Dear readers, the Singapore stock market has turned decisively bullish in recent months. From the depths of subdued investor sentiment to breaking through psychological resistance levels, the Straits Times Index (STI) has surged past the historic 4,000 mark and, more impressively, managed to hold above this level for several consecutive sessions.
The rally reflects renewed optimism in Singapore’s capital markets, underpinned by a confluence of factors—from government-initiated reforms to growing investor appetite.
The positive momentum has been supported by the Monetary Authority of Singapore’s Equity Market Development (EMD) programme, which brought renewed attention to Singapore equities through strategic fund manager appointments and incentives to deepen liquidity and participation. Coupled with a healthy pipeline of Initial Public Offerings (IPOs) and strong institutional support, the Singapore market appears to be entering a new chapter of growth and visibility.
Against this backdrop, investors are naturally wondering: which stocks are likely to rally next? In a recent roundup of reports from major brokerages and investment banks, several analysts have revealed their top picks for Singapore-listed equities that may outperform in the near to medium term. Below is a curated summary of their takes, organized by institution and rationale.
JP MORGAN: FOCUS ON DOMESTIC REITS AND STRONG FUNDAMENTALS
JP Morgan’s strategy tilts toward quality and predictability. Analysts from the bank expressed a clear preference for Singapore-focused Real Estate Investment Trusts (REITs), especially those with robust earnings history, low gearing, and long-term tenant profiles.
They cautioned against REITs with significant exposure to overseas markets or global trade, citing risks such as foreign exchange volatility, differing regulatory environments, and exposure to cyclical global demand trends.
Top Picks by JP Morgan:
- CapitaLand Integrated Commercial Trust (CICT) – With a strong portfolio of prime office and retail properties in Singapore, CICT is well-positioned to benefit from the recovery in domestic footfall and stable office demand.
- CapitaLand Ascendas REIT (CLAR) – A high-quality industrial and business space REIT with a mix of Singapore and international exposure, JP Morgan highlights CLAR for its diversification, scale, and active portfolio management.
- Keppel DC REIT – Focused on data centres, this REIT offers growth exposure to the digital economy with recurring income from mission-critical infrastructure.
DBS GROUP: BLUE-CHIP STRENGTH IN A BULLISH ENVIRONMENT
DBS recommends investors focus on Singapore’s large-cap blue-chip companies, many of which are regional or global leaders in their industries. According to DBS analysts, such companies are best positioned to capture post-pandemic growth, regional expansion, and technological transformation.
Sectors of Interest:
- Aviation and engineering – Companies that support global air travel and aerospace industries are seeing a robust recovery.
- Retail and telecommunications – A rebound in consumer activity and ongoing digitalisation bode well for household brands.
- Healthcare – Aging demographics and resilient healthcare spending support earnings in this sector.
While specific names weren’t directly cited in the reference summary, it’s clear that stalwarts like Singapore Airlines Engineering, ST Engineering, Singtel, and Raffles Medical Group fall within this framework.
OCBC INVESTMENT RESEARCH: SGX A BENEFICIARY OF MARKET REVIVAL
OCBC offered a narrower but focused recommendation: the Singapore Exchange (SGX). With the STI hitting new highs and interest in equities reignited by government stimulus and the EMD programme, SGX is expected to see improved trading volumes, increased listings, and a revival in investor participation—translating into higher revenue across multiple business segments.
MACQUARIE: A DUAL STRATEGY — SMALL CAPS AND LARGE CAPS
Macquarie presented a more diversified view, offering both small-cap and large-cap ideas.
Small-Cap Recommendations:
- ComfortDelGro – One of Singapore’s largest land transport companies, which may benefit from post-pandemic commuting normalisation and regional expansion.
- First Resources – A palm oil producer well-positioned to gain from firm commodity prices and improving agricultural yields.
- iFAST – A fast-growing fintech and wealth management platform tapping into the regional digital investment wave.
- Parkway Life REIT – With healthcare and nursing home properties, this REIT is prized for its defensive nature and long lease tenures.
- StarHub – A potential turnaround story in telecoms, especially with ongoing digital transformation initiatives.
Large-Cap Picks:
- OCBC Bank – Strong balance sheet, consistent dividends, and regional growth prospects.
- Sembcorp Industries – A leading name in renewable energy transition and infrastructure.
- ST Engineering – Diversified exposure to defence, aerospace, and smart cities.
- CapitaLand Ascendas REIT (CLAR) – Also recommended by JP Morgan, reinforcing its appeal.
- DFI Retail Group – Exposure to Southeast Asia’s retail rebound.
- Keppel DC REIT – Also reiterated, signalling cross-institutional confidence.
