Beyond the Banking Sector: Three Leading Stocks to Monitor This Week

Deep News
Aug 03

Singapore banks naturally attract significant investor attention, and for good reason.

However, the Straits Times Index (SGX: ^STI) offers more value than just the three major lenders. Three specific stocks are particularly noteworthy this week.

First, CapitaLand Ascendas REIT (SGX: A17U) is scheduled to announce its latest financial results on August 5, 2026. The following day, Singapore Exchange Limited (SGX: S68), commonly known as SGX, and Venture Corporation (SGX: V03) will present their quarterly updates. Each company has distinct factors to watch for.

Will SGX's Dividend Pledge Withstand Its First Full-Year Assessment?

For the first half of its fiscal year ending June 30, 2026, SGX reported net revenue of S$695.4 million, a 7.6% increase year-on-year. The Equities-Cash segment led this growth, climbing 16.2% to S$223.9 million, driven by a 19.5% rise in the securities daily average traded value. The Fixed Income, Currencies, and Commodities segment also grew by 12.5% to S$178.9 million, supported by higher volumes in SGX FX, commodity, and currency derivatives.

The profitability picture was different. Net profit attributable to shareholders barely moved, reaching S$342.7 million, up just 0.8% year-on-year. While operating profit jumped 10.8% over the same period, lower non-operating gains and a S$15.0 million goodwill impairment related to Scientific Beta absorbed the difference. This impairment involved no cash outflow. On an adjusted basis, net profit rose 11.6% to S$357.1 million.

Cash generation was stronger. Net cash from operating activities reached S$363.7 million for the half. The group declared an interim quarterly dividend of S$0.110. The August 6 release will close the full financial year. Management reaffirmed its medium-term organic top-line growth target of 6% to 8%, excluding treasury income. It also guided for expense growth of 4% to 6% and capital expenditure of S$90 million to S$95 million for FY2026. All three targets will be measured against this single release. Management has separately committed to a S$0.0025 quarterly dividend increase until the end of FY2028.

Did Venture Corporation's Recovery Continue Beyond the First Quarter?

Venture Corporation reported first-quarter 2026 revenue of S$628.5 million, up 1.9% year-on-year. Earnings per share rose 0.9% to S$0.195, with net profit reaching S$56.3 million on a net margin of 9.0%. Earnings grew more slowly than revenue. On a constant currency basis, revenue would have risen 8.2% year-on-year. Foreign exchange accounted for the 6.3 percentage-point gap. Whether this drag narrows at the half-year mark is a key question.

Beneath the flat top line, the business mix shifted. Portfolio B grew S$42 million year-on-year, driven by demand for AI-related infrastructure across Test & Measurement Instrumentation, Networking & Communications, and Semiconductor Related Equipment. Portfolio A fell S$30 million, as Lifestyle Consumer volumes declined after a customer improved the reliability of a key product. Venture held a net cash position above S$1.0 billion as of March 31, 2026, after paying higher dividends and buying back shares during 2025.

Venture declared no dividend for the first quarter, as the group declares dividends at the half-year and full-year stages. This makes August 6 the first dividend data point of 2026. Free cash flow is the lifeblood of dividends, and Venture did not disclose it at this reporting cadence. The half-year statement will give dividend investors their first proper look.

How Will CLAR's First 2026 Distribution Appear After Its Equity Raise?

CapitaLand Ascendas REIT (CLAR), Singapore's oldest industrial REIT, has a portfolio spanning 229 properties across Singapore, the US, Australia, and the UK/Europe, with investment properties valued at S$18.6 billion as of March 31, 2026. CLAR discloses gross revenue, net property income, and distribution per unit on a half-yearly basis. The August 5 release will be the first of these disclosures for 2026. Distributions run off distributable income rather than free cash flow, making the underlying property numbers crucial here.

Portfolio occupancy eased to 90.5% in the first quarter of 2026, down from 91.5% a year ago. Rental reversion came in at 10.6% for leases renewed during the quarter, with Singapore delivering 10.5% and the US leading at 15.1%. Management has guided for mid-single-digit rental reversion across 2026, a step down from the quarter just reported. The cost of debt held steady at 3.5%.

The REIT completed approximately S$525 million of acquisitions during the quarter and announced a further S$1.1 billion, covering a 49% interest in a Tier III hyperscale data centre in Greater Osaka and 25 Loyang Crescent in Singapore. Aggregate leverage rose to 42.0% as of March 31, 2026. Management expects it to ease to around 37.3% after the S$903.5 million equity fundraising completed in April 2026. This fundraising enlarged the unit base. Investors will find out on August 5 how this enlarged base affects distribution per unit.

Smart Insight: Forecast Versus Reality

A forecast tells you what a company believes. A result shows what it delivered. Between August 5 and 6, three companies will close that distance. SGX will settle a full year of guidance on a single release. Venture's half-year statement will carry both the first dividend and the first free cash flow figure of 2026. CLAR will declare against a unit base that grew in April. Read each result against what the company said last time, not against the headline.

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

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