Vicom Ltd (WJP) AI Stock Analysis

• Market Cap: S$624.04M
• Dividend Yield: 3.72%
• Average Volume (3M): 65.02K
• Price to Earnings (P/E): 14.8
• Beta (1Y): 0.35
• Revenue Growth: 18.43%
• EPS Growth: 10.46%
• Country: SG
• Employees: 959
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Auto - Dealerships
• EPS (TTM): 0.08
• Shares Outstanding: 354,568,000
• 10 Day Avg. Volume: 33,420
• 30 Day Avg. Volume: 65,020
• PEG Ratio: 0.30
• Price to Book (P/B): 3.61
• Price to Sales (P/S): 3.47
• P/FCF Ratio: 28.26
• 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: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 75 Outperform
• Price Target: S$2.00 ▲(20.48% Upside)
• Action: Reiterated Date: 02/21/26
• Date: Action: Reiterated 02/21/26

The score is driven primarily by strong recent financial performance (revenue and profit expansion) with generally positive cash generation, tempered by a notable 2025 debt increase and only moderate free-cash-flow conversion. Technicals remain bullish on trend but are overbought, while valuation is fair with a supportive dividend yield.

Positive Factors

Revenue & Profit Momentum

Strong 2025 revenue and profit expansion reflects durable demand for inspection services and improved scale economics. Sustained top-line growth alongside higher net income supports margin resilience, reinvestment capacity, and long-term earnings power if regulatory inspection needs persist.

Operating Cash Generation

Rising operating cash flow and consistently positive free cash flow indicate earnings quality and real cash generation ability. This durable cash profile supports capex, dividends and deleveraging options, improving financial flexibility through business cycles.

Growing Equity & Asset Base

Steady equity growth and rising assets provide enduring capacity to support higher volumes and investment in inspection facilities. A larger capital base strengthens creditworthiness and funds expansion of service footprint, underpinning medium-term structural growth.

Negative Factors

Sharp 2025 Debt Increase

A marked rise in debt materially increases leverage and reduces balance-sheet flexibility. Higher interest and repayment obligations raise vulnerability to an earnings slowdown and could constrain future capex, dividends or strategic investments if cash generation weakens.

Moderate FCF Conversion

Below-par free cash conversion means a sizable portion of reported earnings is tied up in reinvestment or working capital. Over time this limits capacity to rapidly pay down debt, increase returns to shareholders, or absorb shocks without curtailing investment.

Revenue Sensitivity to Volumes & Regulation

Business model is structurally tied to vehicle population and regulatory cycles, creating exposure to policy changes or lower inspection frequencies. Limited product diversification makes revenue and utilization sensitive to external regulatory or fleet trends over the medium term.

Vicom Ltd Business Overview & Revenue Model

Company Description

VICOM Ltd, an investment holding company, provides motor vehicle inspection, non-vehicle testing, and consultancy services in Singapore. The company offers vehicle inspection services, including inspection for petrol-driven and diesel-driven vehicles, petrol-hybrid and diesel hybrid vehicles, motorcycles, electric vehicles, power assisted bicycles, and e-scooters; vehicle assessment services; and emission test laboratory services. It also provides vehicle evaluation; motor and general insurance; road tax renewal; and other services, such as vehicle inspection and type approval system, in-vehicle unit, speed limiter check, chassis dynamometer smoke test, and car buying tips and maintenance talks services. The company offers its testing, calibration, inspection, consultancy, and training services to aerospace, marine and offshore, biotechnology, oil and petrochemical, building construction, and electronics manufacturing industries. VICOM Ltd was incorporated in 1981 and is based in Singapore. VICOM Ltd is a subsidiary of ComfortDelGro Corporation Limited.

How the Company Makes Money

Vicom Ltd generates revenue through multiple streams, including the sale of technology products, subscription services for cloud-based solutions, and consulting fees for IT and cybersecurity services. The company has established significant partnerships with major technology vendors, allowing it to offer a broad portfolio of products and services tailored to meet client needs. Additionally, recurring revenue from long-term contracts and service agreements contributes to its financial stability, while strategic collaborations with industry leaders enhance its market presence and drive growth.

