OREANDA-NEWS. The Straits Times Index (STI) ended at 3,447.01 on 31 March, 2015, representing a 2.4% price advance in the quarter. Taking the consistent flow of constituents’ dividends into account, the STI’s total return came to 2.7% for 1Q. This compares with a price gain of only 0.7% for the index in the first quarter of 2014.

The five best-performing STI component stocks averaged a price gain of 11% in the first quarter. The five that generated the highest gains in 1Q were Singapore Telecommunications (“Singtel”) (12.3%), Hongkong Land Holdings (11.7%), ComfortDelgro Corporation (11.2%), Thai Beverage Public Company (10.9%) and Ascendas Real Estate Investment Trust (“A-REIT”) (8.8%). These five stocks also offer an average dividend yield of 3.7%, above the yield of the Singapore Fixed Income Index (SFI) at 2.9%.

Over the past one year, ComfortDelgro Corporation was the best performing STI component stock with a price gain of 50.7%, followed by Thai Beverage’s 30.1% advance, Singtel with 27.6% rise,  A-REIT with an increase of 20.2%, and Hongkong Land Holdings with a 19.8% gain.

Details of the five best-performing STI Constituents are listed in the table below.

Company Name SGX Code Mkt Cap S\$B % Price Change YTD % Price Change 1Q2015 % Change - Dividend Adj. 1Q2015

%Return on Equity 

[LTM]

 P/E % Dvd Yld
Singapore Telecommunications Z74 69.3  12.6 12.3 12.3 16.2 18.7 3.9
Hongkong Land Holdings H78 24.4  16.5 11.7 13.7 4.92 17.1 2.6
ComfortDelGro Corporation C52 6.2  10.0 11.2 11.2 12.2 21.6 2.9
Thai Beverage Public Company Y92 19.2  13.8 10.9 10.9 21.2 22.7 3.4
Ascendas Real Estate Investment Trust A17U 6.2  9.2 8.8 8.8 9.58 13.8 5.7

Source: SGX StockFacts & S&P Capital IQ (Data as of 5 April 2015)

Singapore Telecommunications

Singapore Telecommunications provides multimedia and infocomm technology (ICT) solutions in Singapore and Australia. It offers facilities management, consultancy, information technology, Internet access, and pay television services; technical, business, and management consultancy services; and distributes telecommunications and data communication products. Singapore Telecommunications is a subsidiary of Temasek Holdings (Private) Limited.

Two weeks ago, the company announced that its wholly-owned subsidiary, Singtel Group Treasury Pte. Ltd. (“SGT”), has priced a S\$150 million, 5.5-year fixed-rate notes issue, which will be issued on 24 March 2015. The Notes will be  guaranteed by Singtel. This issue is part of the long-term financing strategy and extends the debt maturity profile of Singtel and its subsidiaries. The net proceeds from this issue will be applied by SGT to fund its ordinary course of business.

Singapore Telecommunications has a market capitalisation of S\$69.3 billion and the stock trades at a price-to-earnings ratio of 18.7. The five substantial shareholders are Temasek Holdings (Private), Central Provident Fund Board, Capital Research and Management Company, Aberdeen Asset Management PLC and BlackRock, Inc..

Hongkong Land Holdings

Hongkong Land Holdings is engaged in the investment, development, and management of real estate properties in Greater China, Southeast Asia, and internationally. The company operates through two segments, Commercial Property and Residential Property. Hongkong Land Holdings is a subsidiary of Jardine Strategic Holdings Limited.

On 5 March 2015, the company reported that their underlying profit attributable to shareholders was US\$930 million, marginally below the US\$935 million achieved in 2013. After taking into account the net gain of US\$397 million recorded principally on the valuation of the Group’s investment properties, the profit attributable to shareholders for the year was US\$1,327 million. The net asset value per share at 31st December 2014 was US\$11.71, compared with US\$11.41 at the end of 2013.

