- Sheng Siong (SGX:OV8)'s 3Q23 results were within expectations. 9M23 revenue and PATMI were 75%/74% of our FY23e forecast. Despite the spike in salaries and electricity cost, PATMI grew 6% y-o-y on improving gross margins and interest income.
- - Read this at SGinvestors.io -
- We expect higher earnings growth in FY24e from new stores, lower utility costs, increase in same-store sales and interest income.
- Our FY23e earnings forecast and BUY recommendation for Sheng Siong is maintained. However, we are lowering our target price to S$1.80 (previously S$1.98).
The Positives
Same-store sales building momentum.
- - Read this at SGinvestors.io -
- Same-store sales is rising from market share gains and a jump in population in Singapore.
New stores recovering.
- Read more at SGinvestors.io.
Above is the excerpt from report by Phillip Securities Research.
Clients of Phillip Capital may be the first to access the full report in PDF @ https://www.stocksbnb.com/.
Paul Chew Phillip Securities Research | https://www.stocksbnb.com/ 2023-10-30
Read also Phillip's most recent report:
2024-03-01 Sheng Siong - Lack Of New Stores.
Price targets by 4 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
