Venture (V03) AI Stock Analysis

• Market Cap: $4.14B
• Dividend Yield: 6.18%
• Average Volume (3M): 720.87K
• Price to Earnings (P/E): 17.7
• Beta (1Y): 0.82
• Revenue Growth: -7.55%
• EPS Growth: -7.10%
• Country: SG
• Employees: 9,987
• Sector: Technology
• Sector Strength: 88
• Industry: Hardware, Equipment & Parts
• EPS (TTM): 0.39
• Shares Outstanding: 289,121,200
• 10 Day Avg. Volume: 805,610
• 30 Day Avg. Volume: 720,873
• PEG Ratio: -1.81
• Price to Book (P/B): 1.32
• Price to Sales (P/S): 1.39
• P/FCF Ratio: 8.18
• Enterprise Value/Market Cap: 0.50
• Enterprise Value/Revenue: 0.79
• Enterprise Value/Gross Profit: 2.94
• Enterprise Value/Ebitda: 6.34
• 1Y Price Target: $12.96
• Price Target Upside: -11.02% Downside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 6

• Rating: 76 Outperform
• Price Target: S$16.50 ▲(13.25% Upside)

The overall stock score is driven primarily by strong financial performance, particularly in cash flow and balance sheet strength, despite some concerns over declining profit margins. Technical analysis supports a positive outlook with bullish momentum, while valuation metrics indicate a fair price with an attractive dividend yield. The absence of earnings call and corporate events data did not impact the score.

Positive Factors

Strong Cash Flow

Strong cash flow performance supports ongoing operations and potential investments, highlighting effective cash management and operational efficiency.

Low Financial Leverage

Low financial leverage provides financial stability and flexibility, reducing risk and allowing for strategic investments without heavy debt burdens.

High Equity Ratio

A high equity ratio indicates strong financial health, providing a buffer against market volatility and supporting long-term sustainability.

Negative Factors

Declining Profit Margins

Declining profit margins can impact long-term profitability and competitiveness, indicating potential challenges in cost management or pricing power.

Inconsistent Revenue Growth

Inconsistent revenue growth suggests difficulties in market expansion or competitive pressures, which could hinder long-term business growth and market position.

Decreasing EBITDA Margin

A decreasing EBITDA margin reflects reduced operational efficiency and profitability, potentially affecting the company's ability to invest in growth opportunities.

Venture Business Overview & Revenue Model

Company Description

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, as well as engages in repair of engineering and scientific instruments. The company is also involved in the provision of engineering, customization, logistics, and repair services; information system development and support services; design solutions and services; administrative and technical, and management services; and manufacturing, product design and development, engineering, and supply-chain management services. In addition, it engages in the manufacturing, fabricating, and dealing of precision plastic tools, components and sub-assemblies; design, customization, and marketing of tool-making and precision engineering solutions; manufacture of plastic injection molds and moldings with secondary processes and subassembly; manufacture of high technology products; and import and export of electronic parts, components, equipment, devices, and instruments. Further, the company wholesales computer hardware and peripheral equipment; manufactures and repairs engineering and scientific instruments; and manufactures and sells data and telecommunications products in industrial electronics industries. Additionally, the company manages portfolio of approximately 5,000 products and solutions. Venture Corporation Limited was incorporated in 1984 and is headquartered in Singapore.

How the Company Makes Money

Venture (V03) generates revenue primarily through a subscription-based model for its software services, allowing clients to access its platforms on a recurring basis. Additionally, the company earns money through one-time licensing fees for its customizable software solutions, as well as offering consulting services that help businesses implement and optimize their use of the technology. Key partnerships with industry leaders enhance its market reach and provide opportunities for joint ventures, further contributing to its revenue growth.

Venture Financial Statement Overview

Summary

Venture exhibits a solid financial foundation with strong cash flow and balance sheet metrics. However, the income statement highlights concerns with declining profit margins and inconsistent revenue growth, suggesting potential competitive and market challenges. The company's low leverage and high equity ratio provide financial stability, while efficient cash management supports operational resilience.

