First Resources (Singapore) (EB5) AI Stock Analysis

• Market Cap: $3.08B
• Dividend Yield: 5.4%
• Average Volume (3M): 2.23M
• Price to Earnings (P/E): 7.9
• Beta (1Y): 0.64
• Revenue Growth: 24.70%
• EPS Growth: 62.15%
• Country: SG
• Employees: 8,066
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Agricultural Farm Products
• EPS (TTM): 0.12
• Shares Outstanding: 1,584,073,000
• 10 Day Avg. Volume: 2,446,360
• 30 Day Avg. Volume: 2,228,260
• PEG Ratio: 0.10
• Price to Book (P/B): 1.23
• Price to Sales (P/S): 1.64
• P/FCF Ratio: 29.38
• Enterprise Value/Market Cap: 1.10
• Enterprise Value/Revenue: 2.70
• Enterprise Value/Gross Profit: 6.26
• Enterprise Value/Ebitda: 6.86
• 1Y Price Target: $2.03
• Price Target Upside: 1.53% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 75 Outperform
• Price Target: S$2.00 ▲(0.00% Upside)

First Resources is well-positioned with a strong financial foundation and attractive valuation. The stock's bullish technical indicators are tempered by overbought signals, suggesting caution in the short term. The absence of earnings call data and corporate events means the score heavily relies on financial and valuation metrics.

Positive Factors

Revenue Growth

Consistent revenue growth indicates strong market demand and effective sales strategies, supporting long-term business expansion and stability.

Cash Flow Management

Improved cash flow management enhances financial flexibility, allowing for reinvestment in growth opportunities and reducing reliance on external financing.

Profitability

High profitability margins reflect operational efficiency and cost management, providing a buffer against market fluctuations and supporting sustainable growth.

Negative Factors

Debt Management

Increasing debt levels, though currently manageable, could limit financial flexibility and increase risk if not carefully managed over time.

Cash Flow Efficiency

Suboptimal cash flow efficiency suggests potential challenges in converting income into cash, which could impact liquidity and investment capacity.

Leverage Management

While current leverage is low, any increase in debt could strain financial resources, necessitating careful monitoring to maintain balance sheet health.

First Resources (Singapore) Business Overview & Revenue Model

Company Description

First Resources (Singapore) is a leading palm oil producer and agribusiness company that specializes in the cultivation and processing of palm oil. The company operates primarily in Indonesia and Malaysia, focusing on sustainable and environmentally responsible practices. Core products include crude palm oil, palm kernel oil, and various palm oil derivatives, which are supplied to both domestic and international markets. First Resources is committed to promoting sustainable agriculture and has implemented initiatives aimed at minimizing environmental impact.

How the Company Makes Money

First Resources generates revenue primarily through the sale of palm oil and its derivatives. The company's revenue model is based on the cultivation of oil palm plantations, which are processed into crude palm oil and other products. Key revenue streams include direct sales to food manufacturers, cosmetic companies, and the biofuel sector. Additionally, First Resources benefits from strategic partnerships with local and international distributors that enhance its market reach. The company also invests in sustainable practices that can attract premium pricing for certified sustainable palm oil, further contributing to its earnings.

First Resources (Singapore) Financial Statement Overview

Summary

First Resources exhibits a strong financial profile with robust profitability, stable leverage, and improving cash flow metrics. The company has maintained healthy margins and a solid balance sheet, positioning it well for future growth. While there are areas for improvement in cash flow management, the overall financial health remains strong.

Income Statement

First Resources has demonstrated strong profitability with a consistent increase in gross and net profit margins over the years. The EBIT and EBITDA margins are also robust, indicating efficient operations. Revenue growth has been positive, although it slowed in the most recent year. Overall, the income statement reflects a healthy financial performance with solid profit margins.

Balance Sheet

The company's balance sheet shows a stable financial position with a low debt-to-equity ratio, indicating prudent financial management. Return on equity is strong, reflecting effective use of shareholder funds. The equity ratio is healthy, suggesting a solid asset base. However, the slight increase in debt levels over the years warrants monitoring.

Cash Flow

Cash flow analysis reveals a significant improvement in free cash flow growth, indicating enhanced cash generation capabilities. The operating cash flow to net income ratio is strong, suggesting good cash conversion. However, the free cash flow to net income ratio is relatively low, highlighting potential areas for improvement in cash management.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.26B	1.04B	980.59M	1.23B	1.03B	660.42M
Gross Profit	541.86M	445.70M	361.90M	629.32M	461.57M	292.40M
EBITDA	494.42M	428.44M	278.50M	494.23M	330.04M	261.88M
Net Income	291.08M	245.79M	145.40M	325.20M	161.11M	99.67M
Balance Sheet
Total Assets	2.75B	1.95B	1.77B	1.83B	1.87B	1.79B
Cash, Cash Equivalents and Short-Term Investments	157.63M	105.53M	110.97M	433.79M	381.46M	191.04M
Total Debt	916.93M	270.13M	237.73M	295.72M	406.74M	441.64M
Total Liabilities	1.17B	464.30M	373.06M	433.81M	602.50M	659.77M
Stockholders Equity	1.43B	1.38B	1.30B	1.31B	1.20B	1.06B
Cash Flow
Free Cash Flow	-22.59M	57.87M	-35.96M	247.78M	240.73M	121.51M
Operating Cash Flow	212.66M	311.24M	315.37M	326.16M	292.19M	192.39M
Investing Cash Flow	-545.78M	-244.49M	-351.92M	-51.98M	-1.33M	-37.14M
Financing Cash Flow	386.83M	-70.16M	-286.73M	-217.46M	-100.15M	-23.27M

First Resources (Singapore) Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 2.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SG:EB5, the sentiment is Positive. The current price of 2 is above the 20-day moving average (MA) of 1.86, above the 50-day MA of 1.75, and above the 200-day MA of 1.53, indicating a bullish trend. The MACD of 0.08 indicates Negative momentum. The RSI at 72.20 is Negative, neither overbought nor oversold. The STOCH value of 88.68 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SG:EB5.

First Resources (Singapore) Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
P8Z	79 Outperform	€2.46B	11.08	20.72%	6.43%	15.89%	21.52%
EB5	75 Outperform	$3.08B	7.91	21.70%	5.40%	24.70%	62.15%
F34	69 Neutral	$20.23B	12.88	5.86%	4.27%	3.92%	-25.13%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
E5H	62 Neutral	$3.55B	6.35	8.32%	2.92%	16.86%	252.80%
5VJ	38 Underperform	S$653.95M	―	―	―	23.21%	-3.27%

First Resources (Singapore) Corporate Events

First Resources Affirms Compliance with RSPO Sustainability Standards Amid Suspension Appeal

First Resources Limited has received confirmation from the Roundtable on Sustainable Palm Oil (RSPO) that it complies with all sustainability standards, including environmental requirements and no deforestation commitments. Despite a three-month suspension due to procedural disclosure issues, which do not affect its environmental practices, the company is appealing the decision and enhancing its internal protocols to align with best practices.