Singapore’s Big Loser for the Week: Vard Holdings Ltd

Shares of Vard Holdings Ltd (SGX: MS7) dropped by 10.2% to end this week at S$0.44. With Singapore’s broader market, as represented by the Straits Times Index (SGX: ^STI), going up around 1% during the same period, Vard Holdings is certainly a big loser in the market here for the week.

Vard, which has its headquarters in Norway, is a designer and shipbuilder of offshore and specialised vessels used in the offshore oil and gas exploration and production and oil services industries.

On Thursday, it issued a profit warning. It said that results for the three months to 30 September 2015 and the full year to 31 December 2015 will be considerably affected due to “operational challenges at its Brazilian shipyards. It also pointed to the negative trend in the Brazilian economic and political environment.

The market could find out how badly the firm has performed when it announces its third-quarter results on 11 November 2015.

Meanwhile, the very next day, as if to acknowledge its candidness, the firm announced that it had clinched the Most Transparent Company award at the Securities Investors Association (Singapore) Investors’ Choice Awards. It won the award under the Foreign Listings Category.

Currently, the shipbuilder is trading at around 36 times its historical earnings.

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The information provided is for general information purposes only and is not intended to be personalised investment or financial advice. Motley Fool Singapore contributor Sudhan P doesn’t own shares in any companies mentioned.