Buy Or Sell Opportunity • Jun 17
Now 21% overvalued after recent price rise Over the last 90 days, the stock has risen 175% to S$10.40. The fair value is estimated to be S$8.59, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has declined by 18% over the last 3 years. Earnings per share has declined by 50%. Revenue is forecast to grow by 81% in 2 years. Earnings are forecast to grow by 287% in the next 2 years. Recent Insider Transactions • Jun 09
Lead Independent Non-Executive Director recently sold S$1.1m worth of stock On the 4th of June, Ban Leng Toh sold around 111k shares on-market at roughly S$10.12 per share. This transaction amounted to 1.1% of their direct individual holding at the time of the trade. In the last 3 months, there was an even bigger sale from another insider worth S$6.6m. Insiders have been net sellers, collectively disposing of S$10m more than they bought in the last 12 months. Live News • Jun 02
AEM Holdings Rises on Strong Q1 and AI Expansion with ASE Partnership AEM Holdings reported a first quarter where revenue was up nearly 36% year on year and net profit was more than 4x higher, pointing to a strong start to the financial year.
The company is expanding its customer base with a new fabless AI/HPC customer that is expected to be its largest revenue contributor in 2026.
AEM also entered a partnership with ASE Technology that gives it access to ASE’s global customer network, which could widen its reach in the semiconductor testing market.
The combination of stronger recent financial results and access to both a large AI/HPC customer and ASE’s broad client base suggests AEM is positioning itself around growth segments of the semiconductor value chain.
Investors may want to watch how quickly revenue from the new AI/HPC customer and the ASE partnership shows up in reported numbers, as well as the execution risks that come with higher customer concentration and rapid expansion. Recent Insider Transactions • May 29
Non-Executive & Independent Director recently sold S$2.3m worth of stock On the 25th of May, Kin-Wah Loh sold around 230k shares on-market at roughly S$10.11 per share. This transaction amounted to 43% of their direct individual holding at the time of the trade. In the last 3 months, there was an even bigger sale from another insider worth S$6.6m. Insiders have been net sellers, collectively disposing of S$8.9m more than they bought in the last 12 months. Recent Insider Transactions • May 20
Non-Independent Non-Executive Director recently sold S$6.6m worth of stock On the 14th of May, Yean Hung Chok sold around 700k shares on-market at roughly S$9.43 per share. This transaction amounted to 64% of their direct individual holding at the time of the trade. This was the largest sale by an insider in the last 3 months. This was the only on-market transaction from insiders over the last 12 months. Major Estimate Revision • May 15
Consensus revenue estimates increase by 16% The consensus outlook for revenues in fiscal year 2026 has improved. 2026 revenue forecast increased from S$508.7m to S$588.9m. EPS estimate increased from S$0.135 to S$0.191 per share. Net income forecast to grow 293% next year vs 56% growth forecast for Semiconductor industry in Singapore. Consensus price target up from S$7.49 to S$11.59. Share price rose 25% to S$9.25 over the past week. Buy Or Sell Opportunity • May 14
Now 26% overvalued after recent price rise Over the last 90 days, the stock has risen 393% to S$9.91. The fair value is estimated to be S$7.89, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has declined by 27% over the last 3 years. Earnings per share has declined by 92%. For the next 3 years, revenue is forecast to grow by 24% per annum. Earnings are also forecast to grow by 46% per annum over the same time period. Upcoming Dividend • Apr 30
Upcoming dividend of S$0.013 per share Eligible shareholders must have bought the stock before 07 May 2026. Payment date: 22 May 2026. Payout ratio is a comfortable 24% and this is well supported by cash flows. Trailing yield: 0.2%. Lower than top quartile of Singaporean dividend payers (5.0%). Lower than average of industry peers (1.2%). Major Estimate Revision • Apr 29
Consensus EPS estimates increase by 15% The consensus outlook for fiscal year 2026 has been updated. 2026 EPS estimate increased from S$0.118 to S$0.135. Revenue forecast unchanged at S$508.7m. Net income forecast to grow 143% next year vs 53% growth forecast for Semiconductor industry in Singapore. Consensus price target up from S$4.20 to S$6.63. Share price rose 49% to S$7.72 over the past week. Buy Or Sell Opportunity • Apr 24
Now 27% overvalued after recent price rise Over the last 90 days, the stock has risen 228% to S$6.06. The fair value is estimated to be S$4.78, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has declined by 27% over the last 3 years. Earnings per share has declined by 92%. For the next 3 years, revenue is forecast to grow by 18% per annum. Earnings are also forecast to grow by 38% per annum over the same time period. Announcement • Mar 24
