Billionaire stocks register 7.5% gain

Real estate, industrial sectors dominate.

Singapore’s 102 primary-listed stocks with over $1 billion in market capitalization have averaged a 7.5% gain in the 2017 year-to-date (YTD), taking their average 12-month return to 15.4%, a report from MySGX Gateway revealed

The report noted that business returns of the stocks also tracked the average return on equity (ROE) for the past 12 months and five years, reaching 11.7%. There were 86 gainers and 16 decliners, and the average of 7.5% total return for the year thus far is higher than the 2.7% for the same threshold size of stocks in Indonesia, Thailand, and Malaysia.

Real Estate and Industrial stocks dominated performance leaders, with five of the ten best performers coming from Real Estate and four from Industrial. Together, the 10 best-performing stocks averaged a 27.5% total return. The strongest performers for the past 12 months were GSH Corp, China Aviation Oil Singapore, and Japfa.

The least performing stocks, meanwhile, averaged a -6.4% decline in total return, representing either the Consumer Staples or Consumer Discretionary sectors.

Valuations have also been consistent with P/B ratios at 1.9x for the past 12 months, in addition to the past five years. The average P/E ratio of the billionaire stocks is currently at 23.3x, higher than the five-year average of 20.3x. The 102 stocks average an indicative dividend yield of 3.6%.