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Far East Group (5TJ) Fair Value & Analysis

Industrials · SG · Market cap 12.6M SGD

FE Far East Group 5TJ · SG
Price0.1180 SGD
Fair Value0.3400 SGD
Upside+188.1%
Quality64/100
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Mixed Growth
Thin margins · 2.5% net margin
Low debt · generates free cash flow
1.77% dividend yield
Mixed vs. peers (8/14)
Narrow moat 33/100
Evidence: High Range 0.2500 SGD – 0.4300 SGD Share as image

Fair value as of: Aug 9, 2026

From 26 valuation models · updated today

Share price +7.3% over the past month.

A solid business, screening 188% undervalued on our models.

What matters now

  • The price is below even our cautious bear case (0.2500 SGD). The market is more pessimistic than our downside scenario.
  • Solid quality (64/100) at a price below fair value, the discount is the argument here, not the business quality.
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Price vs Fair Value (5 years)

0.1290 SGD 0.0540 SGD Fair Value 0.3400 SGD Apr 2021 Jul 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Aug 9, 2026.

How to read this chart

60‑month range 0.0540 SGD – 0.1290 SGD · fair‑value band 0.2500 SGD – 0.4300 SGD · the 0.1180 SGD price screens below the 0.3400 SGD fair value. Dashed = 300-day average. As of Aug 9, 2026.

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Analysis

Far East Group (5TJ) currently trades at 0.1180 SGD, while our model-based Fair Value estimate is 0.3400 SGD, implying the stock looks roughly 188.1% undervalued today. The Quality Score stands at 64/100 (solid quality), in the Industrials sector. Bull case: trading below our estimate, it may offer upside if the fundamentals hold. Bear case: a low price can be a value trap when quality is weak or the data is thin (evidence: high), always confirm before acting.

Over the trailing twelve months, Far East Group generated revenue of 89.2M SGD at a net margin of 2.5%. Revenue declined 12.0% year over year. It earns a return on equity of 4.8%. Net debt stands at 17.3M SGD. Fundamentals as of Aug 9, 2026

Our scenario range runs from 0.2500 SGD (bear case) to 0.4300 SGD (bull case); at 0.1180 SGD, the current price sits below that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. The share trades about 9% below its 52-week high and 131% above its 52-week low, currently above its 200-day average. For context, the median of 10 Industrials peers we cover trades at -48% fair-value upside, at 188%, 5TJ screens cheaper than that median.

Fair Value models

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small.

Model BearBaseBull Evidence
Highest evidence
Growth DCF 1.49 SGD 2.16 SGD 3.01 SGD 80
Residual Income 0.2900 SGD 0.2800 SGD 0.2200 SGD 76
Rev-Margin DCF 0.7100 SGD 0.9200 SGD 1.17 SGD 74
All 26 models by family
DCF Models
FCF DCF 1.50 SGD 2.25 SGD 3.28 SGD 38
Owner Earnings 0.3500 SGD 0.5200 SGD 0.7500 SGD 31
5Y Revenue Exit 0.7100 SGD 0.8900 SGD 1.07 SGD 39
5Y EBITDA Exit 0.8300 SGD 1.12 SGD 1.44 SGD 41
5Y P/E Exit 0.7900 SGD 1.04 SGD 1.29 SGD 38
10Y Revenue Exit 1.03 SGD 1.28 SGD 1.58 SGD 36
10Y EBITDA Exit 1.10 SGD 1.43 SGD 1.83 SGD 37
10Y P/E Exit 1.08 SGD 1.38 SGD 1.73 SGD 35
Earnings-Based
Graham-Dodd 0.1400 SGD 0.5500 SGD 0.7400 SGD 54
Lynch FV 0.1400 SGD 0.1900 SGD 0.2500 SGD 50
PEG = 1.0 0.1400 SGD 0.1900 SGD 0.2500 SGD 46
EPV 0.1100 SGD 0.1200 SGD 0.1300 SGD 59
Dividend Discount
Gordon GGM 0.0100 SGD 0.0200 SGD 0.0300 SGD 70
DDM Multi-Stage 0.0100 SGD 0.0200 SGD 0.0200 SGD 61
Multiples
P/E Multiple 0.3000 SGD 0.4000 SGD 0.5000 SGD 63
P/S Multiple 0.2600 SGD 0.3400 SGD 0.4300 SGD 58
P/B Multiple 0.2600 SGD 0.3400 SGD 0.4300 SGD 55
EV/EBIT 0.2200 SGD 0.2900 SGD 0.3600 SGD 53
EV/EBITDA 0.3900 SGD 0.5200 SGD 0.6400 SGD 54
EV/Revenue 0.1500 SGD 0.2100 SGD 0.2800 SGD 43
Asset-Based
NCAV (Graham) 0.2100 SGD 0.2900 SGD 0.4300 SGD 50
Growth DCF
Growth DCF 1.49 SGD 2.16 SGD 3.01 SGD 80
Rev-Margin DCF 0.7100 SGD 0.9200 SGD 1.17 SGD 74
Economic Profit
Residual Income 0.2900 SGD 0.2800 SGD 0.2200 SGD 76
ROIC Compounder 0.1100 SGD 0.1200 SGD 0.1300 SGD 72
Growth Earnings
Growth-Adj P/E 0.2300 SGD 0.3300 SGD 0.4300 SGD 68

