There are more than 100 companies with a market capitalization of over $1 billion listed on the Singapore Exchange (SGX). All 30 stocks listed on Singapore’s Straits Times Index (STI), as well as the five stocks on its reserve list, fall into this group of billionaire stocks.
Given that the STI makes up between 70% to 80% of the Singapore market, it’s unsurprising that the group of billionaire stocks in Singapore has returned 23.1% in the year-to-date. This is very close to the STI’s 24.1% return in the year-to-date.
Of the stocks that are worth over $1 billion in Singapore, as many as 47 of them come from the real estate sector. This is not dissimilar from people who are billionaires in Singapore – with a minimum of 15 of the 30 listed billionaires on Forbes’ list of richest Singaporeans also in the real estate sector.
In this week’s edition of 4 Stocks This Week, we look at four billionaire companies that have performed well in 2017.
#1 Hi-P International (SGX: H17)
With 13 manufacturing plants across China, Poland, Singapore and Thailand, Hi-P International provides a one-stop solution to some of the world’s largest companies manufacturing mobile phones, tablets, household and personal care appliance, computing and peripherals, lifestyle, medical devices and industrial devices.
Currently trading at a share price of $1.74, Hi-P has a market capitalization of over $1.4 billion. In the year-to-date, it has delivered a return of 296.9%. This was on the back of a surge in its profitability, which rose 138.1% to $61.9 million in its 3rd quarter results announcement on 6 November 2017.
#2 Venture Corporation (SGX: V03)
Venture is a leading global electronics services provider. The group has more than 30 companies within Southeast Asia, Northeast Asia, America and Europe employing over 12,000 people worldwide. Its customer base includes over 100 global companies, some of which are Fortune 500 and leading electronics companies.
At a market capitalization of close to $5.9 billion, Venture is the largest information technology (IT) stock listed on the SGX. Currently trading at share price of $20.61, it has delivered a return of close to 116.9% in the year-to-date. This can be attributed to a 44.5% increase in its revenue to $2.9 billion, and an 81.5% increase in its profitability to $229.8 million.
#3 Shangri-La Asia (SGX: S07)
Shangri-La Asia owns and/or operates hotels and resorts across Asia Pacific, Europe, North America and the Middle East, and has new developments in its existing markets as well as in West Africa. Under its umbrella, it owns and/or manages hotels under five brands including Shangri-La Hotels Resorts, Kerry Hotels, Hotel Jen and Traders Hotels brands encompassing close to 80 hotels and over 34,700 rooms.
The group currently trades at $16.60 and has a market capitalization of close to $10.3 billion. In the year-to-date, it has delivered a return of approximately 90.5%. This reflects its improved results in its latest announcement which highlighted a reversal into profit – recording profits of US$61.7 million in its half-year announcements compared to a loss of US$3.7 million in the same period last year.
#4 COSCO Shipping International (Singapore) (SGX: F83)
COSCO Shipping operates one of the largest ship repair, ship building, marine engineering and dry bulk shipping outfits in China and Singapore. This company is the Singapore subsidiary of China COSCO Shipping Corporation, China’s largest shipping group and one of the top shipping conglomerates in the world.
COSCO Shipping is trading at $0.45, which puts its market capitalization at over $1.0 billion. While the marine and shipping industries have not been favoured in recent years, COSCO Shipping has managed to deliver a return of 60.7%. In its latest results release, it delivered stable revenues and saw its losses halve – pointing to a pivot in the business.
Investing In Companies On The SGX
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