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V03

VentureSGX:V03 Stock Report

Last Price

S$18.09

Market Cap

S$5.3b

7D

1.4%

1Y

-10.5%

Updated

17 Jan, 2022

Data

Company Financials +
V03 fundamental analysis
Snowflake Score
Valuation2/6
Future Growth1/6
Past Performance3/6
Financial Health6/6
Dividends4/6

V03 Stock Overview

Venture Corporation Limited provides technology solutions, products, and services in Singapore, the Asia Pacific, and internationally.

Venture Competitors

Aztech Global

SGX:8AZ

S$675.5m

Valuetronics Holdings

SGX:BN2

S$235.2m

International Business Machines

NYSE:IBM

US$120.4b

Hon Hai Precision Industry

TWSE:2317

NT$1.4t

Price History & Performance

Summary of all time highs, changes and price drops for Venture
Historical stock prices
Current Share PriceS$18.09
52 Week HighS$20.79
52 Week LowS$17.37
Beta0.73
1 Month Change-1.95%
3 Month Change-7.18%
1 Year Change-10.49%
3 Year Change17.93%
5 Year Change76.14%
Change since IPO6,419.06%

Recent News & Updates

Jan 11
Is Venture Corporation Limited (SGX:V03) Trading At A 42% Discount?

Is Venture Corporation Limited (SGX:V03) Trading At A 42% Discount?

Today we'll do a simple run through of a valuation method used to estimate the attractiveness of Venture Corporation...

Dec 27
We Like These Underlying Return On Capital Trends At Venture (SGX:V03)

We Like These Underlying Return On Capital Trends At Venture (SGX:V03)

If we want to find a potential multi-bagger, often there are underlying trends that can provide clues. In a perfect...

Dec 14
We Think Venture (SGX:V03) Can Manage Its Debt With Ease

We Think Venture (SGX:V03) Can Manage Its Debt With Ease

Legendary fund manager Li Lu (who Charlie Munger backed) once said, 'The biggest investment risk is not the volatility...

Sep 21
Are Investors Undervaluing Venture Corporation Limited (SGX:V03) By 29%?

Are Investors Undervaluing Venture Corporation Limited (SGX:V03) By 29%?

Today we'll do a simple run through of a valuation method used to estimate the attractiveness of Venture Corporation...

Shareholder Returns

V03SG ElectronicSG Market
7D1.4%0.6%1.5%
1Y-10.5%-4.6%4.4%

Return vs Industry: V03 underperformed the SG Electronic industry which returned -4.6% over the past year.

Return vs Market: V03 underperformed the SG Market which returned 4.4% over the past year.

Price Volatility

Is V03's price volatile compared to industry and market?
V03 volatility
V03 Average Weekly Movement2.1%
Electronic Industry Average Movement5.4%
Market Average Movement4.7%
10% most volatile stocks in SG Market13.5%
10% least volatile stocks in SG Market2.1%

Stable Share Price: V03 is less volatile than 75% of SG stocks over the past 3 months, typically moving +/- 2% a week.

Volatility Over Time: V03's weekly volatility (2%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
198412,000Ghai Keen Leehttps://www.venture.com.sg

Venture Corporation Limited provides technology solutions, products, and services in Singapore, the Asia Pacific, and internationally. The company operates through Advanced Manufacturing & Design Solutions, and Technology Products & Design Solutions segments. It engages in the design, manufacture, assemble, installation, and distribution of electronic, and other computer products and peripherals; manufacture and sale of terminal units; development and marketing of color imaging products for label printing; and research and development of biotechnology, life and medical science products.

Venture Fundamentals Summary

How do Venture's earnings and revenue compare to its market cap?
V03 fundamental statistics
Market CapS$5.26b
Earnings (TTM)S$304.03m
Revenue (TTM)S$3.03b

17.3x

P/E Ratio

1.7x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
V03 income statement (TTM)
RevenueS$3.03b
Cost of RevenueS$2.22b
Gross ProfitS$811.16m
ExpensesS$507.13m
EarningsS$304.03m

Last Reported Earnings

Sep 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)1.05
Gross Margin26.76%
Net Profit Margin10.03%
Debt/Equity Ratio0.7%

How did V03 perform over the long term?

