Samudera Shipping Line Ltd (S56) AI Stock Analysis

• Market Cap: S$597.22M
• Dividend Yield: 7.98%
• Average Volume (3M): 710.12K
• Price to Earnings (P/E): 4.9
• Beta (1Y): 0.78
• Revenue Growth: 16.82%
• EPS Growth: 62.71%
• Country: SG
• Employees: 156
• Sector: Industrials
• Sector Strength: 72
• Industry: Marine Shipping
• EPS (TTM): 0.10
• Shares Outstanding: 539,131,200
• 10 Day Avg. Volume: 894,050
• 30 Day Avg. Volume: 710,120
• PEG Ratio: -0.14
• Price to Book (P/B): 0.55
• Price to Sales (P/S): 0.60
• P/FCF Ratio: 12.13
• 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
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 72 Outperform
• Price Target: S$1.00 ▼(-13.79% Downside)

Samudera Shipping Line Ltd's stock score is driven by its attractive valuation, with a low P/E ratio and reasonable dividend yield. However, financial performance challenges, including declining revenue and cash flow issues, weigh on the score. Technical indicators suggest a neutral market sentiment, with no strong momentum in either direction.

Positive Factors

Robust profitability margins

Samudera's above-average gross, EBIT and EBITDA margins reflect operational efficiency in vessel and network utilization. Durable margins provide cushion through shipping cycles, supporting reinvestment and service continuity even if top-line growth is uneven over the medium term.

Moderate leverage, stable capital structure

A moderate debt-to-equity ratio indicates conservative financial policy and room to access debt markets without immediate strain. This balance improves resilience to cyclical shipping revenues and preserves flexibility for fleet investments or strategic opportunities over the next several quarters.

Integrated intra-Asia shipping and logistics model

Operating both scheduled liner services and ancillary logistics creates recurring revenue streams and customer stickiness. Vertical integration across transport and logistics helps capture service margins and supports stable demand exposure to persistent intra-Asia trade flows over multiple quarters.

Negative Factors

Sharp revenue decline

A steep year-over-year revenue drop materially reduces scale benefits and can strain fixed-cost coverage in a capital-intensive shipping business. Sustained revenue shrinkage risks margin compression, underutilized assets and constrains investments needed to modernize or expand services.

Weak free cash flow generation

Material deterioration in free cash flow and subpar conversion of net income into cash limit the firm's ability to fund capex, deleverage or sustain dividends without external financing. For shipping firms, persistent weak cash generation undermines fleet renewal and long-term competitiveness.

Declining return on equity

A falling ROE signals reduced efficiency in converting equity into profits, pointing to deteriorating capital productivity or margin pressures. Over months, declining ROE can limit investor confidence and hamper the company's ability to attract capital for growth or fleet upgrades.

Samudera Shipping Line Ltd Business Overview & Revenue Model

Company Description

Samudera Shipping Line Ltd engages in the transportation of containerized and non-containerized cargo to various ports in Southeast Asia, the Indian Sub-continent, the Far East, and the Middle East. It operates through three segments: Container Shipping, Bulk and Tanker, and Agencies & Logistics. The company provides feeder services between its hub port in Singapore and other spoke ports in Asia to main line operators; liner services to traders and freight forwarders; and inter-regional container shipping services to manufacturers, exporters, and importers. It also offers shipping services for oil, chemical, gas, and liquefied products, as well as dry bulk transportation, warehousing, freight forwarding, and cargo handling services. In addition, the company provides shipping agency services; and owns, operates, and charters vessels. It operates a fleet of 32 vessels, including 29 container vessels, 2 chemical tankers, and 1 gas tanker. The company was incorporated in 1993 and is headquartered in Singapore. Samudera Shipping Line Ltd is a subsidiary of PT Samudera Indonesia Tbk.

How the Company Makes Money

Samudera Shipping Line generates revenue primarily through the transportation of containerized cargo. The company charges freight rates based on the volume and type of cargo being transported, which can vary depending on route, demand, and shipping conditions. Key revenue streams include shipping services, logistics and supply chain management, and port operations. Additionally, the company may engage in long-term contracts and partnerships with major importers and exporters, which provide stable income through recurring business. Fluctuations in global trade, fuel prices, and shipping regulations also significantly influence its earnings.

Samudera Shipping Line Ltd Financial Statement Overview

Summary

Samudera Shipping Line Ltd demonstrates strong profitability margins and a stable balance sheet, but faces challenges with declining revenue growth and cash flow constraints. The company needs to address its revenue decline and improve cash flow management to sustain its financial health.

Income Statement

Samudera Shipping Line Ltd has experienced a significant decline in revenue growth, with a -30.92% rate in the latest year, indicating challenges in maintaining sales momentum. Despite this, the company maintains healthy profitability margins, with a gross profit margin of 19.22% and a net profit margin of 13.32%. The EBIT and EBITDA margins are also robust at 16.90% and 27.37%, respectively, showcasing operational efficiency. However, the declining revenue trend poses a risk to future profitability.

