It’s always a happy feeling when a stock you own hits its 52-week high.
This means that the business should be doing something right – either growing its profits and dividends or communicating strong prospects for its future.
But even if you may not own a stock that’s hitting its high for the year, it still makes sense to screen for such companies.
These stocks may end up being on your buy watchlist and qualify as suitable investment candidates.
Here are four Singapore stocks that recently touched their 52-week highs, and we review their business to determine if they can sustain this momentum.
Civmec Limited (SGX: P9D)
Civmec is an Australian multi-disciplinary construction and engineering services firm that serves the energy, resources, infrastructure, and marine & defence sectors.
The group’s share price recently hit its 52-week high of S$1.07 and is up an impressive 33.8% year-to-date.
Civmec released an impressive set of results for its fiscal 2024 (FY2024) ending 30 June 2024.
Revenue jumped 24.4% year on year to A$1 billion while net profit rose 11.6% year on year to A$64.4 million.
The engineering firm saw its net asset value per share increase by 15.5% year on year to A$0.962.
It also paid out a final dividend of A$0.035, up 16.7% year on year, taking its FY2024 dividend to A$0.06, 20% higher than the A$0.05 that was paid out in FY2023.
Management continues to see encouraging signs within the sectors that the group is in.
The infrastructure sector offers A$145.2 billion of opportunities from 2025 to 2028 while the energy and resources sectors offer A$43.5 billion and A$64 billion of opportunities, respectively, over the same period.
Civmec’s order book stood at A$853 million and management is confident of replenishing this in the medium term.
Fraser & Neave (SGX: F99)
Fraser & Neave, or F&N, is a food and beverage (F&B) giant that sells soft drinks, beer, dairies, juices, and ice cream.
Some of the group’s well-known brands include 100Plus, Magnolia, Farmhouse, Nutrisoy, and Fruit Tree.
F&N’s share price recently touched its 52-week high of S$1.41 and is up 31.8% year-to-date.
The F&B group recently provided an encouraging business update for the first nine months of fiscal 2024 (9M FY2024) ending 30 June 2024.
Revenue inched up 2.1% year on year to S$1.6 billion.
Net profit climbed 37.3% year on year to S$123 million.
The beverages division saw a 2% year-on-yea revenue increase and made up 31% of the group’s revenue for 9M FY2024.
Effective marketing campaigns drove higher volumes for the group’s core soft drink brands.
F&N strengthened its presence in Cambodia with a plan to construct a new dairy manufacturing facility there that will be operational by the first quarter of 2026 (1Q 2026).
The group also continued to launch innovative new products to capture customers’ attention such as F&N Ice Mountain Sparkling Lychee Water and Magnolia Salted Caramel Milk.
SATS Ltd (SGX: S58)
SATS is an aviation food services provider and also provides ground handling and cargo services.
The blue-chip group serves customers in more than 215 locations in 27 countries across the world.
SATS’ share price is up 39.3% year-to-date and recently touched its 52-week high of S$3.83.
For the first quarter of fiscal 2025 (1Q FY2025) ending 30 June 2024, SATS delivered a sterling performance.
Revenue rose 15.5% year on year to S$1.4 billion, led by revenue increases for both its Gateway Services and Food Solutions divisions.
Gateway Services saw an increase in air cargo volume while Food Solutions benefitted from higher demand for in-flight meals.
Operating profit soared more than 14-fold year on year from S$7.9 million to S$112.9 million.
Net profit for 1Q FY2025 came in at S$65 million, reversing the S$29.9 million net loss a year ago.
SATS expects more positive momentum in the coming quarters with the acceleration of eCommerce and the shift to air cargo because of seaport congestion being catalysts for the business.
Passenger and cargo air traffic is set to rise year on year for 2024, thus helping both SATS’ divisions.
The group is confident of improving its financial performance and reducing its debt load.
Hongkong Land Holdings (SGX: H78)
Hongkong Land Holdings, or HKL, owns and manages more than 850,000 square metres of prime office and luxury retail properties in Hong Kong, Singapore, Beijing, and Jakarta.
The property group’s share price hit a high of S$3.99 recently and is up 13.6% year-to-date.
For 1H 2024, revenue surged by 45.1% year on year to US$972.4 million.
However, the underlying loss stood at US$7 million, a reversal from the prior year’s net profit of US$422 million.
This was due to a non-cash provision of US$295 million for the group’s China development properties.
Excluding this item, underlying profit would have been US$288 million, 32% lower year on year.
The group, however, kept its interim dividend constant at US$0.06 for 1H 2024.
HKL is undergoing a comprehensive strategic review of its overall business strategy and will present a strategy update before the end of this year.
Meanwhile, the outlook is expected to remain challenging for the remainder of 2024 but contributions from development properties is expected to increase in 2H 2024 because of planned project completions in China.
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Disclosure: Royston Yang does not own shares in any of the companies mentioned.
