Wednesday, 4 February 2015

What I like about SIA Engineering?

















Firstly let’s look at the majority owner in SIA Engineering.
As shown in the table below, I think I don’t need to say much already. (Haha)
The top 5 shareholders added up to an 81.5 percentage holding in the company.

Information obtained from SGX StockFacts.










Secondly, let’s look the fundamental analysis of SIA Engineering.
Take note that the figures I calculated is baseline to 3th February 2015 market closing price of 4.32

Again, the Information are obtained from SGX StockFacts.

















The net income for SIA Engineering is well kept above 200K year on year. This had proved the sustainability of the company and business. In addition, there isn't much competition of similar field in Singapore. The only comparable competitor I can think of now is ST Engineering.

Another thing that I like about SIA Engineering is the high dividend payout scheme that SIA Engineering is providing year on year as compare to Earning per Share. On average, SIA Engineering is giving 20 cents per year on semi paying basis.

Healthy current asset and liabilities since 2011 had also proven company's stability in term of short term (12 months) receivable. Current ratio is well kept above 2.8 ranges. Plus point!

Lastly, what I like most about SIA Engineering is...........
the LOW debt environment they operate in since 2011. Almost close to 0 debt is incurred by a big company is really hard to find nowadays. This also means that SIA Engineering might have a lot cash flow for expansion in the future and for raining days.

Today, SIA Engineering also announced their third quarter result.
SINGAPORE (3th Feb 2015 Tuesday): SIA Engineering Group has posted a 23.5% rise to $46.3 million for the 3Q ended Dec from a year ago. Basic earnings per share was 4.13 cents for the quarter, up 23.9%.

Wish you great success,
-ERIC KHOO

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