Vicom Ltd (WJP) AI Stock Analysis

• Market Cap: S$567.31M
• Dividend Yield: 3.79%
• Average Volume (3M): 65.02K
• Price to Earnings (P/E): 18.5
• Beta (1Y): 0.36
• Revenue Growth: 18.43%
• EPS Growth: 10.46%
• Country: SG
• Employees: 959
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Auto - Dealerships
• EPS (TTM): 0.04
• Shares Outstanding: 354,568,000
• 10 Day Avg. Volume: 33,420
• 30 Day Avg. Volume: 65,020
• PEG Ratio: 2.57
• Price to Book (P/B): 3.30
• Price to Sales (P/S): 3.97
• P/FCF Ratio: 20.17
• 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: Hold
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 71 Outperform
• Price Target: S$2.00 ▲(25.00% Upside)

Vicom Ltd's overall stock score is driven primarily by its strong financial performance, characterized by consistent revenue growth and robust profitability metrics. The technical analysis presents a neutral outlook, with mixed signals from various indicators. The valuation is fair, with a reasonable P/E ratio and modest dividend yield. The absence of earnings call data and corporate events means these factors do not influence the score.

Positive Factors

Revenue Growth

Consistent revenue growth indicates strong demand for Vicom Ltd's products and services, enhancing its market position and ensuring long-term business sustainability.

Profitability Metrics

High profitability margins reflect efficient cost management and pricing power, contributing to Vicom Ltd's ability to reinvest in growth and maintain competitive advantages.

Balance Sheet Health

A low debt-to-equity ratio indicates prudent financial management, providing Vicom Ltd with flexibility to pursue strategic opportunities without over-leveraging.

Negative Factors

Free Cash Flow Decline

Declining free cash flow could limit Vicom Ltd's ability to fund new projects or increase dividends, potentially impacting future growth and shareholder returns.

Debt Level Increase

Increasing debt levels, while currently manageable, could strain Vicom Ltd's financial resources if not controlled, affecting long-term financial stability.

Gross Profit Margin Decline

A declining gross profit margin may indicate rising costs or pricing pressures, which could erode profitability if not addressed through cost management or pricing strategies.

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

Vicom Ltd exhibits strong financial performance with consistent revenue growth and robust profitability metrics. The balance sheet is stable with low leverage, and the company effectively generates cash from operations. However, the decline in free cash flow growth and slight increase in debt levels warrant attention.

Income Statement

Vicom Ltd has demonstrated consistent revenue growth over the years, with a notable increase of 1.08% in the latest period. The company maintains strong profitability metrics, with a gross profit margin of 40.53% and a net profit margin of 24.99%. The EBIT and EBITDA margins are also robust at 31.21% and 38.50%, respectively, indicating efficient operational management. However, the slight decline in gross profit margin over the years suggests potential cost pressures.

Balance Sheet

The balance sheet of Vicom Ltd reflects a stable financial position with a low debt-to-equity ratio of 0.23, indicating prudent leverage management. The return on equity stands at 20.80%, showcasing effective use of shareholder funds to generate profits. The equity ratio is healthy, suggesting a strong capital structure. However, the slight increase in debt levels over the years could pose a risk if not managed carefully.

Cash Flow

Vicom Ltd's cash flow statement reveals a mixed picture. While the operating cash flow to net income ratio is strong at 1.01, indicating good cash generation relative to net income, the free cash flow has declined by 15.38% in the latest period. The free cash flow to net income ratio remains solid at 0.66, but the negative growth in free cash flow could impact future investments and dividend payouts.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	133.03M	117.16M	111.90M	108.30M	100.89M	86.45M
Gross Profit	53.22M	47.49M	48.49M	47.38M	46.20M	37.68M
EBITDA	43.06M	45.11M	42.83M	40.67M	38.49M	37.61M
Net Income	30.72M	29.28M	27.60M	26.18M	24.78M	24.49M
Balance Sheet
Total Assets	217.68M	211.21M	196.37M	186.97M	199.76M	207.90M
Cash, Cash Equivalents and Short-Term Investments	55.63M	60.70M	55.07M	60.49M	75.36M	93.20M
Total Debt	33.98M	31.88M	31.42M	31.16M	31.76M	32.78M
Total Liabilities	71.27M	68.70M	64.07M	63.14M	71.55M	72.45M
Stockholders Equity	145.15M	140.77M	130.90M	122.92M	127.25M	134.25M
Cash Flow
Free Cash Flow	19.12M	23.04M	18.87M	16.48M	17.38M	21.72M
Operating Cash Flow	40.63M	34.94M	31.66M	25.39M	29.66M	36.72M
Investing Cash Flow	-18.21M	-8.16M	-14.21M	-8.34M	-12.90M	-13.22M
Financing Cash Flow	-22.73M	-21.20M	-22.82M	-31.86M	-34.63M	-23.14M

Vicom Ltd Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1.60
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SG:WJP, the sentiment is Negative. The current price of 1.6 is below the 20-day moving average (MA) of 1.62, below the 50-day MA of 1.61, and above the 200-day MA of 1.48, indicating a neutral trend. The MACD of <0.01 indicates Positive momentum. The RSI at 44.00 is Neutral, neither overbought nor oversold. The STOCH value of 50.00 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for SG:WJP.

Vicom Ltd Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
T6I	72 Outperform	S$916.21M	8.99	18.70%	3.98%	20.97%	37.69%
WJP	71 Outperform	S$567.31M	18.48	21.90%	3.79%	18.43%	10.46%
1D0	71 Outperform	S$485.22M	14.55	17.71%	5.13%	0.86%	0.37%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
A34	61 Neutral	―	―	―	―	6.98%	-74.40%
H18	48 Neutral	S$513.90M	―	-1.41%	2.10%	-2.09%	-302.48%

Vicom Ltd Corporate Events

Vicom Ltd Announces Board and Committee Changes

Vicom Ltd, a company incorporated in Singapore, has announced significant changes to its board and board committees as part of its succession planning efforts. Effective from January 1, 2026, Mr. Ngan Wan Sing Winston will join as an Independent Non-Executive Director and a member of the Audit and Risk Committee, while Professor Karina Yew-Hoong Gin will take over as the Chairperson of the Technology Committee. These changes are expected to strengthen the company’s governance and strategic direction.

Vicom Ltd Expands Testing Services Through Malaysian Joint Venture

Vicom Ltd’s subsidiary, Setsco Services Pte Ltd, has entered into a joint venture with Malaysia’s QAV Technologies Sdn. Bhd. to enhance testing services in Penang, Malaysia. This collaboration, forming Setsco QAV Technologies Sdn. Bhd., is aimed at boosting the company’s presence in the electrical and electronics manufacturing sector. The joint venture will not significantly impact Vicom’s financials for the year ending December 2025.