Latest news with #SouthernCableGroupBerhad
Yahoo
26-05-2025
- Business
- Yahoo
Private companies account for 39% of Southern Cable Group Berhad's (KLSE:SCGBHD) ownership, while individual investors account for 36%
Significant control over Southern Cable Group Berhad by private companies implies that the general public has more power to influence management and governance-related decisions A total of 7 investors have a majority stake in the company with 51% ownership Institutions own 19% of Southern Cable Group Berhad This technology could replace computers: discover the 20 stocks are working to make quantum computing a reality. A look at the shareholders of Southern Cable Group Berhad (KLSE:SCGBHD) can tell us which group is most powerful. We can see that private companies own the lion's share in the company with 39% ownership. That is, the group stands to benefit the most if the stock rises (or lose the most if there is a downturn). And individual investors on the other hand have a 36% ownership in the company. In the chart below, we zoom in on the different ownership groups of Southern Cable Group Berhad. View our latest analysis for Southern Cable Group Berhad Institutional investors commonly compare their own returns to the returns of a commonly followed index. So they generally do consider buying larger companies that are included in the relevant benchmark index. As you can see, institutional investors have a fair amount of stake in Southern Cable Group Berhad. This can indicate that the company has a certain degree of credibility in the investment community. However, it is best to be wary of relying on the supposed validation that comes with institutional investors. They too, get it wrong sometimes. It is not uncommon to see a big share price drop if two large institutional investors try to sell out of a stock at the same time. So it is worth checking the past earnings trajectory of Southern Cable Group Berhad, (below). Of course, keep in mind that there are other factors to consider, too. We note that hedge funds don't have a meaningful investment in Southern Cable Group Berhad. Our data shows that Sino Shield Sdn Bhd is the largest shareholder with 31% of shares outstanding. For context, the second largest shareholder holds about 7.7% of the shares outstanding, followed by an ownership of 3.9% by the third-largest shareholder. Furthermore, CEO Eng Tung is the owner of 1.6% of the company's shares. On further inspection, we found that more than half the company's shares are owned by the top 7 shareholders, suggesting that the interests of the larger shareholders are balanced out to an extent by the smaller ones. While studying institutional ownership for a company can add value to your research, it is also a good practice to research analyst recommendations to get a deeper understand of a stock's expected performance. While there is some analyst coverage, the company is probably not widely covered. So it could gain more attention, down the track. The definition of an insider can differ slightly between different countries, but members of the board of directors always count. Company management run the business, but the CEO will answer to the board, even if he or she is a member of it. I generally consider insider ownership to be a good thing. However, on some occasions it makes it more difficult for other shareholders to hold the board accountable for decisions. We can report that insiders do own shares in Southern Cable Group Berhad. In their own names, insiders own RM61m worth of stock in the RM1.2b company. Some would say this shows alignment of interests between shareholders and the board. But it might be worth checking if those insiders have been selling. With a 36% ownership, the general public, mostly comprising of individual investors, have some degree of sway over Southern Cable Group Berhad. While this size of ownership may not be enough to sway a policy decision in their favour, they can still make a collective impact on company policies. It seems that Private Companies own 39%, of the Southern Cable Group Berhad stock. Private companies may be related parties. Sometimes insiders have an interest in a public company through a holding in a private company, rather than in their own capacity as an individual. While it's hard to draw any broad stroke conclusions, it is worth noting as an area for further research. I find it very interesting to look at who exactly owns a company. But to truly gain insight, we need to consider other information, too. Take risks for example - Southern Cable Group Berhad has 2 warning signs (and 1 which doesn't sit too well with us) we think you should know about. If you would prefer discover what analysts are predicting in terms of future growth, do not miss this free report on analyst forecasts. NB: Figures in this article are calculated using data from the last twelve months, which refer to the 12-month period ending on the last date of the month the financial statement is dated. This may not be consistent with full year annual report figures. 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. 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Yahoo
08-05-2025
- Business
- Yahoo
Southern Cable Group Berhad (KLSE:SCGBHD) Posted Healthy Earnings But There Are Some Other Factors To Be Aware Of
