Oct[5] - Yield Screening

Following panic sell down in Dow Jones, STI experienced a quick falling last week. An early sign of rebound was seen on last trading day. 4 months support ~ 2797 still withhold. Interestingly most blue chips were lingering around major support prices. The following STI constituents were shortlisted because of their consistent and reliable dividend payout. Individual "price vs dividend yield chart" are shown below.

DBS: Due to fines over 1MDB and high exposure of borrowing to oil & gas companies, market is showing lack of confident to DBS meanwhile. The three month average price represents 8% discount to its book value (16.4) year to date. It is also interesting to notice that the group used to buy back shares from open market whenever price moving below 16. By last trading day, support price ~15 (dividend yield 4%) still intact. Shall it be broken, next support range will be 14.6 - 14.7

OCBC: It is giving the highest dividend yield among its peers meanwhile. Current price 8.4 represent dividend yield at 4.3%. 8 months support price ~ 8.2 is well above its book value (8.19).

UOB: Interestingly, it is hitting to its book value (18.2). Shall this be broken, next stronger support shall be 17.4 which represents 4% dividend yield.

SGX: It just broke support price ~ 7.3 which represents 3.5% dividend yield. Next support will be 7 which represents 4% dividend yield. The counter used to track market sentiment but in a cylindrical price movement. Three year average is ~7.4. Current share price is at lower zone.

ComfortDelgro: It is one of the few which offer high dividend growth rate ~ 8%. Current price is lingering ~2.7 which represents 3.4% dividend yield. Shall it be broken, next strong support is 2.6 which represent 3.6% dividend yield. Its subsidiary, SBS will be paid $5.3b for assets leasing to LTA up to 10 years.

Both SGX and ComnfortDelgro are in net cash position without any debt.