Top Singapore stocks to watch in 2026

Understanding the Singapore stock market

Singapore’s stock market is anchored by the Singapore Exchange (SGX), a well-regulated marketplace attracting both domestic and global capital.

The SGX lists over 600 companies across diverse sectors, though certain industries dominate:

• Finance: Home to heavyweight banks like DBS, OCBC, and UOB, which are regional leaders.
• Real estate and REITs: Singapore is a global hub for REIT listings, giving investors exposure to commercial, retail, industrial, and hospitality assets.
• Consumer and industrial goods: From food producers to transport operators.
• Commodities and shipping: Including palm oil producers and maritime services.

Global investors are drawn to Singapore for its:

• Stable political and regulatory environment
• Strategic location in Southeast Asia
• Transparent corporate governance standards

How to evaluate Singapore stocks

Fundamental factors
 

Fundamental analysis looks at a company’s underlying financial health and performance:

• Earnings growth: Consistent revenue and profit growth can indicate long-term strength.
• Dividends: Many SGX companies, especially REITs and blue-chip stocks, offer attractive yields.
• Balance sheet health: Low debt and strong cash reserves improve resilience during downturns.

Technical factors
 

Traders often combine fundamentals with technical analysis:

• Price trends: Identifying upward or downward momentum.
• Trading volume: Higher liquidity usually means easier entry and exit.
• Volatility: Useful for short-term trading opportunities.

Macro influences
 

Singapore’s open economy means macroeconomics have a big impact:

• Interest rates: Affect borrowing costs, REIT yields, and bank margins.
• Currency movements: A stronger or weaker Singapore dollar can influence exporters and importers.
• Regional trade flows: Singapore’s role as a trade hub makes it sensitive to shifts in global demand.

Risks of trading and investing in Singapore stocks

While Singapore’s market is relatively stable, traders and investors should keep these risks in mind:

• Sector concentration: Banking and real estate dominate the index, so sector downturns can drag the market.
• Regional exposure: Many SGX-listed firms operate heavily in Asia, making them vulnerable to regional slowdowns.
• Liquidity: Some mid- and small-cap stocks trade at low volumes, which can widen bid-ask spreads and impact trade execution.

Top 5 Singapore stocks to watch

1. DBS Group Holdings (D05) - regional banking leader

Market cap: S$156.8 billion

Financial performance: DBS Group reported Q3 2025 net profit of S$2.95 billion, down 2% YoY, with total income rising 3% YoY to S$5.93 billion, driven by strong fee income and treasury contributions. Net interest income softened slightly due to lower benchmark rates, but wealth management and cards delivered double‑digit growth. Management highlighted that underlying business momentum remained firm despite macro uncertainty, with loan growth stabilising and deposit inflows continuing across key markets.

Dividend payout: DBS declared a Q3 dividend of S$0.75 per share (S$0.60 ordinary + S$0.15 capital return). This brings total dividends for the first nine months of FY2025 to S$2.25 per share.

Balance sheet: The bank’s NPL ratio remained steady at 1.0%, while allowances stayed low due to stable asset quality. CET1 ratio stood at 16.9% transitional, comfortably above regulatory requirements. Liquidity metrics remained strong, with LCR and NSFR well above minimum thresholds.

Technical indicators: DBS shares traded at S$55 in mid-December 2025. Valuations remained healthy, with price-to-earning (P/E) ratio at 14.13 and price-to-book (P/B) ratio at 2.29.

Company outlook: DBS struck a confident tone in its Q3 2025 briefing, emphasising resilience despite a softer rate environment. In the official media transcript, CFO Chng Sok Hui said the bank’s ‘deposit growth and proactive balance sheet hedging mitigated the impact of lower rates’, adding that ‘fee income and treasury customer sales reached new highs led by wealth management’.

2. Singapore Exchange (S68) - market infrastructure provider

Market cap: S$17.9 billion

Financial performance: SGX reported FY2025 net profit of S$648 million, up 8.4% YoY, with EBITDA rising 17.9% to S$827.8 million. Revenue growth was broad‑based across equities, FX, and commodities, with derivatives volumes hitting multi‑year highs. The exchange also saw strong demand for its multi‑asset risk‑management products, while treasury income benefited from higher interest rates.

Dividend payout: SGX proposed a final quarterly dividend of 10.5 Singapore cents, bringing FY2025 dividends to 37.5 Singapore cents, up 8.7% YoY. 

Balance sheet: Net assets rose to S$2.2 billion, supported by strong cash generation. Cash and cash equivalents increased to S$1.13 billion as of 30 June 2025, from S$998.11 million a year ago.

Technical indicators: SGX shares rallied over 30% in 2025, supported by strong earnings and robust derivatives activity. The stock traded at a P/E of 27.9 and P/B of 8.2, reflecting its premium valuation as a defensive, cash‑generative exchange operator.

