The SGX-listed Singapore Technologies Engineering Ltd., or ST Engineering (SG:S63), will go ex-dividend today, providing investors with the last opportunity to acquire these shares and qualify for the next payment. The actual payment of S$0.04 per share will be made on December 1, 2023. The stock offers a dividend yield of 4.07%, surpassing its average industry yield of 1.64%.
Don't Miss our Black Friday Offers:
- Unlock your investing potential with TipRanks Premium - Now At 40% OFF!
- Make smarter investments with weekly expert stock picks from the Smart Investor Newsletter
In terms of share price appreciation, ST Engineering stock has received a Strong Buy rating from analysts.
TipRanks provides users with a diverse set of tools to assist in selecting dividend stocks. Tools such as Top Dividend Stocks, Dividend Calculator, and Dividend Calendar, streamline the process of screening and choosing stocks across various markets. Here we have used the Dividend Calendar tool to pick ST Engineering stock from the Singapore market.
Let’s take a look at the details.
ST Engineering Dividend History
Headquartered in Singapore, ST Engineering is a diversified global conglomerate specializing in technology, defense, and engineering services. The company caters to clients in over 100 countries worldwide.
The company has consistently demonstrated a stable track record of distributing dividends to its shareholders. Since 2017, it has consistently maintained an annual dividend payment of S$0.15 per share. Notably, in 2022, the company raised its annual dividend from S$0.15 to S$0.16, equating to S$0.04 per quarter. Recently, the company declared its third-quarter interim dividend of S$0.04 per share. This has led to a total dividend of S$0.12 so far in 2023, following S$0.04 dividends in both the first and second quarters.
Robust Performance and a Solid Order Book
This month, the company reported its third-quarter update, reflecting a continued recovery in its business portfolio and a solid order book. In Q3, the group posted a 9% jump in its revenue to S$2.4 billion compared to the same period a year ago. For the nine months, the company delivered a 12% growth in its revenues of S$7.3 billion. The growth was driven by its Commercial Aerospace segment, which registered a 30% increase in its revenues.
The company earned new contracts worth S$11.7 billion in the first nine months of the fiscal year 2023, leading to a robust order book currently valued at S$27.5 billion. This not only indicates a promising trajectory for revenue growth but also creates the potential for a dividend increase.
What is the Target Price for ST Engineering?
According to TipRanks, S63 stock has received a Strong Buy rating based on all Buy recommendations from four analysts. The ST Engineering share price forecast is S$4.27, which implies an upside of 10.4% on the current trading levels.
YTD, the shares have gained around 18% in trading.
