Sheng Siong - Margin & Network Expansion To Drive Growth; Keep BUY
SHENG SIONG GROUP LTD (SGX:OV8)
- We continue to like Sheng Siong (SGX:OV8) for its defensive features, strong cash flow-generating ability, net cash balance sheet, attractive dividend yields, and stable earnings driven by store network and margin expansion.
- Read this at SGinvestors.io -
Sheng Siong is still driving gross profit margin expansion.
- Sheng Siong’s gross profit margin (GPM) expanded over the past 5 years, from 26% in 2017 to 30% in 3Q22. Bulk handing, tilting its sales mix towards fresh products, directly purchasing from sources, and the growth of its house brands (to a lesser extent) have all helped to drive GPM growth.
- Read this at SGinvestors.io -
Outlook for new supermarket outlets available for tender remains positive.
- Read more at SGinvestors.io.
Singapore Research RHB Securities Research | https://www.rhbgroup.com/ 2023-01-26
Previous report by RHB:
2022-09-05 Sheng Siong - Benefiting From Lower Disposable Income; BUY.
Price targets by 5 other brokers at Sheng Siong Target Prices.
Listing of research reports at Sheng Siong Analyst Reports.
Relevant links:
Sheng Siong Share Price History,
Sheng Siong Announcements,
Sheng Siong Dividends & Corporate Actions,
Sheng Siong News Articles
