on its PEG Ratio (0.5x)

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Future Growth

How is Thanh Thanh Cong - Bien Hoa forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?

Future Growth Score

3/6

Future Growth Score 3/6

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

33.7%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts

Analyst Future Growth Forecasts

Earnings vs Savings Rate: SBT's forecast earnings growth (33.7% per year) is above the savings rate (3.7%).

Earnings vs Market: SBT's earnings (33.7% per year) are forecast to grow faster than the VN market (21.2% per year).

High Growth Earnings: SBT's earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: Insufficient data to determine if SBT's revenue is forecast to grow faster than the VN market.

High Growth Revenue: Insufficient data to determine if SBT's revenue is forecast to grow faster than 20% per year.

Earnings per Share Growth Forecasts

Future Return on Equity

Future ROE: Insufficient data to determine if SBT's Return on Equity is forecast to be high in 3 years time

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Past Performance

How has Thanh Thanh Cong - Bien Hoa performed over the past 5 years?

Past Performance Score

2/6

Past Performance Score 2/6

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

18.1%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: SBT has high quality earnings.

Growing Profit Margin: SBT's current net profit margins (4.2%) are lower than last year (4.4%).

Past Earnings Growth Analysis

Earnings Trend: SBT's earnings have grown by 18.1% per year over the past 5 years.

Accelerating Growth: SBT's earnings growth over the past year (13.3%) is below its 5-year average (18.1% per year).

Earnings vs Industry: SBT earnings growth over the past year (13.3%) underperformed the Food industry 42.8%.

Return on Equity

High ROE: SBT's Return on Equity (8.5%) is considered low.

Discover strong past performing companies

Financial Health

How is Thanh Thanh Cong - Bien Hoa's financial position?

Financial Health Score

4/6

Financial Health Score 4/6

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

Financial Position Analysis

Short Term Liabilities: SBT's short term assets (₫15,612.2B) exceed its short term liabilities (₫12,342.5B).

Long Term Liabilities: SBT's short term assets (₫15,612.2B) exceed its long term liabilities (₫3,297.7B).

Debt to Equity History and Analysis

Debt Level: SBT's net debt to equity ratio (90.9%) is considered high.

Reducing Debt: SBT's debt to equity ratio has reduced from 136.5% to 116.3% over the past 5 years.

Debt Coverage: SBT's debt is not well covered by operating cash flow (7.5%).

Interest Coverage: SBT earns more interest than it pays, so coverage of interest payments is not a concern.

Balance Sheet

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Dividend

What is Thanh Thanh Cong - Bien Hoa current dividend yield, its reliability and sustainability?

Dividend Score

1/6

Dividend Score 1/6

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

5.93%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: SBT's dividend (5.93%) is higher than the bottom 25% of dividend payers in the VN market (2.92%).

High Dividend: SBT's dividend (5.93%) is low compared to the top 25% of dividend payers in the VN market (7.77%).

Stability and Growth of Payments

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

Growing Dividend: SBT's dividend payments have fallen over the past 10 years.

Earnings Payout to Shareholders

Earnings Coverage: With its high payout ratio (96.5%), SBT's dividend payments are not well covered by earnings.

Cash Payout to Shareholders

Cash Flow Coverage: With its high cash payout ratio (99.4%), SBT's dividend payments are not well covered by cash flows.

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Management

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

4.9yrs

Average management tenure

CEO

Nguyen Ngu (34 yo)

7.58yrs

Tenure

Mr. Nguyen Thanh Ngu has been Chief Executive Officer at Thanh Thanh Cong - Bien Hoa Joint Stock Company since November 1, 2014. Mr. Ngu served as Deputy Chief Executive Officer at Ninh Hoa Sugar Joint Sto...

Leadership Team

Experienced Management: SBT's management team is considered experienced (4.9 years average tenure).

Board Members

Experienced Board: SBT's board of directors are not considered experienced ( 2.7 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.

Data	Last Updated (UTC time)
Company Analysis	2022/06/30 00:00
End of Day Share Price	2022/06/30 00:00
Earnings	2022/03/31
Annual Earnings	2021/06/30