SIA Engineering price target cut to $3.50 by Maybank Kim Eng

Stock Name: SIA Engineering
Company Name: SIA ENGINEERING CO LTD

Research House: Maybank Kim Eng

Price Call: SELL

Target Price: 3.50

SINGAPORE (Nov 5): Maybank Kim Eng has cut its price target for SIA Engineering to $3.50 from $4.20 after lowering its FY2015 to FY2017 earnings per share estimates by 22% to 25%, citing concerns over its earnings outlook.

The company's September quarter earnings fell 40% y-o-y to $42 million on lower revenue, reduced contributions from associates and joint ventures, and higher operating expenses.

SIA Engineering cut its interim dividend to six cents a share from seven cents a year earlier.