Valuetronics Holdings (BN2) AI Stock Analysis

• Market Cap: S$377.93M
• Dividend Yield: 5.24%
• Average Volume (3M): 1.33M
• Price to Earnings (P/E): 12.3
• Beta (1Y): 0.86
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: SG
• Employees: 4,000
• Sector: Technology
• Sector Strength: 88
• Industry: Hardware, Equipment & Parts
• EPS (TTM): 0.04
• Shares Outstanding: 435,630,830
• 10 Day Avg. Volume: 813,830
• 30 Day Avg. Volume: 1,327,702
• PEG Ratio: 1.25
• Price to Book (P/B): 1.13
• Price to Sales (P/S): 0.95
• P/FCF Ratio: -81.53
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: S$1.03
• Price Target Upside: 19.77% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 73 Outperform
• Price Target: S$0.96 ▲(11.51% Upside)

Overall score is driven primarily by a very conservative balance sheet and improved profitability, offset by mixed and recently weaker cash flow quality (negative FY2025 free cash flow) and uneven revenue stability. Valuation is supportive (moderate P/E and strong dividend yield), while technicals point to only a mild, neutral-to-positive trend.

Valuetronics Holdings Business Overview & Revenue Model

Company Description

Valuetronics Holdings Limited, an investment holding company, provides integrated electronics manufacturing services (EMS) in the United States, the People's Republic of China, Canada, Poland, Hong Kong, the Netherlands, Indonesia, France, Taiwan, South Korea, Germany, and internationally. It operates through two segments, Consumer Electronics; and Industrial and Commercial Electronics. The company offers engineering services comprising mechanical design services, including industrial design, rapid prototyping (SLA, FDM), motion mechanisms, and packaging design, as well as plastic and metal parts, and enclosures; plastic tool design services consisting of 2D/3D design, mold flow analysis, and plastic and over-mold parts; electronics, RF, and software design; regulatory compliance engineering and testing; and product test development services, such as design-for-test, in-circuit-test, custom functional test, and in-house test fixtures design and fabrication. It also provides manufacturing services comprising plastic tool fabrication and injection molding; printed circuit board assemblies; sub-assemblies and complete box build; reliability engineering and testing; quality systems; materials procurement; and program management. In addition, the company offers supply chain support services, including in-house logistics to manage shipment of products to final destinations; product customization and drop shipment; spare parts inventory and shipment; and direct fulfillment programs. Further, it provides trading and business services; and holds properties. The company serves multinational and mid-size companies in the automotive, telecommunications and networking, industrial, commercial, energy saving, and consumer fields. Valuetronics Holdings Limited was founded in 1992 and is headquartered in Sha Tin, Hong Kong.

How the Company Makes Money

Valuetronics Holdings Financial Statement Overview

Summary

Strong balance sheet with essentially no debt and improving ROE supports a solid financial foundation. Profitability improved meaningfully (higher net and EBIT margins), but uneven revenue trends and a FY2025 drop to negative free cash flow weaken confidence in earnings durability and cash conversion.

Income Statement

Profitability strengthened meaningfully from FY2022–FY2025, with net margin rising from ~5.6% (FY2022) to ~9.9% (FY2025) and EBIT margin improving to ~10.1% (FY2025). Gross margin also rebounded to ~17.0% (FY2025) from the low-teens in FY2022–FY2023. However, revenue performance has been uneven (declines in FY2023 and FY2024 followed by an outsized FY2025 growth figure), which introduces questions around revenue stability and repeatability despite the stronger margin profile.

Balance Sheet

Balance sheet is very conservative with essentially no debt (debt-to-equity ~0 across recent years), reducing financial risk and interest burden. Equity base is sizable and has grown over time, and returns on equity are solid and improving versus FY2022 (from ~8.3% in FY2022 to ~11.7% in FY2025). The main limitation is that, while healthy, returns are not exceptionally high—suggesting the company may be under-levered or operating in a lower-return segment despite strong balance sheet safety.

Cash Flow

Cash generation is mixed. Operating cash flow is positive in most years (FY2023–FY2025), but it was negative in FY2022, highlighting volatility. Free cash flow was strong in FY2023 and FY2024 but turned negative in FY2025 (despite positive net income), indicating weaker cash conversion and/or elevated investment or working-capital use in the most recent period. Overall, cash flow quality is adequate but not consistently reliable year-to-year.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.73B	1.73B	1.67B	2.01B	2.03B	394.77M
Gross Profit	293.72M	293.72M	265.15M	261.69M	274.81M	66.83M
EBITDA	219.49M	219.49M	213.29M	187.94M	188.00M	44.15M
Net Income	170.39M	170.39M	159.58M	122.99M	113.55M	32.38M
Balance Sheet
Total Assets	2.18B	2.18B	2.09B	2.08B	2.10B	387.87M
Cash, Cash Equivalents and Short-Term Investments	1.09B	1.09B	1.16B	1.01B	936.66M	195.43M
Total Debt	0.00	0.00	0.00	0.00	0.00	0.00
Total Liabilities	727.66M	727.66M	689.32M	713.91M	727.05M	154.78M
Stockholders Equity	1.45B	1.45B	1.40B	1.36B	1.37B	233.09M
Cash Flow
Free Cash Flow	-20.08M	-20.08M	212.62M	163.55M	-104.23M	20.49M
Operating Cash Flow	207.93M	207.93M	233.70M	198.17M	-10.92M	36.87M
Investing Cash Flow	-171.77M	-171.77M	35.70M	-10.83M	-85.24M	-8.84M
Financing Cash Flow	-104.44M	-104.44M	-113.65M	-112.80M	-98.25M	-14.20M

Valuetronics Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
BN2	73 Outperform	S$377.93M	12.25	11.96%	5.24%	―	―
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
500	60 Neutral	S$230.13M	8.87	12.09%	3.92%	19.98%	77.92%
F83	53 Neutral	S$523.98M	45.00	1.18%	―	6.34%	160.00%
5AB	42 Neutral	S$29.74M	52.78	1.45%	―	-12.41%	-71.88%