544 CSE: Despite potential delays, the company’s market cap stands at S\$1.2 billion and trades at 18x forward P/E and 1x P/B. Bloomberg’s consensus suggests a one-year target price of \$0.74, implying a 32% potential return. Lim & Tan Securities maintains an “Accumulate on Weakness” rating, citing confidence in SingPost’s asset monetization strategy and alignment with its largest shareholder, Singtel.
924834 CSE sold its U.S. facility in Texas to Gladstone Commercial Ltd for USD 29.25 million, with a net book value of USD 17.8 million. The sale is expected to generate a post-tax gain of USD 8.6 million, offsetting a one-time USD 8 million settlement incurred in September 2024. The company plans to lease back the property from the buyer for an estimated annual rental of USD 2.5 million.
CSE Global offers an attractive dividend yield of 6.3%, maintaining its historical payout of SGD 0.0275 per share. The company may conserve cash for potential mergers and acquisitions if lucrative targets arise.
The Company has sought legal advice in relation to the Arbitration Proceedings. The parties attended mediation and have, on 8 September 2024, agreed to a full and final settlement of all claims asserted by the Claimant in the Arbitration Proceedings by payment of a settlement sum of US$8 million the Claimant (Settlement), subject to the execution of a written Settlement Agreement and Release by the parties.
The Settlement is expected to have a material adverse impact on the financial position of the Company for the financial year ending 31 December 2024 as the Company will record the settlement sum of US$8 million in the financial year ending 31 December 2024.
544 CSE: Despite potential delays, the company’s market cap stands at S\$1.2 billion and trades at 18x forward P/E and 1x P/B. Bloomberg’s consensus suggests a one-year target price of \$0.74, implying a 32% potential return. Lim & Tan Securities maintains an “Accumulate on Weakness” rating, citing confidence in SingPost’s asset monetization strategy and alignment with its largest shareholder, Singtel.