Latest news with #HongLeongFinance
Yahoo
26-05-2025
- Business
- Yahoo
Does Hong Leong Finance (SGX:S41) Deserve A Spot On Your Watchlist?
Investors are often guided by the idea of discovering 'the next big thing', even if that means buying 'story stocks' without any revenue, let alone profit. But as Peter Lynch said in One Up On Wall Street, 'Long shots almost never pay off.' A loss-making company is yet to prove itself with profit, and eventually the inflow of external capital may dry up. If this kind of company isn't your style, you like companies that generate revenue, and even earn profits, then you may well be interested in Hong Leong Finance (SGX:S41). Even if this company is fairly valued by the market, investors would agree that generating consistent profits will continue to provide Hong Leong Finance with the means to add long-term value to shareholders. We've found 21 US stocks that are forecast to pay a dividend yield of over 6% next year. See the full list for free. If a company can keep growing earnings per share (EPS) long enough, its share price should eventually follow. That means EPS growth is considered a real positive by most successful long-term investors. Hong Leong Finance managed to grow EPS by 7.0% per year, over three years. While that sort of growth rate isn't anything to write home about, it does show the business is growing. Top-line growth is a great indicator that growth is sustainable, and combined with a high earnings before interest and taxation (EBIT) margin, it's a great way for a company to maintain a competitive advantage in the market. It's noted that Hong Leong Finance's revenue from operations was lower than its revenue in the last twelve months, so that could distort our analysis of its margins. Hong Leong Finance maintained stable EBIT margins over the last year, all while growing revenue 7.7% to S$234m. That's encouraging news for the company! In the chart below, you can see how the company has grown earnings and revenue, over time. Click on the chart to see the exact numbers. View our latest analysis for Hong Leong Finance While profitability drives the upside, prudent investors always check the balance sheet, too. It should give investors a sense of security owning shares in a company if insiders also own shares, creating a close alignment their interests. Hong Leong Finance followers will find comfort in knowing that insiders have a significant amount of capital that aligns their best interests with the wider shareholder group. As a matter of fact, their holding is valued at S$30m. That's a lot of money, and no small incentive to work hard. Even though that's only about 2.7% of the company, it's enough money to indicate alignment between the leaders of the business and ordinary shareholders. One positive for Hong Leong Finance is that it is growing EPS. That's nice to see. To add an extra spark to the fire, significant insider ownership in the company is another highlight. These two factors are a huge highlight for the company which should be a strong contender your watchlists. Before you take the next step you should know about the 1 warning sign for Hong Leong Finance that we have uncovered. There's always the possibility of doing well buying stocks that are not growing earnings and do not have insiders buying shares. But for those who consider these important metrics, we encourage you to check out companies that do have those features. You can access a tailored list of Singaporean companies which have demonstrated growth backed by significant insider holdings. Please note the insider transactions discussed in this article refer to reportable transactions in the relevant jurisdiction. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
26-05-2025
- Business
- Yahoo
Does Hong Leong Finance (SGX:S41) Deserve A Spot On Your Watchlist?
Investors are often guided by the idea of discovering 'the next big thing', even if that means buying 'story stocks' without any revenue, let alone profit. But as Peter Lynch said in One Up On Wall Street, 'Long shots almost never pay off.' A loss-making company is yet to prove itself with profit, and eventually the inflow of external capital may dry up. If this kind of company isn't your style, you like companies that generate revenue, and even earn profits, then you may well be interested in Hong Leong Finance (SGX:S41). Even if this company is fairly valued by the market, investors would agree that generating consistent profits will continue to provide Hong Leong Finance with the means to add long-term value to shareholders. We've found 21 US stocks that are forecast to pay a dividend yield of over 6% next year. See the full list for free. If a company can keep growing earnings per share (EPS) long enough, its share price should eventually follow. That means EPS growth is considered a real positive by most successful long-term investors. Hong Leong Finance managed to grow EPS by 7.0% per year, over three years. While that sort of growth rate isn't anything to write home about, it does show the business is growing. Top-line growth is a great indicator that growth is sustainable, and combined with a high earnings before interest and taxation (EBIT) margin, it's a great way for a company to maintain a competitive advantage in the market. It's noted that Hong Leong Finance's revenue from operations was lower than its revenue in the last twelve months, so that could distort our analysis of its margins. Hong Leong Finance maintained stable EBIT margins over the last year, all while growing revenue 7.7% to S$234m. That's encouraging news for the company! In the chart below, you can see how the company has grown earnings and revenue, over time. Click on the chart to see the exact numbers. View our latest analysis for Hong Leong Finance While profitability drives the upside, prudent investors always check the balance sheet, too. It should give investors a sense of security owning shares in a company if insiders