Hongkong Land Holdings has a market capitalisation of S\$24.4 billion and the stock trades at a price-to-earnings ratio of 17.1. The five substantial shareholders are Jardine Strategic Holdings, Schroder Investment Management (Singapore), Norges Bank Investment Management, The Vanguard Group, Inc., and Invesco Ltd..

ComfortDelGro Corporation

ComfortDelGro Corporation operates as a passenger land transportation company. The company provides public bus and charter bus services; rail services; motor vehicle evaluation and other related services; public taxi services through the rental of taxis to hirers; car rental, car care, and leasing services; outdoor advertising services; and management taxi booking services. ComfortDelGro Corporation was founded in 2003 and is headquartered in Singapore.

The Twelfth Annual General Meeting of the Company will be held at the Auditorium, ComfortDelGro Headquarters, 205 Braddell Road, Singapore 579701 on Friday, 24 April 2015 at 10.00 a.m. Shares in the stock of ComfortDelGro Corporation will go ex-dividend on 30 April 2015, distributing S\$0.045 per share in dividends.

ComfortDelGro Corporation has a market capitalisation of S\$6.2 billion and the stock trades at a price-to-earnings ratio of 21.6. The five substantial shareholders are Capital Research and Management Company, BlackRock, Inc., BNP Paribas Securities Corp, First Eagle Investment Management, LLC, and Aberdeen Asset Management PLC.

Thai Beverage Public Company

Thai Beverage Public Company produces and distributes alcoholic and non-alcoholic beverages in Thailand and internationally. The company operates through four segments: Spirits, Beer, Non-Alcoholic Beverages, and Food. Thai Beverage Public Company Limited was incorporated in 2003 and is based in Bangkok, Thailand.

On 5 March 2015, the company reported that their for the year 2014, total sales revenue of the Company was Baht 162,040 million, an increase of 4.0% or Baht 6,269 million, from Baht 155,771 million of last year, due to an increase in sales revenue of the spirits business of 4.7%, the beer business of 6.9% and the food business of 10.5%. Shares in the stock will go ex-dividend on 24 April 2015, distributing THB 0.46 per share in dividends.

Thai Beverage Public Company has a market capitalisation of S\$19.2 billion and the stock trades at a price-to-earnings ratio of 22.7.  The five substantial shareholders are Siriwana Company, Sirivadhanabhakdi, Charoen, Capital Research and Management Company, Risen Mark Enterprise, and Nexus Power Investment.

Ascendas Real Estate Investment Trust

Ascendas Real Estate Investment Trust (“A-REIT”) is a real estate investment trust launched and managed by Ascendas Funds Management (S) Limited. The fund invests in the real estate markets of Singapore and China. It invests in business and science Parks properties, Hi-Specs Industrial properties/Data Centres, Light Industrial properties/Flatted Factories, Logistics & Distribution Centres, and Warehouse Retail Facilities. Ascendas Funds Management (S) Limited was formed on October 9, 2002 and is based in Singapore, Singapore.

Last week, the trust reported that HSBC Institutional Trust Services (Singapore) Limited (in its capacity as trustee of A-REIT) has accepted an offer from JTC Corporation for the return of 26 Senoko Way (the “Property”) for a consideration sum of S\$24.8 million (the “Proposed Divestment”). The Consideration Sum represents a 60% premium over the original acquisition price of \$15.5 million for the Property in 2007. The Proposed Divestment is in line with the Manager’s proactive asset management strategy to selectively divest properties that have reached a stage which offers limited scope for further income growth and to recycle capital and optimise A-REIT’s portfolio.

A-REIT has a market capitalisation of S\$6.2 billion and the trust trades at a price-to-earnings ratio of 13.8. The five substantial shareholders are Ascendas Funds Management (S), BlackRock, Inc., Matthews International Capital Management, LLC, CI Investments Inc., and Veritas Asset Management LLP.