See historical performance and comparison

Dividends

4.1%

Current Dividend Yield

72%

Payout Ratio

Valuation

Is Venture undervalued compared to its fair value and its price relative to the market?

41.7%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: V03 (SGD18.09) is trading below our estimate of fair value (SGD31.05)

Significantly Below Fair Value: V03 is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: V03 is poor value based on its PE Ratio (17.3x) compared to the SG Electronic industry average (9.3x).

PE vs Market: V03 is poor value based on its PE Ratio (17.3x) compared to the SG market (13.3x).


Price to Earnings Growth Ratio

PEG Ratio: V03 is poor value based on its PEG Ratio (2.2x)


Price to Book Ratio

PB vs Industry: V03 is overvalued based on its PB Ratio (2x) compared to the SG Electronic industry average (0.9x).


Future Growth

How is Venture forecast to perform in the next 1 to 3 years based on estimates from 13 analysts?

8.0%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: V03's forecast earnings growth (8% per year) is above the savings rate (1.8%).

Earnings vs Market: V03's earnings (8% per year) are forecast to grow slower than the SG market (14.3% per year).

High Growth Earnings: V03's earnings are forecast to grow, but not significantly.

Revenue vs Market: V03's revenue (6.6% per year) is forecast to grow slower than the SG market (7.6% per year).

High Growth Revenue: V03's revenue (6.6% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: V03's Return on Equity is forecast to be low in 3 years time (12.5%).


Past Performance

How has Venture performed over the past 5 years?

5.1%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: V03 has high quality earnings.

Growing Profit Margin: V03's current net profit margins (10%) are higher than last year (9.9%).


Past Earnings Growth Analysis

Earnings Trend: V03's earnings have grown by 5.1% per year over the past 5 years.

Accelerating Growth: V03's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: V03 had negative earnings growth (-1%) over the past year, making it difficult to compare to the Electronic industry average (61.5%).


Return on Equity

High ROE: V03's Return on Equity (11.7%) is considered low.


Financial Health

How is Venture's financial position?


Financial Position Analysis

Short Term Liabilities: V03's short term assets (SGD2.4B) exceed its short term liabilities (SGD714.4M).

Long Term Liabilities: V03's short term assets (SGD2.4B) exceed its long term liabilities (SGD11.5M).


Debt to Equity History and Analysis

Debt Level: V03 has more cash than its total debt.

Reducing Debt: V03's debt to equity ratio has reduced from 4.9% to 0.7% over the past 5 years.

Debt Coverage: V03's debt is well covered by operating cash flow (1828.2%).

Interest Coverage: V03 earns more interest than it pays, so coverage of interest payments is not a concern.


Balance Sheet


Dividend

What is Venture current dividend yield, its reliability and sustainability?

4.15%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: V03's dividend (4.15%) is higher than the bottom 25% of dividend payers in the SG market (2%).

High Dividend: V03's dividend (4.15%) is low compared to the top 25% of dividend payers in the SG market (5.49%).


Stability and Growth of Payments

Stable Dividend: V03's dividend payments have been volatile in the past 10 years.

Growing Dividend: V03's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (71.6%), V03's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: V03's dividends in 3 years are forecast to be covered by earnings (64.5% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

6.0yrs

Average board tenure


CEO

Ghai Keen Lee

no data

Tenure

Mr. Ghai Keen Lee serves as Chief Executive Officer at Venture Corporation Limited and served as its Chief Operating Officer since January 01, 2021 and had been its Executive Vice President of Technology P...


Board Members

Experienced Board: V03's board of directors are considered experienced (6 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: V03 insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Venture Corporation Limited's employee growth, exchange listings and data sources


Key Information

  • Name: Venture Corporation Limited
  • Ticker: V03
  • Exchange: SGX
  • Founded: 1984
  • Industry: Electronic Manufacturing Services
  • Sector: Tech
  • Implied Market Cap: S$5.256b
  • Shares outstanding: 290.55m
  • Website: https://www.venture.com.sg

Number of Employees


Location

  • Venture Corporation Limited
  • 5006 Ang Mo Kio Avenue 5
  • No. 05-01/12 TECHplace II
  • Singapore
  • 569873
  • Singapore

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/01/17 16:14
End of Day Share Price2022/01/17 00:00
Earnings2021/09/30
Annual Earnings2020/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.