SGX-listed Oversea-Chinese Banking Corp. Ltd., or OCBC (SG:O39), and Venture Corp. Limited (SG:V03) are favored by investors for their reliable dividend income. Both of these companies carry dividend yields above 6%, surpassing their sector’s average.
According to analysts, these stocks hold Moderate Buy ratings. Venture’s stock presents an approximately 24% upside, while OCBC stock indicates a more modest growth of 12.5%.
TipRanks offers a range of tools to assist investors in selecting the most suitable dividend stocks for their portfolios within different markets. The Top Dividend Stocks tool can be utilized to filter the highest dividend-paying stocks. The Dividend Calculator is an excellent resource for investors to identify dividend stocks based on their budget. Additionally, the Dividend Calendar provides a chronological overview of companies’ dividend dates, allowing investors to stay informed about upcoming dividends.
Let’s take a look at these companies in detail.
OCBC Dividend Payout 2023
OCBC Bank stands as the oldest and one of the largest banks in Singapore. Boasting a strong presence in regional markets, the bank considers China its second-most profitable region.
OCBC remains an attractive pick as an income stock, primarily due to its noteworthy dividend yield of 6.27%, surpassing the sector average of 2.1%. The bank announced an interim dividend of S$0.40 per share for the first half of 2023, reflecting a significant 43% increase from S$0.28. This move aligns with a payout ratio of 50% based on the group’s net profit for the first half.
A rise in market interest rates had a favorable impact on the local banks in Singapore, boosting their net interest margins. In its Q2 earnings report, OCBC’s net interest margin increased to 2.26%, marking a significant improvement from the 1.71% recorded in the same period the previous year. Analysts anticipate that the net interest margin will stay above 2.2% for the full year of 2023.
What is the Target Price for OCBC Share?
According to TipRanks’ rating consensus, O39 stock has a Moderate Buy rating backed by a total of 10 recommendations from analysts. It includes six Buy and four Hold ratings. The OCBC share price target is S$14.50, which is 13% higher than the current price level.
Year-to-date, the stock has experienced a gain of around 12%.
Venture Dividend 2023
Venture Corporation Limited is a leading provider of technology products and services across various industries. The company also offers services such as market research, design, and supply chain management.
Last month, the company paid an interim dividend of S$0.25 per share, announced during its half-yearly results for 2023. Analysts were disappointed with the first-half numbers and even reduced their price targets. They acknowledge the projection of weaker near-term earnings for the company but express optimism about its overall growth trajectory. The optimism is based on a healthy cash balance, a sustainable dividend yield, and the anticipated recovery of the sector.
The analyst anticipates that, despite a notably weaker performance in FY2023, the company will sustain its future dividends at their current levels.
Venture Share Price Target
According to TipRanks’ rating consensus, V03 stock has received a Moderate Buy rating, based on six Hold and three Buy recommendations.
The Venture Corp. share price target is S$15.33, which is 24.2% higher than the current price level. The company’s stock has experienced a 24% decline in trading thus far in 2023.
