StarHub Ltd (SG:CC3)
SGX:CC3
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StarHub
(SGX:CC3)
Select Model
Select Model
Rating:45Neutral
Price Target:
S$1.00
▼(-3.85% Downside)
Action:ReiteratedDate:02/18/26
The score is primarily held back by weakening 2025 profitability, increased leverage with a thinner equity cushion, and a decline to slightly negative free cash flow. Technicals add further pressure as the stock trades below key moving averages with weak momentum. A relatively high dividend yield provides some support, but a higher P/E limits valuation upside given the current financial headwinds.
Positive Factors
Recurring revenue model
A revenue base built on subscriptions and usage generates predictable, repeatable cash inflows over months and years. This durability supports planning, retention-focused initiatives, and reinvestment in network capacity, reducing revenue volatility versus one-off sales.
Negative Factors
Rising leverage
A sharper debt load and thinner equity cushion reduce financial flexibility and increase vulnerability to earnings shocks or higher interest rates. Elevated leverage limits capacity for acquisitions, capital spending or dividend support without additional financing risk.
Read all positive and negative factors
Positive Factors
Negative Factors
Recurring revenue model
A revenue base built on subscriptions and usage generates predictable, repeatable cash inflows over months and years. This durability supports planning, retention-focused initiatives, and reinvestment in network capacity, reducing revenue volatility versus one-off sales.
Read all positive factors
StarHub (CC3) vs. iShares MSCI Singapore ETF (EWS)
Market Cap
S$1.79B
Dividend Yield5.54%
Average Volume (3M)1.11M
Price to Earnings (P/E)12.6
Beta (1Y)0.38
Revenue Growth0.83%
EPS Growth-16.65%
CountrySG
Employees1,635
SectorCommunication Services
Sector Strength97
IndustryTelecommunications Services
Share Statistics
EPS (TTM)0.02
Shares Outstanding1,731,651,500
10 Day Avg. Volume885,280
30 Day Avg. Volume1,114,336
Financial Highlights & Ratios
PEG Ratio-0.44
Price to Book (P/B)6.41
Price to Sales (P/S)0.82
P/FCF Ratio-78.04
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price Target
S$1.03Price Target Upside-0.74% Downside
Rating ConsensusHold
Number of Analyst Covering3
EPS Forecast (FY)0.03
Revenue Forecast (FY)S$2.33B
StarHub Business Overview & Revenue Model
Company Description
StarHub Ltd, an integrated info communications company, provides communications, entertainment, and digital solutions for individuals and corporations in Singapore. The company operates in four segments: Telecommunications, Cyber Security, High Se...
How the Company Makes Money
StarHub generates revenue through multiple streams, primarily from mobile services, broadband internet subscriptions, and pay television services. The mobile segment includes postpaid and prepaid plans, contributing significantly to its earnings. ...
StarHub Earnings Call Summary
Earnings Call Date:Nov 13, 2024
(Q3-2024)
| % Change Since: |
Next Earnings Date:May 07, 2026
Earnings Call Sentiment Neutral
The earnings call presented a mixed picture with strong growth in the enterprise and broadband segments, and strategic initiatives in mobile leading to subscriber growth. However, there were challenges in mobile revenue decline and timing issues in cybersecurity revenues. The sentiment is balanced with a slight positive outlook due to anticipated recoveries.Positive Updates
Enterprise Growth
Enterprise segment showed strong performance with Network Solutions growing 9.4% year-on-year and Managed Services growing by about 25% year-on-year.
Negative Updates
Mobile Revenue Decline
Mobile revenue declined 5% year-on-year and 0.8% quarter-on-quarter due to competitive pressures and market dynamics.
Read all updates
Q3-2024 Updates
Positive
Negative
Enterprise Growth
Enterprise segment showed strong performance with Network Solutions growing 9.4% year-on-year and Managed Services growing by about 25% year-on-year.
