TransCore

ST Engineering: Highly leveraged balance sheet requires regular CapEx investments. Annual net income is insufficient to cover both CapEx and dividend payouts. STE has negative tangible book value following the disastrous $3.6B TransCore acquisition. $1.7B goodwill impairment estimated due to miserable EBIT performance and higher interest rates post-acquisition (SGX: S63)

Jun 26, 2025

SR_opinions

SGX, Singapore, ST Engineering, TransCore

By viewing material on this website you agree to the Terms. Use of Sakura Research materials is at your own risk.THIS RESEARCH EXPRESSES SOLELY OUR OPINIONS. ST Engineering Group (STE, S63.SI) – Bear Case by Sakura ResearchSTE Group (SGX: S63) Share Price: S$7.91Market Cap: ≈S$24.7B (≈US$19B)Public/free float: 48.54%Singapore’s Temasek Fund: 51.02% ownershipAverage volume (3-month): 7.65M…