Singapore Stock Market Opening: FTSE Straits Times Index Falls by 0.35%, UOB, DBS Group Holdings and Others Decline Slightly

The FTSE Straits Times Index (STI) fell by 0.35% on Monday, December 2nd, with several major banks, including United Overseas Bank (UOB) and DBS Group Holdings, experiencing a slight decline in their stock prices. This can be attributed to the broader market sentiment, which was influenced by various factors such as geopolitical tensions and economic uncertainties.

Looking at the market valuation and performance data provided, we can see that the Singaporean Market valuation has been relatively stable over the past few years, with the Market Cap, Revenue, and Earnings remaining relatively consistent. However, the Price to Earnings (PE) ratio has fluctuated, with a 3-year average of 14.1x and a current PE ratio of 16.3x, indicating that the market is trading at a higher valuation compared to its historical average.

In terms of earnings growth, Singaporean listed companies have experienced a 12% per year growth in earnings over the last three years, while revenues have grown at a rate of 4.3% per year. This suggests that companies are generating more sales and subsequently increasing their profits.

Analysts have projected a 4.1% dividend yield for the equities market in 2025, with high-yield, high-growth stocks, value-up plays, and interest rates and bond yields being the key themes to focus on. Large-cap stocks are expected to yield between 5.0% and 5.7% in FY25F, with banks remaining well-owned due to their upcoming full-year results and the possibility of special dividends.

In conclusion, while the STI experienced a slight decline on Monday, December 2nd, the Singapore stock market has shown resilience in terms of earnings growth and dividend yields. Investors should continue to monitor the market's performance and consider the key themes identified by analysts when making investment decisions.