- Downgrade Venture Corp (SGX:V03) to HOLD from BUY as we expect global demand to further weaken as the macro outlook darkens. We cut our FY23/24 NPAT forecasts for Venture Corp by 10.3% and 10.2%, respectively, which lowers our target price for Venture Corp to S$17.32 from S$20.20, based on a lower FY23E P/E of 15x from 16x.
- - Read this at SGinvestors.io -
- We prefer Aztech Global (SGX:8AZ) due to strong orders from its key customer.
Demand likely to weaken further
- - Read this at SGinvestors.io -
- As a result, we expect global demand to weaken further and we cut our respective FY23 revenue and NPAT forecasts for Venture Corp by 12.8% and 14.8%. However, we expect margins to be sustained as management has a good track record in protecting margins even during tough times.
Expect a weaker 1Q23E for Venture Corp
- Read more at SGinvestors.io.
Above is the excerpt from report by Maybank Research.
Clients of Maybank Securities may be the first to access the full report in PDF @ https://www.maybanktrade.com.sg/.
Jarick Seet Maybank Research | https://www.maybank-ke.com.sg/ 2023-04-25
Read also Maybank's most recent report:
2024-08-06 Venture Corporation - Recovery Not Strong Enough; Downgrade To HOLD.
Previous report by Maybank:
2024-05-05 Venture Corporation - 1Q Disappoints But Brighter Outlook.
Price targets by 3 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
