According to a recent report by the Singapore Exchange, 24 companies bought back 39.1 million shares or units for a total amount of S$123.14 million, marking a nine-month high. The latest buyback is up significantly from April 2019’s figure of S$36 million, but down from May 2018’s amount of S$135 million.
The top eight companies with the most significant share buyback amounts in May 2019 are shown below:
|DBS Group Holdings Ltd (SGX: D05)||S$65.68 million|
|Oversea-Chinese Banking Corporation Limited (SGX: O39)||S$30.64 million|
|Best World International Limited (SGX: CGN)||S$7.78 million|
|Keppel REIT (SGX: K71U)||S$5.14 million|
|Singapore Technologies Engineering Ltd (SGX: S63)||S$4.32 million|
|China Sunsine Chemical Holdings Ltd (SGX: CH8)||S$2.97 million|
|Global Investments Ltd (SGX: B73)||S$1.42 million|
|Singapore Telecommunications Limited (SGX: Z74)||S$1.36 million|
From the table above, DBS, OCBC, Singapore Technologies Engineering, and China Sunsine Chemical commenced new buyback mandates last month. This means those companies have started buybacks after getting shareholder approval for the latest financial year.
Raffles Medical Group Ltd (SGX: BSL) started its first-ever share repurchase in May. On 22 and 23 May, it bought back 100,000 of its shares at S$1.01 each for a total amount of S$101,151.
For the first quarter ended 31 March 2019, the healthcare outfit’s revenue increased by 6.7% year on year to S$128.3 million, but net profit attributable to shareholders tumbled 13.7% to S$13.6 million. Learn more about Raffles Medical’s latest earnings here.
Raffles Medical has been featured as one of the top stocks for June 2019. By buying back its shares, the company could be signaling to the market that its shares are undervalued. At the current share price of S$1.03, the company has a trailing price-to-earnings ratio of 26.8 and a dividend yield of 2.4%.
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The information provided is for general information purposes only and is not intended to be personalised investment or financial advice. The Motley Fool Singapore has recommended shares of Singapore Exchange Limited, DBS Group Holdings Ltd, Oversea-Chinese Banking Corporation Limited, and Raffles Medical Group Ltd. Motley Fool Singapore contributor Sudhan P owns shares in Singapore Exchange Limited and Raffles Medical Group Ltd.
Motley Fool Singapore 2019