Sheng Siong Group Ltd
Sheng Siong Group Ltd Fundamental Analysis
Sheng Siong Group Ltd (OV8.SI) shows moderate financial fundamentals with a PE ratio of 28.87, profit margin of 9.52%, and ROE of 26.28%. The company generates $1.6B in annual revenue with moderate year-over-year growth of 4.46%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 54.8/100 based on profitability, valuation, growth, and balance sheet metrics. The C grade reflects average fundamentals, with notable risks in certain areas.
Fundamental Health Score
We analyze OV8.SI's fundamental strength across five key dimensions:
Efficiency Score
ExcellentOV8.SI demonstrates superior asset utilization.
Valuation Score
WeakOV8.SI trades at a premium to fair value.
Growth Score
WeakOV8.SI faces weak or negative growth trends.
Financial Health Score
ExcellentOV8.SI maintains a strong and stable balance sheet.
Profitability Score
ModerateOV8.SI maintains healthy but balanced margins.
Key Financial Metrics
Is OV8.SI Expensive or Cheap?
P/E Ratio
OV8.SI trades at 28.87 times earnings. This indicates a fair valuation.
PEG Ratio
When adjusting for growth, OV8.SI's PEG of 8.97 indicates potential overvaluation.
Price to Book
The market values Sheng Siong Group Ltd at 7.34 times its book value. This suggests the stock is fully valued or overvalued on an asset basis.
EV/EBITDA
Enterprise value stands at 19.69 times EBITDA. This signals the market has high growth expectations.
How Well Does OV8.SI Make Money?
Net Profit Margin
For every $100 in sales, Sheng Siong Group Ltd keeps $9.52 as profit after all expenses.
Operating Margin
Core operations generate 10.31 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $26.28 in profit for every $100 of shareholder equity.
ROA
Sheng Siong Group Ltd generates $13.95 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Sheng Siong Group Ltd produces operating cash flow of $245.79M, showing steady but balanced cash generation.
Free Cash Flow
Sheng Siong Group Ltd generates strong free cash flow of $224.93M, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $0.15 in free cash annually.
FCF Yield
OV8.SI converts 5.21% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
28.87
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
8.97
vs 25 benchmark
P/B Ratio
Price to book value ratio
7.34
vs 25 benchmark
P/S Ratio
Price to sales ratio
2.75
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.51
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.62
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.26
vs 25 benchmark
ROA
Return on assets percentage
0.14
vs 25 benchmark
ROCE
Return on capital employed
0.22
vs 25 benchmark
How OV8.SI Stacks Against Its Sector Peers
| Metric | OV8.SI Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 28.87 | 22.46 | Worse (Expensive) |
| ROE | 26.28% | 1263.00% | Weak |
| Net Margin | 9.52% | -5207.00% (disorted) | Weak |
| Debt/Equity | 0.51 | 1.24 | Strong (Low Leverage) |
| Current Ratio | 1.62 | 2.47 | Neutral |
| ROA | 13.95% | -192326.00% (disorted) | Strong |
OV8.SI outperforms its industry in 2 out of 6 key metrics, particularly excelling in ROA, but lagging in P/E Ratio.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Sheng Siong Group Ltd's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
44.13%
Industry Style: Defensive, Dividend, Low Volatility
High GrowthEPS CAGR
81.59%
Industry Style: Defensive, Dividend, Low Volatility
High GrowthFCF CAGR
86.66%
Industry Style: Defensive, Dividend, Low Volatility
High Growth