UOB KAY HIAN: MID-SIZED PLAYERS WITH GROWTH AND INCOME
UOB Kay Hian’s selections included mid-cap names with defensible business models and stable dividends.
Top Picks:
- Centurion Corp – A key player in workers’ dormitories and student accommodation with a steady revenue stream.
- NetLink NBN Trust – A defensive income play, benefiting from Singapore’s nation-wide fibre broadband infrastructure.
- Raffles Medical Group – Providing healthcare exposure in Singapore and China.
- Sheng Siong – A dominant supermarket chain with strong earnings and dividend consistency.
- Jardine Cycle & Carriage (Jardine C&C) – A conglomerate with stakes in regional automotive and financial assets.
- CapitaLand India Trust – Offers geographic diversification with an emphasis on Indian commercial assets.
- Keppel Infrastructure Trust – Stable cash flows from utilities and infrastructure projects.
- SIA Engineering – Beneficiary of a recovering aviation sector.
MAYBANK SECURITIES: A COMPREHENSIVE PORTFOLIO OF 18 STOCKS
Maybank Securities stands out for issuing one of the most extensive recommendation lists—spanning growth, value, defensive, and cyclical themes.
Maybank’s Top 18 Singapore Stocks:
- AEM Holdings – Semiconductor equipment supplier with global clients.
- Nanofilm Technologies – Advanced coating technologies for high-performance materials.
- Centurion Corp – Reaffirmed across multiple brokers.
- UMS Holdings – Precision engineering firm tied to semiconductor demand.
- CSE Global – Engineering solutions for energy and utilities.
- Frencken Group – Manufacturing services for healthcare, semicon, and industrial automation.
- ComfortDelGro – Strong comeback potential.
- First Resources – Positive long-term agricultural outlook.
- Singapore Post (SingPost) – Transformation towards logistics and e-commerce.
- Golden Agri-Resources – Leading palm oil producer with global operations.
- Sheng Siong – A household name with retail stability.
- SATS – Ground-handling and inflight catering benefiting from travel rebound.
- iFAST – Digital wealth management play.
- Yangzijiang Financial – Investment and wealth management business.
- SIA Engineering – Another vote of confidence for aviation-linked stocks.
- Food Empire – F&B export-driven company with strong brands in emerging markets.
- StarHub – Again flagged as a recovery stock.
- Riverstone Holdings – Glove and healthcare PPE manufacturer, cyclical but strategically positioned.
COMMON THEMES AND CROSSOVERS
While different brokerages have their unique lenses, there are several overlapping picks that deserve attention:
Frequently Recommended Stocks:
- ComfortDelGro – Endorsed by Maybank, Macquarie and others.
- Sheng Siong – Repeated across UOB Kay Hian and Maybank lists.
- iFAST – Named by both Macquarie and Maybank.
- SIA Engineering – Appears in Maybank, UOB Kay Hian, and DBS themes.
- CapitaLand Ascendas REIT – Supported by JP Morgan and Macquarie.
- Keppel DC REIT – Highlighted by both JP Morgan and Macquarie.
- Centurion – Recommended by UOB Kay Hian and Maybank.
- First Resources – Endorsed by Macquarie and Maybank.
These overlapping names suggest high-conviction ideas among analysts and offer a useful shortlist for investors looking for strong consensus plays.
WHERE INVESTORS SHOULD LOOK NEXT
With so many recommendations, investors should approach the list through the lens of their risk appetite and investment goals:
- For income seekers: Consider REITs like CICT, CLAR, Parkway Life REIT, NetLink Trust, and Keppel DC REIT.
- For growth investors: Stocks such as AEM, iFAST, Nanofilm, and Food Empire offer higher return potential, albeit with more volatility.
- For recovery plays: ComfortDelGro, SATS, and SIA Engineering provide reopening tailwinds.
- For stability and value: Sheng Siong, Raffles Medical, and ST Engineering combine resilience with reasonable upside.
FINAL THOUGHTS: REWARDS, RISKS, AND RESEARCH
While the STI’s breakout above 4,000 is a strong signal of confidence, investors must remember that not all stocks will rise uniformly. Earnings reports, macroeconomic conditions, and sector-specific developments will continue to shape trajectories.
The Singapore government’s ongoing support, MAS reforms, and institutional participation provide a solid foundation. However, global headwinds—from US interest rate decisions to geopolitical tensions—remain a consideration.
As always, due diligence, portfolio diversification, and understanding of one’s own financial goals are crucial before making any investment decisions.
To sum up, the market is offering opportunities for both the cautious and the bold. From high-yield REITs to innovative tech plays, from defensive consumer names to infrastructure champions, the Singapore stock market appears more alive and investable than it has been in years.
Let’s continue to stay informed, stay diversified, and above all, stay invested—wisely.