Sembcorp Marine Ltd
Sembcorp Marine Ltd Fundamental Analysis
Sembcorp Marine Ltd (S51.SI) shows weak financial fundamentals with a PE ratio of 32.55, profit margin of 2.51%, and ROE of 4.12%. The company generates $10.7B in annual revenue with strong year-over-year growth of 26.60%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 47.5/100 based on profitability, valuation, growth, and balance sheet metrics. The D grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze S51.SI's fundamental strength across five key dimensions:
Efficiency Score
WeakS51.SI struggles to generate sufficient returns from assets.
Valuation Score
ModerateS51.SI shows balanced valuation metrics.
Growth Score
ModerateS51.SI shows steady but slowing expansion.
Financial Health Score
ExcellentS51.SI maintains a strong and stable balance sheet.
Profitability Score
WeakS51.SI struggles to sustain strong margins.
Key Financial Metrics
Is S51.SI Expensive or Cheap?
P/E Ratio
S51.SI trades at 32.55 times earnings. This suggests a premium valuation.
PEG Ratio
When adjusting for growth, S51.SI's PEG of 0.47 indicates potential undervaluation.
Price to Book
The market values Sembcorp Marine Ltd at 1.32 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 8.14 times EBITDA. This is generally considered low.
How Well Does S51.SI Make Money?
Net Profit Margin
For every $100 in sales, Sembcorp Marine Ltd keeps $2.51 as profit after all expenses.
Operating Margin
Core operations generate 2.08 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $4.12 in profit for every $100 of shareholder equity.
ROA
Sembcorp Marine Ltd generates $1.52 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Sembcorp Marine Ltd produces operating cash flow of $1.15B, showing steady but balanced cash generation.
Free Cash Flow
Sembcorp Marine Ltd generates strong free cash flow of $1.09B, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $0.32 in free cash annually.
FCF Yield
S51.SI converts 12.41% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
32.55
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.47
vs 25 benchmark
P/B Ratio
Price to book value ratio
1.32
vs 25 benchmark
P/S Ratio
Price to sales ratio
0.82
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.43
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.07
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.04
vs 25 benchmark
ROA
Return on assets percentage
0.02
vs 25 benchmark
ROCE
Return on capital employed
0.02
vs 25 benchmark
How S51.SI Stacks Against Its Sector Peers
| Metric | S51.SI Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 32.55 | 25.81 | Worse (Expensive) |
| ROE | 4.12% | 1255.00% | Weak |
| Net Margin | 2.51% | -46754.00% (disorted) | Weak |
| Debt/Equity | 0.43 | 0.78 | Strong (Low Leverage) |
| Current Ratio | 1.07 | 10.04 | Neutral |
| ROA | 1.52% | -1492804.00% (disorted) | Weak |
S51.SI outperforms its industry in 1 out of 6 key metrics, but lagging in P/E Ratio.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Sembcorp Marine Ltd's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
251.03%
Industry Style: Cyclical, Value, Infrastructure
High GrowthEPS CAGR
222.64%
Industry Style: Cyclical, Value, Infrastructure
High GrowthFCF CAGR
148.89%
Industry Style: Cyclical, Value, Infrastructure
High Growth