Broker: CGS International
Date of Report: May 19, 2026
Excerpt from CGS International report.
Report Summary
- Stock Focus: Frencken Group Ltd (FRKN SP)
- Action: Upgraded from Hold to Add
- Target Price: S\$3.25 (previous TP: S\$2.09)
- Current Price: S\$2.81
- Key Idea: Upgrade driven by expected recovery in semiconductor segment, especially in higher-margin Asia operations. Management guides for stronger FY27-28 outlook, targeting S\$1bn revenue for FY27. EPS CAGR projected at 12.6% over FY25-28, with potential for higher earnings if semiconductor demand outperforms.
- Implications: Investors should consider adding Frencken on expectations of improved revenue and net profit in 2H26 and beyond. Main catalysts include faster semiconductor recovery and better cost controls. Risks include further cost escalation and weakening demand for the semiconductor segment.
above is an excerpt from a report by CGS International. Clients of CGS International can be the first to access the full report from the CGS International website : https://www.cgs-cimb.com