Balance Sheet

The company's balance sheet reflects a moderate debt-to-equity ratio of 0.47, indicating a balanced approach to leveraging. The return on equity stands at 12.16%, which is decent but has decreased from previous years, suggesting a decline in profitability relative to shareholder equity. The equity ratio is stable, indicating a solid capital structure. Overall, the balance sheet is stable but shows signs of declining returns.

Cash Flow

Samudera Shipping Line Ltd's cash flow statement reveals a significant drop in free cash flow growth at -64.84%, highlighting potential liquidity challenges. The operating cash flow to net income ratio is 0.76, indicating that operating cash flows are less than net income, which may affect cash availability for reinvestment. The free cash flow to net income ratio is 0.26, further emphasizing the need for improved cash management. The cash flow situation requires attention to ensure sustainable operations.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	594.54M	532.01M	582.93M	990.59M	526.97M	347.89M
Gross Profit	126.53M	102.27M	108.94M	355.69M	146.95M	29.60M
EBITDA	116.51M	145.61M	215.45M	440.11M	166.74M	23.60M
Net Income	91.79M	70.85M	101.23M	322.04M	128.58M	7.23M
Balance Sheet
Total Assets	976.77M	958.40M	910.19M	888.34M	571.48M	342.84M
Cash, Cash Equivalents and Short-Term Investments	382.60M	374.53M	358.71M	380.86M	187.19M	77.02M
Total Debt	279.94M	276.76M	251.39M	188.13M	158.19M	93.86M
Total Liabilities	366.49M	361.30M	342.73M	315.39M	249.03M	144.83M
Stockholders Equity	595.97M	582.73M	552.55M	559.90M	318.54M	195.41M
Cash Flow
Free Cash Flow	87.26M	26.29M	124.01M	388.79M	123.20M	37.12M
Operating Cash Flow	136.65M	100.17M	228.39M	434.17M	126.30M	40.19M
Investing Cash Flow	-43.62M	-56.72M	-91.24M	-64.92M	23.58M	-707.00K
Financing Cash Flow	-22.81M	-27.20M	-160.41M	-173.41M	-40.99M	-10.20M

Samudera Shipping Line Ltd Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1.16
• 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:S56, the sentiment is Positive. The current price of 1.16 is above the 20-day moving average (MA) of 1.12, above the 50-day MA of 1.05, and above the 200-day MA of 0.95, indicating a neutral trend. The MACD of <0.01 indicates Positive momentum. The RSI at 52.24 is Neutral, neither overbought nor oversold. The STOCH value of 38.89 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SG:S56.

Samudera Shipping Line Ltd Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
5UL	74 Outperform	S$70.67M	1.49	5.32%	348.53%	-86.29%	20.88%
S19	73 Outperform	S$116.91M	6.70	10.22%	3.33%	-0.41%	5.10%
S56	72 Outperform	S$597.22M	4.91	16.35%	7.98%	16.82%	62.71%
RXS	71 Outperform	S$152.81M	4.15	―	0.49%	―	―
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
F83	53 Neutral	S$523.98M	45.00	1.18%	―	6.34%	160.00%

Samudera Shipping Line Ltd Corporate Events

Samudera Shipping Strengthens Dubai Property Unit With AED3.99 Million Debt-to-Equity Swap

Samudera Shipping Line Ltd has strengthened the capital base of its wholly owned subsidiary Samudera Property Limited by converting AED3.99 million (approximately US$1.10 million) of an intercompany loan into equity through a subscription for 39,990 new ordinary shares. This move, which raises SPL’s paid-up capital from AED10,000 to AED4,000,000 without changing Samudera’s 100% ownership, is aimed at improving SPL’s gearing and financial position but is not expected to have a material effect on the group’s earnings or net tangible assets for the financial year ended 31 December 2025, and involves no special interests from directors or major shareholders beyond their existing stakes.

The most recent analyst rating on (SG:S56) stock is a Hold with a S$1.00 price target. To see the full list of analyst forecasts on Samudera Shipping Line Ltd stock, see the SG:S56 Stock Forecast page.

Samudera and Imoto Lines Launch Joint Venture for Japanese Shipping Market

Samudera Shipping Line Ltd and Imoto Corporation have formed a joint venture named Blue Ocean Shipping Co., Ltd, aimed at enhancing shipping activities in Japan. With Samudera holding a 51% stake, the venture will initially acquire two container vessels from Imoto Lines Group and plans to expand its fleet to capitalize on opportunities in Japan’s coastal and regional shipping services, commencing operations in the first half of 2026.

The most recent analyst rating on (SG:S56) stock is a Buy with a S$1.00 price target. To see the full list of analyst forecasts on Samudera Shipping Line Ltd stock, see the SG:S56 Stock Forecast page.