Company outlook: SGX’s FY2025 results announcement pointed to continued growth in multi‑asset derivatives and FX. In its official release, SGX said it expects to ‘continue to invest in capabilities to support long‑term growth’ and highlighted that ‘operating revenue rose 11.7%’ with strong derivatives performance.

3. OCBC Bank (O39) - ASEAN-focused banking

Market cap: S$87.8 billion

Financial performance: OCBC posted Q3 2025 net profit of S$1.98 billion, up 9% QoQ and flat YoY, supported by record non‑interest income and strong wealth management flows. Total income rose 7% QoQ, with trading and insurance contributing meaningfully. Net interest income dipped due to margin compression, but loan growth remained stable across Singapore and Malaysia.

Dividend payout: OCBC maintained its interim dividend of S$0.41 per share for 1H 2025, representing a 50% payout ratio. The bank continues to emphasise sustainable dividend growth aligned with earnings performance.

Balance sheet: Non-performing loan (NPL) ratio held at 0.9%, with allowance coverage for non-performing assets at 160%, down 4% YoY. CET1 ratio stood at 16.9% transitional, down from 17.2% a year ago.

Technical indicators: OCBC shares traded around S$19 in December 2025, with P/E at 12.1 and P/B at 1.46. The stock has a 52-week share price trading range between S$14.35 and S$19.47 as of 17 December 2025.

Company outlook: OCBC’s Q3 2025 press release highlighted strong non‑interest income and improving momentum heading into 2026. The bank stated that ‘robust momentum in wealth management and treasury sales lifted fee and trading income’, helping offset margin pressures.

Management also emphasised disciplined cost control and stable credit conditions, noting that ‘credit costs were 16 basis points on an annualised basis’. It also expects wealth management and insurance to remain key growth pillars as regional demand strengthens.

4. UOB (U11) - SME banking specialist

Market cap: S$57.8 billion

Financial performance: UOB reported Q3 2025 net profit of S$443 million, down sharply due to pre‑emptive provisions of over S$1 billion set aside to strengthen coverage amid sector‑specific risks. Operating profit remained resilient at S$1.9 billion, supported by fee income growth and stable customer activity.

Dividend payout: UOB maintained its interim dividend of S$0.85 per share for 1H 2025, representing a 50% payout ratio. Management reiterated that dividend policy will remain unchanged despite higher provisions.

Balance sheet: CET1 ratio fell from 15.3% in June 2025 to 14.6% in September 2025, while NPL ratio stayed at 1.6%. The bank emphasised that the additional provisions were precautionary ‘against macroeconomic uncertainties and sector-specific headwinds’.

Technical indicators: UOB shares recovered to around S$35 by December 2025 after earlier declines, with P/E at 9.9 and P/B at 1.15. The stock’s 52-week share price trading range is S$29.00 to S$39.20. 

Company outlook: UOB’s Q3 2025 performance update emphasised strategic progress despite margin pressure. The bank highlighted that both retail and wholesale segments ‘demonstrated progress towards strategic priorities, notably in wealth AUM, card billings, investment banking, quality loan growth and CASA acquisition’.

The bank expects fee income and regional integration to drive earnings recovery into FY2026, supported by improving loan demand across ASEAN.

5. CapitaLand Ascendas REIT (A17U) - industrial REIT pioneer

Market cap: S$12.7 billion

Financial performance: CapitaLand Ascendas REIT (CLAR) highlighted S$1.3 billion in accretive acquisitions across Singapore for Q3 2025, including data centres and life‑science assets. Portfolio occupancy remained healthy at 91.3%, while rental reversions stayed positive across key markets.

Dividend payout: H1 2025 distribution per unit (DPU) stood at 7.477 Singapore cents, with management emphasising stable distributions supported by resilient industrial demand.

Balance sheet: Aggregate leverage rose to 39.8% following acquisitions, while interest coverage remained strong at 3.7x times.

Technical indicators: CLAR shares traded near S$3.35 in December 2025, with P/E at 16.8 and P/B at 1.19. Analyst consensus continues to point to upside potential driven by data‑centre expansion.

Company outlook: The REIT highlighted that it invested ‘S$1.3 billion in five high‑quality Singapore properties at yields of 6–7%’. Management expects demand for logistics, data centres, and advanced manufacturing facilities to remain resilient into 2026.

How to trade and invest in Singapore stocks with IG Singapore

CFD share trading
 

1. Create a live or demo account
2. Find an opportunity among one of our 10,000+ stocks with our  stock screener
3. Click ‘buy’ to go long or ‘sell’ to short
4. Set your position size
5. Take steps to manage your risk
6. Open and monitor your position

Investing
 

1. Open an account via IG Markets Singapore app
2. Search for Singapore-listed shares on the app
3. Choose the shares you want to buy
4. Determine how many shares you want to purchase
5. Place your order
6. Monitor your investment and collect any dividends

FAQs about Singapore stocks