Singapore Post (S08) AI Stock Analysis

• Market Cap: S$809.85M
• Dividend Yield: 22.42%
• Average Volume (3M): 11.99M
• Price to Earnings (P/E): 3.6
• Beta (1Y): 0.99
• Revenue Growth: -68.90%
• EPS Growth: 194.56%
• Country: SG
• Employees: 4,900
• Sector: Industrials
• Sector Strength: 72
• Industry: Integrated Freight & Logistics
• EPS (TTM): 0.01
• Shares Outstanding: 2,275,089,400
• 10 Day Avg. Volume: 9,895,500
• 30 Day Avg. Volume: 11,985,443
• PEG Ratio: 0.02
• Price to Book (P/B): 0.98
• Price to Sales (P/S): 1.90
• P/FCF Ratio: 57.97
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: S$0.40
• Price Target Upside: 2.56% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1
• EPS Forecast (FY): 0.01
• Revenue Forecast (FY): S$373.90M

• Rating: 65 Neutral
• Price Target: S$0.40 ▲(3.33% Upside)
• Action: Reiterated Date: 11/10/25
• Date: Action: Reiterated 11/10/25

Singapore Post's overall stock score reflects strong profitability and a robust balance sheet, but is tempered by significant revenue declines and cash flow challenges. The stock appears undervalued with a low P/E ratio, and recent earnings call highlights a return to profitability. However, technical indicators suggest bearish momentum, and the company faces ongoing challenges in key segments.

Positive Factors

Low leverage & strong equity base

Low debt-to-equity (0.24) and a high equity ratio (65.68%) give SingPost durable financial flexibility. This capital structure supports ongoing investment, dividend capacity and resilience to cyclical revenue pressures, reducing refinancing risk and enabling strategic reallocations over months.

Restructuring drove profitability recovery

Strategic divestments and realignment reduced complexity and generated exceptional gains, materially improving margins and liquidity. Such structural cleanup increases management focus on core logistics and letters businesses, supporting sustainable profitability and better capital allocation going forward.

Capacity expansion to support e‑commerce volumes

A SGD30m investment to triple sorting capacity is a durable operational uplift: it improves unit economics, reduces bottlenecks, and positions SingPost to capture long‑term e‑commerce parcel growth. Expanded throughput can drive sustained revenue from B2C/B2B logistics and last‑mile contracts.

Negative Factors

Steep revenue decline

A >50% drop in revenue materially weakens scale benefits and undermines long‑term margin sustainability. Persistent top‑line erosion reduces leverage of fixed costs, shrinks addressable volumes for logistics contracts, and forces reliance on non‑operating gains to sustain reported profits.

Weak cash generation and conversion

Large negative free cash flow growth and poor cash conversion from income constrain reinvestment and organic growth. Even with a stronger balance sheet, persistent weak FCF limits funding for capex, working capital needs and dividends without asset sales or external financing over the medium term.

Structural volume declines in key segments

A 63% drop in cross‑border volumes and ongoing mail declines reflect secular shifts that shrink SingPost's core markets. These structural trends pressure sustainable revenue, force business model adaptation, and raise the bar for diversification and new revenue streams to offset secular demand loss.

Singapore Post Business Overview & Revenue Model

Company Description

Singapore Post Limited, together with its subsidiaries, engages in post and parcel, eCommerce logistics, and property businesses in Singapore, Japan, Europe, New Zealand, Hong Kong, Australia, and internationally. It operates through Post and Parcel, Logistics, and Property segments. The Post and Parcel segment offers services for collecting, sorting, transporting, and distributing domestic and international mail, as well as sells philatelic products. This segment also provides agency services, financial services, and parcel deliveries. The Logistics segment offers freight forwarding and eCommerce logistics solutions, which includes front-end related eCommerce solutions, warehousing, fulfilment, delivery, and other value-added services. The Property segment provides commercial property rental, and self-storage services. The company is also involved in the online sale of products; and provision of management and consultancy services to related entities, as well as integrated supply chain and distribution services, and logistics consulting services. In addition, it provides customs brokerage and freight forwarding services; and freight collections transshipments services. Additionally, the company provides online shopping platforms and services. The company was founded in 1819 and is headquartered in Singapore.

How the Company Makes Money

Singapore Post generates revenue through multiple key streams, including mail and parcel delivery services, logistics services, and retail operations. The mail segment earns income from the delivery of letters, magazines, and parcels both domestically and internationally. The logistics segment, which has grown significantly due to the rise of e-commerce, includes services like warehousing, freight forwarding, and last-mile delivery solutions. Additionally, the retail segment contributes to revenue through the sale of postal services, office supplies, and other consumer goods at its outlets. Significant partnerships with e-commerce companies and other logistics providers enhance revenue opportunities, particularly in the booming online shopping sector. Moreover, Singapore Post has invested in technology and infrastructure to improve operational efficiency, thereby reducing costs and increasing profitability.

Singapore Post Financial Statement Overview

Summary

Singapore Post shows strong profitability with high net profit margins, but faces significant revenue decline and cash flow challenges. The balance sheet remains robust with low leverage and a strong equity base. The company needs to address its revenue and cash flow issues to sustain long-term growth and stability.

