Latest news with #PenguinInternational
Yahoo
18-04-2025
- Business
- Yahoo
Is Penguin International Limited's (SGX:BTM) Latest Stock Performance A Reflection Of Its Financial Health?
Penguin International's (SGX:BTM) stock is up by a considerable 7.3% over the past week. Given the company's impressive performance, we decided to study its financial indicators more closely as a company's financial health over the long-term usually dictates market outcomes. In this article, we decided to focus on Penguin International's ROE. Return on equity or ROE is a key measure used to assess how efficiently a company's management is utilizing the company's capital. In simpler terms, it measures the profitability of a company in relation to shareholder's equity. Trump has pledged to "unleash" American oil and gas and these 15 US stocks have developments that are poised to benefit. The formula for return on equity is: Return on Equity = Net Profit (from continuing operations) ÷ Shareholders' Equity So, based on the above formula, the ROE for Penguin International is: 15% = S$36m ÷ S$243m (Based on the trailing twelve months to December 2024). The 'return' is the amount earned after tax over the last twelve months. So, this means that for every SGD1 of its shareholder's investments, the company generates a profit of SGD0.15. See our latest analysis for Penguin International So far, we've learned that ROE is a measure of a company's profitability. Based on how much of its profits the company chooses to reinvest or "retain", we are then able to evaluate a company's future ability to generate profits. Assuming all else is equal, companies that have both a higher return on equity and higher profit retention are usually the ones that have a higher growth rate when compared to companies that don't have the same features. To start with, Penguin International's ROE looks acceptable. On comparing with the average industry ROE of 3.9% the company's ROE looks pretty remarkable. This certainly adds some context to Penguin International's decent 8.3% net income growth seen over the past five years. As a next step, we compared Penguin International's net income growth with the industry and found that the company has a similar growth figure when compared with the industry average growth rate of 9.9% in the same period. Earnings growth is a huge factor in stock valuation. What investors need to determine next is if the expected earnings growth, or the lack of it, is already built into the share price. Doing so will help them establish if the stock's future looks promising or ominous. Has the market priced in the future outlook for BTM? You can find out in our latest intrinsic value infographic research report Penguin International has a healthy combination of a moderate three-year median payout ratio of 44% (or a retention ratio of 56%) and a respectable amount of growth in earnings as we saw above, meaning that the company has been making efficient use of its profits. Moreover, Penguin International is determined to keep sharing its profits with shareholders which we infer from its long history of paying a dividend for at least ten years. On the whole, we feel that Penguin International's performance has been quite good. Specifically, we like that the company is reinvesting a huge chunk of its profits at a high rate of return. This of course has caused the company to see substantial growth in its earnings. If the company continues to grow its earnings the way it has, that could have a positive impact on its share price given how earnings per share influence long-term share prices. Remember, the price of a stock is also dependent on the perceived risk. Therefore investors must keep themselves informed about the risks involved before investing in any company. You can see the 2 risks we have identified for Penguin International by visiting our risks dashboard for free on our platform here. 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
Yahoo
21-03-2025
- Business
- Yahoo
A Look At The Fair Value Of Penguin International Limited (SGX:BTM)
Penguin International's estimated fair value is S$0.93 based on Dividend Discount Model Current share price of S$0.94 suggests Penguin International is potentially trading close to its fair value Penguin International's peers are currently trading at a discount of 40% on average How far off is Penguin International Limited (SGX:BTM) from its intrinsic value? Using the most recent financial data, we'll take a look at whether the stock is fairly priced by projecting its future cash flows and then discounting them to today's value. This will be done using the Discounted Cash Flow (DCF) model. Models like these may appear beyond the comprehension of a lay person, but they're fairly easy to follow. We would caution that there are many ways of valuing a company and, like the DCF, each technique has advantages and disadvantages in certain scenarios. If you still have some burning questions about this type of valuation, take a look at the Simply Wall St analysis model. 