Singapore Technologies Engineering Ltd (S63.SI) stock analysis

In our weekly check, Singapore Technologies Engineering Ltd is graded C (A to F). Of 25 checks on debt, profit, cash flow and trend: 16 pass, warnings: 5, red flags: 4.

About Singapore Technologies Engineering Ltd

Singapore Technologies Engineering Ltd is an Industrials company (Aerospace & Defense) based in Singapore, listed on SES as S63.SI.

What our checks show for S63.SI

Red flags

• The net margin fell by 3.7 points over 5 years, to 3.7%: the company keeps less of each sale as profit.
• The net margin is only 3.7%: little room if costs rise.
• The dividend takes 147% of profit: little cushion if profit falls.
• Recovering from its deepest fall took about 4.3 years.

Warning signs

• Net debt is 2.4x a year of EBITDA (debt/equity 1.87). That limits room in a downturn and raises refinancing risk.
• The gross margin fell by 0.8 points, to 18.7%: costs are rising faster than prices.
• Earnings per share fell 4.1% a year over the last 3 years.
• Net profit fell 4.7% a year over the last 3 years.
• The stock has fallen as much as 50% from a peak. Would you have held through that?

Strengths

• Operating cash flow is 3.41x net profit: the profit arrives as real cash.
• Analysts expect earnings per share to grow about 42.5% a year over the next years.
• Analysts expect the net margin to improve by 4.6 points from today's 3.7%.
• A large company: market value $24.89 billion.
• Beta 0.15: the stock usually moves less than the market.
• Actively traded: about 5 million shares a day.

Similar companies

RKLB · AXON · ESLT · BBD-B.TO · LDO.MI · HEI-A

Questions

What grade does Singapore Technologies Engineering Ltd (S63.SI) have?

In our weekly check, Singapore Technologies Engineering Ltd is graded C (A to F). Of 25 checks on debt, profit, cash flow and trend: 16 pass, warnings: 5, red flags: 4. The grade is a risk check, not a buy or sell recommendation.

What are the main risks of S63.SI stock?

This week's biggest flags for Singapore Technologies Engineering Ltd: Margins falling, Thin margins, Dividend stretched. In total 9 of 25 checks show a warning or a red flag.

What does Singapore Technologies Engineering Ltd do?

Singapore Technologies Engineering Ltd is an Industrials company (Aerospace & Defense) based in Singapore, listed on SES as S63.SI.

The grade is a risk check, not a price forecast, and not investment advice. In our 10-year test (S&P 500, 2016-2026), stocks we graded A or B fell more than 30% 2-3 times less often than D or F, without a lower average return.

Updated 2026-10-24

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