AEM Holdings Ltd. announced that it expects to receive SGD 12.02985 million in funding from ASE Technology Holding Co., Ltd. AEM Holdings Ltd. announced a private placement to issue 3,350,000 shares at an issue price of SGD 3.591 per share for gross proceeds of SGD 12,029,850 on March 23, 2026. The transaction will include participation from new investor ASE Technology Holding Co., Ltd. The company also issued warrants 28,111,856 million free detachable warrants, divided equally into two exercisable tranches, with each tranche subject to certain ASE-attributable revenue-related conditions. Each warrant is exercisable into one ordinary share, with the Tranche 1 exercise price set at 103% of the volume weighted average price (“VWAP”) of AEM’s shares for the full market day on which the subscription agreement is signed, and the Tranche 2 exercise price set at 105% of such VWAP. Valuation Update With 7 Day Price Move • Mar 20
Investor sentiment improves as stock rises 23% After last week's 23% share price gain to S$4.10, the stock trades at a forward P/E ratio of 36x. Average forward P/E is 29x in the Semiconductor industry in Asia. Total returns to shareholders of 42% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at S$4.05 per share. New Risk • Feb 27
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of Singaporean stocks, typically moving 8.9% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. This is currently the only risk that has been identified for the company. Announcement • Feb 27
AEM Holdings Ltd. announces Annual dividend, payable on May 22, 2026 AEM Holdings Ltd. announced Annual dividend of SGD 0.0130 per share payable on May 22, 2026, ex-date on May 07, 2026 and record date on May 08, 2026. Buy Or Sell Opportunity • Feb 27
Now 33% overvalued after recent price rise Over the last 90 days, the stock has risen 72% to S$2.90. The fair value is estimated to be S$2.17, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has declined by 27% over the last 3 years. Earnings per share has declined by 84%. For the next 3 years, revenue is forecast to grow by 15% per annum. Earnings are also forecast to grow by 35% per annum over the same time period. Reported Earnings • Feb 26
Full year 2025 earnings: EPS and revenues exceed analyst expectations Full year 2025 results: EPS: S$0.054 (up from S$0.037 in FY 2024). Revenue: S$399.3m (up 5.0% from FY 2024). Net income: S$17.0m (up 48% from FY 2024). Profit margin: 4.2% (up from 3.0% in FY 2024). The increase in margin was driven by higher revenue. Revenue exceeded analyst estimates by 3.0%. Earnings per share (EPS) also surpassed analyst estimates by 113%. Revenue is forecast to grow 14% p.a. on average during the next 3 years, compared to a 21% growth forecast for the Semiconductor industry in Asia. Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 80 percentage points per year, which is a significant difference in performance. Valuation Update With 7 Day Price Move • Feb 26
Investor sentiment improves as stock rises 22% After last week's 22% share price gain to S$2.47, the stock trades at a forward P/E ratio of 37x. Average forward P/E is 29x in the Semiconductor industry in Asia. Total loss to shareholders of 9.6% over the past three years. Announcement • Feb 26
AEM Holdings Ltd., Annual General Meeting, Apr 28, 2026 AEM Holdings Ltd., Annual General Meeting, Apr 28, 2026. Recent Insider Transactions Derivative • Jan 19
Non-Executive Chairman exercised options to buy S$1.5m worth of stock. On the 18th of January, Wai San Loke exercised options to buy 824k shares at a strike price of around S$1.14, costing a total of S$941k. This transaction amounted to 11% of their direct individual holding at the time of the trade. Since March 2025, Wai San has owned 7.73m shares directly. This was the only transaction from an insider over the last 12 months. Major Estimate Revision • Nov 19
Consensus EPS estimates fall by 53% The consensus outlook for fiscal year 2025 has been updated. 2025 EPS estimate fell from S$0.053 to S$0.025 per share. Revenue forecast steady at S$387.6m. Net income forecast to grow 33% next year vs 47% growth forecast for Semiconductor industry in Singapore. Consensus price target up from S$1.54 to S$1.74. Share price fell 5.0% to S$1.71 over the past week. Reported Earnings • Nov 14
Third quarter 2025 earnings released: EPS: S$0.003 (vs S$0.003 loss in 3Q 2024) Third quarter 2025 results: EPS: S$0.003 (up from S$0.003 loss in 3Q 2024). Revenue: S$97.3m (up 31% from 3Q 2024). Net income: S$940.0k (up S$1.86m from 3Q 2024). Profit margin: 1.0% (up from net loss in 3Q 2024). The move to profitability was driven by higher revenue. Revenue is forecast to grow 9.4% p.a. on average during the next 3 years, compared to a 19% growth forecast for the Semiconductor industry in Asia. Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 80 percentage points per year, which is a significant difference in performance. Valuation Update With 7 Day Price Move • Sep 19
Investor sentiment improves as stock rises 19% After last week's 19% share price gain to S$1.85, the stock trades at a forward P/E ratio of 27x. Average forward P/E is 27x in the Semiconductor industry in Asia. Total loss to shareholders of 55% over the past three years. Major Estimate Revision • Aug 20
Consensus EPS estimates fall by 20% The consensus outlook for fiscal year 2025 has been updated. 2025 EPS estimate fell from S$0.064 to S$0.051 per share. Revenue forecast steady at S$407.7m. Net income forecast to grow 69% next year vs 37% growth forecast for Semiconductor industry in Singapore. Consensus price target up from S$1.46 to S$1.50. Share price fell 7.8% to S$1.41 over the past week. Reported Earnings • Aug 14