Widest divergence: DCF Models (1.12 SGD) versus Dividend Discount (0.0200 SGD). Highest evidence: Growth DCF (80).

Key figures & financial health

Revenue (TTM) 89.2M SGD
Revenue growth (YoY) -12.0%
Net margin 2.5%
Return on equity 4.8%
Free cash flow 18.7M SGD FY2025
P/E ratio 5.7
More key figures
Operating margin 7.4%
EPS (TTM) 0.0200 SGD
Dividend yield 1.8%
EPS growth (YoY) -13.8%
Net debt 17.3M SGD FY2025

Figures from reported company fundamentals · as of Aug 9, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 64/100

Of which business quality 60 · Market factors (momentum, volatility) 70

Profitability 32
Margins and returns on capital today
Quality Growth 41
Are margins and returns improving?
Cashflow 91
Earnings quality: real cash, not paper profit
Fin. Strength 35
Balance sheet, leverage, solvency risk
Investment 97
Disciplined investing over empire-building
Low Volatility 50
Calm price path (market factor)
Momentum 70
Price trend over the last 3–12 months (market factor)
52W Momentum 93
Distance to the 52-week high (market factor)
Net Issuance 82
Buybacks instead of dilution

Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.

About the company

Far East Group Limited, together with its subsidiaries, manufactures and distributes refrigeration and air-conditioning systems and products for the heating, ventilation, air-conditioning, and refrigeration industry. It operates through three segments: Wholesale and Distribution; Manufacturing; and Engineering Solutions.

Full company description

Far East Group Limited, together with its subsidiaries, manufactures and distributes refrigeration and air-conditioning systems and products for the heating, ventilation, air-conditioning, and refrigeration industry. It operates through three segments: Wholesale and Distribution; Manufacturing; and Engineering Solutions. The company engages in the sale of own manufactured products, multinational agency products, and other distribution models under the Bitzer, Danfoss, Schneider-Eliwell, Aeroflex, Mitsubishi, and Copeland brands for the refrigeration and air-conditioning markets. It also provides system design and installation of various sustainable engineering solutions and applications for various industries. In addition, the company manufactures and sells heat-exchangers, compressor racks, and condensing units; repair and maintenance for air-conditioning compressors; and servicing of cold rooms. Further, it offers construction and installation of commercial and industrial cold rooms, as well as various other incidental business of refrigeration. It serves distributors and dealers in Singapore, Malaysia, Indonesia, Hong Kong, Macau, People's Republic of China, Vietnam, Thailand, Myanmar, the Philippines, Mauritius, Sri Lanka, Turkey, Australia, and internationally. The company was founded in 1953 and is headquartered in Singapore. Far East Group Limited operates as a subsidiary of Universal Pte. Ltd.

