Shares & Derivatives
Can Sheng Siong Continue to Grow?
By Dividend Titan  •  August 16, 2021
Since IPO in 2011, Sheng Siong (SGX:OV8) shares returned more than 200%. And at one point, it hit an all-time high of S$1.75 per share. My last article write-up was here.  Source: ShareInvestor Webpro Can Sheng Siong shares continue to grow? Consider this: the grocery retail business is intense. Grocers deal with high rental and labour costs. And e-commerce is a major disruption to grocers. That’s why grocery retailer have razor thin profit margins. Leaving only the two biggest Singapore supermarkets — NTUC FairPrice and DairyFarm International to dominate the grocery industry. Yet, Sheng Siong has grown to become the third largest grocery retailer in Singapore. Today, Sheng Siong has a market capitalization of S$2.3 billion, with 63 outlets in Singapore. What’s different about Sheng Siong You see, Sheng Siong cannot compete head-on NTUC FairPrice and DairyFarm. Both competitors have huge financial backers. The Singapore government owns NTUC FairPrice. And the Jardine Group, a rich family conglomerate that owns DairyFarm....
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By Dividend Titan
I am Willie Keng and I help business owners and boutique investment firms do one thing: I build practical, effective investment processes that grow their AUM than their business can practically handle…
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