Income Statement

The income statement reveals a mixed trend. The gross profit margin for the latest year is approximately 26.0%, a solid indication of effective cost management. However, the net profit margin has decreased from 8.9% in 2022 to 8.3% in 2023, suggesting reduced profitability. Revenue growth has been inconsistent, with a decline in recent years, indicating potential challenges in market expansion or competition pressures. The EBIT margin is unavailable for the latest year, but past data suggests decreasing profitability. The EBITDA margin shows a decrease from 10.4% in 2022 to 9.3% in 2023, further indicating declining profitability.

Balance Sheet

The balance sheet is relatively strong with a low debt-to-equity ratio of approximately 0.01, indicating low financial leverage. Return on Equity (ROE) has decreased from 9.7% in 2022 to 8.5% in 2023, reflecting reduced profit generation relative to equity. The equity ratio is robust at approximately 77.9%, highlighting financial stability and significant asset backing. Overall, the company maintains a strong balance sheet position with minimal debt and a high equity base.

Cash Flow

The cash flow statement shows positive free cash flow growth, indicating effective cash management and operational efficiency. The operating cash flow to net income ratio is strong at 1.78, suggesting efficient cash generation relative to earnings. However, the free cash flow to net income ratio shows a slight decline to 1.72, though it remains robust. Overall, the company demonstrates strong cash flow performance, supporting ongoing operations and potential investments.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	2.61B	2.74B	3.03B	3.86B	3.11B	3.01B
Gross Profit	701.00M	711.15M	770.01M	939.03M	808.77M	792.35M
EBITDA	325.40M	340.25M	362.97M	481.94M	396.69M	384.94M
Net Income	234.36M	245.03M	270.02M	369.62M	312.05M	297.32M
Balance Sheet
Total Assets	3.53B	3.70B	3.55B	3.75B	3.64B	3.24B
Cash, Cash Equivalents and Short-Term Investments	1.26B	1.32B	1.06B	812.59M	807.93M	928.74M
Total Debt	24.74M	30.25M	27.53M	24.29M	13.53M	20.95M
Total Liabilities	789.69M	805.62M	716.93M	908.51M	915.81M	650.44M
Stockholders Equity	2.74B	2.89B	2.83B	2.84B	2.72B	2.59B
Cash Flow
Free Cash Flow	343.12M	465.74M	473.89M	235.49M	90.47M	425.10M
Operating Cash Flow	361.96M	482.51M	521.42M	269.08M	101.83M	453.15M
Investing Cash Flow	-7.62M	10.49M	-22.64M	-24.88M	-2.09M	-19.89M
Financing Cash Flow	-259.55M	-248.95M	-236.47M	-226.73M	-225.72M	-214.25M

Venture Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 14.57
• 50DMA: Positive
• 100DMA: Positive
• 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:V03, the sentiment is Positive. The current price of 14.57 is above the 20-day moving average (MA) of 14.24, above the 50-day MA of 13.69, and above the 200-day MA of 12.01, indicating a bullish trend. The MACD of 0.23 indicates Positive momentum. The RSI at 57.39 is Neutral, neither overbought nor oversold. The STOCH value of 56.67 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SG:V03.

Venture Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
V03	76 Outperform	$4.14B	17.69	8.32%	6.18%	-7.55%	-7.10%
8AZ	68 Neutral	S$490.09M	12.26	12.72%	16.54%	-50.75%	-61.46%
E28	68 Neutral	S$602.20M	15.48	9.11%	1.74%	11.57%	0.89%
AWX	65 Neutral	S$535.87M	39.31	2.87%	―	4.60%	―
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
MZH	54 Neutral	S$423.62M	32.50	3.50%	0.96%	22.66%	83.49%

Venture Corporate Events

Venture Corporation Appoints New Independent Non-Executive Director

Venture Corporation Limited has announced the appointment of Ms Luo Dan as an Independent Non-Executive Director, effective from October 1, 2025. This addition to the board is part of the company’s ongoing efforts to strengthen its governance and strategic oversight, potentially enhancing its market positioning and stakeholder confidence.

The most recent analyst rating on (SG:V03) stock is a Hold with a S$13.60 price target. To see the full list of analyst forecasts on Venture stock, see the SG:V03 Stock Forecast page.

Venture Corporation Reports Stable Profit Amid Revenue Dip

Venture Corporation Limited is a global provider of technology solutions, products, and services, primarily operating in the electronics industry. The company is listed on the Singapore Exchange and is known for its innovative R&D capabilities and operational efficiency.