Southern Cable Group Berhad's (KLSE:SCGBHD) robust earnings report didn't manage to move the market for its stock. Our analysis suggests that this might be because shareholders have noticed some concerning underlying factors. Our free stock report includes 3 warning signs investors should be aware of before investing in Southern Cable Group Berhad. Read for free now. KLSE:SCGBHD Earnings and Revenue History May 8th 2025 Examining Cashflow Against Southern Cable Group Berhad's Earnings Many investors haven't heard of the accrual ratio from cashflow, but it is actually a useful measure of how well a company's profit is backed up by free cash flow (FCF) during a given period. To get the accrual ratio we first subtract FCF from profit for a period, and then divide that number by the average operating assets for the period. The ratio shows us how much a company's profit exceeds its FCF. As a result, a negative accrual ratio is a positive for the company, and a positive accrual ratio is a negative. That is not intended to imply we should worry about a positive accrual ratio, but it's worth noting where the accrual ratio is rather high. Notably, there is some academic evidence that suggests that a high accrual ratio is a bad sign for near-term profits, generally speaking. Southern Cable Group Berhad has an accrual ratio of 0.23 for the year to December 2024. Therefore, we know that it's free cashflow was significantly lower than its statutory profit, which is hardly a good thing. Even though it reported a profit of RM72.3m, a look at free cash flow indicates it actually burnt through RM37m in the last year. We saw that FCF was RM115m a year ago though, so Southern Cable Group Berhad has at least been able to generate positive FCF in the past. Unfortunately for shareholders, the company has also been issuing new shares, diluting their share of future earnings. The good news for shareholders is that Southern Cable Group Berhad's accrual ratio was much better last year, so this year's poor reading might simply be a case of a short term mismatch between profit and FCF. Shareholders should look for improved cashflow relative to profit in the current year, if that is indeed the case. That might leave you wondering what analysts are forecasting in terms of future profitability. Luckily, you can click here to see an interactive graph depicting future profitability, based on their estimates. One essential aspect of assessing earnings quality is to look at how much a company is diluting shareholders. Southern Cable Group Berhad expanded the number of shares on issue by 16% over the last year. As a result, its net income is now split between a greater number of shares. To celebrate net income while ignoring dilution is like rejoicing because you have a single slice of a larger pizza, but ignoring the fact that the pizza is now cut into many more slices. You can see a chart of Southern Cable Group Berhad's EPS by clicking here.
Yahoo
09-04-2025
- Business
- Yahoo
Southern Cable Group Berhad (KLSE:SCGBHD) Is Aiming To Keep Up Its Impressive Returns
If we want to find a stock that could multiply over the long term, what are the underlying trends we should look for? Ideally, a business will show two trends; firstly a growing return on capital employed (ROCE) and secondly, an increasing amount of capital employed. Put simply, these types of businesses are compounding machines, meaning they are continually reinvesting their earnings at ever-higher rates of return. With that in mind, the ROCE of Southern Cable Group Berhad (KLSE:SCGBHD) looks attractive right now, so lets see what the trend of returns can tell us. 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. Just to clarify if you're unsure, ROCE is a metric for evaluating how much pre-tax income (in percentage terms) a company earns on the capital invested in its business. The formula for this calculation on Southern Cable Group Berhad is: Return on Capital Employed = Earnings Before Interest and Tax (EBIT) ÷ (Total Assets - Current Liabilities) 0.24 = RM102m ÷ (RM721m - RM303m) (Based on the trailing twelve months to December 2024). So, Southern Cable Group Berhad has an ROCE of 24%. In absolute terms that's a great return and it's even better than the Electrical industry average of 10%. Check out our latest analysis for Southern Cable Group Berhad Above you can see how the current ROCE for Southern Cable Group Berhad compares to its prior returns on capital, but there's only so much you can tell from the past. If you're interested, you can view the analysts predictions in our free analyst report for Southern Cable Group Berhad . We'd be pretty happy with returns on capital like Southern Cable Group Berhad. The company has employed 112% more capital in the last five years, and the returns on that capital have remained stable at 24%. Returns like this are the envy of most businesses and given it has repeatedly reinvested at these rates, that's even better. If Southern Cable Group Berhad can keep this up, we'd be very optimistic about its future. On a side note, Southern Cable Group Berhad's current liabilities are still rather high at 42% of total assets. This can bring about some risks because the company is basically operating with a rather large reliance on its suppliers or other sorts of short-term creditors. While it's not necessarily a bad thing, it can be beneficial if this ratio is lower. Southern Cable Group Berhad has demonstrated its proficiency by generating high returns on increasing amounts of capital employed, which we're thrilled about. And long term investors would be thrilled with the 148% return they've received over the last three years. So while the positive underlying trends may be accounted for by investors, we still think this stock is worth looking into further. Southern Cable Group Berhad does come with some risks though, we found 3 warning signs in our investment analysis, and 1 of those can't be ignored... If you want to search for more stocks that have been earning high returns, check out this free list of stocks with solid balance sheets that are also earning high returns on equity. 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
24-03-2025
- Business
- Yahoo
Is It Too Late To Consider Buying Southern Cable Group Berhad (KLSE:SCGBHD)?
