Venture Corporation - Phillip Securities 2023-02-27: Outlook Starting To Dim

Venture Corporation - Outlook Starting To Dim

Published:
VENTURE CORPORATION LIMITED (SGX:V03) | SGinvestors.ioVENTURE CORPORATION LIMITED (SGX:V03)
  • Venture Corp (SGX:V03)'s FY22 results were within expectations. Revenue and PATMI were 102%/97% of our FY22e forecast. 4Q22 PAT rose 3.4% y-o-y. Gross margin was the weakest in seven years.
  • There was caution in the company’s outlook. The environment in the short term is uncertain. Healthcare, life science and semiconductor sectors are the medium-term opportunities with their long product cycles.
  • - Read this at SGinvestors.io -
  • Our target price for Venture Corp is lowered to S$19.70 (previously S$20.80), 16x P/E FY23e. The macro backdrop for electronic exports has declined significantly and the global economy slowing.

The Positive

Healthy growth in revenue.

  • - Read this at SGinvestors.io -
  • Pre-pandemic, revenue growth was a negative 4% from FY17 to FY19. We also expect revenue growth to slow in 2023 with the absence of the Malaysia re-opening lift experienced in 2022.

The Negative

Major decline in margins.

  • Read more at SGinvestors.io.




Above is the excerpt from report by Phillip Securities Research.
Clients of Phillip Capital may be the first to access the full report in PDF @ https://www.stocksbnb.com/.




Paul Chew Phillip Securities Research | https://www.stocksbnb.com/ 2023-02-27



Read also Phillip's most recent report:
2024-08-08 Venture Corporation - Some Stability Creeping Up.

Previous report by Phillip:
2024-05-06 Venture Corporation - Worst Performance Since 2016.

Price targets by 2 other brokers at Venture Corp Target Prices.

Listing of research reports at Venture Corp Analyst Reports.

Relevant links:
Venture Corp Share Price History,
Venture Corp Announcements,
Venture Corp Dividends & Corporate Actions,
Venture Corp News Articles





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