ST Engineering - UOB Kay Hian 2025-05-13: Strong Growth Outlook But Valuation On The Rich Side

• Orderbook reached a new record-high level of S$29.8b as at end-1Q25, providing good growth visibility in the medium term.
• While we like ST Engineering for its growth potential, valuation appears rich and we prefer a better entry point. Downgrade to HOLD.

1Q25 revenue in line.

• - Read this at SGinvestors.io -
• Commercial Aerospace (CA) revenue of S$1.15b was in line, at 25.0% of our 2025 forecast. y-o-y growth was flattish against a high base in 1Q24, but was 5% higher than the average quarterly level of S$4.38b in 2024. Strong Engine MRO revenue growth in 1Q25 was largely offset by a drop in Passenger-To-Freighter (P2F) revenue.
• - Read this at SGinvestors.io -

Declared 1Q25 quarterly dividend of 4 cents.

• Read more at SGinvestors.io.

Above is an excerpt from a report by UOB Kay Hian Research.
Clients of UOB Kay Hian may be the first to access the full PDF report @ https://www.utrade.com.sg/.

Previous report by UOB:
2025-03-19 ST Engineering - Upbeat Growth Outlook With Aggressive 2029 Growth Targets.

Price targets by 6 other brokers at ST Engineering Target Prices.

Listing of research reports at ST Engineering Analyst Reports.

Relevant links:
ST Engineering Share Price History,
ST Engineering Announcements,
ST Engineering Dividend Payout Dates & Corporate Actions,
ST Engineering News