Yahoo Finance Singapore Technologies Engineering Ltd (SGX:S63) Has Attractive Fundamentals, Here’s Why
As an investor, I look for investments which does not compromise one fundamental factor for another. By this I mean, I look at stocks holistically, from their financial health to their future outlook. In the case of Singapore Technologies Engineering Ltd (SGX:S63), it is a company with great financial health as well as a a strong history of performance. In the following section, I expand a bit more on these key aspects. For those interested in understanding where the figures come from and want to see the analysis, take a look at the report on Singapore Technologies Engineering here.
Flawless balance sheet with proven track record
Over the past year, S63 has grown its earnings by 11.70%, with its most recent figure exceeding its annual average over the past five years. This strong performance generated a robust double-digit return on equity of 21.02%, which is what investors like to see! S63’s strong financial health means that all of its upcoming liability payments are able to be met by its current cash and short-term investment holdings. This indicates that S63 has sufficient cash flows and proper cash management in place, which is an important determinant of the company’s health. S63’s has produced operating cash levels of 0.76x total debt over the past year, which implies that S63’s management has put its borrowings into good use by generating enough cash to cover a sufficient portion of borrowings.
Next Steps:
For Singapore Technologies Engineering, I’ve compiled three relevant aspects you should further examine:
Future Outlook: What are well-informed industry analysts predicting for S63’s future growth? Take a look at our free research report of analyst consensus for S63’s outlook.
Valuation: What is S63 worth today? Is the stock undervalued, even when its growth outlook is factored into its intrinsic value? The intrinsic value infographic in our free research report helps visualize whether S63 is currently mispriced by the market.
Other Attractive Alternatives : Are there other well-rounded stocks you could be holding instead of S63? Explore our interactive list of stocks with large potential to get an idea of what else is out there you may be missing!
To help readers see pass the short term volatility of the financial market, we aim to bring you a long-term focused research analysis purely driven by fundamental data. Note that our analysis does not factor in the latest price sensitive company announcements.
The author is an independent contributor and at the time of publication had no position in the stocks mentioned.
