By: Drizzt
Singapore Petroleum Corporation just delivered another good set of earnings. Its been a very fruitful dividend stock for me.
Some Ratio Stats:
- ROIC is 14%. This is slightly weaker than what i previously recorded. Probably due to the way i account for debt. I used to account only long term debt but now i factor in short term borrowings as well since they are essentially borrowing.
- Operating Margin is almost the same. Oil price rise and fall but the margin remains. I have to read in detail to give an assessment into this. A thing to note about refining margins is that a sky high oil price may not entirely benefit SPC. They work when oil price is at its optimum.
- At $6.10, current performance is 92% of its market capitalization. this is based on WACC of 10%. If u value its cashflow growth at 3%, its return premium is 131% of its market cap.
Read more...
Indeed…Detailed analysis you have done here :)
A yield of 13% is great!
As long as it beats the inflation, anything is great! :)