Second quarter 2025 earnings released Second quarter 2025 results: Revenue: S$104.2m (up 31% from 2Q 2024). Net loss: S$258.0k (loss narrowed 82% from 2Q 2024). Revenue is forecast to grow 12% p.a. on average during the next 3 years, compared to a 15% growth forecast for the Semiconductor industry in Asia. Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 74 percentage points per year, which is a significant difference in performance. Major Estimate Revision • Jul 31
Consensus EPS estimates increase by 14% The consensus outlook for earnings per share (EPS) in fiscal year 2025 has improved. 2025 revenue forecast increased from S$402.8m to S$418.9m. EPS estimate increased from S$0.062 to S$0.071 per share. Net income forecast to grow 98% next year vs 33% growth forecast for Semiconductor industry in Singapore. Consensus price target up from S$1.25 to S$1.46. Share price fell 4.1% to S$1.62 over the past week. Price Target Changed • Jul 29
Price target increased by 17% to S$1.46 Up from S$1.25, the current price target is an average from 4 analysts. New target price is 13% below last closing price of S$1.67. Stock is down 0.6% over the past year. The company is forecast to post earnings per share of S$0.064 for next year compared to S$0.037 last year. Price Target Changed • Jul 25
Price target increased by 17% to S$1.46 Up from S$1.25, the current price target is an average from 4 analysts. New target price is 15% below last closing price of S$1.72. Stock is up 0.6% over the past year. The company is forecast to post earnings per share of S$0.064 for next year compared to S$0.037 last year. Announcement • Jun 26
AEM Holdings Ltd. Revises Group Revenue Guidance for the First Half of 2025 AEM Holdings Ltd. revised group revenue guidance for the first half of 2025. For the half, the group has revised its revenue guidance upwards from the previous range of SGD 155 million to SGD 170 million, to the range of SGD 185 million and SGD 195 million. The revised guidance is a result of an unexpected pull-in of orders into FY2025 from one of the Group's customers under the non-cancellable, long-dated purchase order program for the customer's inventory management purposes. The Group's view of the business environment remains the same as its last update on 13 May 2025. The Group will provide guidance for 2H2025 when it reports its earnings 13 August 2025. Valuation Update With 7 Day Price Move • Jun 26
Investor sentiment improves as stock rises 16% After last week's 16% share price gain to S$1.42, the stock trades at a forward P/E ratio of 20x. Average forward P/E is 23x in the Semiconductor industry in Asia. Total loss to shareholders of 64% over the past three years. Announcement • Jun 26
AEM Holdings Ltd. to Report First Half, 2025 Results on Aug 13, 2025 AEM Holdings Ltd. announced that they will report first half, 2025 results on Aug 13, 2025 Major Estimate Revision • May 16
Consensus EPS estimates increase by 33% The consensus outlook for fiscal year 2025 has been updated. 2025 EPS estimate increased from S$0.068 to S$0.09. Revenue forecast steady at S$416.3m. Net income forecast to grow 68% next year vs 33% growth forecast for Semiconductor industry in Singapore. Consensus price target down from S$1.30 to S$1.28. Share price rose 6.9% to S$1.24 over the past week. Reported Earnings • Apr 09
Full year 2024 earnings: EPS and revenues exceed analyst expectations Full year 2024 results: EPS: S$0.037 (up from S$0.004 loss in FY 2023). Revenue: S$380.4m (down 21% from FY 2023). Net income: S$11.4m (up S$12.7m from FY 2023). Profit margin: 3.0% (up from net loss in FY 2023). The move to profitability was driven by lower expenses. Revenue exceeded analyst estimates by 4.4%. Earnings per share (EPS) also surpassed analyst estimates by 24%. Revenue is forecast to grow 13% p.a. on average during the next 3 years, compared to a 17% growth forecast for the Semiconductor industry in Asia. Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 48 percentage points per year, which is a significant difference in performance. Announcement • Apr 07
AEM Holdings Ltd., Annual General Meeting, Apr 23, 2025 AEM Holdings Ltd., Annual General Meeting, Apr 23, 2025, at 15:00 Singapore Standard Time. Location: the singpost auditorium, singapore post centre, 10 eunos road 8, 05-30, singapore 408600, Singapore Valuation Update With 7 Day Price Move • Apr 07
Investor sentiment deteriorates as stock falls 23% After last week's 23% share price decline to S$1.02, the stock trades at a forward P/E ratio of 15x. Average forward P/E is 20x in the Semiconductor industry in Asia. Total loss to shareholders of 77% over the past three years. Reported Earnings • Mar 04
Full year 2024 earnings: EPS and revenues exceed analyst expectations Full year 2024 results: EPS: S$0.037 (up from S$0.004 loss in FY 2023). Revenue: S$380.4m (down 21% from FY 2023). Net income: S$11.4m (up S$12.7m from FY 2023). Profit margin: 3.0% (up from net loss in FY 2023). The move to profitability was driven by lower expenses. Revenue exceeded analyst estimates by 4.4%. Earnings per share (EPS) also surpassed analyst estimates by 24%. Revenue is forecast to grow 13% p.a. on average during the next 3 years, compared to a 17% growth forecast for the Semiconductor industry in Asia. Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 56 percentage points per year, which is a significant difference in performance. Price Target Changed • Jan 09
