Definitive Analysis
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Definitive Analysis

Financial Statements

Ticker

Industry

Sector

Sheng Siong Group Ltd (OV8.SI)

Company Dividend Discount ModelIndustry: Grocery StoresSector: Consumer Defensive

Valuation Snapshot

Stable Growth$1.88 - $4.14$2.71
Multi-Stage$1.44 - $1.57$1.51
Blended Fair Value$2.11
Current Price$2.08
Upside1.33%
DecisionDon't Buy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR2024202320222021202020192018201720162015
DPS12.83%9.14%0.060.060.060.060.050.040.030.030.040.03
YoY Growth--4.58%-2.08%2.46%15.10%51.43%2.94%0.00%-6.85%12.31%21.79%
Dividend Yield--3.90%4.03%3.70%4.01%3.44%2.94%3.27%3.58%3.86%3.87%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)144.61
(-) Cash Dividends Paid (M)96.23
(=) Cash Retained (M)48.38
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)28.9218.0810.85
Cash Retained (M)48.3848.3848.38
(-) Cash Required (M)-28.92-18.08-10.85
(=) Excess Retained (M)19.4630.3137.54
(/) Shares Outstanding (M)1,502.891,502.891,502.89
(=) Excess Retained per Share0.010.020.02
LTM Dividend per Share0.060.060.06
(+) Excess Retained per Share0.010.020.02
(=) Adjusted Dividend0.080.080.09
WACC / Discount Rate9.81%9.81%9.81%
Growth Rate5.50%6.50%7.50%
Fair Value$1.88$2.71$4.14
Upside / Downside-9.45%30.17%98.99%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)144.61154.01164.02174.68186.03198.13204.07
Payout Ratio66.54%71.23%75.93%80.62%85.31%90.00%92.50%
Projected Dividends (M)96.23109.71124.53140.82158.70178.31188.77

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate9.81%9.81%9.81%
Growth Rate5.50%6.50%7.50%
Year 1 PV (M)98.9799.90100.84
Year 2 PV (M)101.34103.27105.22
Year 3 PV (M)103.38106.35109.37
Year 4 PV (M)105.10109.14113.30
Year 5 PV (M)106.53111.67117.01
PV of Terminal Value (M)1,655.551,735.521,818.54
Equity Value (M)2,170.872,265.852,364.29
Shares Outstanding (M)1,502.891,502.891,502.89
Fair Value$1.44$1.51$1.57
Upside / Downside-30.55%-27.52%-24.37%

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