2024 Half-Year Recap | YZJ Shipbuilding Takes the Lead, Banking Stocks in Strong Position

Reflecting on the first half of 2024, the Singapore stock market exhibited relative stability. As of the close on June 20th, the $FTSE Singapore Straits Time Index (.STI.SG)$, which mirrors the trend of local blue-chip stocks, had risen by approximately 1.7% year-to-date. Meanwhile, a frenzy for artificial intelligence has buoyed the US stock market, with the $NASDAQ 100 Index (.NDX.US)$ and the $S&P 500 Index (.SPX.US)$ repeatedly reaching new highs, climbing over 18% and 15% respectively this year.

$YZJ Shipbldg SGD (BS6.SG)$ emerged as one of the best-performing companies in the first half of the year, with the share price soaring over 80% since the start of the year. In its latest Q1 2024 business update, the giant reported that it has achieved a record order volume of $16.8 billion to date this year, surpassing last year's $14.5 billion. Moreover, the company achieved a net order book of S$25.8 billion, comprising 31 projects with deliveries scheduled until 2030.

Read more: Shipbuilding's Rising Tide: Who Are Poised for the New Cycle?

The significant rise in $Great Eastern (G07.SG)$'s share price, which has surged over 45% since the start of the year, can be primarily attributed to a pivotal event in early May. OCBC Bank proposed a $1.4 billion acquisition bid to privatize its insurance subsidiary Great Eastern responding to shareholder concerns over declining returns. This move prompted a notable increase in Great Eastern's stock value; on May 10th, the shares soared $7.02 or 37.54 percent, ending the day at $25.72, a figure that exceeded the offer price. OCBC explained that this bid aligns with the bank's strategic vision and bolsters its foundational business sectors, which include banking, wealth management, and insurance.

The performance of bank stocks has been impressive. $DBS (D05.SG)$ has risen over 20% since the beginning of the year, while both $OCBC Bank (O39.SG)$ and $UOB (U11.SG)$ have seen increases of more than 10%. In the Q1 2024 financial results that were announced, DBS Bank took the lead among these three major banks with a year-over-year revenue growth of 12.6%.

Also noteworthy in this ranking is $Singtel (Z74.SG)$, the telecommunications company that announced two data center deals on June 19th, aimed at strengthening its market position in Southeast Asia.