“While the semiconductor segment is on an uptrend, other segments should deliver a steady performance. With its diverse exposure to multiple market segments and sound financial position, the group is in a good position to continue riding on the recovery path ahead,” says Ling.
Frencken Group’s earnings for its 2HFY2025 ended Dec 31, 2025 increased by just 1.1% y-o-y, on the back of 2.9% y-o-y increase in revenue, largely in line with expectations. However, prospects of a significant recovery, led by stronger, clearer demand from its semiconductor customers, have led analysts to raise their respective target prices for Frencken.
Ling Lee Keng of DBS Group Research, who has maintained her “buy” call and raised the target price to $2.50 from $1.92, describes the manufacturing services provider as “well positioned to capitalise” on the recovery of the technology sector, supported by its sound balance sheet and diversified portfolio.
