Aztech Global Loses Bull on Weaker-Than-Expected Results, Softer Outlook

Dow Jones
07/31

0156 GMT - Aztech Global loses its bull at UOB Kay Hian on weaker-than-expected 2Q results and a softer outlook amid rising competition. While the Singapore internet-of-things device maker's new product introduction pipeline remains intact, the gradual revenue contribution from these projects is unlikely to fully offset the lower order volume from existing customers, says analyst John Cheong in a note. Aztech's operating environment is likely to remain challenging amid ongoing macroeconomic uncertainties, cost pressures and limited visibility on customer demand, he adds. He cuts his 2026-2028 earnings projections by 28%-54%. UOB KH downgrades its rating to hold from buy and trims its target price to 0.73 Singapore dollars from S$1.32.Shares rise 0.7% to S$0.685.

 

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