also own shares, creating a close alignment their interests. Hong Leong Finance followers will find comfort in knowing that insiders have a significant amount of capital that aligns their best interests with the wider shareholder group. As a matter of fact, their holding is valued at S$30m. That's a lot of money, and no small incentive to work hard. Even though that's only about 2.7% of the company, it's enough money to indicate alignment between the leaders of the business and ordinary shareholders. One positive for Hong Leong Finance is that it is growing EPS. That's nice to see. To add an extra spark to the fire, significant insider ownership in the company is another highlight. These two factors are a huge highlight for the company which should be a strong contender your watchlists. Before you take the next step you should know about the 1 warning sign for Hong Leong Finance that we have uncovered. There's always the possibility of doing well buying stocks that are not growing earnings and do not have insiders buying shares. But for those who consider these important metrics, we encourage you to check out companies that do have those features. You can access a tailored list of Singaporean companies which have demonstrated growth backed by significant insider holdings. Please note the insider transactions discussed in this article refer to reportable transactions in the relevant jurisdiction. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Business Times
29-04-2025
- Automotive
- Business Times
Hong Leong Finance sees over 300% growth in EV loans
[SINGAPORE] Hong Leong Finance (HLF) announced that it has seen a more than 300 per cent increase in electric vehicle (EV) loans, from S$73 million in 2023 to S$314 million in 2024. Besides EV loans, HLF also saw a more than 300 per cent increase in vehicle loans processed digitally, from S$99 million in 2023 to S$400 million in 2024. This was on the back of its new digital platform which connected with major car dealers directly for automotive financing. This new system eliminated the manual paper-based system and redundant data entry. The integration with GovTech's MyInfo, the Singapore government's data management platform, also reduced errors and access to verified personal data. HLF is planning to introduce new capabilities that will enable car dealers to offer online car markets. 'Our innovative digital platform for vehicle loans has proven to be a game changer, offering speed and security for both car dealers and customers,' said Ang Tang Chor, president of HLF.
Yahoo
31-03-2025
- Business
- Yahoo
Those who invested in Hong Leong Finance (SGX:S41) five years ago are up 59%
If you buy and hold a stock for many years, you'd hope to be making a profit. Furthermore, you'd generally like to see the share price rise faster than the market. Unfortunately for shareholders, while the Hong Leong Finance Limited (SGX:S41) share price is up 22% in the last five years, that's less than the market return. Zooming in, the stock is up just 2.8% in the last year. So let's assess the underlying fundamentals over the last 5 years and see if they've moved in lock-step with shareholder returns. AI is about to change healthcare. These 20 stocks are working on everything from early diagnostics to drug discovery. The best part - they are all under $10bn in marketcap - there is still time to get in early. In his essay The Superinvestors of Graham-and-Doddsville Warren Buffett described how share prices do not always rationally reflect the value of a business. By comparing earnings per share (EPS) and share price changes over time, we can get a feel for how investor attitudes to a company have morphed over time. During five years of share price growth, Hong Leong Finance achieved compound earnings per share (EPS) growth of 0.1% per year. This EPS growth is slower than the share price growth of 4% per year, over the same period. So it's fair to assume the market has a higher opinion of the business than it did five years ago. That's not necessarily surprising considering the five-year track record of earnings growth. The image below shows how EPS has tracked over time (if you click on the image you can see greater detail). Before buying or selling a stock, we always recommend a close examination of historic growth trends, available here. It is important to consider the total shareholder return, as well as the share price return, for any given stock. The TSR is a return calculation that accounts for the value of cash dividends (assuming that any dividend received was reinvested) and the calculated value of any discounted capital raisings and spin-offs. Arguably, the TSR gives a more comprehensive picture of the return generated by a stock. In the case of Hong Leong Finance, it has a TSR of 59% for the last 5 years. That exceeds its share price return that we previously mentioned. This is largely a result of its dividend payments! Hong Leong Finance provided a TSR of 8.3% over the last twelve months. Unfortunately this falls short of the market return. If we look back over five years, the returns are even better, coming in at 10% per year for five years. Maybe the share price is just taking a breather while the business executes on its growth strategy. It's always interesting to track share price performance over the longer term. But to understand Hong Leong Finance better, we need to consider many other factors. Consider risks, for instance. Every company has them, and we've spotted 1 warning sign for Hong Leong Finance you should know about. If you would prefer to check out another company -- one with potentially superior financials -- then do not miss this free list of companies that have proven they can grow earnings. Please note, the market returns quoted in this article reflect the market weighted average returns of stocks that currently trade on Singaporean exchanges. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Sign in to access your portfolio
