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Chart of the Day: Singapore’s healthcare stocks experience two-year trading highs

Valuations on a broad-based level do not seem attractive.

The FTSE ST Health Care Index (FSTHC) has been performing better than the FSSTI with an 8.1% YTD gain as compared to FSSTI’s marginal 0.02% YTD gain.

According to OCBC, within their coverage, there is a mixed showing in share price performance for BIG and RFMD.

BIG’s price recovery earlier in the year was believed to be mainly supported by share buybacks as it gained 18.8% YTD, while RFMD’s price movement has been largely muted.

Among the selected companies, Q&M Dental group’s share price saw a 15.4% growth, which OCBC thinks was underpinned by a robust showing in the group’s FY14 earnings.

In contrast, QT Vascular recorded a YTD loss of 17.5% in its share price. While its FY14 revenue rose 140.7% to US$13.2m, the group saw another year of net loss of US$34.2m as it is still in a ramp-up phase.  

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