Exploring SGX Dividend Stocks With DBS Group Holdings And Two Others

As global markets navigate through technological advancements and heightened cybersecurity measures, the Singapore Exchange (SGX) remains a focal point for investors looking for stability and potential growth. Amidst these evolving dynamics, dividend stocks like DBS Group Holdings offer a particular appeal due to their potential for regular income and relative resilience in fluctuating markets.

Top 10 Dividend Stocks In Singapore

Name	Dividend Yield	Dividend Rating
Civmec (SGX:P9D)	6.22%	★★★★★★
Singapore Exchange (SGX:S68)	3.60%	★★★★★☆
Yangzijiang Shipbuilding (Holdings) (SGX:BS6)	3.67%	★★★★★☆
BRC Asia (SGX:BEC)	7.58%	★★★★★☆
UOB-Kay Hian Holdings (SGX:U10)	6.92%	★★★★★☆
UOL Group (SGX:U14)	3.58%	★★★★★☆
Bumitama Agri (SGX:P8Z)	6.82%	★★★★★☆
Singapore Airlines (SGX:C6L)	7.10%	★★★★★☆
YHI International (SGX:BPF)	6.63%	★★★★★☆
Sing Investments & Finance (SGX:S35)	6.09%	★★★★☆☆

Click here to see the full list of 21 stocks from our Top SGX Dividend Stocks screener.

We're going to check out a few of the best picks from our screener tool.

DBS Group Holdings (SGX:D05)

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

Overview: DBS Group Holdings Ltd operates as a commercial bank offering financial services across Singapore, Hong Kong, Greater China, South and Southeast Asia, and internationally, with a market capitalization of approximately SGD 101.48 billion.

Operations: DBS Group Holdings Ltd generates its revenue through commercial banking and financial services across various regions including Singapore, Hong Kong, Greater China, South and Southeast Asia, and other international markets.

Dividend Yield: 5.5%

DBS Group Holdings has shown a mixed performance in dividend reliability, with a history of volatility over the past decade. Despite this, recent dividends have been covered by earnings with a current payout ratio of 50.8% and forecasted coverage at 66.8% in three years. The firm recently increased its dividend to SGD 0.54 per share for Q1 2024 and reported a significant rise in net income to SGD 2.96 billion for the same period, up from SGD 2.57 billion year-over-year, indicating potential stability ahead despite historical inconsistencies and recent executive changes aimed at addressing technology issues within the bank.

• Click to explore a detailed breakdown of our findings in DBS Group Holdings' dividend report.
• In light of our recent valuation report, it seems possible that DBS Group Holdings is trading behind its estimated value.

Bumitama Agri (SGX:P8Z)

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

Overview: Bumitama Agri Ltd. is an investment holding company that produces and trades crude palm oil, palm kernel, and related products in Indonesia, with a market capitalization of approximately SGD 1.21 billion.

Operations: Bumitama Agri Ltd. generates IDR 15.44 billion from its plantations and palm oil mills segment.

Dividend Yield: 6.8%

Bumitama Agri Ltd. offers a high dividend yield of 6.82%, ranking in the top 25% of Singaporean dividend payers. However, its dividends have shown inconsistency over the past decade with notable fluctuations exceeding 20% annually, raising concerns about reliability. Despite this, both earnings and cash flows provide adequate coverage for current dividends, with payout ratios at 40.4% and cash payout ratios at 60.8%, respectively. The company's stock is trading at a significant discount—56.8% below estimated fair value—suggesting potential undervaluation relative to peers and industry standards.

• Click here to discover the nuances of Bumitama Agri with our detailed analytical dividend report.
• Our valuation report unveils the possibility Bumitama Agri's shares may be trading at a discount.

China Sunsine Chemical Holdings (SGX:QES)

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

Overview: China Sunsine Chemical Holdings Ltd. is an investment holding company that produces and markets specialty chemicals across China, other parts of Asia, the United States, and Europe, with a market capitalization of SGD 382.79 million.

Operations: China Sunsine Chemical Holdings Ltd. generates revenue primarily from its Rubber Chemicals segment, which contributed CN¥4.38 billion, along with additional revenues from Heating Power and Waste Treatment segments totaling CN¥221.29 million and CN¥29.76 million respectively.

Dividend Yield: 6.2%

China Sunsine Chemical Holdings has a history of unstable and unreliable dividend payments over the past decade, with fluctuations that include an annual drop of over 20%. Despite this volatility, the dividends are well supported financially, showing a low payout ratio of 20.8% and a cash payout ratio of 30.2%, indicating they are well covered by both earnings and cash flows. Recent activities include share repurchases initiated on May 13, 2024, underlining potential confidence in the company's valuation. The stock is trading at a significant discount—74.7% below its estimated fair value—suggesting it may be undervalued compared to its industry peers.

• Click here and access our complete dividend analysis report to understand the dynamics of China Sunsine Chemical Holdings.
• The analysis detailed in our China Sunsine Chemical Holdings valuation report hints at an deflated share price compared to its estimated value.

Where To Now?

• Dive into all 21 of the Top SGX Dividend Stocks we have identified here.
• Already own these companies? Bring clarity to your investment decisions by linking up your portfolio with Simply Wall St, where you can monitor all the vital signs of your stocks effortlessly.
• Maximize your investment potential with Simply Wall St, the comprehensive app that offers global market insights for free.

Want To Explore Some Alternatives?

• 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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