3 Shares That Beat the Market Today


Although we don’t believe in timing the market or panicking over market movements, we do like to keep an eye on changes – just in case they’re material to our investing thesis.

With 24 of its 30 constituents ending the day in the red, it’s perhaps no real surprise to find the Straits Times Index (SGX: ^STI) dropping 0.8% to 3,289 points. There were only three blue chips that made some gains, so let’s take a closer look at them.

ComfortDelGro Corporation Limited (SGX: C52) climbed 1.2% to S$2.60. The land transport company announced that it would be making a A$26.5 million acquisition of the assets of the Blue Mountain Bus Company. Blue Mountain’s an aptly-named bus operator in the Blue Mountains region, which joins the western fringe of metropolitan Sydney in Australia.

ComfortDelGro’s latest acquisition target “derives the bulk of its revenue from contract services, with the remainder from charter.” The Australian company owns 3 depots and runs a fleet of 101 buses and coaches. ComfortDelGro sees the purchase as an opportunity for it to expand its bus operations in New South Wales, where it already has 1,000 buses running.

The company would be announcing its second quarter results very soon on next Wednesday, so that’s something investors can keep an eye on.

Regional banking outfit United Overseas Bank Ltd (SGX: U11) has inched up by 0.2% to S$22.69. Exactly a week ago last Friday, the bank released its second quarter results and saw a 9.7% year-on-year increase in revenue (technically called Total income) to S$3.64 billion for the first half of 2014.

Much of the growth in the bank’s top-line managed to trickle down to the bottom-line as its net profit grew 6.1% to S$1.6 billion. The bank’s healthy growth rates in the first half of 2014 were driven in part by an increase in net interest income in its key markets of Singapore, Malaysia, Thailand, Indonesia, and Greater China.

Alcohol distiller Thai Beverage Public Company Limited (SGX: Y92) rounds up the trio with its shares up 0.8% to S$0.64. The company had recently made known that its financials for the first half of 2014 would be released on 14 August 2014.

Thai Beverage had experienced some steady growth in the first quarter of 2014 when its revenue and profit went up by 5% and 73%, respectively, compared to a year ago. Management had seen an increase in sales for most of its business lines, which contributed to the growth in revenue. Meanwhile a big increase in gross profit margin (from 27.7% to 30.0%) had partially led to the disproportionate increase in profit.

It’d be interesting to see if the company can keep those figures up for the second quarter of 2014 as Thailand had been plagued by political turmoil for much of the quarter.

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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 writer Chong Ser Jing doesn’t own shares in any companies mentioned.