Singapore Technologies Engineering Ltd
Singapore Technologies Engineering Ltd Fundamental Analysis
Singapore Technologies Engineering Ltd (SGGKY) shows moderate financial fundamentals with a PE ratio of 72.43, profit margin of 3.75%, and ROE of 17.50%. The company generates $12.4B in annual revenue with strong year-over-year growth of 11.63%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 44.0/100 based on profitability, valuation, growth, and balance sheet metrics. The D grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze SGGKY's fundamental strength across five key dimensions:
Efficiency Score
WeakSGGKY struggles to generate sufficient returns from assets.
Valuation Score
ModerateSGGKY shows balanced valuation metrics.
Growth Score
ExcellentSGGKY delivers strong and consistent growth momentum.
Financial Health Score
ModerateSGGKY shows balanced financial health with some risks.
Profitability Score
ModerateSGGKY maintains healthy but balanced margins.
Key Financial Metrics
Is SGGKY Expensive or Cheap?
P/E Ratio
SGGKY trades at 72.43 times earnings. This suggests a premium valuation.
PEG Ratio
When adjusting for growth, SGGKY's PEG of -1.41 indicates potential undervaluation.
Price to Book
The market values Singapore Technologies Engineering Ltd at 13.02 times its book value. This suggests the stock is fully valued or overvalued on an asset basis.
EV/EBITDA
Enterprise value stands at 22.86 times EBITDA. This signals the market has high growth expectations.
How Well Does SGGKY Make Money?
Net Profit Margin
For every $100 in sales, Singapore Technologies Engineering Ltd keeps $3.75 as profit after all expenses.
Operating Margin
Core operations generate 8.30 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $17.50 in profit for every $100 of shareholder equity.
ROA
Singapore Technologies Engineering Ltd generates $2.89 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 $1.66B, showing steady but balanced cash generation.
Free Cash Flow
Singapore Technologies Engineering Ltd produces free cash flow of $1.14B, offering steady but limited capital for shareholder returns and expansion.
FCF Per Share
Each share generates $3.63 in free cash annually.
FCF Yield
SGGKY converts 3.34% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
72.43
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-1.41
vs 25 benchmark
P/B Ratio
Price to book value ratio
13.02
vs 25 benchmark
P/S Ratio
Price to sales ratio
2.74
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
1.88
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.08
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.17
vs 25 benchmark
ROA
Return on assets percentage
0.03
vs 25 benchmark
ROCE
Return on capital employed
0.12
vs 25 benchmark
How SGGKY Stacks Against Its Sector Peers
| Metric | SGGKY Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 72.43 | 25.84 | Worse (Expensive) |
| ROE | 17.50% | 1279.00% | Weak |
| Net Margin | 3.75% | -43714.00% (disorted) | Weak |
| Debt/Equity | 1.88 | 0.80 | Weak (High Leverage) |
| Current Ratio | 1.08 | 10.62 | Neutral |
| ROA | 2.89% | -1537441.00% (disorted) | Weak |
SGGKY 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
43.42%
Industry Style: Cyclical, Value, Infrastructure
High GrowthEPS CAGR
21.61%
Industry Style: Cyclical, Value, Infrastructure
High GrowthFCF CAGR
195.65%
Industry Style: Cyclical, Value, Infrastructure
High Growth