Price target decreased by 16% to S$1.32 Down from S$1.57, the current price target is an average from 5 analysts. New target price is 20% below last closing price of S$1.64. Stock is down 51% over the past year. The company is forecast to post earnings per share of S$0.029 next year compared to a net loss per share of S$0.004 last year. Announcement • Jan 03
AEM Holdings Ltd. Appoints Kwek You-Cheer as Chief Financial Officer The Board of Directors of AEM Holdings Ltd, having reviewed and considered the experience and knowledge that Mr. Kwek You-Cheer, age 48, has and believes that he will be able to contribute effectively to AEM. Role And Responsibilities: Executive - overall management of the Group's financial and investor relation matters. Job Title: Chief Financial Officer. Effective January 2, 2025. Mr. Kwek has over 20 years' experience in strategic financial leadership and operations internationally, which positions him well to guide AEM's financial strategy and drive operational efficiency across the Group. Working Experience: 2018 to present Chief Financial Officer, Asia Pacific, Infrastructure Solutions Business and Director, Lenovo Enterprise Solutions (Singapore) Pte Ltd. 2016 to 2018 Chief Financial Officer, Microsoft Hong Kong Limited 2003 to 2016 Schneider Electric: - 2015 to 2016: Director, Finance & Control for Asia Pacific Solutions Execution Center, Schneider Electric Asia Pacific Limited - 2012 to 2015: Chief Financial Officer, Schneider Electric Hong Kong Limited. Other DirectorShips Past: Lenovo Enterprise Solutions (Private) Limited. Other DirectorShips Present: C-Infinity Pte Ltd. Professional Qualifications: Bachelor of Accountancy, Nanyang Technological University - Member of The Institute of Singapore Chartered Accountants. Announcement • Nov 22
AEM Holdings Ltd. Announces Resignation of Oei Jun Long as Joint Company Secretary AEM Holdings Ltd. announced the resignation of Mr. Oei Jun Long as Joint Company Secretary of the Company with effect from 22 November 2024. The Board wishes to take this opportunity to thank Mr. Oei Jun Long for his services to the Company during his term of office. Consequent upon the aforesaid change, Mr. Cho Form Po will remain as the Company Secretary of the Company. Reported Earnings • Aug 19
Second quarter 2024 earnings released: S$0.005 loss per share (vs S$0.013 profit in 2Q 2023) Second quarter 2024 results: S$0.005 loss per share (down from S$0.013 profit in 2Q 2023). Revenue: S$79.4m (down 35% from 2Q 2023). Net loss: S$1.52m (down 137% from profit in 2Q 2023). Revenue is forecast to grow 16% p.a. on average during the next 3 years, compared to a 18% growth forecast for the Semiconductor industry in Asia. Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 33 percentage points per year, which is a significant difference in performance. Price Target Changed • Aug 15
Price target decreased by 12% to S$1.81 Down from S$2.06, the current price target is an average from 6 analysts. New target price is 46% above last closing price of S$1.24. Stock is down 61% over the past year. The company is forecast to post earnings per share of S$0.063 next year compared to a net loss per share of S$0.004 last year. Announcement • Jul 10
AEM Holdings Ltd. Introduces the New Generation of Automated Burn-In Systems for AI and High Performance Compute Chip Testing AEM Holdings Ltd. announced the launch of a new burn-in capability for its high-parallel test platform, AMPS. The new variant, named AMPS-BI, is a high-power, high-throughput, fully automated burn-in system featuring patented advanced multi-zone Intelligent Thermal Control. AMPS-BI is designed to efficiently perform accelerated high voltage stress testing on advanced semiconductor devices such as AI processors and high-performance computing units. High voltage stress testing is critical to ensure the reliability of AI chips and other semiconductor devices. It exposes devices under test to extended periods of operation under stressful conditions to detect potential failures or defects before reaching the end consumer. As AI processors and high-performance compute devices are manufactured with rocess technology nodes and advanced heterogeneous packages with chiplets, the overall cost of test to provide the quality of the final package is increasing significantly. AMPS-BI leverages AEM's decades of experience in automation, thermal management, and application-specific test instruments to offer customers a scalable solution that reduces test times while increasing overall test coverage, delivering a cost-of-test advantage for its users. AEM's AMPS-BI delivers: Fully automated modular system - Capable of simultaneous high voltage stress testing of hundreds of devices in parallel. Patented Multi-zone Intelligent Thermal Control (ITC). Scalable to >2KW per device, with precision control for thermal stability during test. Application-specific test instruments - Optimized for customer requirements to ensure optimal yield. Individual device test control and instrumentation allow for asynchronous operation, pattern changing on the fly, and high system utilization. Support for device-specific change kits and consumables, including burn-in boards and sockets. Support for advanced package formats, scalable beyond 100mm x 100mm package sizes. Upgradable for System Level Test, tri-temperature, and higher throughput. Fully supports JEDEC-based I/O with full Factory 4.0 automation support. Recent Insider Transactions • May 23