Read all positive updates
Company Guidance
In the Q3 2024 earnings call for CC3.SI, the executives provided detailed guidance on various financial metrics and their strategic direction. The company's service revenue remained flat year-to-date, with a quarter-on-quarter decline attributed to timing issues in their cybersecurity business, Ensign. Despite this, they anticipate strong revenue recognition in Q4, maintaining their full-year forecast for year-on-year growth. The Service EBITDA showed growth, driven by high-margin enterprise segments and operational efficiencies. The net debt-to-EBITDA ratio improved to 1.25x, enhancing financial flexibility. Mobile revenue declined 5% year-on-year, but only 0.8% quarter-on-quarter, reflecting resilience compared to competitors. The company added 55,000 subscribers in Q3 and expanded its broadband subscriber base by 2.8% quarter-on-quarter. In the enterprise segment, network solutions and managed services grew 9.4% and 25% year-on-year, respectively. The executives reiterated their commitment to the DARE+ transformation, expecting to complete the spend by mid-2025, and maintaining a focus on prudent capital management and potential consolidation opportunities.StarHub Financial Statement Overview
Summary
Income Statement
50
Neutral
Balance Sheet
34
Negative
Cash Flow
46
Neutral
| Breakdown | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|
Income Statement | |||||
| Total Revenue | 2.35B | 2.37B | 2.37B | 2.33B | 2.04B |
| Gross Profit | 625.70M | 1.26B | 700.60M | 1.14B | 1.07B |
| EBITDA | 408.20M | 481.30M | 393.30M | 400.70M | 513.20M |
| Net Income | 86.40M | 160.50M | 141.70M | 62.20M | 149.30M |
Balance Sheet | |||||
| Total Assets | 3.61B | 3.12B | 3.04B | 3.13B | 3.24B |
| Cash, Cash Equivalents and Short-Term Investments | 857.10M | 539.60M | 509.60M | 573.60M | 832.80M |
| Total Debt | 1.99B | 1.26B | 1.24B | 1.27B | 1.50B |
| Total Liabilities | 3.16B | 2.35B | 2.33B | 2.45B | 2.55B |
| Stockholders Equity | 300.60M | 607.80M | 568.80M | 530.40M | 589.50M |
Cash Flow | |||||
| Free Cash Flow | -24.70M | 162.20M | 185.90M | 222.20M | 484.60M |
| Operating Cash Flow | 353.80M | 361.30M | 358.60M | 383.70M | 657.10M |
| Investing Cash Flow | -364.80M | -101.90M | -224.90M | -235.00M | -286.90M |
| Financing Cash Flow | 326.80M | -221.80M | -209.60M | -403.60M | 47.80M |
StarHub Technical Analysis
Neutral
1.04
Price Trends
1.07
Negative
1.10
Negative
1.13
Negative
Market Momentum
>-0.01
Negative
53.50
Neutral
91.67
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SG:CC3, the sentiment is Neutral. The current price of 1.04 is above the 20-day moving average (MA) of 1.02, below the 50-day MA of 1.07, and below the 200-day MA of 1.13, indicating a neutral trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 53.50 is Neutral, neither overbought nor oversold. The STOCH value of 91.67 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for SG:CC3.
StarHub Peers Comparison
UnderperformOutperform
Sector (60)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
75 Outperform | S$80.39B | 5.01 | 23.36% | 4.00% | -0.19% | ― | |
70 Outperform | S$157.15M | -2.66 | 2.02% | 10.10% | -3.62% | ― | |
60 Neutral | $48.67B | 4.58 | -11.27% | 4.14% | 2.83% | -41.78% | |
58 Neutral | S$3.88B | 21.26 | 3.83% | 5.64% | -0.38% | -8.30% | |
45 Neutral | S$1.79B | 12.56 | 19.53% | 5.54% | 0.83% | -16.65% |
* Communication Services Sector Average
SG:CC3
StarHub
1.04
-0.09
-7.80%
SG:S7OU
Asian Pay Television
0.09
0.02
24.29%
SG:CJLU
NetLink NBN
1.00
0.16
19.30%
SG:Z74
Singtel
4.88
1.53
45.50%
SG:T41
Telechoice International Limited
0.21
0.12
144.19%
SG:TADD
Advanced Info Service
1.44
0.42
41.04%
StarHub Corporate Events
StarHub Uses Treasury Shares to Fulfil Restricted Stock Awards
Jan 26, 2026
StarHub Ltd has transferred 1,993,982 treasury shares on 26 January 2026 to fulfill obligations under its 2014 and 2024 Restricted Stock Plans, which are used to grant share-based awards to employees and executives. Following the transfer, the com...
StarHub Secures Favourable Tax Ruling on S$200 Million Perpetual Securities
Jan 21, 2026
StarHub has obtained a favourable advance tax ruling from the Inland Revenue Authority of Singapore on its S$200 million 3.35% subordinated perpetual securities issued under its S$2 billion multicurrency debt issuance programme. The ruling allows ...
StarHub Issues S$300 Million Notes Under Debt Programme
Nov 26, 2025
StarHub Ltd has announced the issuance of S$300,000,000 in 2.55% notes due 2035 under its S$2,000,000,000 Multicurrency Debt Issuance Programme. The notes have received approval for listing on the Singapore Exchange Securities Trading Limited, wit...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.