Vicom Ltd Financial Statement Overview

Summary

Strong income statement momentum with accelerating revenue and higher net income into 2025, supported by historically healthy margins. Offsetting factors are the sharp rise in total debt in 2025 and only moderate/uneven free-cash-flow conversion versus earnings across prior years.

Income Statement

Annual results show strong profitability and a clear uptrend in scale. Revenue rose from 111.9M (2023) to 117.2M (2024) and then accelerated to 167.4M (2025), with 2025 revenue growth at 25.842%. Profit dollars also expanded (net income up to 42.5M in 2025 from 29.3M in 2024). Margins were consistently healthy in 2021–2024 (gross margin ~40–46% and net margin ~24–28% where provided). Key weakness: 2020 showed a revenue decline (-14.203%), and margin data for 2025 is not provided, so the quality of the 2025 growth (price/mix vs. costs) cannot be fully validated from the dataset.

Balance Sheet

Balance sheet leverage appears conservative in the years with full ratios: debt-to-equity stayed around ~0.23–0.25 during 2020–2024, and equity steadily increased (122.9M in 2022 to 140.8M in 2024, then 161.2M in 2025). Total assets also grew (196.4M in 2023 to 250.4M in 2025), suggesting capacity to support the higher revenue base. Main concern: total debt jumped materially in 2025 (66.7M vs. 31.9M in 2024), implying a notable step-up in leverage even though the 2025 debt-to-equity ratio is not provided; this reduces balance-sheet flexibility if earnings soften.

Cash Flow

Cash generation is generally solid, with operating cash flow rising to 59.6M in 2025 from 34.9M in 2024, and free cash flow remaining positive each year shown. Free cash flow grew 7.598% in 2025 after a strong 22.089% increase in 2024. In 2023–2024, operating cash flow was roughly in line with accounting earnings (about ~1.01x), supporting earnings quality. Offsetting this, free cash flow conversion to net income was only ~0.60–0.66 in 2023–2024, indicating meaningful reinvestment needs, and earlier periods had softer coverage (below 1.0 in 2021–2022) plus negative free-cash-flow growth in 2020–2022.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	133.03M	167.41M	117.16M	111.90M	108.30M	100.89M
Gross Profit	53.22M	69.13M	47.49M	48.49M	47.38M	46.20M
EBITDA	43.06M	62.36M	45.11M	42.83M	40.67M	38.49M
Net Income	30.72M	42.48M	29.28M	27.60M	26.18M	24.78M
Balance Sheet
Total Assets	217.68M	250.41M	211.21M	196.37M	186.97M	199.76M
Cash, Cash Equivalents and Short-Term Investments	55.63M	57.90M	60.70M	55.07M	60.49M	75.36M
Total Debt	33.98M	66.69M	31.88M	31.42M	31.16M	31.76M
Total Liabilities	71.27M	86.61M	68.70M	64.07M	63.14M	71.55M
Stockholders Equity	145.15M	161.24M	140.77M	130.90M	122.92M	127.25M
Cash Flow
Free Cash Flow	19.12M	20.58M	23.04M	18.87M	16.48M	17.38M
Operating Cash Flow	40.63M	59.63M	34.94M	31.66M	25.39M	29.66M
Investing Cash Flow	-18.21M	-39.33M	-8.16M	-14.21M	-8.34M	-12.90M
Financing Cash Flow	-22.73M	-23.18M	-21.20M	-22.82M	-31.86M	-34.63M

Vicom Ltd Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1.66
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SG:WJP, the sentiment is Positive. The current price of 1.66 is below the 20-day moving average (MA) of 1.70, below the 50-day MA of 1.67, and above the 200-day MA of 1.58, indicating a bullish trend. The MACD of 0.03 indicates Negative momentum. The RSI at 71.39 is Negative, neither overbought nor oversold. The STOCH value of 71.43 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SG:WJP.

Vicom Ltd Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
WJP	75 Outperform	S$624.04M	14.77	21.90%	3.72%	18.43%	10.46%
1D0	71 Outperform	S$491.44M	14.93	17.71%	5.06%	0.86%	0.37%
T6I	62 Neutral	S$1.05B	10.04	18.70%	3.92%	20.97%	37.69%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
H18	57 Neutral	S$506.51M	-18.41	-1.41%	2.14%	-2.09%	-302.48%