Top five industrial stocks' average returns hit 7.2% YTD

These five have the highest ROE, averaging 15.7%.

The five best performing industrial stocks averaged a total return of 7.2% in YTD, bringing their one-year and three-year total returns to 3.8% and 33.3%, respectively, according to SGX.

These five are identified to be ST Engineering, Venture Corp, SATS, Yangzijiang Shipbuilding and ComfortDelGro Corp, based on its return on equity (ROE).

ST Engineering has the highest ROE at 22.2%, followed by Venture Corp at 16.4%. SATS, Yangzijiang Shipbuilding and ComfortDelGro Corp’s ROE are 15.1%, 13.2% and 11.6%, respectively. They have averaged a current ROE of 15.7%.

Venture Corp and Yangzijiang Shipbuilding have registered higher ROEs for the latest financial year as compared to its respective 5-year averages, whilst SATS and ST Engineering have maintained relatively stable ROEs over the periods.

SGX lists more than 200 stocks in the industrial sector. The 10 largest capitalised industrials stocks have a combined market cap of over $160b and are also constituents of the Straits Times Index (STI).

The 10 largest Industrials stocks of the STI are involved in airport and transport services, air freight and logistics, engineering, defence, road and rail services, infrastructure, manufacturing, as well as offshore and marine services. They have averaged an ROE of 11%, a YTD total return of -0.5% and a 12-month dividend indicated yield of 3.5%.