While shoppers in Singapore were rushing to scoop up daily essentials like rice, instant noodles and toilet tissue in supermarkets, the ongoing COVID-19 situation also have led to Singapore investors paying closer attention to the markets – buying and selling stocks to better align their portfolios to their investment objectives amid the changing economic climate.
This can be seen from the surge in trading volumes across various sectors in January when compared with 3-month average trading volume. Included in this are Healthcare (+120.6%), Materials & Resources (+69.7%) and Financial Services (+58.1%).
Fund flows from institutional investors also increased, with a net buy in January of $302.4 million when compared with $291.7 million in December.
For this instalment of four Stocks This Week, we will take a look at 4 counters that had the greatest increase in trading activity in January compared to their 3-month average: Medtecs International (178.1%), Thai Beverage (55%), Keppel Pacific Oak US REIT (53.7%) and Far East Hospitality Trust (52.5%).
Medtecs International (SGX: 546)
The Catalist-listed Medtecs International is an original product manufacturer (OPM) for a wide range of healthcare consumables, such as surgical masks, linen, hospital apparel and bandages. The organization is also a distributor of medical equipment, including thermometers, blood pressure monitors, wheelchairs and hospital beds.
Headquartered in the Philippines, the company also has offices in Singapore, Hong Kong, Taiwan, Cambodia and Mainland China.
Medtecs International closed this week at $0.113, giving it a market capitalisation of $62.08 million.
Thai Beverage (SGX: Y92)
Thai Beverage (ThaiBev) is among the largest food and beverage companies in Southeast Asia. In addition to distributing beers, other alcoholic beverages, non-alcoholic beverages including milk products, the Thailand-headquartered company also operates restaurants, bakeries and owns 252 KFC stores in Thailand, so it acquired in December 2021.
ThaiBev was one of the best-performing stocks on the Straits Times Index in 2021, delivering a total return of about 35.5%.
On 13 February, the company announced their acquisition of 35% from the Myanmar-registered International Beverage Trading Company, that is in the business of trading alcohol based drinks in Myanmar, which makes it an indirect associate company of ThaiBev.
The company also released their 1Q2021 financial results now, in which the company reported a net profit of 9.213 billion Bhat, a rise of 23.2%.
Thai Beverage closed now at $0.785, giving it a market capitalisation of approximately $19.72 billion.
Keppel Pacific Oak US REIT (SGX: CMOU)
Keppel Pacific Oak US REIT (KORE), that was previously known as Keppel-KBS US REIT, has a portfolio of 13 freehold office buildings and business campuses across technology-driven growth markets in the usa, including Seattle, Austin, Houston, Denver and Atlanta.
The REIT has a diversified tenant pool of more than 460 tenants, with the top 10 tenants contributing only 19.4% of cash rental income.
The largest single unitholder in KORE is Temasek Holdings, which owns about 9.79%, followed by Keppel Capital Investments, which owns about 6.12%.
KORE closed now at $0.795.
Far East Hospitality Trust (SGX: Q5T)
Far East Hospitality Trust (Far East H-Trust) is a Singapore-focused hotel and serviced residence hospitality trust, which owns a portfolio of 13 properties (9 hotels and 4 serviced residences) which have a combined value of about $2.65 billion.
These properties held by Far East H-Trust include The Elizabeth Hotel, Village Hotel Bugis, Village Hotel Changi, Oasia Hotel Downtown, Orchard Rendezvous Hotel and also the Quincy Hotel.
On 14 February, the REIT released its twelve month results for 2021. It reported that it generated gross revenue of $28.9 million for 4Q2021, with income readily available for distribution of $199.8 million, which gives a distribution per stapled to safeguard the quarter of 0.95 cents.
Far East H-Trust closed now at $0.66.