{
  "id": 8198627,
  "title": "Goldman Sachs initiates coverage on ST Engineering; stock up 5%",
  "url": "https://urgent.news/2026/09/18/goldman-sachs-initiates-coverage-on-st-engineering-stock-up-5",
  "topic": "finance",
  "section": "Finance & Markets",
  "published": "2026-09-18T05:03:33.000Z",
  "source": {
    "name": "The Business Times - Companies & Markets",
    "slug": "the-business-times-companies-markets",
    "url": "https://www.businesstimes.com.sg/companies-markets/goldman-sachs-initiates-coverage-st-engineering-stock-5"
  },
  "original_language": "en",
  "account": "ST Engineering shares jumped 5% on their first day of coverage by Goldman Sachs, which upgraded the stock to a \"buy\" rating with a 12-month target price of S$13.20. The Singapore-based tech, defence, and engineering group's stock had been sliding 8.6% over the past month, reaching as low as S$10.19 on September 17. The \"buy\" rating implies a 29.5% upside from the September 17 closing price, and Goldman Sachs expects a 20% compound annual growth rate (CAGR) in net profit from 2025 to 2029, reaching S$1.7 billion. This growth projection significantly surpasses ST Engineering's long-term guidance of 13% and the Bloomberg consensus forecast of 15%. Goldman Sachs identified three key growth drivers: expanding commercial aerospace capacity, a surge in international defence contracts, and operational cost efficiency. Analysts noted that ST Engineering's asset-light expansion model, leveraging technology transfer, preserves capital and yields higher operating margins. However, Morningstar maintained a \"hold\" rating with a S$11.10 target price, citing lagging domestic defence contract wins and potential operational constraints in passenger-to-freighter conversions.",
  "summary": "Shares of the tech, defence and engineering group are down 8.6% in the past month",
  "key_points": [],
  "editors_take": null,
  "illustration": null,
  "coverage": {
    "outlets": 1,
    "also_reported_by": []
  },
  "ai_generated": true,
  "disclaimer": "Summaries, key points and the editor’s take are written by software from other outlets’ reporting and may contain errors — always check the linked original."
}