Stamford Tyres Corporation Limited (S29) AI Stock Analysis

• Market Cap: S$51.04M
• Dividend Yield: 2.33%
• Average Volume (3M): 49.35K
• Price to Earnings (P/E): 55.1
• Beta (1Y): 0.02
• Revenue Growth: -1.77%
• EPS Growth: 32.03%
• Country: SG
• Employees: N/A
• Sector: Consumer Cyclical
• Sector Strength: 61
• Industry: Auto - Parts
• EPS (TTM): <0.01
• Shares Outstanding: 237,386,250
• 10 Day Avg. Volume: 40,060
• 30 Day Avg. Volume: 49,353
• PEG Ratio: 1.64
• Price to Book (P/B): 0.40
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 2.70
• 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: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

• Rating: 73 Outperform
• Price Target: S$0.00 ▼(-100.00%Downside)

The overall stock score of 72.5 reflects Stamford Tyres Corporation Limited's strong financial performance and attractive valuation. The primary strengths are its improved profitability margins and robust cash flow generation. While the technical analysis shows some positive momentum, the high RSI suggests caution due to overbought conditions. The company's valuation is appealing with a reasonable P/E ratio and a high dividend yield, making it attractive to income investors.

Stamford Tyres Corporation Limited Business Overview & Revenue Model

Company Description

Stamford Tyres Corporation Limited (S29) is a leading tire and wheel distributor and retailer based in Singapore. The company specializes in the distribution of major international tire brands, including Falken, Dunlop, and Continental, as well as its proprietary brands, Sumo Firenza and Sumo Tire. Stamford Tyres also offers value-added services such as tire retreading, equipment trading, and fleet management services, catering to a diverse range of clients across various sectors.

How the Company Makes Money

Stamford Tyres Corporation Limited generates revenue primarily through the sale and distribution of tires and wheels. The company operates a robust distribution network across Asia Pacific, Africa, and Australia, supplying both original equipment manufacturers (OEMs) and the replacement market. In addition to direct sales, Stamford Tyres earns income from its tire retreading services, which extend the life of commercial vehicle tires, and from trading tire-related equipment. The company also benefits from strategic partnerships with major tire manufacturers, ensuring a steady supply of high-quality products. Furthermore, its proprietary brands allow for higher margins compared to third-party brands, enhancing overall profitability.

Stamford Tyres Corporation Limited Financial Statement Overview

Summary

Stamford Tyres Corporation Limited exhibits a mixed financial performance with improved profitability margins and strong cash flow generation in 2024. While the income statement shows operational improvements, revenue growth remains a challenge. The balance sheet is stable but indicates potential asset management issues. Overall, the company demonstrates resilience in profitability and cash flow despite revenue fluctuations.

Income Statement

The company has shown a mixed performance in terms of revenue with a slight decline of 2.02% from 2023 to 2024. Gross profit margin decreased to 24.92% in 2024 from 28.51% in 2023, indicating some pressure on cost management. However, net profit margin improved to 3.18% in 2024 from 2.15% in 2023, reflecting better control over expenses and operational efficiency. EBIT margin also increased to 9.03% from 5.42%, showcasing stronger profitability.

Balance Sheet

The balance sheet reflects a stable equity position with an equity ratio of 53.15% in 2024, slightly improving from 48.52% in 2023. The debt-to-equity ratio stands at 0.61, demonstrating moderate leverage but improved from previous years. Return on equity improved to 5.37% in 2024, which is a positive sign of profitability. However, the decrease in total assets from 2023 indicates a potential concern about asset utilization or divestment.

Cash Flow

The cash flow statement shows robust free cash flow generation with a growth rate of 5.75% from 2023 to 2024. The operating cash flow to net income ratio is favorable, indicating strong cash generation relative to net income. The free cash flow to net income ratio also supports this view, reflecting efficient capital expenditure management.

Breakdown	TTM	Jun 2024	Jun 2023	Jun 2022	Jun 2021	Jun 2020
Income Statement
Total Revenue	188.38M	189.12M	193.02M	194.43M	193.90M	199.63M
Gross Profit	47.02M	47.13M	55.02M	56.18M	51.51M	48.03M
EBITDA	12.31M	18.25M	16.43M	16.83M	16.02M	10.39M
Net Income	4.80M	6.01M	4.15M	3.89M	2.48M	-4.01M
Balance Sheet
Total Assets	239.32M	210.63M	232.61M	258.19M	255.13M	258.47M
Cash, Cash Equivalents and Short-Term Investments	38.14M	32.54M	30.29M	35.84M	41.83M	25.73M
Total Debt	94.68M	68.16M	86.63M	105.92M	100.60M	106.67M
Total Liabilities	128.20M	98.67M	119.78M	141.84M	138.19M	141.47M
Stockholders Equity	111.12M	111.96M	112.84M	116.35M	116.93M	117.00M
Cash Flow
Free Cash Flow	-8.47M	17.86M	16.88M	-8.78M	24.68M	5.60M
Operating Cash Flow	-4.11M	19.87M	18.51M	-1.50M	28.48M	7.37M
Investing Cash Flow	1.55M	3.90M	962.00K	-5.29M	-1.81M	-522.00K
Financing Cash Flow	5.10M	-20.62M	-23.21M	1.49M	-10.44M	5.54M

Stamford Tyres Corporation Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.22
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SG:S29, the sentiment is Positive. The current price of 0.22 is above the 20-day moving average (MA) of 0.22, above the 50-day MA of 0.21, and above the 200-day MA of 0.21, indicating a bullish trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 57.52 is Neutral, neither overbought nor oversold. The STOCH value of 66.67 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SG:S29.

Stamford Tyres Corporation Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
S68	79 Outperform	$16.24B	24.73	35.32%	3.03%	8.76%	15.45%
C07	76 Outperform	$9.84B	7.79	11.58%	7.66%	-0.21%	-22.52%
S29	73 Outperform	S$51.04M	55.13	0.83%	2.33%	-1.77%	32.03%
U06	70 Outperform	$3.25B	11.44	3.45%	2.55%	7.09%	4.97%
C52	68 Neutral	$3.12B	14.81	8.14%	9.78%	15.36%	16.55%
Sector *	66 Neutral	S$885.04M	33.33	6.05%	4.19%	6.06%	-31.90%
H18	55 Neutral	S$521.30M	59.50	-1.08%	2.13%	-5.87%	-217.39%

Stamford Tyres Corporation Limited Corporate Events

Stamford Tyres to Enhance Malaysian Operations with New Facility

Stamford Tyres Corporation Limited has announced a significant construction project through its subsidiary, SR Industries (M) Sdn. Bhd., to build four units of warehouse/factory and office buildings in Kapar, Selangor, Malaysia. This project aims to consolidate the company’s operations into a single, integrated facility to enhance operational efficiency and streamline processes, highlighting Malaysia as a key market. The new facility is expected to optimize logistical workflows, offering better connectivity and storage capacity. The estimated cost of RM50 million will be primarily financed through external borrowings, and the project is expected to be completed in 3.5 years, contingent upon regulatory approvals.