As the Straits Times Index (STI) hits historic highs, many investors are left wondering if there is any value left to be uncovered.
When stocks appear expensive, it often obscures individual gems that are trading below their intrinsic value.
For the smart investor, this is where real opportunities await.
Amidst the record-level noise, three established Singapore-listed companies present a compelling case of undervaluation.
Hongkong Land (SGX: H78)
Hongkong Land is a property investment, management and development group with prime assets in Hong Kong, Singapore, and China.
After the company’s strategy update on 29 Oct 2024, its shares soared by over 27% within the week, and continued to be on an upward trajectory to its recent 52-week high of US$6.46.
Despite this, the company’s price-to-book (P/B) ratio remains low at 0.47 as of last Friday.
Trading at a steep discount to book value, this reflects investor pessimism over China’s property sector, despite the Group’s positive results.
Based on Hongkong Land’s latest interim report, the Group’s vacancies on a committed basis in Hong Kong declined to 6.9% at the end of June 2025, compared to 7.1% at the end of 2024.
The company’s performance compares favourably to 11.8% vacancy in the wider Central Grade A office market.
Hongkong Land’s Net Asset Value (NAV) per share on 30 June 2025 also rose slightly to US$13.62, in comparison to US$13.57 at the end of 2024.
For the first half of 2025, the Group’s underlying profit was US$320 million, excluding the impact of provisions in the Chinese mainland BTS (built-to-suit) business.
This figure is an 11% growth compared to US$288 million in the first half of 2024.
An interim dividend of US$0.06 per share was proposed, and it remained unchanged from the interim dividend in the prior year.
UOL Group (SGX: U14)
Property and hospitality group, UOL Group, owns a diversified portfolio of properties worldwide, including commercial and residential developments.
With assets of approximately S$23 billion, UOL Group also owns three famed hotel brands, namely the Pan Pacific, PARKROYAL COLLECTION, and PARKROYAL.
In the first half of 2025 (1H 2025), the Group continues to benefit from a strong residential market.
Revenue from property development rose 40% to nearly $732 million, thanks to successful launches like Pinetree Hill and Watten House.
With a P/B of 0.57 as of last Friday, UOL Group is trading below book value despite their quality assets and healthy recurring streams.
The company is trading below its sector peers’ P/B ratios, such as CapitaLand Investment Limited (SGX: 9CI) at 1.11 and City Developments Limited (SGX: C09) at 0.68.
Revenue rose 22% to S$1.55 billion in the first six months, and UOL Group’s pre-tax profit (before fair value and other gains or losses) totalled a little over S$319 million.
This is a 30% increase from the S$245.3 million in 1H24.
However, NAV per share for UOL Group at 30 June 2025 had dipped slightly to S$13.59, compared to S$13.65 at the end of 2024.
UOL typically declares a first and final dividend once a year.
2024 saw a total dividend payout of S$0.18 per share.
This payout is slightly lower than FY2023’s S$0.20, which included a S$0.05 per share special dividend.
Wilmar International (SGX: F34)
With over 1000 manufacturing plants worldwide, Wilmar International is one of Asia’s largest agribusiness groups.
Wilmar International’s revenue grew 6.3% year on year (YoY) to nearly US$33 billion in 1H2025.
Net profit also rose 2.6% YoY over the same period to almost US$595 million.
The Group’s plantation and sugar milling business achieved more than a threefold increase in pre-tax profit to US$202 million in 1H2025, backed by higher palm oil prices.
Food Products also delivered a 34% year on year increase in pre-tax profit.
In short, the Group’s results improved despite difficult external conditions, including the uncertainty over Trump’s tariffs and commodity price volatility.
Yet, the Group’s stock is hovering near its 52-week low of S$2.87 per share.
Wilmar International’s current P/B ratio of 0.69 is also below its historical levels of approximately 1.0.
Trading below book value, Wilmar International may present an opportunity for investors as it holds a strong regional market presence with a market capitalisation of around S$18.4 billion.
The stock offers a dividend yield of 4.7% too, another positive for income investors with a long investment horizon.
Get Smart: Opportunities If You Know Where To Look
Before you write it off as impossible, undervalued opportunities can still exist even during record market highs.
In an expensive market, P/B ratios help to highlight asset-intensive businesses based on their assets rather than volatile earnings.
Hongkong Land, UOL, and Wilmar International show that undervalued stocks lurk beneath the surface of a booming market.
However, investors must remember to assess asset quality, dividend sustainability, earnings resilience, and any other macro risks before buying into undervalued gems.
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Disclosure: Wenting does not own shares in any of the companies mentioned.