Company description, as reported by the company or data provider.

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Far East Group reported revenue of 89.2M SGD in FY2025 versus 83.1M SGD in FY2021, a compound +1.8%/yr. Reported net income was 2.2M SGD in FY2025.

Growth Quality 76/100
Revenue is growing, but margins or cash flow do not fully confirm the trend.
Latest Revenue (FY 2025)
89.2M SGD
Latest YoY
−9.7%
Avg. growth/yr (3Y)
−5.0%
Avg. growth/yr (5Y)
+10.3%
Avg. growth/yr (12Y)
+7.9%
Revenue +1.8%/yr
FY21 83.1M SGD
FY22 104M SGD
FY23 79.6M SGD
FY24 98.7M SGD
FY25 89.2M SGD
Net income
FY21 −32.0K SGD
FY22 2.1M SGD
FY23 −3.7M SGD
FY24 3.0M SGD
FY25 2.2M SGD

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Cite: Fair Value Calculator (2026). "Far East Group Fair Value". https://www.fairvalue-calculator.com/stock/5TJ

Peer Group

Specialty Industrial Machinery · 810 stocks

How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.

Quality Score 64 · Top 25%
Fair Value upside +188% · Top 25%
Return on equity (TTM) 5% · Below median
Return on assets 2% · Below median
Net margin (TTM) 3% · Below median
Operating margin (TTM) 7% · Below median
Revenue growth -12% · Bottom 25%
Dividend yield (TTM) 1.8% · Above median
Debt / equity 0.18× · Higher than median

Valuation Multiples vs Specialty Industrial Machinery median · lower = cheaper

P/E (TTM) 5.7× · Cheaper than 75% of peers
P/B 0.21× · Cheaper than 75% of peers
P/S (TTM) 0.11× · Cheaper than 75% of peers
P/FCF 0.5× · Cheaper than 75% of peers
EV/EBITDA 1.6× · Cheaper than 75% of peers

Snowflake

Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.

VALUE 100 · sector 0
FUTURE 0 · sector 23
PAST 19 · sector 28
HEALTH 91 · sector 96
DIVIDEND 35 · sector 24

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

None of the checked exposures detected

ESG scores are not available for this stock yet. Values and ESG data are contextual and can differ between providers.

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Frequently asked questions

Is Far East Group (5TJ) overvalued or undervalued?
As of Aug 9, 2026, our model estimates a fair value of 0.3400 SGD versus a price of 0.1180 SGD, about +188% (undervalued).
What is the fair value of 5TJ?
Our model-based fair value for Far East Group is 0.3400 SGD (as of Aug 9, 2026), built from audited fundamentals. The current price is 0.1180 SGD.
What is the quality score of 5TJ?
Far East Group has a Quality Score of 64/100. It combines two groups: business quality (profitability, growth, cash flow, balance-sheet strength) and market factors (price momentum, distance to the 52-week high, volatility). Both subtotals are shown separately in the detail view.
What is the revenue of Far East Group (5TJ)?
Far East Group reported trailing-twelve-month revenue of about 89.2M SGD (latest available figure, as of Aug 9, 2026).
What is the net profit margin of 5TJ?
The net profit margin of Far East Group is about 2.5%, meaning it keeps roughly 2.5% of revenue as net income. Based on the latest reported figures.
Does Far East Group pay a dividend?
Far East Group currently shows a dividend yield of about 1.77% relative to its recent price (as of Aug 9, 2026).

How we calculate Fair Value

Each company is valued through a stack of independent intrinsic-value models (DCF variants, residual-income, multiples and more), blended into one family-balanced consensus and weighted by how much trustworthy data backs it. A separate quality layer scores the fundamentals. Every input is real reported data, nothing guessed.

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