Singapore Technologies Engineering Ltd (better known as ST Engineering, SGX: S63) is heading into the final stretch of 2025 with a familiar combo that investors can’t resist: a record order book, a sharper dividend story, and a steady drumbeat of wins in smart mobility and urban solutions—even as a high-profile satcom impairment and fresh legal headlines remind the market that conglomerates always come with plot twists.
Here’s what matters for ST Engineering stock as of 26 December 2025, including the latest trading snapshot, the news catalysts shaping sentiment, and where analysts think S63 could go next.
ST Engineering share price today: 26 Dec 2025 trading snapshot
ST Engineering closed 26 Dec 2025 at S$8.370, up 0.24% on the day. The session’s open was S$8.360, with a high of S$8.400, low of S$8.330, and volume of ~656.2K shares. [1]
For context, the last few sessions show a market that’s still willing to bid the stock up on good news (and dividends), but not without occasional pullbacks:
- 24 Dec 2025: S$8.350 (down 1.30%)
- 23 Dec 2025: S$8.460 (up 0.95%)
- 22 Dec 2025: S$8.380 (up 2.44%) [2]
Investing.com’s data also pegs ST Engineering’s 52-week range at roughly S$4.540 to S$9.070, alongside a strong one-year percentage move (as calculated on that platform). [3]
Why ST Engineering stock has stayed strong: “multiple growth engines” and an order book investors can see from space
A key reason S63 has remained one of the market’s standout large caps is that investors increasingly see it as less dependent on any single cycle. In a year-end market review published on 26 Dec 2025, The Edge noted ST Engineering had been among the best-performing Straits Times Index constituents for much of 2025, with optimism tied to its growing order book and diversified drivers beyond headline weapons contracts. [4]
That “visibility” argument is not abstract—it’s backed by company figures.
In its 9M2025 business update (released 12 Nov 2025), ST Engineering reported:
- Group revenue of S$9.1b for 9M2025, +9% y-o-y, driven by performance across all three segments
- S$14.0b in new contracts for 9M2025, taking the order book to a record S$32.6b (end-Sep 2025)
- About S$2.8b of that order book expected to be delivered in the rest of 2025 [5]
That kind of backlog—particularly when paired with recurring work like MRO, systems, and long-term mobility projects—tends to keep institutions interested even when the macro tape gets noisy.
The late-2025 catalyst stack: what’s in the news flow heading into year-end
1) RHB stays bullish: S$9.40 target, “tangible wins” in mobility + urban solutions
On 22 Dec 2025, The Edge reported that RHB Bank Singapore maintained a “buy” call on ST Engineering with a S$9.40 target price. The thrust of the note: ST Engineering is still delivering visible, monetisable wins—especially in smart mobility and urban solutions. [6]
RHB’s cited examples are very “show me the contracts”:
- Australia tolling breakthrough (TransCore): On 2 Dec, ST Engineering’s wholly-owned tolling subsidiary TransCore won its first Australian tolling contract from Transport for NSW for Sydney’s Western Harbour Tunnel, described as Australia’s first “tagless” and video-only tolling system, with project timelines extending into the later part of the decade. [7]
- California express lanes go-live: TransCore also delivered a December go-live for I‑80 express lane tolling in Solano County, its fourth corridor for the Bay Area authority cited by RHB. [8]
- Singapore electric bus orders: On 15 Dec, ST Engineering won two LTA contracts to supply 100 electric single-deck buses (S$35.7m) and 150 electric double-deck buses (S$79m). [9]
RHB also highlighted the record S$32.6b order book as providing multi-year visibility and laid out a forward-looking balance sheet narrative (including expectations for gearing improvement), while flagging risks like margins, delivery timing, aerospace recovery and acquisitions. [10]
2) LTA’s big electric bus push puts ST Engineering in the supply chain
LTA’s own release on 15 Dec 2025 confirmed the award of six contracts for 660 new electric buses (360 single-deck and 300 double-deck). ST Engineering Mobility Services (partnered with CRRC) was among the awarded tenderers. [11]
For equity markets, this matters less because it’s a single contract line item—and more because it reinforces a bigger storyline: ST Engineering is increasingly positioned as a “cities + infrastructure technology” player, not just a defence and aerospace name.
