Singapore?s stock market barometer, the Straits Times Index (SGX: ^STI), closed 2015 at 2,883 points. A year later, the index ended 2016 marginally lower at 2,881 points.
Although the index had a flat year, the same can?t be said for many of its 30 constituents. In fact, there were stocks that clocked big gains as well as huge losses.
I thought it would be interesting to look back at six of the index?s biggest winners as well as six of the biggest losers. In this article, I will be covering the winners in the first to third position. For the rest…
Singapore’s stock market barometer, the Straits Times Index (SGX: ^STI), closed 2015 at 2,883 points. A year later, the index ended 2016 marginally lower at 2,881 points.
Although the index had a flat year, the same can’t be said for many of its 30 constituents. In fact, there were stocks that clocked big gains as well as huge losses.
I thought it would be interesting to look back at six of the index’s biggest winners as well as six of the biggest losers. In this article, I will be covering the winners in the first to third position. For the rest of the winners, you can head here. As for the stocks in the losers list, you can check them out here and here.
With that, let’s get going!
The third best performer
In third place is a company that has no significant business presence in Singapore, but is clearly a dominant force in Thailand.
It has four main business segments, namely, Spirits, Beer, Food, and Non-Alcoholic Beverages, but derives the lion’s share of its revenues and profits from the first two segments. This company is none other than Thai Beverage Public Company Limited (SGX: Y92), the largest beverage company in Thailand. In 2016, Thai Beverage’s shares climbed by 23.2% in price.
The company changed its financial year end to 30 September recently and so, its latest fiscal year had only nine months. For the nine months ended 30 September 2016, Thai Beverage experienced a 14.8% year-on-year increase in revenue. But, the higher revenue did not flow down to the bottom-line – the company’s profit had dipped by 7.4%.
At its current stock price, Thai Beverage’s PE and PB ratios are 21.6 and 4.6, respectively.
The second best perfomer
We’re getting really close to the winner now. In fact, second-placed SATS Ltd (SGX: S58) had missed out on the top spot only by a hair’s breadth. In 2016, SATS’s stock price had jumped by 26.3%.
As a brief introduction, SATS is a company with two major business segments: Food Solutions and Gateway Services. Food Solutions covers services such as airline catering, food distribution, and industrial catering whereas Gateway Solutions is involved in ground handling services of passengers, flights, and cargo.
Another thing worth noting is that over four-fifths of SATS’s revenue in its fiscal year ended 31 March 2016 came from the aviation industry.
In the first nine months of the calendar year 2016, SATS saw its revenue inch up by 1.2%. The bottom-line performance was stronger, as its profit increased by 9.9%.
Right now, SATS has a PE ratio of 22.9 and a PB ratio of 3.6.
The best performer
Finally, in first place we have Golden Agri-Resources Ltd (SGX: E5H). The palm oil producer’s stock price had climbed by 26.5% in 2016 (which is just above SATS’s gain of 26.3%.)
Golden Agri-Resources has large oil palm plantations in Indonesia (it has a total planted area of 482,228 hectares as of September 2016) and actually has a presence in the entire value chain of the palm oil industry. This means that the company is also in the business of producing palm oil-based consumer products.
The first nine months of 2016 have been a good time for Golden Agri-Resources as it experienced growth in both its top-line and bottom-line; revenue had stepped up by 2.3% whereas the loss seen in the same period a year ago had become a profit.
Golden Agri-Resources’ shares currently have a PE ratio of 11.6 and a PB ratio of 1.0.
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The information provided is for general information purposes only and is not intended to be personalised investment or financial advice. The Motley Fool Singapore has recommended shares of SATS. Motley Fool Singapore contributor Lawrence Nga doesn’t own shares in any companies mentioned.