Independent Non-Executive Director recently bought S$505k worth of stock On the 20th of May, Andre Andonian bought around 270k shares on-market at roughly S$1.87 per share. This trade did not impact their existing holding. This was the largest purchase by an insider in the last 3 months. Despite this recent purchase, insiders have collectively sold S$1.2m more in shares than they bought in the last 12 months. Price Target Changed • May 11
Price target decreased by 22% to S$2.13 Down from S$2.72, the current price target is an average from 7 analysts. New target price is 8.0% above last closing price of S$1.97. Stock is down 42% over the past year. The company is forecast to post earnings per share of S$0.14 next year compared to a net loss per share of S$0.004 last year. Reported Earnings • Apr 11
Full year 2023 earnings: EPS misses analyst expectations Full year 2023 results: S$0.004 loss per share (down from S$0.41 profit in FY 2022). Revenue: S$481.3m (down 45% from FY 2022). Net loss: S$1.24m (down 101% from profit in FY 2022). Revenue was in line with analyst estimates. Earnings per share (EPS) missed analyst estimates. Revenue is forecast to grow 12% p.a. on average during the next 3 years, compared to a 17% growth forecast for the Semiconductor industry in Asia. Over the last 3 years on average, earnings per share has fallen by 30% per year but the company’s share price has only fallen by 15% per year, which means it has not declined as severely as earnings. Announcement • Apr 08
AEM Holdings Ltd., Annual General Meeting, Apr 24, 2024 AEM Holdings Ltd., Annual General Meeting, Apr 24, 2024, at 15:00 Singapore Standard Time. Location: he SingPost Auditorium, Singapore Post Centre, 10 Eunos Road 8 #05-30, Singapore 408600 Singapore Singapore Agenda: To receive and adopt the Directors' Statement and Audited Financial Statements for the financial year ended 31 December 2023 with the Auditors' Report thereon; to re-elect the following Director retiring pursuant to the Company's Constitution Mr. Chok Yean Hung; To re-elect the following Director retiring pursuant to the Company's Constitution Mr. Loh Kin Wah; To re-elect the following Director retiring pursuant to the Company's Constitution Mr. Tham Min Yew; To approve the Directors' fees for the financial year ending 31 December 2024, payable quarterly in arrears; To re-appoint KPMG LLP as the Auditors for the ensuing year and to authorise the Directors to fix their remuneration; To consider Proposed General Share Issue Mandate. Announcement • Mar 28
AEM Holdings Ltd. Approves the Promotion of Chua Tat Ming to Chief Operating Officer The Board of Directors of AEM Holdings Ltd. has approved the promotion of Mr. Chua Tat Ming ("Mr. Chua") to Chief Operating Officer ("COO"). Based on his qualifications and work experience, and his past contributions to the Group, the Board is satisfied that he possesses the requisite experience and capabilities to perform the responsibilities of his appointment. Mr. Chua is currently the Senior Vice President, Global Engineering and Operations of the company. Role And Responsibilities: Executive, responsible for the Company's Operations, Engineering and FSE functions. Working Experience: November 2023 - Present: Senior Vice President, Global Engineering and Operations, AEM Holdings Ltd. - November 2022 - October 2023: Senior Vice President, Global Engineering, AEM Holdings Ltd. - November 2017 - October 2022: Vice President, Engineering, AEM Holdings Ltd. - March 2016 - October 2017: Consultant for NOMADD Desert Solar Solutions Pte. Ltd. - April 2014 - February 2016: Vice President R&D, Hi-P Electronics Pte Ltd. - March 2010 - April 2014: Vice President Process Development, Hi-P International Ltd. Other Director Ships Present: AEM TesTech Shanghai Co. Ltd. Professional Qualifications: Master of Science, Industrial and System Engineering, National University of Singapore (1990) - Bachelor of Engineering (Honours), Mechanical and Production Engineering, Nanyang Technological University, Singapore (1986). Price Target Changed • Mar 01
Price target decreased by 13% to S$2.95 Down from S$3.40, the current price target is an average from 6 analysts. New target price is 32% above last closing price of S$2.24. Stock is down 19% over the past year. The company is forecast to post earnings per share of S$0.24 next year compared to a net loss per share of S$0.004 last year. Reported Earnings • Feb 29
Full year 2023 earnings released: S$0.004 loss per share (vs S$0.41 profit in FY 2022) Full year 2023 results: S$0.004 loss per share (down from S$0.41 profit in FY 2022). Revenue: S$481.3m (down 45% from FY 2022). Net loss: S$1.24m (down 101% from profit in FY 2022). Revenue is forecast to grow 18% p.a. on average during the next 2 years, compared to a 17% growth forecast for the Semiconductor industry in Asia. Over the last 3 years on average, earnings per share has fallen by 30% per year but the company’s share price has only fallen by 18% per year, which means it has not declined as severely as earnings. Announcement • Feb 29
