ST Engineering shares fall as much as 4.7% after reporting softer Q2 2026 orders
The counter slips to as low as S$9.83 in the first 15 minutes of trading
On Tuesday, Aug 11, shares of Singapore-based defence and engineering firm ST Engineering plunged nearly 5% following a year-over-year decline in second-quarter 2026 order wins. The company disclosed securing S$2.9 billion in new contracts during Q2 2026, marking a significant 38.3% drop from the S$4.7 billion recorded in the same period last year.
The Q2 2026 total comprised S$1.2 billion from commercial aerospace, S$1.2 billion from defence and public security, and S$500 million from urban solutions and satcom, a decrease from the previous quarters' respective figures. The stock plummeted to a low of S$9.83 in the first 15 minutes of trading, a decline of S$0.49, with approximately 2.6 million securities trading hands.
By 9:45 am, the stock had recovered slightly, falling 2.5% or S$0.26 to S$10.06. Citi analyst Luis Hilado attributed the drop to contract completion timing, stating that underlying demand and customer negotiations remained robust. Despite acknowledging near-term risks like labor shortages and inflation, Hilado remained optimistic that ST Engineering's strong contract base could offset these challenges, projecting a target price of S$10.65 for the stock.
Additionally, Singapore's High Court ruled against a trademark infringement lawsuit against unit ST Engineering Aerospace Systems, maintaining that the company's components for Republic of Singapore Air Force aircraft were not counterfeit.
Written by urgent.news from The Business Times - Companies & Markets's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
Also reported by 1 other outlet
- ST Engineering shares fall as much as 4.7% after reporting softer Q2 orders businesstimes.com.sg