3) UAE SAR satellite win: Digital Systems credibility and export traction
On 24 Nov 2025, The Edge reported ST Engineering had been selected by FADA (the space-focused entity under EDGE Group) to deliver a synthetic aperture radar (SAR) satellite for the UAE’s National SAR Constellation Programme, including associated mission control infrastructure. [12]
Strategically, this is a credibility win in high-end systems—exactly the kind of work that tends to support the “sticky order book” thesis.
4) Contract wins remain broad-based across segments
Stepping back from December’s headlines, ST Engineering’s contract momentum has remained diversified. The Business Times reported that ST Engineering secured S$4.9b of new contracts in 3Q 2025, contributing to S$14b for the nine months ended Sep 30—with awards spanning commercial aerospace MRO, defence and public security, and urban solutions/satcom. [13]
Dividends: the 23-cent headline — and what’s actually locked in versus “pending approval”
Dividends are a major reason S63 keeps popping up in mainstream investor conversations, so it’s worth being precise.
In the 9M2025 business update (12 Nov 2025), ST Engineering stated:
- The board declared a 3Q2025 interim dividend of 4.0 cents, with payment date 5 Dec 2025
- The board will propose a final dividend of 6.0 cents for FY2025 (under the dividend plan announced earlier in 2025)
- It will also propose a special dividend of 5.0 cents, linked to S$594m in cash proceeds from divestments, with the special dividend sized at about one-quarter of those proceeds
- The proposed final + special dividends are subject to shareholder approval at the 2026 AGM, and if approved, FY2025 total dividend would be 23.0 cents per share [14]
The Edge’s market commentary on Temasek-linked dividend dynamics also discussed this enlarged FY2025 payout in the context of Singapore blue chips lifting shareholder returns. [15]
The practical investor takeaway is simple: some of the dividend is already paid (interims), while the final + special are still proposals until the AGM vote—a distinction that matters if you’re modelling yield or timing.
The iDirect impairment: the big headwind that didn’t break the bull case
The awkward part of the 2025 story is the satcom subsidiary iDirect.
A Business Times “Brokers’ Take” piece on 13 Nov 2025 captured the split screen:
- CGS International upgraded ST Engineering to “add” from “hold” and raised its target price to S$9.50 (from S$8.70), arguing the company appears to be progressing toward strategic options for iDirect. [16]
- Morningstar, by contrast, kept a more conservative fair value estimate of S$8.10, viewing the impairment as disappointing but not shocking given competitive pressures in satcom. [17]
- The same BT piece noted the impairment was partly offset by divestment gains (S$258m) and flagged that the impairment should reduce annual depreciation/amortisation by around S$50m, potentially supporting segment profitability later on. [18]
In short: investors can tolerate a non-cash hit when (a) it’s framed as a cleanup/reset, and (b) the rest of the group is still compounding revenue and backlog.
Risks investors are watching: legal exposure, aerospace conversion bottlenecks, and execution
Even fan-favourite blue chips collect risk factors the way airports collect rolling suitcases.
Litigation headline risk (US MRO)
On 12 Dec 2025, The Business Times reported that ST Engineering’s US subsidiary VT San Antonio Aerospace was named among defendants in a wrongful death lawsuit related to a UPS plane crash. ST Engineering said it would not comment on pending litigation and would cooperate with authorities. [19]
Aerospace cycle and conversion constraints
Analyst commentary reported by The Business Times also points to operational realities in the commercial aerospace segment: passenger-to-freighter (PTF) conversion activity can be constrained by aircraft availability, with commentary suggesting tight feedstock conditions could persist for some time, even if engine MRO demand remains strong. [20]
Execution and margin discipline across big projects
RHB’s note explicitly flags risks around aerospace recovery, margins, delivery delays, and acquisitions—the evergreen list for any engineering-heavy conglomerate running long-duration programmes. [21]
Analyst forecasts for ST Engineering stock: targets cluster around the high-8s to mid-9s, but the “why” differs
As of late December 2025, analyst views on ST Engineering cluster into a relatively tight range—bullish, but not euphoric.
