Venture, the Technology sector company, was revisited by a Wall Street analyst today. Analyst Paul Chew from Phillip Securities maintained a Hold rating on the stock and has a S$13.00 price target.
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Paul Chew has given his Hold rating due to a combination of factors affecting Venture’s performance. The company’s third-quarter results were in line with expectations, but net profit experienced a decline, primarily due to a shorter replacement cycle for a key lifestyle consumer product, which significantly impacted revenue. Despite this, Venture has promising prospects with new product wins in network connectivity for hyperscaler data centers and upcoming launches in the lifestyle consumer segment, although these are expected to contribute meaningfully only in the second half of 2026.
Additionally, while Venture maintains a strong cash position with a healthy dividend yield, operational challenges are anticipated to persist until the new products ramp up. The stock is currently trading at a high valuation, and the company’s earnings are pressured by lower interest rates and a weaker US dollar, given its cost structure in Singapore dollars and Malaysian ringgit. As a result, Paul Chew maintains a neutral stance, with a slight increase in the target price, reflecting a cautious outlook until the anticipated recovery in the latter half of 2026.
Chew covers the Industrials sector, focusing on stocks such as ST Engineering, Keppel Corporation Limited, and Comfortdelgro. According to TipRanks, Chew has an average return of 22.2% and a 70.04% success rate on recommended stocks.
In another report released on November 14, DBS also maintained a Hold rating on the stock with a S$15.30 price target.