In Singapore, there are many companies that we interact with and buy from daily. While many could be global brands (mainly from the US), such as Facebook, Starbucks or Netflix, there are also a host of local Singapore brands too.
Some of these Singapore brands are listed companies on the Singapore Exchange (SGX). That means that we, as investors, can also own a slice of a company that we are buying products from or interact with on a regular basis.
Buying and interacting with the brands that we invest in can also give us a good idea of whether its products are improving or degrading, as well as give us insights into its competitors – especially if we choose to buy from them instead.
With that in mind, here are 5 Singapore companies that you buy products from and why you might also want to buy their stocks.
#1 DBS Group (SGX: D05)
There’s no Singapore brand that’s more identifiable than the country’s largest listed company – by market capitalisation – DBS Group Holdings Ltd (SGX: D05). It is also the largest bank in Singapore and Southeast Asia.
We interact with the bank daily, from using their vast range of credit cards and investment products to housing loans and the everyday savings accounts that we utilise for our salary or paying for daily expenses.
As a result of its scale, it has prospered over the years and its unique digital strategy has enabled it to lower costs and drive growth of its various business units. A few years ago, DBS also acquired Citibank’s retail banking business in Taiwan. That was in addition to the acquisition of Indian bank Lakshmi Vilas Bank, which was completed in 2020.
Today, DBS is eyeing stakes in Malaysian banks to pursue further expansion in the country.
This continued growth via both organic and inorganic routes has enabled DBS to consistently grow its profit and revenue streams. Higher interest rates globally have also helped the bank earn more net interest income (NII).
In the second quarter of 2024, the bank posted a record net profit of S$2.8 billion and also had a very impressive Return on Equity (ROE) of 18.2%. DBS also pays an attractive dividend and based on its current quarterly dividend per share of 54 Singapore cents, DBS shares give investors a 12-month forward dividend yield of 5.5%.
Read Also: DBS (D05); UOB (U11); OCBC (O39): Singapore Banks Dividend Yield And Share Price Performance
#2 Singtel (SGX: Z74)
Among the mobile providers in Singapore, there’s no company that has more subscribers than Singtel. That means we’re very likely to be using their products, including mobile data, broadband, streaming services, on a daily basis.
While the company initially listed its shares all the way back in 1993, it has been a favourite of older investors for its reliability and the regular dividends that it pays shareholders. The company counts more than one million Singaporeans as shareholders – largely thanks to the discounted shares scheme offered to CPF members when Singtel went public.
The company owns stakes in other telco firms around Southeast Asia and in India as well – so we could be using these services while on our travels too. These “associates” now make up a decent chunk of Singtel’s regular profits, while it also has a sizeable Australian operation via its subsidiary, Optus, which is the country’s second-largest telecommunications firm.
In years just before the Covid-19 pandemic, and during it as well, the company’s business suffered but that looks to be turning around now. In Q1 FY2025 (for the three months ending 30 June 2024), Singtel recorded underlying net profit of S$603 million, which was up 9% year-on-year on a constant currency basis.
The company has also managed to bring its dividend back closer to the levels it was paying out pre-pandemic. Currently, Singtel shares give investors a 12-month trailing dividend yield of 4.7%.
Read Also: Why Do Older Singaporeans (Who Never Bought Stocks) Have SingTel Shares In Their CPF Account?
#3 Haw Par Corporation (SGX: H02)
While Haw Par Corporation (SGX: H02) might not be a company many of us have heard of, its main product is certainly more recognisable. That’s because Haw Paw sells the popular Tiger Balm ointment, not only in Singapore but in 100 countries around the world.
As a result, the company does hold more international appeal than just a company that mainly sells to a single domestic market. The Tiger Balm ointment, and more recently it has expanded into gel patches.
Beyond that, the company also has interests in Underwater World Pattaya (in Thailand) which it owns and operates, as well as significant stakes in Singapore-listed companies such as UOB (SGX: U11), and UOL Group (SGX:U14).
For the first half of 2024, Haw Par recorded net profit of S$122 million, which was up 17.1% year-on-year. With its current annual dividend payout of 40 Singapore cents per share, Haw Par shares are giving investors a dividend yield of 3.7%.
#4 ComfortDelGro Corporation (SGX: C52)
There’s ComfortDelGro Corporation (SGX: C52), which is of course Singapore’s largest listed taxi and public transport company. The company came to the public markets in 2003 and was actually formerly known as NTUC Comfort as it was a co-operative under NTUC.
In 1993, it was renamed Comfort Group and in 2003 that merged with Delgro Corporation to form the current ComfortDelGro brand. Otherwise known as “CDG” for short, the company has transport operations – including rail, taxi and bus – in over 12 countries globally.
It’s best known for its blue and yellow taxis in Singapore but it also runs the Downtown MRT Line in Singapore as well as owning a 75% stake in bus operator SBS Transit. Recently, the company has agreed to acquire premium taxi hire company – Addison Lee – in the UK for just over £269 million (S$461 million). That will grow its private hire business by 34,000 vehicles globally.
In its latest H1 2024 earnings, CDG recorded earnings of S$95.3 million, which was up from S$78.5 million in the year-ago period. The company paid out a dividend per share (DPS) of 3.52 Singapore cents for the first half of this year. That gives investors a 12-month forward dividend yield of around 4.8%.
Read Also: 10 International Rankings That Singaporeans Enjoy
#5 Sheng Siong (SGX: OV8)
Finally, there’s Sheng Siong Group (SGX: OV8). Founded in 1985, the company has grown steadily from a chilled pork seller to operating over 70 supermarkets in Singapore today. This give it a decent chance that we buy our daily household needs from it.
With inflationary pressures impacting consumers’ budgets, Sheng Siong, known for providing value-for-money options, may be well-positioned to gain loyalty among price-sensitive customers. The supermarket brand has also evolved to offer a large selection of daily essentials under its housebrands, Tasty Bites, Heritage Farm and Happy Family, as well as offer an online grocery shopping platform, Sheng Siong Online.
The company has also shown ambition to expand its supermarket footprint in Singapore, consistently opening new outlets to capture more market share. Sheng Siong has also explored overseas markets, specifically venturing into China since 2014. If successful, this could be a new revenue driver in the long term.
Listed on the SGX in 2011, the company has a history of rewarding its shareholders with regular dividends. As of Q3 2024, Sheng Siong has grown its revenue by 4.0% year-on-year, and raised its profitability by 8.7%. In 2023, it paid a dividend of 3.2 Singapore cents – giving it a yield of 3.9%.
Read Also: Supermarket Stocks: Investing In Sheng Siong (SGX: OV8) And DFI Retail (SGX: D01)
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