An undisclosed buyer completed the acquisition of AEM Microtronics (Suzhou) Co., Ltd from AEM Holdings Ltd. (SGX:AWX) for CNY 5.5 million. An undisclosed buyer entered into a share purchase agreement to acquire AEM Microtronics (Suzhou) Co., Ltd from AEM Holdings Ltd. (SGX:AWX) for CNY 5.5 million on April 28, 2023. As part of the acquisition, AEM Holdings Ltd sold 100% interest in AEM Microtronics. The consideration was arrived at on an arm’s length willing-buyer and willing-seller basis. As of July 31, 2023, AEM Microtronics reported a net asset value of CNY 3.7 million.An undisclosed buyer completed the acquisition of AEM Microtronics (Suzhou) Co., Ltd from AEM Holdings Ltd. (SGX:AWX) on August 21, 2023. Price Target Changed • Jan 17
Price target decreased by 7.6% to S$3.40 Down from S$3.68, the current price target is an average from 7 analysts. New target price is 10% above last closing price of S$3.09. Stock is down 6.4% over the past year. The company is forecast to post a net loss per share of S$0.015 compared to earnings per share of S$0.41 last year. Major Estimate Revision • Jan 17
Consensus EPS estimates increase by 14% The consensus outlook for fiscal year 2023 has been updated. 2023 EPS estimate increased from S$0.038 to S$0.044. Revenue forecast steady at S$482.9m. Net income forecast to grow 265% next year vs 33% growth forecast for Semiconductor industry in Singapore. Consensus price target down from S$3.68 to S$3.40. Share price fell 9.1% to S$3.09 over the past week. Announcement • Jan 15
AEM Holdings Ltd. to Report Fiscal Year 2023 Results on Feb 29, 2024 AEM Holdings Ltd. announced that they will report fiscal year 2023 results on Feb 29, 2024 Major Estimate Revision • Nov 16
Consensus EPS estimates fall by 11% The consensus outlook for fiscal year 2023 has been updated. 2023 EPS estimate fell from S$0.042 to S$0.037 per share. Revenue forecast steady at S$486.6m. Net income forecast to grow 288% next year vs 32% growth forecast for Semiconductor industry in Singapore. Consensus price target broadly unchanged at S$3.70. Share price fell 6.9% to S$3.26 over the past week. Reported Earnings • Nov 10
Third quarter 2023 earnings released: S$0.052 loss per share (vs S$0.10 profit in 3Q 2022) Third quarter 2023 results: S$0.052 loss per share (down from S$0.10 profit in 3Q 2022). Revenue: S$111.7m (down 46% from 3Q 2022). Net loss: S$16.1m (down 150% from profit in 3Q 2022). Revenue is forecast to grow 21% p.a. on average during the next 3 years, compared to a 18% growth forecast for the Semiconductor industry in Asia. Over the last 3 years on average, earnings per share has fallen by 13% per year but the company’s share price has only fallen by 1% per year, which means it has not declined as severely as earnings. Announcement • Oct 17
Aem Holdings Ltd. Announces Resignation of Juha Matias Arola as Chief Operating Officer,Effective from November 18, 2023 AEM Holdings Ltd. announced resignation of Juha Matias Arola as Chief Operating Officer, effective from November 18, 2023. Role And Responsibilities were Day to Day manufacturing operations of AEM. Reason For Cessation is to pursue other career opportunities. Major Estimate Revision • Aug 18
Consensus revenue estimates fall by 16% The consensus outlook for revenues in fiscal year 2023 has deteriorated. 2023 revenue forecast decreased from S$572.9m to S$483.0m. EPS estimate fell from S$0.22 to S$0.072 per share. Net income forecast to shrink 23% next year vs 26% growth forecast for Semiconductor industry in Singapore . Consensus price target down from S$3.93 to S$3.58. Share price fell 6.4% to S$3.20 over the past week. Price Target Changed • Aug 15
Price target decreased by 11% to S$3.58 Down from S$4.01, the current price target is an average from 7 analysts. New target price is 11% above last closing price of S$3.24. Stock is down 28% over the past year. The company is forecast to post earnings per share of S$0.072 for next year compared to S$0.41 last year. Price Target Changed • Aug 15
Price target decreased by 11% to S$3.58 Down from S$4.01, the current price target is an average from 7 analysts. New target price is 11% above last closing price of S$3.24. Stock is down 28% over the past year. The company is forecast to post earnings per share of S$0.072 for next year compared to S$0.41 last year. New Risk • Aug 13
New major risk - Earnings quality The company has a high level of non-cash earnings. Accrual ratio: 33% This is considered a major risk. Non-cash earnings can arise from many different things. However, if a company consistently has a high level of non-cash earnings, it may be a sign that they are recognizing revenue from customers before the full value of the sales are received as cash or they are not depreciating the value of their assets appropriately. These are practices that inflate earnings, while not providing a similar increase to cash flows. Companies in some select industries naturally have a high level of non-cash earnings and it is not a major concern. However, in the worst case scenario it can be an early sign of performance manipulation by management. Currently, the following risks have been identified for the company: Major Risk High level of non-cash earnings (33% accrual ratio). Minor Risks Profit margins are more than 30% lower than last year (11% net profit margin). Significant insider selling over the past 3 months (S$2.2m sold). Reported Earnings • Aug 12
