Singapore Technologies Engineering Ltd Fundamental Analysis (SES: S63.SI)
Singapore Technologies Engineering Ltd Fundamental Analysis (SES: S63.SI)
Singapore Technologies Engineering Ltd (SES: S63.SI) shows moderate financial fundamentals with a PE ratio of 59.60, profit margin of 4.40%, and ROE of 22.44%. The company generates $13.0B in annual revenue with moderate year-over-year growth of 9.50%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 39.4/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze S63.SI's fundamental strength across five key dimensions:
Efficiency Score
WeakS63.SI struggles to generate sufficient returns from assets.
Valuation Score
ModerateS63.SI shows balanced valuation metrics.
Growth Score
ModerateS63.SI shows steady but slowing expansion.
Financial Health Score
WeakS63.SI carries high financial risk with limited liquidity.
Profitability Score
ModerateS63.SI maintains healthy but balanced margins.
Key Financial Metrics
Is S63.SI Expensive or Cheap?
P/E Ratio
S63.SI trades at 59.60 times earnings. This suggests a premium valuation.
PEG Ratio
When adjusting for growth, S63.SI's PEG of -2.13 indicates potential undervaluation.
Price to Book
The market values Singapore Technologies Engineering Ltd at 13.19 times its book value. This suggests the stock is fully valued or overvalued on an asset basis.
EV/EBITDA
Enterprise value stands at 16.60 times EBITDA. This signals the market has high growth expectations.
How Well Does S63.SI Make Money?
Net Profit Margin
For every $100 in sales, Singapore Technologies Engineering Ltd keeps $4.40 as profit after all expenses.
Operating Margin
Core operations generate 9.45 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $22.44 in profit for every $100 of shareholder equity.
ROA
Singapore Technologies Engineering Ltd generates $3.45 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Singapore Technologies Engineering Ltd produces operating cash flow of $1.77B, showing steady but balanced cash generation.
Free Cash Flow
Singapore Technologies Engineering Ltd produces free cash flow of $1.18B, offering steady but limited capital for shareholder returns and expansion.
FCF Per Share
Each share generates $0.38 in free cash annually.
FCF Yield
S63.SI converts 3.55% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
59.60
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-2.13
vs 25 benchmark
P/B Ratio
Price to book value ratio
13.19
vs 25 benchmark
P/S Ratio
Price to sales ratio
2.56
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
1.87
vs 25 benchmark
Current Ratio
Current assets to current liabilities
0.95
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.22
vs 25 benchmark
ROA
Return on assets percentage
0.03
vs 25 benchmark
ROCE
Return on capital employed
0.16
vs 25 benchmark
How S63.SI Stacks Against Its Sector Peers
| Metric | S63.SI Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 59.60 | 29.88 | Worse (Expensive) |
| ROE | 22.44% | 1106.00% | Weak |
| Net Margin | 4.40% | -24767.00% (disorted) | Weak |
| Debt/Equity | 1.87 | 0.94 | Weak (High Leverage) |
| Current Ratio | 0.95 | 21.64 | Weak Liquidity |
| ROA | 3.45% | -1320894.00% (disorted) | Weak |
S63.SI outperforms its industry in 0 out of 6 key metrics, but lagging in P/E Ratio.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Singapore Technologies Engineering Ltd's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
72.41%
Industry Style: Cyclical, Value, Infrastructure
High GrowthEPS CAGR
-11.35%
Industry Style: Cyclical, Value, Infrastructure
DecliningFCF CAGR
5.92%
Industry Style: Cyclical, Value, Infrastructure
Growing