While Southern Cable Group Berhad (KLSE:SCGBHD) might not have the largest market cap around , it received a lot of attention from a substantial price movement on the KLSE over the last few months, increasing to RM1.37 at one point, and dropping to the lows of RM1.01. Some share price movements can give investors a better opportunity to enter into the stock, and potentially buy at a lower price. A question to answer is whether Southern Cable Group Berhad's current trading price of RM1.10 reflective of the actual value of the small-cap? Or is it currently undervalued, providing us with the opportunity to buy? Let's take a look at Southern Cable Group Berhad's outlook and value based on the most recent financial data to see if there are any catalysts for a price change. This technology could replace computers: discover the 20 stocks are working to make quantum computing a reality. Good news, investors! Southern Cable Group Berhad is still a bargain right now according to our price multiple model, which compares the company's price-to-earnings ratio to the industry average. We've used the price-to-earnings ratio in this instance because there's not enough visibility to forecast its cash flows. The stock's ratio of 14.05x is currently well-below the industry average of 18.4x, meaning that it is trading at a cheaper price relative to its peers. Another thing to keep in mind is that Southern Cable Group Berhad's share price is quite stable relative to the rest of the market, as indicated by its low beta. This means that if you believe the current share price should move towards its industry peers, a low beta could suggest it is not likely to reach that level anytime soon, and once it's there, it may be hard to fall back down into an attractive buying range again. See our latest analysis for Southern Cable Group Berhad Investors looking for growth in their portfolio may want to consider the prospects of a company before buying its shares. Although value investors would argue that it's the intrinsic value relative to the price that matter the most, a more compelling investment thesis would be high growth potential at a cheap price. With profit expected to grow by 72% over the next couple of years, the future seems bright for Southern Cable Group Berhad. It looks like higher cash flow is on the cards for the stock, which should feed into a higher share valuation. Are you a shareholder? Since SCGBHD is currently below the industry PE ratio, it may be a great time to accumulate more of your holdings in the stock. With an optimistic outlook on the horizon, it seems like this growth has not yet been fully factored into the share price. However, there are also other factors such as capital structure to consider, which could explain the current price multiple. Are you a potential investor? If you've been keeping an eye on SCGBHD for a while, now might be the time to make a leap. Its buoyant future profit outlook isn't fully reflected in the current share price yet, which means it's not too late to buy SCGBHD. But before you make any investment decisions, consider other factors such as the strength of its balance sheet, in order to make a well-informed assessment. If you'd like to know more about Southern Cable Group Berhad as a business, it's important to be aware of any risks it's facing. For example, Southern Cable Group Berhad has 3 warning signs (and 1 which makes us a bit uncomfortable) we think you should know about. If you are no longer interested in Southern Cable Group Berhad, you can use our free platform to see our list of over 50 other stocks with a high growth potential. 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.
Yahoo
28-02-2025
- Business
- Yahoo
Southern Cable Group Berhad Full Year 2024 Earnings: EPS: RM0.086 (vs RM0.037 in FY 2023)
Revenue: RM1.35b (up 28% from FY 2023). Net income: RM72.3m (up 146% from FY 2023). Profit margin: 5.4% (up from 2.8% in FY 2023). The increase in margin was driven by higher revenue. EPS: RM0.086 (up from RM0.037 in FY 2023). All figures shown in the chart above are for the trailing 12 month (TTM) period Looking ahead, revenue is forecast to grow 16% p.a. on average during the next 3 years, compared to a 29% growth forecast for the Electrical industry in Malaysia. Performance of the Malaysian Electrical industry. The company's shares are down 1.6% from a week ago. You should always think about risks. Case in point, we've spotted 2 warning signs for Southern Cable Group Berhad you should be aware of, and 1 of them is potentially serious. 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