Income Statement

The income statement shows a mixed performance. The company has a strong net profit margin of 30.13% in the latest year, indicating high profitability. However, revenue has significantly declined by 56.06%, which is a major concern. The gross profit margin is moderate at 19.18%, and the EBIT and EBITDA margins are healthy at 33.58% and 47.59%, respectively. The revenue growth rate has been negative, highlighting a downward trend in sales.

Balance Sheet

The balance sheet reflects a stable financial position with a low debt-to-equity ratio of 0.24, indicating low leverage. The return on equity (ROE) is decent at 15.61%, showing effective use of equity to generate profits. The equity ratio stands at 65.68%, suggesting a strong equity base relative to total assets. Overall, the company maintains a solid balance sheet with manageable debt levels.

Cash Flow

The cash flow statement indicates challenges in cash generation. Free cash flow growth is negative at -56.80%, signaling potential cash flow issues. The operating cash flow to net income ratio is low at 0.20, suggesting limited cash conversion from net income. The free cash flow to net income ratio is moderate at 0.34, indicating some cash flow generation relative to net income. The company needs to improve its cash flow management.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	575.88M	813.70M	1.69B	1.87B	1.67B	1.40B
Gross Profit	129.59M	156.03M	283.81M	222.32M	228.23M	160.88M
EBITDA	308.64M	387.25M	210.79M	170.18M	184.51M	118.12M
Net Income	231.38M	245.14M	78.33M	13.95M	83.11M	32.74M
Balance Sheet
Total Assets	2.05B	2.39B	3.14B	2.84B	2.68B	2.72B
Cash, Cash Equivalents and Short-Term Investments	594.09M	791.88M	476.74M	495.70M	288.44M	507.72M
Total Debt	363.75M	370.23M	975.80M	955.62M	600.45M	406.16M
Total Liabilities	670.66M	782.95M	1.71B	1.71B	1.54B	1.40B
Stockholders Equity	1.38B	1.57B	1.13B	1.13B	1.31B	1.28B
Cash Flow
Free Cash Flow	-53.25M	26.67M	38.18M	63.75M	40.52M	173.17M
Operating Cash Flow	-26.54M	77.76M	93.39M	92.18M	64.78M	195.03M
Investing Cash Flow	141.17M	538.12M	-145.91M	-189.91M	-56.97M	-73.39M
Financing Cash Flow	-206.69M	-396.19M	33.56M	313.00M	-227.35M	-113.42M

Singapore Post Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.39
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Positive
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SG:S08, the sentiment is Negative. The current price of 0.39 is above the 20-day moving average (MA) of 0.39, below the 50-day MA of 0.40, and below the 200-day MA of 0.44, indicating a bearish trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 15.49 is Positive, neither overbought nor oversold. The STOCH value of 7.41 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for SG:S08.

Singapore Post Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
S19	73 Outperform	S$124.97M	7.16	10.22%	3.33%	-0.41%	5.10%
S61	71 Outperform	S$1.18B	19.45	9.82%	8.85%	-2.55%	-0.55%
S56	66 Neutral	S$570.32M	5.85	16.35%	7.98%	16.82%	62.71%
S08	65 Neutral	S$809.85M	3.65	20.03%	22.42%	-68.90%	194.56%
NS8U	65 Neutral	$1.92B	20.45	3.06%	7.12%	11.85%	154.55%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
F83	60 Neutral	S$532.94M	49.58	1.18%	―	6.34%	160.00%

Singapore Post Corporate Events

Singapore Post Maintains Q3 Profit as Domestic eCommerce Growth Offsets Mail Declines

Singapore Post reported third-quarter revenue of S$92.3 million and operating profit of S$3.8 million, as growth in domestic eCommerce deliveries and improved property leasing income were more than offset by continued declines in letter mail and cross-border eCommerce volumes. Despite a 26.8% year-on-year drop in revenue, the company preserved profitability through a 26.2% reduction in operating expenses, aided by lower volume-related costs and labour savings after divesting its Australia operations.

Domestic eCommerce volumes rose 11.6% year-on-year during the seasonal peak, reaching their highest monthly level in two years as Singapore Post continued to prioritise market share gains in its home market. The results underscore a strategic shift toward higher-growth eCommerce logistics and property earnings, while legacy mail and cross-border businesses remain a drag on topline performance but are being mitigated by disciplined cost management.

The most recent analyst rating on (SG:S08) stock is a Hold with a S$0.50 price target. To see the full list of analyst forecasts on Singapore Post stock, see the SG:S08 Stock Forecast page.

SingPost Announces Domestic Mail Rate Increase to Support Service Enhancements

Singapore Post Limited (SingPost) will increase domestic mail rates by ten cents starting January 1, 2026, to support service enhancements and rising network costs. This rate adjustment will help SingPost invest in modernization efforts to improve customer experience and operational efficiency, while maintaining reliable services. Recent initiatives include expanding service touchpoints, enhancing eCommerce capabilities with a S$30 million investment in automation technology, and launching SpeedPost Direct International to adapt to global postal changes.

The most recent analyst rating on (SG:S08) stock is a Hold with a S$0.50 price target. To see the full list of analyst forecasts on Singapore Post stock, see the SG:S08 Stock Forecast page.