4 Attractive Singapore Blue-Chip Stocks Paying a Dividend Yield of 4.7% or Higher

Blue-chip stocks are well-loved for their reliability and long track record.

Investors who include blue-chip stocks within their portfolios can enjoy a good night’s sleep knowing that their investments can weather economic storms.

The icing on the cake comes in the form of dividends which most blue-chip stocks pay out regularly.

Income investors relish these dividends as they constitute useful passive income.

Here are four attractive Singapore blue-chip stocks with dividend yields of 4.7% and above.

Mapletree Industrial Trust (SGX: ME8U)

Mapletree Industrial Trust, or MIT, is an industrial REIT with a portfolio of 56 properties in the US, 85 properties in Singapore, and one property in Japan.

MIT’s total assets under management (AUM) stood at S$9.2 billion as of 31 December 2023.

The REIT reported a commendable set of earnings for its fiscal 2024 third quarter (3Q FY2024) ending 31 December 2023.

Gross revenue rose 2% year on year to S$173.9 million with net property income (NPI) inched up 0.8% year on year to S$129.9 million.

However, with the number of issued units rising 4.1% year on year to 2.8 billion, MIT’s distribution per unit (DPU) slipped 0.9% year on year to S$0.0336.

The REIT’s annualised distribution yield stood at 5.5%.

MIT’s occupancy rate stayed healthy at 92.6% as of 31 December 2023 with a long weighted average lease expiry of 4.4 years.

The industrial REIT also boasts a diversified tenant base of more than 2,000 tenants of which the largest contributes just 6% of the REIT’s gross rental income.

Aggregate leverage stood at 38.6% with close to 80% of the REIT’s loans pegged to fixed rates.

Keppel Ltd (SGX: BN4)

Keppel Ltd is a global asset manager with expertise in sustainability-related solutions covering the infrastructure, real estate, and connectivity sectors.

The group operates in more than 20 countries worldwide.

Keppel reported a blowout set of earnings for 2023 with its net profit more than quadrupling year on year to a record high of S$4.1 billion.

The asset manager also saw recurring income surging 54% year on year to S$773 million in 2023.

Stripping out the exceptional item from the sale of its offshore and marine business, Keppel would have seen its net profit rise 6% year on year to S$885 million.

The group proposed a final dividend of S$0.19, bringing total dividends for 2023 to S$0.34.

Shares of Keppel offer a trailing dividend yield of 4.7%.

Funds under management continued to grow, shooting up 58% year on year to a pro forma level of S$79 billion at the end of 2023 with the recent acquisition of Aermont Capital.

Asset management fees also crept up 6% year on year to S$283 million.

Keppel will continue to transform based on its Vision 2030 and is well-positioned to ride the S-curve of quality sustainable growth.

Mapletree Logistics Trust (SGX: M44U)

Mapletree Logistics Trust, or MLT, is also an industrial trust with an AUM of S$13.3 billion as of 31 December 2023.

The logistics REIT owns a portfolio of 187 properties across eight countries including Singapore, Malaysia, and South Korea, among others.

MLT reported an encouraging set of earnings for 3Q FY2024 as it continued to sport strong financial and operating metrics.

Gross revenue rose 2.1% year on year to S$184 million with NPI improving by 1.5% year on year to S$159.5 million.

DPU inched up 1.2% year on year to S$0.02253.

For the first nine months of fiscal 2024 (9M FY2024), DPU came in at S$0.06792, up 0.7% year on year.

MLT’s annualised DPU stands at S$0.09056, giving its units a distribution yield of 5.9%.

The logistics REIT’s portfolio remained resilient with a strong occupancy rate of 95.9%.

Rental reversion also came in positive at 3.8%.

The REIT completed a total of nine acquisitions year-to-date while divesting eight properties at premiums to their valuations as part of its capital recycling initiatives.

CapitaLand Ascendas REIT (SGX: A17U)

CapitaLand Ascendas REIT, or CLAR, is Singapore’s oldest and largest industrial and business space REIT.

CLAR owns 232 properties in Singapore, the US, Australia, Europe, and the UK with an AUM of S$16.9 billion as of 31 December 2023.

The REIT reported a mixed set of results for 2023.

Gross revenue rose 9.4% year on year to S$1.5 billion with NPI improving by 5.6% year on year to S$1 billion.

DPU, however, fell by 4% year on year to S$0.1516, partly because of a slightly higher number of issued units (+2.7% year on year).

Units of the industrial REIT provide a historical distribution yield of 5.3%.

CLAR maintained a healthy portfolio occupancy of 94.2% as of 31 December 2023.

The industrial REIT also reported a robust positive rental reversion of 13.4% for the year.

A total of four acquisitions and one development totalling S$885.3 million were completed in Singapore, Australia, and the UK, helping to enhance CLAR’s portfolio and increase its DPU.

Meanwhile, there are five ongoing projects worth S$551 million that are undergoing refurbishment and redevelopment to improve CLAR’s portfolio returns.

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Disclosure: Royston Yang owns shares of Mapletree Industrial Trust.

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