Oversea-Chinese Banking And 2 Other Top Dividend Stocks On SGX

As the Singapore market navigates a landscape of global economic uncertainties and fluctuating indices, investors are increasingly turning their attention to dividend stocks for stability and income generation. In this environment, understanding what makes a good dividend stock—such as consistent payouts and strong financial health—becomes crucial, with Oversea-Chinese Banking Corporation (OCBC) standing out alongside two other top performers on the SGX.

Top 10 Dividend Stocks In Singapore

Name	Dividend Yield	Dividend Rating
BRC Asia (SGX:BEC)	6.84%	★★★★★☆
Bumitama Agri (SGX:P8Z)	6.17%	★★★★★☆
Singapore Airlines (SGX:C6L)	7.43%	★★★★★☆
YHI International (SGX:BPF)	6.36%	★★★★★☆
Singapore Exchange (SGX:S68)	3.17%	★★★★★☆
QAF (SGX:Q01)	5.99%	★★★★★☆
Genting Singapore (SGX:G13)	4.79%	★★★★☆☆
Oversea-Chinese Banking (SGX:O39)	5.79%	★★★★☆☆
United Overseas Bank (SGX:U11)	5.47%	★★★★☆☆
Delfi (SGX:P34)	6.54%	★★★★☆☆

Click here to see the full list of 17 stocks from our Top SGX Dividend Stocks screener.

Let's uncover some gems from our specialized screener.

Oversea-Chinese Banking (SGX:O39)

Simply Wall St Dividend Rating: ★★★★☆☆

Overview: Oversea-Chinese Banking Corporation Limited, along with its subsidiaries, provides financial services across Singapore, Malaysia, Indonesia, Greater China, the rest of the Asia Pacific, and internationally with a market cap of SGD68.34 billion.

Operations: Oversea-Chinese Banking Corporation Limited's revenue is primarily derived from its Global Wholesale Banking segment at SGD5.23 billion, followed closely by the Global Consumer/Private Banking segment at SGD5.19 billion, with additional contributions from the Insurance segment amounting to SGD1.27 billion and Global Markets at SGD512 million.

Dividend Yield: 5.8%

Oversea-Chinese Banking Corporation's (OCBC) dividend payments are currently covered by earnings with a payout ratio of 52.8%, suggesting sustainability, though its track record over the past decade has been volatile. Recent financial results show net income growth to S$3.93 billion for H1 2024, indicating potential stability in earnings that can support dividends. However, OCBC's dividend yield of 5.79% is slightly below the top quartile in Singapore, and its dividend history remains inconsistent.

• Delve into the full analysis dividend report here for a deeper understanding of Oversea-Chinese Banking.
• Our expertly prepared valuation report Oversea-Chinese Banking implies its share price may be lower than expected.

QAF (SGX:Q01)

Simply Wall St Dividend Rating: ★★★★★☆

Overview: QAF Limited is an investment holding company involved in the manufacture and distribution of bread, bakery, and confectionery products across Singapore, Australia, the Philippines, Malaysia, and internationally with a market cap of SGD480.35 million.

Operations: QAF Limited generates revenue primarily from its Bakery segment, amounting to SGD460.50 million, and its Distribution & Warehousing segment, contributing SGD164.22 million.

Dividend Yield: 6%

QAF Limited's dividend yield of 5.99% places it in the top quartile among Singaporean dividend payers, although its historical reliability is questionable due to a lack of growth over the past decade. The company's dividends are currently covered by both earnings and cash flows, with payout ratios around 82%. Recent financial performance shows significant improvement, with net income rising to S$12.48 million for H1 2024, supporting its interim dividend payment of S$0.01 per share in September.

• Navigate through the intricacies of QAF with our comprehensive dividend report here.
• The valuation report we've compiled suggests that QAF's current price could be inflated.

Singapore Exchange (SGX:S68)

Simply Wall St Dividend Rating: ★★★★★☆

Overview: Singapore Exchange Limited operates an integrated securities and derivatives exchange, related clearing houses, and an electricity market in Singapore, with a market cap of SGD12.15 billion.

Operations: Singapore Exchange Limited generates revenue from various segments, including Equities - Cash at SGD334.94 million, Platform and Others at SGD240.20 million, Equities - Derivatives at SGD334.05 million, and Fixed Income, Currencies and Commodities at SGD322.50 million.

Dividend Yield: 3.2%

Singapore Exchange offers a stable dividend profile, supported by a sustainable payout ratio of 61.7% and consistent cash flow coverage at 69.9%. Despite its dividend yield of 3.17% being below the top quartile in Singapore, it remains reliable with steady growth over the past decade. Recent financial results show revenue at S$1.23 billion and net income at S$597.91 million for FY2024, reinforcing its capacity to maintain dividends amidst executive changes like appointing Daniel Koh as CFO from December 2024.

• Unlock comprehensive insights into our analysis of Singapore Exchange stock in this dividend report.
• Our expertly prepared valuation report Singapore Exchange implies its share price may be too high.

Key Takeaways

• Take a closer look at our Top SGX Dividend Stocks list of 17 companies by clicking here.
• Are these companies part of your investment strategy? Use Simply Wall St to consolidate your holdings into a portfolio and gain insights with our comprehensive analysis tools.
• Simply Wall St is a revolutionary app designed for long-term stock investors, it's free and covers every market in the world.

Contemplating Other Strategies?

• Explore high-performing small cap companies that haven't yet garnered significant analyst attention.
• Fuel your portfolio with companies showing strong growth potential, backed by optimistic outlooks both from analysts and management.
• Find companies with promising cash flow potential yet trading below their fair value.

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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