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. We have to calculate the value of Penguin International slightly differently to other stocks because it is a machinery company. Instead of using free cash flows, which are hard to estimate and often not reported by analysts in this industry, dividends per share (DPS) payments are used. This often underestimates the value of a stock, but it can still be good as a comparison to competitors. We use the Gordon Growth Model, which assumes dividend will grow into perpetuity at a rate that can be sustained. For a number of reasons a very conservative growth rate is used that cannot exceed that of a company's Gross Domestic Product (GDP). In this case we used the 5-year average of the 10-year government bond yield (2.3%). The expected dividend per share is then discounted to today's value at a cost of equity of 7.4%. Compared to the current share price of S$0.9, the company appears around fair value at the time of writing. Valuations are imprecise instruments though, rather like a telescope - move a few degrees and end up in a different galaxy. Do keep this in mind. Value Per Share = Expected Dividend Per Share / (Discount Rate - Perpetual Growth Rate) = S$0.05 / (7.4% – 2.3%) = S$0.9 We would point out that the most important inputs to a discounted cash flow are the discount rate and of course the actual cash flows. Part of investing is coming up with your own evaluation of a company's future performance, so try the calculation yourself and check your own assumptions. The DCF also does not consider the possible cyclicality of an industry, or a company's future capital requirements, so it does not give a full picture of a company's potential performance. Given that we are looking at Penguin International as potential shareholders, the cost of equity is used as the discount rate, rather than the cost of capital (or weighted average cost of capital, WACC) which accounts for debt. In this calculation we've used 7.4%, which is based on a levered beta of 1.196. Beta is a measure of a stock's volatility, compared to the market as a whole. We get our beta from the industry average beta of globally comparable companies, with an imposed limit between 0.8 and 2.0, which is a reasonable range for a stable business. See our latest analysis for Penguin International Strength Earnings growth over the past year exceeded the industry. Debt is not viewed as a risk. Weakness Dividend is low compared to the top 25% of dividend payers in the Machinery market. Opportunity Current share price is below our estimate of fair value. Lack of analyst coverage makes it difficult to determine BTM's earnings prospects. Threat Paying a dividend but company has no free cash flows. Valuation is only one side of the coin in terms of building your investment thesis, and it ideally won't be the sole piece of analysis you scrutinize for a company. DCF models are not the be-all and end-all of investment valuation. Instead the best use for a DCF model is to test certain assumptions and theories to see if they would lead to the company being undervalued or overvalued. For example, changes in the company's cost of equity or the risk free rate can significantly impact the valuation. For Penguin International, we've compiled three fundamental aspects you should assess: Risks: As an example, we've found 2 warning signs for Penguin International (1 is potentially serious!) that you need to consider before investing here. Other Solid Businesses: Low debt, high returns on equity and good past performance are fundamental to a strong business. Why not explore our interactive list of stocks with solid business fundamentals to see if there are other companies you may not have considered! Other Environmentally-Friendly Companies: Concerned about the environment and think consumers will buy eco-friendly products more and more? Browse through our interactive list of companies that are thinking about a greener future to discover some stocks you may not have thought of! PS. Simply Wall St updates its DCF calculation for every Singaporean stock every day, so if you want to find the intrinsic value of any other stock just search here. 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.
BBC News
18-03-2025
- Entertainment
- BBC News
Brian the penguin, from Hull, in running to be 'world's best'
A penguin described as having "a colourful love life" is in the running to be crowned world's best 15, the oldest member of the gentoo colony at The Deep in Hull, has been shortlisted for the award as part of the global March of the Penguin Madness contest - organised by Penguins International, involves 48 birds from around the world, nominated by zoos, aquariums, and will take place in rounds, with Brian coming up against Ike from ABQ BioPark Zoo, in Albuquerque, New Mexico, in the first heat. Staff at The Deep said Brian was "a firm favourite" with visitors, and the only penguin in the colony to have received a birthday card from an adoring fan."He's got a huge personality, a very particular taste in food, and a colourful love life. Even as the eldest in the colony, Brian is truly a fabulous and crucial ambassador for his species," they first round of voting is now open, with the public able to cast their ballot on Penguin International's website, or via social media will continue each week until one penguin is crowned Peng Win year, more than 800,000 people voted for their favourite penguin, with the contest won by Kokosanka - a rare Polish albino penguin. Katie Propp, chief operations officer at Penguins International, said the contest aimed to "highlight penguins in zoos and aquariums that serve as ambassadors to their species"."Wild penguins continue to face numerous threats, as demonstrated by the uplisting of African Penguins from 'endangered' to 'critically endangered' last October."Penguin ambassadors at zoos and aquariums inspire guests to want to save their wild counterparts which is why the awareness aspect of this competition is so important," she to highlights from Hull and East Yorkshire on BBC Sounds, watch the latest episode of Look North or tell us about a story you think we should be covering here.