Second quarter 2023 earnings released: EPS: S$0.013 (vs S$0.14 in 2Q 2022) Second quarter 2023 results: EPS: S$0.013 (down from S$0.14 in 2Q 2022). Revenue: S$122.6m (down 56% from 2Q 2022). Net income: S$4.10m (down 90% from 2Q 2022). Profit margin: 3.3% (down from 15% in 2Q 2022). The decrease in margin was driven by lower revenue. Revenue is forecast to grow 14% p.a. on average during the next 3 years, compared to a 16% growth forecast for the Semiconductor industry in Asia. Over the last 3 years on average, earnings per share has increased by 2% per year but the company’s share price has fallen by 5% per year, which means it is significantly lagging earnings. Announcement • Aug 12
AEM Holdings Ltd. Revises Revenue Guidance for the Fiscal Year 2023 AEM Holdings Ltd. revised revenue guidance for the fiscal year 2023. For the year, the company expects revenue from a target of SGD 500 million to a range between SGD 460 million to SGD 490 million on the back of reduced test capital equipment utilisation levels across the industry and delays in current customer device release schedules. Announcement • Aug 01
AEM Holdings Ltd. to Report First Half, 2023 Results on Aug 11, 2023 AEM Holdings Ltd. announced that they will report first half, 2023 results on Aug 11, 2023 Announcement • Jul 28
AEM Holdings Ltd. Provides Update on the Settlement of Arbitration Proceedings The Board of Directors of AEM Holdings Ltd. (Company) refers to the company's announcement dated 24 February 2022 in relation to a confidential arbitration (Arbitration). Unless otherwise defined in this announcement, terms used herein shall have the same meaning as those defined in the announcement dated 24 February 2022. The parties to the Arbitration have reached a settlement of all matters disputed in the Arbitration (Settlement) and the arbitrator has entered an arbitral award dated 27 July 2023 in accordance with the terms of the Settlement. The complainants to the Arbitration are Advantest America Inc. and Advantest Test Solutions Inc., and the respondents to the Arbitration are Samer Kabbani, Lattice Innovation Inc., Wavem US Inc. (a subsidiary of the Company) and the Company. Samer Kabbani founded Lattice Innovation Inc. and is a former employee of Advantest Test Solutions Inc. Lattice Innovation Inc. was acquired by Wavem US Inc. in December 2020, while Samer Kabbani is currently the President of AEM International (US) Ltd. and the Chief Technology Officer of the Company. AEM has decided on the Settlement to resolve this matter, and focus on its Test 2.0 initiatives underway with existing and new customers that underpin its growth strategy. The terms of the Settlement include that the respondents to the Arbitration pay to the complainants: (i) A first payment of USD 9,000,000.00, expected to be made in the third quarter of 2023; and (ii) A second payment of USD 11,000,000.00 expected to be made in the third quarter of 2024. These payments will be borne by the Company using internal resources. The Settlement is final and was reached without any findings or admissions as to breach or liability; there will be no other payments made to the complainants in the future relating to this matter. The Settlement will have minimal impact on AEM's operations, its business strategy or its product offerings. The terms of the Settlement reaffirm the parties' prior understanding that the complainants own the specific work product for the 5037 Active Thermal Interposers, and any intellectual property created therein by certain respondents for the complainants. Further, parties reserve all rights to their other respective intellectual property. Buying Opportunity • Jun 21
Now 21% undervalued Over the last 90 days, the stock is up 29%. The fair value is estimated to be S$4.66, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 28% over the last 3 years. Earnings per share has grown by 11%. Revenue is forecast to grow by 2.4% in 2 years. Earnings is forecast to grow by 8.9% in the next 2 years. Recent Insider Transactions • May 31
Lead Independent Non-Executive Director recently sold S$1.1m worth of stock On the 26th of May, Ban Leng Toh sold around 300k shares on-market at roughly S$3.52 per share. This transaction amounted to 2.9% of their direct individual holding at the time of the trade. In the last 3 months, they made an even bigger sale worth S$1.2m. Insiders have been net sellers, collectively disposing of S$3.4m more than they bought in the last 12 months. Valuation Update With 7 Day Price Move • May 30
Investor sentiment improves as stock rises 15% After last week's 15% share price gain to S$3.64, the stock trades at a forward P/E ratio of 13x. Average forward P/E is 21x in the Semiconductor industry in Asia. Total returns to shareholders of 24% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at S$4.62 per share. Recent Insider Transactions • May 18
Lead Independent Non-Executive Director recently sold S$1.2m worth of stock On the 12th of May, Ban Leng Toh sold around 366k shares on-market at roughly S$3.36 per share. This transaction amounted to 3.3% of their direct individual holding at the time of the trade. This was the largest sale by an insider in the last 3 months. Insiders have been net sellers, collectively disposing of S$1.7m more than they bought in the last 12 months. Reported Earnings • May 12
