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3 Blue Chips Near their 52-Week Lows

Blue chip

Over the past 12 months, the Straits Times Index (SGX: ^STI) has been up close to 6% to its current level of 3,262 points. However, there are some index constituents that are languishing near their respective 52-week lows. Let’s take a look three which are closest to their 52-week lows.

1. Sembcorp Marine (SGX: S51)

Sembcorp Marine saw a 52-week low of S$3.881 in early February this year. Since then, it’s gone up by 3.6% and is currently going at $4.03 apiece.

For the first quarter ended 31 March 2014, turnover for the firm was at S$1.34 billion, some 27% higher than the previous year’s. Meanwhile, the ship and oil-rig builder’s net profit went up by 3% year-on-year to S$122 million. Sembcorp Marine’s surge in revenue was due mainly to higher revenue recognition from rig building activities and offshore platform projects.

As of the end of the quarter, the shipbuilder’s net order book is at $12.9 billion with completion and deliveries going into 2019. The firm feels that “competition is keen and intense, exerting pressure on margins”.

Now, Sembcorp Marine is trading at 15 times its historical earnings and has a dividend yield of 2.7%.

2. Genting Singapore (SGX: G13)

Earlier this April, the casino and integrated resort operator hit a 52-week low of $1.29. Its share price has since increased by 3.9% and is now at $1.34.

In Genting Singapore’s first quarter for 2014, revenue increased 24% year-on-year to S$828.8 million while net profit surged 77% to S$257.6 million. The increase in revenue was on the back of “higher rolling volume and win percentage in the premium player business”. Turnover from the company’s gaming activities itself rose 29% to S$671.9 million.

Currently, Genting Singapore trades at a historical price/earnings (PE) ratio of 28 and has a dividend yield of 0.7%.

3. Singapore Exchange (SGX: S68)

Singapore Exchange hit a 52-week low of $6.66 in late March this year and is currently up 4% to $6.93.

With a financial year that ends on 30 June each year, Singapore Exchange’s latest earnings release was for the third quarter in its financial year. For that period (the three months ended 31 March 2014), the share market operator and regulator saw its revenue go south by 13% to S$166 million compared to a year ago; the company’s profit also suffered as it dropped by 22% year-on-year to S$76 million. The decrease in top-line was mainly due to a 32% decline in revenue to S$52.3 million from the company’s securities business.

The company is now valued at a historical PE ratio of 22 and offers a dividend yield of 4%.

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The information provided is for general information purposes only and is not intended to be personalised investment or financial advice. Motley Fool Singapore contributor Sudhan P doesn’t own shares in any companies mentioned.