Named broker targets in recent coverage:
- RHB: “Buy”, S$9.40 target (reported 22 Dec 2025) [22]
- CGS International: upgraded to “Add”, S$9.50 target (reported 13 Nov 2025) [23]
- Morningstar:S$8.10 fair value (reported 13 Nov 2025) [24]
Consensus-style aggregations (useful for direction, not gospel):
- ValueInvesting.io shows an average 12-month target of S$9.05 (range S$7.35–S$10.50) and a “BUY”-leaning consensus across the analysts it tracks. [25]
- Simply Wall St shows an average 1-year target around S$8.77 (with dispersion up to S$10.50 on the high end in the table it displays). [26]
Why targets differ: some analysts are effectively valuing ST Engineering as a high-quality, cash-generative order-book compounder; others penalise it for satcom uncertainty, conglomerate complexity, or valuation multiples after a strong run.
What could move ST Engineering share price next: the 2026 watchlist
Going into 2026, there are a few “make-or-break” narrative checkpoints that could push S63 higher—or force a re-rating.
1) Converting the record order book into margin-stable earnings
The market likes backlog. The market loves backlog that turns into earnings without unpleasant margin surprises. ST Engineering’s disclosed S$32.6b order book is the anchor here. [27]
2) Dividend follow-through and capital return credibility
The company has laid out a clear FY2025 dividend pathway (including a special dividend tied to divestment proceeds), but investors will continue to watch the repeatability of elevated payouts and the discipline behind special dividends. [28]
3) iDirect strategic outcome
If there’s a clean strategic resolution—sale, restructuring, or a credible turnaround—markets typically reward the removal of a lingering uncertainty discount. If the issue drifts, it can keep a ceiling on valuation. [29]
4) Scaling the “smart mobility” export playbook
TransCore’s Australia win is exactly the sort of “platform” deal that investors extrapolate. More contract wins of similar nature (or evidence of strong unit economics) would likely reinforce the growth narrative. [30]
Bottom line on 26 Dec 2025: ST Engineering remains a “visibility + dividends” story—with real-world execution tests
On 26 December 2025, ST Engineering stock closed at S$8.370, a modest gain on the day but within a broader strong 2025 trend. [31]
The bullish case investors and brokers are leaning on is straightforward:
- Record order book and diversified contract wins across aerospace, defence/public security, and urban solutions [32]
- A clearer and larger dividend storyline—including a proposed special dividend tied to divestment proceeds [33]
- Recent “proof points” in mobility and infrastructure (TransCore Australia, express lanes go-live, LTA electric bus contracts) [34]
And the market’s main checks remain equally clear:
References
1. www.investing.com, 2. www.investing.com, 3. www.investing.com, 4. www.theedgesingapore.com, 5. www.stengg.com, 6. www.theedgesingapore.com, 7. www.theedgesingapore.com, 8. www.theedgesingapore.com, 9. www.theedgesingapore.com, 10. www.theedgesingapore.com, 11. www.lta.gov.sg, 12. www.theedgesingapore.com, 13. www.businesstimes.com.sg, 14. www.stengg.com, 15. www.theedgesingapore.com, 16. www.businesstimes.com.sg, 17. www.businesstimes.com.sg, 18. www.businesstimes.com.sg, 19. www.businesstimes.com.sg, 20. www.businesstimes.com.sg, 21. www.theedgesingapore.com, 22. www.theedgesingapore.com, 23. www.businesstimes.com.sg, 24. www.businesstimes.com.sg, 25. valueinvesting.io, 26. simplywall.st, 27. www.stengg.com, 28. www.stengg.com, 29. www.businesstimes.com.sg, 30. www.theedgesingapore.com, 31. www.investing.com, 32. www.stengg.com, 33. www.stengg.com, 34. www.theedgesingapore.com, 35. www.businesstimes.com.sg, 36. www.businesstimes.com.sg
