UMS Integration's Growth Outlook Remains Upbeat

Dow Jones
08/18

0435 GMT - UMS Integration's growth outlook remains upbeat, says Lee Keng Ling at DBS Group Research in a report. Major production ramp-up and new product introductions for a new client are poised to boost volumes meaningfully. Participation in customers' next-generation advanced packaging programs should also offer additional drivers in the medium- to long-term, the analyst says. There is robust demand for the company's integrated systems from an existing key client. The high-precision components manufacturer is expanding capacity with a third plant in Malaysia's Penang, targeted to commence mass production by end-2027. DBS raises the stock's target price to 3.62 Singapore dollars from S$3.17, with unchanged buy rating. Shares are 2.1% lower at S$2.81.

 

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