At The Edge Singapore, we do not profess an appreciation towards the finer insights of how the different fengshui elements interact with one another. Nonetheless, through our regular observations of the market (that’s our job, after all), we have observed for some years the tradition of compiling 10 Singapore Exchange S68 (SGX) stocks to watch for the year.
Our list of recommendations for last year was published in Issue 1070, along with five “additional” stocks to give ourselves some leeway for not having the gumption to be definitive in making up our minds.
The 10 stocks recommended, along with additional stocks (in black) are shown in Chart 1. Food Empire was our big winner last year, given its steady growth in emerging markets. It is poised to report record earnings later this month. DFI Retail Group D01 , meanwhile, was Exhibit A of the global investment community’s misguided optimism that China and Hong Kong will come roaring back following the pandemic. Despite more than half the stocks having negative returns, our 10 stocks averaged a return of 8.1%, owing to more significant returns from the winners. The full list of 10 + 5 stocks averaged 6.0% returns.
The returns were measured from the period of Jan 17, 2023, to Jan 17, 2024, using closing prices. All benchmarks and stock returns include dividend reinvested returns.
The average returns of both the 10 stocks and the extended 15 stocks outperformed the benchmark Straits Times Index, which returned only 0.7% in the one-year period. Chart 2 illustrates the comparative performance of our stocks against the STI and MSCI Singapore benchmarks.
See also: Why Genting Singapore and Q&M Dental are undervalued
In the next 10 pages, The Edge Singapore team has selected their top 10 SGX-listed companies to place their bets on for 2024, based on data and info as at Feb 5. Read on to find out what they are.
This year, besides the ten stocks, we will just add one bonus pick: Soup Holdings 5KI .
Meanwhile, here’s a happy, healthy and prosperous Dragon Year to all our readers!