First quarter 2023 earnings released First quarter 2023 results: Revenue: S$152.7m (down 42% from 1Q 2022). Net income: S$15.6m (down 62% from 1Q 2022). Profit margin: 10% (down from 16% in 1Q 2022). The decrease in margin was driven by lower revenue. Revenue is forecast to grow 13% p.a. on average during the next 3 years, compared to a 17% growth forecast for the Semiconductor industry in Asia. Over the last 3 years on average, earnings per share has increased by 15% per year but the company’s share price has only increased by 3% per year, which means it is significantly lagging earnings growth. Upcoming Dividend • May 09
Upcoming dividend of S$0.036 per share at 3.0% yield Eligible shareholders must have bought the stock before 16 May 2023. Payment date: 31 May 2023. Payout ratio is a comfortable 25% but the company is not cash flow positive. Trailing yield: 3.0%. Lower than top quartile of Singaporean dividend payers (6.5%). Lower than average of industry peers (4.3%). Reported Earnings • Apr 11
Full year 2022 earnings: Revenues exceed analysts expectations while EPS lags behind Full year 2022 results: EPS: S$0.41 (up from S$0.32 in FY 2021). Revenue: S$870.5m (up 54% from FY 2021). Net income: S$126.8m (up 38% from FY 2021). Profit margin: 15% (down from 16% in FY 2021). The decrease in margin was driven by higher expenses. Revenue exceeded analyst estimates by 4.1%. Earnings per share (EPS) missed analyst estimates by 4.7%. Revenue is forecast to stay flat during the next 3 years compared to a 16% growth forecast for the Semiconductor industry in Asia. Over the last 3 years on average, earnings per share has increased by 19% per year whereas the company’s share price has increased by 18% per year. Valuation Update With 7 Day Price Move • Mar 03
Investor sentiment deteriorates as stock falls 18% After last week's 18% share price decline to S$2.78, the stock trades at a forward P/E ratio of 10x. Average forward P/E is 20x in the Semiconductor industry in Asia. Total returns to shareholders of 46% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at S$2.38 per share. Price Target Changed • Feb 26
Price target decreased by 7.7% to S$3.95 Down from S$4.27, the current price target is an average from 7 analysts. New target price is 17% above last closing price of S$3.38. Stock is down 20% over the past year. The company is forecast to post earnings per share of S$0.43 for next year compared to S$0.32 last year. Reported Earnings • Feb 25
Full year 2022 earnings: Revenues exceed analysts expectations while EPS lags behind Full year 2022 results: EPS: S$0.41 (up from S$0.32 in FY 2021). Revenue: S$870.5m (up 54% from FY 2021). Net income: S$126.8m (up 38% from FY 2021). Profit margin: 15% (down from 16% in FY 2021). The decrease in margin was driven by higher expenses. Revenue exceeded analyst estimates by 4.1%. Earnings per share (EPS) missed analyst estimates by 4.7%. Revenue is expected to decline by 2.3% p.a. on average during the next 2 years, while revenues in the Semiconductor industry in Asia are expected to grow by 14%. Over the last 3 years on average, earnings per share has increased by 19% per year whereas the company’s share price has increased by 17% per year. Reported Earnings • Nov 07
Third quarter 2022 earnings released Third quarter 2022 results: EPS: S$0.10. Revenue: S$206.1m (up 41% from 3Q 2021). Net income: S$32.2m (up 38% from 3Q 2021). Profit margin: 16% (in line with 3Q 2021). Revenue is forecast to grow 4.8% p.a. on average during the next 3 years, compared to a 17% growth forecast for the Semiconductor industry in Asia. Over the last 3 years on average, earnings per share has increased by 26% per year whereas the company’s share price has increased by 25% per year. Announcement • Oct 21
AEM Holdings Ltd. to Report Q3, 2022 Results on Nov 04, 2022 AEM Holdings Ltd. announced that they will report Q3, 2022 results on Nov 04, 2022 Announcement • Oct 15
AEM Holdings Ltd. Revises Revenue Guidance for the Full Year Ending 31 December 2022 The board of directors of AEM Holdings Ltd. announced that based on the current business outlook, the Group has revised its FY2022 revenue guidance upwards to between SGD 820 million and SGD 850 million. The revised revenue guidance is a result of increased demand from new and existing customers. Price Target Changed • Oct 15
Price target decreased to S$5.24 Down from S$6.02, the current price target is an average from 7 analysts. New target price is 65% above last closing price of S$3.18. Stock is down 22% over the past year. The company is forecast to post earnings per share of S$0.39 for next year compared to S$0.32 last year. Price Target Changed • Oct 13
Price target decreased to S$5.64 Down from S$6.21, the current price target is an average from 7 analysts. New target price is 73% above last closing price of S$3.25. Stock is down 20% over the past year. The company is forecast to post earnings per share of S$0.39 for next year compared to S$0.32 last year. Valuation Update With 7 Day Price Move • Oct 13
Investor sentiment deteriorated over the past week After last week's 21% share price decline to S$3.25, the stock trades at a forward P/E ratio of 8x. Average forward P/E is 14x in the Semiconductor industry in Asia. Total returns to shareholders of 176% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at S$5.90 per share. 