CEO’s share purchase sends S’pore stock to 10-year high
SINGAPORE: Singapore’s Venture Corp received a boost from its chief executive officer Wong Ngit Liong yesterday – the stock soared as his S$6.1mil purchase of 400,000 shares inspired the market to follow suit.
Shares of the electronics service provider rose as much as 10% yesterday to its highest level since October 2007. This is the second time Wong has purchased shares in recent months. He bought 166,300 shares for S$2.08mil in July, ahead of Venture’s second-quarter results which recorded a 61% increase in net income.
“The buying sends a good positive signal, and the market is speculating that maybe third-quarter results could even be better than the second-quarter results, which means that the street consensus is too low,” Jarick Seet, head of small and mid-cap research at RHB Research Institute Singapore Pte said by phone.
Yesterday’s rally has pushed Venture’s advance this year to almost 70% and all seven analysts surveyed by Bloomberg rate the stock a buy. — Bloomberg