Home Capital Broker's Calls

Disappointing NeraTel gets a downgrade

Benjamin Cher
Benjamin Cher11/10/2016 12:48 PM GMT+08  • 2 min read
Disappointing NeraTel gets a downgrade
SINGAPORE (Nov 10): UOB Kay Hian is downgrading Nera Telecommunications to “sell” with at target price of 58 cents after the group reported a loss in 3Q on falling margins and one-off forex losses.
Font Resizer
Share to WhatsappShare to FacebookShare to LinkedInMore Share
Scroll to top
Follow us on Facebook and join our Telegram channel for the latest updates.

SINGAPORE (Nov 10): UOB Kay Hian is downgrading Nera Telecommunications to “sell” with at target price of 58 cents after the group reported a loss in 3Q on falling margins and one-off forex losses.

In a Thursday report, analyst Edison Chen advises investors not to wait for the special dividend but instead get out of the stock to avoid the uncertainty than wait for the special dividend. That’s because orders have slowed and Chen is concerned about the margins for future projects.

Despite continuing strong demand from the infocomm business with order wins rising 68.6% to $23.6 million, NeraTel‘s telecom business has seen a sharp 63.7% drop in orders to $7.3 million.

For more insights on corporate trends...
Sign In or Create an account to access our premium content.
Subscription Entitlements:
Less than $9 per month
Unlimited access to latest and premium articles
3 Simultaneous logins across all devices
Bonus unlimited access to online articles and virtual newspaper on The Edge Malaysia (single login)
×
Loading next article...
The Edge Singapore
Download The Edge Singapore App
Google playApple store play
Keep updated
Follow our social media
Subscribe to The Edge Singapore
Get credible investing ideas from our in-depth stock analysis, interviews with key executives, corporate movements coverage and their impact on the market.
© 2022 The Edge Publishing Pte Ltd. All rights reserved.
Unlock unlimited access to premium articles with less than $9 per month. Subscribe Now